FlexShopper Inc
NASDAQ:FPAY
FlexShopper Inc
FlexShopper, In.operates as a holding and financial technology company, which enables consumers utilizing its e-commerce marketplace to shop for brand name electronics, home furnishings, and other durable goods on a lease-to-own basis. The company is headquartered in Boca Raton, Florida and currently employs 137 full-time employees. The company went IPO on 2007-12-12. The firm enables consumers to utilize its e-commerce marketplace to shop for brand name electronics, home furnishings and other durable goods on a lease-to-own (LTO) basis. The firm provides opportunity to obtain ownership of durable products, such as consumer electronics, home appliances, computers (including tablets and wearables), smartphones, tires, jewelry and furniture (including accessories), under payment LTO purchase agreements with no long-term obligation. The LTO Engine is the basis for FlexShopper’s primary sales channels, which include business-to-consumer (B2C) and business-to- business (B2B) channels. The company offers a range of brands, such as LG, Samsung, Sony and Vizio home electronics; Frigidaire, General Electric, LG, Samsung and Whirlpool appliances; Acer, Apple, Asus, Samsung and Toshiba computers and/or tablets; Samsung and Apple smartphones; and Ashley, Powell and Standard furniture, among other brands.
FlexShopper, In.operates as a holding and financial technology company, which enables consumers utilizing its e-commerce marketplace to shop for brand name electronics, home furnishings, and other durable goods on a lease-to-own basis. The company is headquartered in Boca Raton, Florida and currently employs 137 full-time employees. The company went IPO on 2007-12-12. The firm enables consumers to utilize its e-commerce marketplace to shop for brand name electronics, home furnishings and other durable goods on a lease-to-own (LTO) basis. The firm provides opportunity to obtain ownership of durable products, such as consumer electronics, home appliances, computers (including tablets and wearables), smartphones, tires, jewelry and furniture (including accessories), under payment LTO purchase agreements with no long-term obligation. The LTO Engine is the basis for FlexShopper’s primary sales channels, which include business-to-consumer (B2C) and business-to- business (B2B) channels. The company offers a range of brands, such as LG, Samsung, Sony and Vizio home electronics; Frigidaire, General Electric, LG, Samsung and Whirlpool appliances; Acer, Apple, Asus, Samsung and Toshiba computers and/or tablets; Samsung and Apple smartphones; and Ashley, Powell and Standard furniture, among other brands.
Record Revenue: FlexShopper posted a quarterly record revenue of nearly $39 million, up 23% year-over-year.
Profitability Growth: Adjusted EBITDA increased 45% to more than $12 million, and net income attributable to common stockholders was $1.2 million or $0.05 per diluted share.
Expanding Partnerships: The company grew its signed retail locations to approximately 7,800, a 250% increase from year-end 2023, driven by new B2B partnerships.
Asset Quality Improvement: The provision for doubtful accounts dropped to 22.2% from 32.1% last year, a 990 basis point improvement.
Gross Margin Expansion: Gross margin reached 58%, up from 54% last year and 50% last quarter, fueled by better asset quality and higher product margins.
Preferred Stock Buyback: FlexShopper plans to redeem 91% of its Series 2 preferred stock at over a 50% discount, simplifying the capital structure and expected to increase annual net income by $9 million if combined with other debt reduction.
Rights Offering Planned: The company filed for a rights offering to raise up to $50 million, aiming to further reduce debt and preferred dividends.
Operational Momentum: Strong consumer demand, increased lease approvals, and investments in underwriting and servicing support expectations for continued growth in 2025.
