By Paulo Trevisani
FirstCash Holdings, the operator of pawn stores and payment solutions provider based in Fort Worth, Texas, announced that their revenue growth in the second quarter was supported by a stronger Mexican peso.
According to the company, the average exchange rate of 17.7 Mexican pesos per U.S. dollar in the second quarter marked a favorable 12% change compared to the previous year. Moreover, the average exchange rate of 18.2 pesos per dollar for the first six months of the year showed a 10% favorable change from the same period last year.
CEO Rick Wessel highlighted the positive impact of these developments, stating in a press release, “In Latin America, we experienced strong revenue growth from retail sales, which was further strengthened by the appreciating Mexican peso.”
However, not all currencies fared as well against the U.S. dollar. The Guatemalan quetzal experienced a 1% depreciation quarter-over-quarter, while the average Colombian peso weakened by 13% in relation to the U.S. dollar. These were reported as unfavorable factors for FirstCash Holdings.
Despite these challenges, FirstCash reported consolidated revenue totaling $751 million in the second quarter, representing a significant 16% increase from the previous year.