Investor Relations

Market Overview

Global pawn lending exceeds $50 billion annually, underscoring the crucial role this financial service plays in the economic fabric of many communities.

In recent years, pawn lending has experienced consistent growth, driven by consumers' need for flexible, immediate financial solutions without the burden of credit checks or extensive application processes. This increased demand correlates with rising costs of living, economic uncertainty, and banking limitations that exclude millions from mainstream finance.

Simultaneously, pre-owned retail is booming-now comprising 28% of global consumer purchases-driven by affordability, sustainability, and a growing cultural shift toward reuse. Pawnshops like SMG uniquely sit at the intersection of these two forces, offering value-driven retail and accessible lending without credit barriers.

Regulatory Landscape

SMG adheres to a robust regulatory framework that includes the Truth in Lending Act (TILA), Gramm-Leach-Bliley Act (GLBA), and applicable AML laws. These regulations govern our consumer lending, privacy, and anti-money-laundering protocols.

We go beyond compliance-SMG regularly trains staff, conducts internal audits, and participates in national advisory boards. This proactive approach ensures transparency, ethical lending, and trust from customers and regulators alike.

Competitive Differentiators

Our stores are placed in densely populated, underserved neighborhoods and feature bright, well-maintained interiors. Customers experience clean, modern retail-upending old stereotypes of pawnshops.

SMG's proprietary technology enables 60-second loan decisions and fair, real-time pricing based on market data. This fast, respectful service builds loyalty and makes SMG the trusted option for short-term financial needs.

Thought Leadership

SMG is reshaping public perception of the pawn industry through thought-provoking content. Our "Five Myths About Pawn Lending-Busted" series directly challenges outdated assumptions about pawnshops being unregulated, predatory, or obsolete. Through data, customer stories, and policy insight, we explain the realities of pawn lending in today's economy.

John Thedford, SMG's founder and CEO, authored the best-selling book Smart Moves Management, which offers practical leadership strategies and operational philosophies that guide SMG's success. The book has influenced both industry peers and academic audiences, emphasizing employee engagement and customer-first systems.

Beyond content, we produce white papers on AML, digital innovation, and circular retail. This commitment to education, innovation, and public trust makes SMG a thought leader in modern financial services.

Financial Highlights

In FY 2024, SMG posted $148 million in revenue, up 37% YoY, with $18 million in EBITDA and a 12% margin. Our CAGR stands at 80% over five years. Since 2021, we've grown from 21 to 111 stores, with 131 projected by 2026. With 62 new stores planned in the next 36 months, our expansion pipeline spans Puerto Rico, Jamaica, The Bahamas, and beyond.

Digital payments exceed 20% of transactions and are on track to surpass 50%, increasing margin and lowering transaction costs. Our average store EBITDA is $320K and is projected to exceed $400K by 2025. Acquisition integration has compressed multiples by 49% on average. Our real estate and operations teams have optimized every site for speed to market and maximum ROI.

Governance & Policies

SMG's governance framework is designed for growth and integrity. Our board, composed of experienced leaders in finance, retail, and law, oversees strategic direction and compliance. We enforce strict AML policies, a detailed Code of Conduct, and transparent stakeholder communication.

Our audit committees proactively monitor risks, while our internal controls ensure all stores uphold legal, ethical, and operational excellence across our footprint.