Consumer Portfolio Services Exceeds Q2 Revenue Estimate, Secures $418.3 Million Asset-Backed Securitization Transaction

Consumer Portfolio Services has reported Q2 revenue of $100.6m, beating the estimate. The company also announced the closure of a $418.3m asset-backed securitization transaction and secured a credit facility increase.

Consumer Portfolio Services (CPSS) has reported its Q2 financial results, showing strong performance with revenue of $100.6 million, surpassing analysts' estimates. The company also announced the closure of a significant $418.3 million asset-backed securitization transaction and secured a credit facility increase.

In the second quarter of 2025, CPSS's revenue reached $100.6 million, an increase from the previous quarter's revenue of $109.8 million. This growth is particularly notable given the challenging economic conditions and increased competition in the subprime auto financing sector. The company's operating expenses for the quarter amounted to $102.8 million, which is slightly higher than the previous quarter's expenses of $100.1 million.

One of the key highlights of CPSS's Q2 performance is the successful closure of a $418.3 million asset-backed securitization transaction. This transaction involved the issuance of asset-backed notes secured by $439.29 million in automobile receivables. The notes were issued through CPS Auto Receivables Trust 2025-B and feature a weighted average coupon of 5.96%. The transaction marks CPSS's 55th senior subordinate securitization since 2011 and is the company's 38th consecutive securitization to receive a triple 'A' rating from at least two rating agencies on the senior class of notes.

In addition to the securitization, CPSS has also secured a credit facility increase. The company's two-year revolving credit agreement with Citibank has been amended to increase the facility's capacity from $225 million to $335 million. This credit facility provides CPSS with additional funding to support its operations and growth initiatives.

Overall, CPSS's Q2 performance demonstrates the company's resilience and ability to adapt to market conditions. The successful closure of the securitization transaction and the credit facility increase indicate a strong financial position and a commitment to growth and expansion. Investors and financial professionals should closely monitor CPSS's future developments to assess the potential impact on the company's stock price and market position.

References:
[1] https://www.tradingview.com/news/reuters.com,2025-08-11:newsml_PLX2BFAE7:0-brief-consumer-portfolio-services-q2-pretax-profit-usd-7-million/
[2] https://www.stocktitan.net/news/CPSS/