On February 23, 2022, Rent-A-Center Inc (RCII) published the financial results for the Q4 and the year, that ended on 31 December 2021. For that reason, the stock plunged in the after-market.
The stock of Rent-A-Center Inc (RCII) closed the regular trading session at $34.76, losing 7.82% from the previous trading session. RCII stock remained bearish in the after-market, losing 36.45% to $22.09. The stock kept fluctuating between $34.68 and $37.98.
Rent-A-Center (RCII) is a public rental organization that takes part in the arrangement of furniture, gadgets, appliances, PCs, and cell phones through adaptable rental buy agreements. RCII has a market capitalization of $2.30 billion with 66.14 million outstanding shares. The company has its headquarter in Plano, Texas, United States of America (USA).
Fiscal 2021 of RCII
RCII posted revenue of $1.17 billion in Q4 of FY21 versus $716.4 million in Q4 of FY20. The sales recorded an increase of 63%. Year-over-Year revenue increased by 62.8% from $2.8 billion in 2020 to $4.5 billion in 2021.
Net earnings for Q4 were $9.8 million in Q4 of 2021 as compared to $56.3 million in Q4 of 2020. The net earnings decreased by 82.5%. Moreover, the net earnings YoY decreased by 35.1% from $208.1 million in 2020 to $134.9 million in 2021.
The organization had a diluted EPS of $0.15 in Q4 of 2021 as compared to $1.00 in Q4 of 2020. While the YoY diluted EPS was $2.02 in 2021 as compared to $3.73 in 2020.
Moreover, RCII recorded an adjusted EBITDA of $611.01 million in the Q4 of FY21 against $97.01 million in the year-ago quarter.
RCII’s 2022 Stance
The company provided a stance for the upcoming year of 2022. The estimate of YoY revenue is between $4.45 and $4.60 billion. Whereas the quarterly estimate is between $1.12 and $1.15 billion.
The Diluted EPS on YoY is determined to be in the range of $4.5 and $5.0. Not only also, but the EPS for Q1 of FY22 is also determined between $0.65 and $0.80.
CEO Remarks
The CEO of RCII, Mitch Fadel, stated that 2021 was a unique year for them with notable advancement and a few hassles. He further added that anticipating a post-pandemic climate, their main goal to give adaptable renting solutions will be even more significant.
