Thank you for sharing!

Your article was successfully shared with the contacts you provided.

PLANO, TX-Rent-A-Center will cease opening any new in-store financial service locations until its existing sites are profitable, executives said at the company’s third-quarter conference call.

The units offer check-cashing, short-term loans, cash advances, money transfers, money orders and tax services. However, they have not performed up to expectations and performance actually declined in the third quarter, said Mark E. Speese, chairman and CEO.

“There is a need for this service,” Speese said. “But to grow simply for growth’s sake, without making it profitable, is not the right thing to do.” Speese gave no time frame as to when expansion will resume.

Total revenues were $708.8 million, a decrease of $0.9 million from the same period in the prior year, largely because of store closings. Comp-store sales rose 3.4%. Net earnings for the quarter were $29.4 million, up 16.2%, from the same period last year.

Rent-A-Center operates approximately 3,045 company-owned stores nationwide and in Canada and Puerto Rico. ColorTyme, Inc., a wholly owned subsidiary, is a national franchiser of approximately 225 rent-to-own stores operating as “ColorTyme.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt. NET LEASE Awards 2020Event

These awards honor the industry's most influential and knowledgeable real estate executives from the net lease sector.

Get More Information


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.