Credit Acceptance (2D5) Q3 2026 Earnings Report
DE:2D5 Q3 2026 EPS Results
- Actual EPS
- EUR 11.61
- Consensus EPS
- EUR 11.48
- Beat/Miss
- Beat by +EUR 0.13
- One Year Ago EPS
- EUR 9.17
DE:2D5 Q3 2026 Revenue Results
- Actual Revenue
- EUR 530.62M
- Expected Revenue
- EUR 532.23M
- Beat/Miss
- Missed by -EUR 1.61M
- YoY Revenue Growth
- +2.09%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/29/2026
- Time
- After Close
- Conference Call
- Thursday, October 29, 2026
Credit Acceptance's next earnings date is estimated for February 1, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
The call had a positive overall tone, supported by strong growth in loan volume, economic profit, adjusted earnings, dealer activity, market share, liquidity, and operating efficiency. Management also highlighted progress in its scorecard, data, AI, technology, and distribution initiatives. The primary negatives were the GAAP net loss and the 2.5% reduction in forecasted net cash flows, driven by underperformance in lower-score legacy loan cohorts. Management characterized the forecast adjustment as a more comprehensive update and expressed confidence in the newer scorecard and the company’s margin of safety.
Management said the revised forecasted collection rate for 2025 and 2026 loan vintages is approximately 65%, with the adjustment representing approximately 2.5% on a book of $12 billion over the life of that vintage; it expects the adjustment to spread over the coming quarters, while lower performing vintages fall off and better performing vintages come in, which will help that overall yield mix. Early indications for loans assigned under the new scorecard are encouraging, but they remain relatively unseasoned and need additional performance history before drawing firm conclusions; management expects the scorecard to provide a richer and more current view of risk and said forecasting will never be static. Collections and servicing, predictive models for dealer relationships and markets, and digital and mobile capabilities remain in their early stages and will be evaluated based on customer experience, operating efficiency, portfolio outcomes, and economic profit.
- Strong Economic Profit GrowthThird-quarter economic profit was $50.7 million, up 18% year-over-year, while economic profit per diluted share increased 30% to $4.87.
- Acceleration in Loan Assignment VolumeConsumer loan assignment unit volume increased 38% year-over-year to more than 110,000 loans, and loan dollar volume increased 51% to $1.4 billion. This was the first quarter of year-on-year growth since the fourth quarter of 2024.
- Record Active Dealer Base and Higher Dealer ProductivityActive dealers reached a record 12,093, up 19% from the prior year. Average volume per active dealer increased 15%, reversing seven consecutive quarters of year-over-year declines, and the company enrolled 1,350 new dealers during the quarter.
- Market Share GainsFor the first two months of the third quarter, market share in the core segment of used vehicles financed by subprime consumers was 5.4%, up from 4.5% for the same period of 2025.
- Adjusted Earnings ImprovementAdjusted net income was $135.5 million, or $13.01 per diluted share, up 15% and 27%, respectively, year-over-year. The increase reflected stronger loan volume and operating expense leverage, partially offset by changes in expected cash flows from the loan portfolio.
- Expanded Dealer DistributionAggregator integrations with platforms such as RouteOne, Dealertrack, and DealerCenter simplified the application-to-funding process and expanded reach toward franchise and large independent dealers. Management said expanded aggregator distribution, stronger dealer engagement, and the new scorecard were the largest contributing factors to the growth acceleration.
- Growth Across Existing and New Dealer RelationshipsThe company generated higher volume from existing dealer relationships while expanding its dealer network. Management said growth was broad-based across portfolio dealers, franchise dealers, and large independent dealers rather than depending on a single lever.
- Increased Consumer Digital EngagementMobile app usage, where consumers self-service their accounts, increased 19% year-over-year.
- New Product Adoption and Segmentation InitiativesThe light structural damage vehicle offering launched in the prior quarter continued to add incremental volume, with adoption increasing as it scales nationally. The company is also evaluating additional products in established segments where dealer and consumer demand already exists.
- New Scorecard and Data-Driven Underwriting CapabilitiesThe new scorecard began rolling out late in the second quarter and was enhanced throughout the third quarter. It uses more tailored approaches across consumer, vehicle, dealer, and transaction segments to support more informed pricing and assignment decisions. Management said early indications from loans assigned under the new scorecard were encouraging, while noting that the loans remain relatively unseasoned.
- Continued Investment in Data, AI, and TechnologyThe company is modernizing its technology stack, centralizing decades of proprietary data, applying data and AI to dealer inventory-matching tools, and expanding digital self-service and personalization for consumers. Certain platform enhancements can now be deployed in days rather than weeks.
- Expanded Executive Leadership TeamDuring the quarter, the company added Sid Lal as Chief Marketing Officer, Jeetu Mirchandani as Chief Technology Officer, and Shannon Wilson as Chief Human Resources Officer. Management said the leadership additions are driving innovation and accelerating the business transformation.
- Operating Expense ReductionOperating expenses decreased $14.2 million, or 10%, year-over-year, primarily due to lower salaries and wages and lower general and administrative expenses. Higher sales and marketing costs, including commissions associated with increased loan volume, partially offset the reduction.
- Share Repurchases and Capital AllocationThe company repurchased 269,150 shares for $161.6 million during the quarter, representing 2.6% of shares outstanding at the beginning of the quarter. Year-to-date share repurchase activity accounted for $0.83 of third-quarter adjusted earnings per share.
- Strong Liquidity and Favorable Securitization ExecutionThe company ended September with $1.2 billion of liquidity. In August, it completed a $600 million securitization, matching its largest ABS transaction to date and achieving its lowest credit spreads since late 2021.
- Regulatory Matters ResolvedThe company reached agreements resolving the New York and multi-state matters. Management stated that many standards in the agreements were already consistent with existing practices and, based on its current assessment, does not expect the agreements to have a material effect on its growth strategy or operations.
- Planned Servicing, Dealer, and Digital InitiativesThe company is developing more personalized collections and servicing approaches, using predictive models to identify high-potential dealer relationships and markets, and expanding digital and mobile capabilities. Management said these initiatives remain in their early stages and will be evaluated based on customer experience, operating efficiency, portfolio outcomes, and economic profit.
DE:2D5 Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 01, 2027 | 2026 (Q4) | 11.33- | 10.13 | ― | ― |
| Oct 29, 2026 | 2026 (Q3) | 11.4811.61 | 9.17 | 26.56% (+2.44) | |
| Aug 04, 2026 | 2026 (Q2) | 10.8910.82 | 7.64 | 41.59% (+3.18) | |
| May 05, 2026 | 2026 (Q1) | 9.589.56 | 8.34 | 14.55% (+1.21) | |
| Jan 29, 2026 | 2025 (Q4) | 8.7910.13 | 9.08 | 11.60% (+1.05) | |
| Oct 30, 2025 | 2025 (Q3) | 8.819.17 | 5.66 | 61.97% (+3.51) | |
| Jul 31, 2025 | 2025 (Q2) | 9.077.64 | 9.18 | -16.81% (-1.54) | |
| Apr 30, 2025 | 2025 (Q1) | 8.638.34 | 8.28 | 0.75% (+0.06) | |
| Jan 30, 2025 | 2024 (Q4) | 7.079.08 | 8.98 | 1.09% (+0.10) | |
| Oct 30, 2024 | 2024 (Q3) | 8.225.66 | 4.85 | 16.89% (+0.82) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.