MFIN

Image source: The Motley Fool. Thursday, July 30, 2026 at 9:00 a.m. ET Investor Relations - Ken Cooper President and Chief Executive Officer - Andrew Murstein Executive Vice President and Chief Financial Officer - Anthony Cutrone President and CEO of Medallion Bank - Justin Haley Operator: Thank you. Good day and welcome to the Medallion Financial Corp Q2 2026 Earnings Conference Call. Please note this event is being recorded. I would like now to turn the conference over to [ Ken Cooper ], Investor Relations. Please go ahead. Unknown Executive Thank you and good morning. Welcome to Medallion Financial Corp's second quarter 2026 earnings call. Joining me today are Andrew Murstein, President and Chief Executive Officer, Anthony Cutrone, Executive Vice President and Chief Financial Officer, and [ Justin Haley ], President and CEO of Medallion Bank. Certain statements made during the call today are not subject to any comment. constitute forward-looking statements. Such forward-looking statements are subject to both known and unknown risks and uncertainties that could cause actual results to differ materially from such statements. Those risks and uncertainties are described in our earnings press release issued yesterday and in our filings with the SEC. The forward-looking statements made today are as of the date of this call and we do not undertake any obligation to update these forward-looking statements. In addition to our earnings press release, you can find our second quarter supplement presentation on our website by visiting medallion.com and clicking Investor Relations. The presentation is near the top of the page. With that, I'll turn it over to Andrew. Andrew Murstein: Thank you, Ken, and good morning, everyone. Our second quarter results further demonstrated the strength, stability, and growth potential of our lending platform. The highlights included our home improvement originations were up over twofold where they were last second quarter. As a matter of fact, the $128.6 million of originations was the highest origination quarter in our history for home improvement lending. We are doing this with stable credit quality and this level of origination has continued through July. Equally as impressive was our origination activity in recreation, where originations were up 60% from a year ago to $228.5 million. Home improvement, this was a record high for originations and a quarter for this segment. Here again, we are achieving this with stable credit quality, and we are seeing this level of activity continue through July. This acceleration of origination activity led to outstanding total loan growth for the quarter. We are now at $2.79 billion in loans, a 12% increase year over year, and impressive 7% sequential growth from a quarter ago. Our company surpassed an important milestone during this quarter as we exceeded $3 billion in assets. Achieving this milestone is a testament to our entire organization, and we are very pleased with where we are today and where we intend on going in the future. In many ways, the second quarter marked the continuation of our performance across our operating segments and many of our key performance indicators. For the second quarter, the $57.2 million of net interest income is a new quarterly record, which was particularly satisfying as we maintained our net interest margin of the approximate 8% level. Our strategic partnership program continues to gain traction. We added a fifth partner in the quarter, which contributed to originating $247.1 million of loans and over $1.1 million in fee income in the quarter. We continue to work on our growing pipeline of new partner prospects and expect to add new partners over time. As I have said in the past, long term, we believe our program will scale to a more significant size. However, we are taking a very methodical approach to growth to ensure we satisfy the needs of all stakeholders, including our borrowers, team, partners, and regulators. That said, we are very pleased with progress particularly over the last year or so. From a capital allocation perspective, we remain committed to our shareholders. During the quarter, our Board of Directors approved a second quarter dividend of $0.14 per share, representing a 16.7% increase from last quarter and a 75% increase since we reinstated the dividend in the second quarter of 2022. We also bought back nearly 780,000 shares of stock during the quarter, which we were able to do at a discount to both book value and tangible book value. Our commercial lending business grew 5% during the quarter, with two new loans originated for a total of $7.1 million. The portfolio now sits at $126 million with the weighted average coupon being 14.37%. Our company is well positioned for future growth. We have a clear track record of growing assets, net interest income, and our book value. We have proven to be able to do this profitably and believe we will continue to do so. As we have stated since our founding, our net income and earnings per share may be choppy quarter to quarter due to timing related to several unique drivers of our business, but all add shareholder value long term. Lastly, we recently completed our relocation to our new York office, a move that is expected to reduce our annual occupancy costs and further enhance shareholder value through ongoing expense savings. With that, I'll now turn it over to Anthony, who will provide some additional insight into our quarter. Anthony Cutrone: Thank you, Andrew. Good morning, everyone. For the quarter, net interest income grew 7% to $57.2 million from $53.4 million in the prior year quarter. The increase was driven by growth in our loan portfolio, generating higher interest income, outpacing interest expense, which was higher due to an increase in both borrowings and average borrowing cost. Our net interest margin was 7.94% during the quarter, down 15 basis points from a year ago and down 60 basis points from the first quarter. Our interest yield on loans of 12.28% increased 1 basis point from a year ago, and our average cost of borrowings in the quarter was 4.32% compared to 4.20% a year ago. During the quarter, our average cost of deposits at Medallion Bank was 3.96% compared to 3.84% in the prior year quarter. As of June 30, the weighted average coupon of recreation loans was 15.06% and was 9.69% for home improvement loans. During the quarter, we originated loans at rates averaging around 14.875% for recreation loans and 9.25% for home improvement loans. During July, we have continued to originate both recreation and home improvement loans at similar rates. The provision for credit loss was $22.3 million for the quarter, a slight decrease from $22.5 million for the first quarter, and a slight increase from $21.6 million in the prior year quarter. Current quarter provision included approximately $6.5 million of Day 1 provisioning, the allowance for credit loss we book when a loan is originated in comparison to approximately $2.5 million in the prior quarter and an approximate $400,000 benefit in the prior year quarter. As we continue to grow our consumer loan portfolios, particularly recreation loans, there is a steep penalty that presents itself on the income statement on the date of growth in terms of increased provisions. The $6.5 million of additional provisions translates into roughly $0.18 per share of reduced earnings in the quarter. If we chose to keep our loan book size static, excluding the impact of portfolio mix, we would not have those additional costs. However, we don't believe that to be in the best interest of our company or our shareholders. Net charge-offs in the recreation portfolio during the quarter were $13.3 million, or 3.14%, compared to 3.11% in the 2025 quarter, and were $2.9 million, or 1.37% of the average home improvement portfolio, compared to 1.87% in the 2025 quarter. Turning to expenses, operating costs totaled $25 million in the second quarter, which were up from $21.5 million in the prior year quarter. With the increase tied to both higher employee costs as well as higher servicing expenses, both of which are associated with our growing loan portfolio. Additionally, our professional fee costs were elevated in the quarter related to this year's proxy. As we continue to expand our platform and focus on growth, we anticipate higher operating costs. As we've stated previously, long term, we expect the growth in our net interest income to outpace any growth in operating costs. For the quarter, net income attributable to our shareholders was $7.4 million, or $0.31 per diluted share, compared to $11.1 million, or $0.46 per share in the prior year quarter. With the prior year quarter including $5.9 million of higher gains on equity investments compared to the current quarter, and the current quarter including a significant amount of additional credit loss provisions tied to the growth we experienced when compared to a year ago as we just previously discussed. Our net book value per share as of June 30 was $17.62, compared to $17.66 a year ago, and our tangible book value per share, which excludes the value of goodwill, intangible assets, and the correlated deferred tax liability associated with both, was $12.17 at the end of the quarter, up from $11.32 a year ago. A reconciliation of our book value per share, the tangible book value per share, is available on our website. That covers our second quarter results. We are now happy to answer any questions you may have. Operator: The first question is from [ Ken Cote ], Raymond James. Unknown Analyst: Starting out with loans. I know you guys have been pretty optimistic with loan growth and balance sheet growth going forward, but this level, this quarter was really impressive. I'm just trying to get a sense to how sustainable this level is going forward. Anthony Cutrone: Yes, no, we were quite happy with the loan origination volumes this quarter, and we do think that they're sustainable. We would expect there to be continued seasonality like we've seen it. Q2 and Q3 are going to be our stronger origination months. With home improvement, there's just a huge ecosystem of loans to be done, and we're a growing but still a small player in that space. So we feel really good about that. Unknown Analyst: Awesome. Maybe sticking with home improvement, as you know, is really strong growth. I'm just wondering if the recent EnerBank and Regions hires that you guys made contributed to that outsized growth and if they're gaining traction? Andrew Murstein: Yes, they have. We really brought over a great person from EnerBank. As you know, EnerBank sold to Regions and I think they sold for 2.5x or 3x book value. That often happens with mergers and acquisitions that the smaller bank usually people leave after the deal is done. The atmosphere is different, the culture is different, they want more of a growing smaller, more energetic company perhaps, and that's what we've found. These people have done a great job for us. We're actually bringing over some more of them in the coming weeks. Unknown Analyst: Awesome. It's good to know. And maybe if I could sneak one more in. Looks like you guys recognize some gains on the sale of recreation loans. Just wondering if you can provide maybe a little bit of color there. What was the balance of the loan sold? What drove the decision to sell? Maybe pricing and demand from the buyers? Andrew Murstein: That'd be great, thanks. So [ Justin Haley ] is Medallion Bank CEO is on the call. Justin, you wanna jump in on that? Unknown Executive Hi, Ken. About $50 million sold and we're seeing plenty of demand for that. Good economics on it. We would anticipate as we're growing at the pace we're growing in order to manage our capital effectively that we'll have periodic sales. We'd like it to be consistent. Anthony Cutrone: And I would just add that despite that portfolio sale, we still grew in the quarter 5% recreation loan. So this didn't hinder our ability to grow. And we see this as a good outlet, not just to generate more recurring earnings, but also to an outlet for these original originations that we seem to, you know, be lucky to have. Operator: The next question from Mike Grondahl, Northland Securities. Please go ahead. Logan Hennen: Can you just dig in a little bit about how you are feeling about current credit trends and your outlook for credit in the second half of 2026? Anthony Cutrone: Sure. I think we're feeling positive about credit, particularly home improvement. I mean, charge-offs have come in sizably and performed much better than they have maybe a year ago. So, we're optimistic about that. Rec is still elevated, but it's not ticking up, and it did come in, you know, as expected from Q1. So I think we look good. The economy is going to dictate to a larger extent where we end up, but I think the changes we made in terms of pricing that we spoke about last quarter on recreation loans should over time and in the coming quarters produce a better charge-off ratio, which for us is going to produce a better charge-off adjusted NIM. Logan Hennen: Got it. And then originations were pretty robust across Rec and home improvement. Granted 2Q is seasonally a strong quarter, but can you guys just go a little deeper talking about the underlying drivers of this growth for each segment? Andrew Murstein: Justin, you want to jump in again? Unknown Executive Yes. Hi, Logan. So it's two different stories in the recreation business. You think of our recreation business, it's got a couple of components to it. The one we talk about most is our non-prime business, which is near prime and subprime originations for RV and marine buyers. And in that business, as Anthony mentioned, we took a look at where we fell in the waterfall. And as a second look lender, we're not going to be at the top of the waterfall, but where we fall in the waterfall comes down to how competitive we are. And we chose to be a little more competitive and you're seeing the result of that in volume in the year. We also have what we call prime niche businesses, so they're small market businesses that allow us to originate some volume. We met with and engaged with some of our larger relationships there and modified the programs, not by modifying credit, but by modifying delivery and how we price in order to ensure that we met their needs and we could win more often. So that's Rec. And home improvement, as mentioned before, we have new talent in the team. You'll see this quarter we went from 700 contractors to 800 active contractors. Our marketing engine has stood up. We do expect to have better contractor acquisition going forward and to continue that growth. But for the volume today, it's like Rec, we're leaning into our existing relationships and asking them how we can win. They're telling us, and then we're making the modifications to win. So we do think this is all sustainable. Logan Hennen: Thank you. Yes, that was very helpful. Impressive numbers in 2Q. One last one from us. We have been calling out 2026 as the year of investing in the business. Can you guys provide an update on how those investments are going so far and what still needs to be done? Andrew Murstein: I'll jump into this one as well. Yes, you're doing a good job, Justin. Keep going. Unknown Executive Thank you. So the investments thus far have, we made some technology investments in 2025. And in 2026, right now, we're focused a lot on bringing talent in the bank, because we have the platform in place, we just need more talent to be able to leverage it effectively. So mentioned marketing already, we brought in some technology talent, we're adding analytics talent, both data analytics and credit analytics. We're also bringing folks into our collection and recovery area, not because we're intending to replace our long-term servicer SST, but because we want to supplement them where we can do better. Looking forward, the next big shift will be a replacement of our loan origination system, which is anticipated to be done in Q1 2027 before our busy season. Once that happens, that unlocks the ability for us to roll out new credit scoring models, including the addition of some alternative data into our credit underwriting. The whole purpose of that is to ensure that we're underwriting with a level of sophistication that befits a $3, $4, $5 billion bank. Operator: The next question from Manuel Navas, Piper Sandler, please go ahead. Manuel Navas I appreciate a lot of the commentary on expenses. Just wondering, could you quantify the benefit from the headquarter move? Also, you just talked about investments just how does that all fit in with the forward trajectory of expense growth. Andrew Murstein: I'd say the headquarters, we moved to about half the space that we had. A lot of our old space was pricey and was for the medallion business and that's down to virtually zero today. So we're probably saving about, I don't know, $500,000 or so a year. We do start costs by about 30%. So over the life of the new deal, you're probably talking about $5 million of savings. So we're definitely happy with that and Anthony could touch base on the other point. Anthony Cutrone: Yes, so, you know, in terms of operating costs, you know, as we continue to grow, obviously our costs are going to grow with that. And as Justin mentioned, you know, we're committed to, you know, developing and bringing in the right talent. That's going to come at a cost that's going to allow us to grow, but grow prudently. Prudently grow with loans that we want to hold that are going to perform, you know, better in different cycles. Manuel Navas I appreciate that. I hear you on this quarter being a really strong origination quarter. You've talked about mid-teens, long growth. Is there any shift for the full year, given how strong this quarter was? No, I think that's still what we're targeting. You know, obviously when we get to the latter part of Q3, things will start to slow to some extent, particularly in Rec. But no, I think what we were expecting is still what we're expecting. Manuel Navas Okay. I know that gains on equity investments is pretty lumpy. Is there any sight line to anything in the back half of the year, or is it too soon to tell? It's too soon to tell. We're not aware of anything. There's one or two portfolio companies where there's talk of them exiting. But, you know, we don't count those chips until it's paid out. There's just too much volatility in that space, you know, surrounding these exits. So we continue to hold these at, you know, cost and then, you know, less impairment if there is some. And then when there's an exit and we get real cash, then we recognize the game. Manuel Navas And just my last one here, buyback pace was quite impressive. What's the appetite to continue? What's the capacity to continue? Where does it fit in with your capital deployment priorities? Andrew Murstein: I have a back and below book value and a very low price to earnings as well. So they're obviously very creative when we do that. We announced a $40 million buyback several years ago. I think we're down to about $6 million left. The hope depends on what happens to the share price, but I expect us to probably finish that within the next six months. And then reload? Yes, I think we'd reload and put a new plan in place. We look at growth, dividends, and buybacks, and we're actually in a very good position these days. We're able to do all three very effectively, so I don't think one has to come at the expense of the other. I think we can do all three. Anthony Cutrone: And I think, you know, just those three that Andy mentioned, you know, growth, dividends, buybacks, you know, we look at all of them as shareholder return, you know, and growth, just, you know, our type of business. Way we view our business, we think that's just as important, if not more important, than dividends and buybacks. So, you know, allocating to that and then opportunistically being in the market when, you know, we're not getting the valuation we know exists is also important. I think we had a couple of questions came in from Christopher Nolan of Ladenburg Thalmann. That he's on the call, but he's having some issues with his microphone, so we just wanted to go through those. He asked if there were any non-recurring items affecting the second quarter earnings. I don't, you know, professional fees were slightly elevated because of this year's proxy. Was probably a penny or two, you know, when it hit the bottom line. Other than that, we don't view anything in this quarter as significant non-recurring. A year ago, we had a pretty sizable equity gains. We had a small amount of equity gains, which is, you know, that's all part and partial to our business, but, you know, we don't see it that is being outliers. And the gain on the recreation loans was about $1.3 million. Again, we expect to have more of those on a recurring basis, maybe not every quarter, but on a more frequent basis, just given our origination platforms and where that's going. So, from our perspective, this was a fairly clean quarter. The one thing that we talk about internally and we think is important and spoke about it just a few minutes ago is that with growth comes a significant amount of penalty in terms of that Day 1 provision on the Rec portfolio. So that was $6.5 million of additional provision because of the growth. You know, it's in our best interest to grow. It's in the shareholders' best interest for us to grow. So we'll continue to have those penalties to the extent we grow, but that translates into real earnings down the line. One other question from Chris Nolan was asking about the buybacks and what the impact was to EPS. The buybacks occurred throughout the quarter, and the way dilution works is it's a weighted average outstanding shares throughout the quarter. So we had about a penny, that benefit will be higher in Q3 when we get the full benefit of the weighted average, you know, reduced share count. So we are happy about that. Operator: If there are no more questions, this concludes our Q&A session. I would like to turn the conference back over to Andrew Murstein for any closing remarks. Thank you. Andrew Murstein: Thank you. In closing, I just want to highlight what a strong growth quarter this was. We delivered one of our highest loan volume quarters on record, reflecting exceptional demand for our products and the success of our team's origination efforts. We're excited about the underlying business momentum and confident the strong volume positions as well, for solid returns ahead. We are very pleased with our performance and where things stand halfway through the year, and we have a very bright future in front of us. We're always accessible, so please don't hesitate to reach out with any questions or thoughts. Thank you all for your continued support. We look forward to updating you on our progress next quarter. Operator: The conference is now concluded. Thank you for attending today's presentation. You may now disconnect. Before you buy stock in Medallion Financial, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Medallion Financial wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. 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As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Medallion Financial (MFIN) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved record quarterly home improvement originations of $128.6 million, more than doubling the prior year's volume while maintaining stable credit quality. Surpassed the $3 billion total asset milestone, driven by a 12% year-over-year increase in the total loan portfolio to $2.79 billion. Expanded the strategic partnership program to five partners, contributing $247.1 million in originations and over $1.1 million in fee income during the quarter. Maintained a robust net interest margin of approximately 8% despite rising interest expenses, supported by a record $57.2 million in net interest income. Capitalized on talent acquisition from competitors following industry consolidation, specifically hiring key personnel from EnerBank to drive home improvement growth. Executed a corporate relocation to a smaller New York office space, projected to reduce annual occupancy costs by approximately $500,000. Managed capital through the sale of $50 million in recreation loans to generate recurring earnings and optimize the balance sheet for continued growth. Maintained full-year loan growth targets in the mid-teens, despite anticipated seasonal slowing in recreation lending during the latter half of the year. Planned replacement of the loan origination system in Q1 2027 to enable more sophisticated credit scoring models and alternative data integration. Anticipated continued elevated operating costs in the near term as the company invests in technology, marketing, and specialized talent for analytics and collections. Expected to complete the remaining $6 million of the current $40 million share buyback program within the next six months, with plans to potentially reload the authorization. Projected that long-term growth in net interest income will outpace operating cost increases as the lending platform scales. Recognized a $6.5 million 'Day 1' provisioning penalty due to rapid loan growth, which reduced quarterly earnings by approximately $0.18 per share. Reported elevated professional fees related to proxy matters, impacting the bottom line by approximately one to two cents per share. Noted that recreation charge-offs remain elevated at 3.14%, though management expects recent pricing adjustments to improve the charge-off adjusted NIM in future quarters. Acknowledged that net income may remain 'choppy' due to the timing of equity investment exits and the accounting treatment of new loan provisions. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Management believes current volumes are sustainable, noting that the company remains a small player in a massive home improvement ecosystem. Expects typical seasonality to persist, with Q2 and Q3 remaining the strongest periods for originations. Sold $50 million in loans to manage capital effectively while maintaining a 5% growth rate in the recreation segment during the quarter. Indicated that periodic sales will likely continue to provide an outlet for high origination volumes and generate consistent economics. Attributed growth to hiring former EnerBank employees who sought a more 'energetic' culture following that firm's acquisition by Regions. Confirmed plans to bring over additional personnel from the same team in the coming weeks to further bolster the segment. Focusing 2026 investments on human capital in marketing, technology, and data analytics to leverage the existing platform. Targeting Q1 2027 for a new loan origination system to support the sophistication required for a $3 billion to $5 billion bank.

This article first appeared on GuruFocus. Release Date: July 30, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Record-high home improvement originations of $128.6 million, up over twofold year-over-year, with stable credit quality. Record-high recreation loan originations of $228.5 million, up 60% year-over-year, with stable credit quality. Total loan portfolio grew 12% year-over-year to $2.79 billion, with 7% sequential growth, and assets exceeded $3 billion. Net interest income reached a new quarterly record of $57.2 million, with net interest margin maintained at approximately 8%. Strategic partnership program added a fifth partner, contributing $247.1 million in loans and over $1.1 million in fee income. Net income attributable to shareholders fell to $7.4 million ($0.31 per share) from $11.1 million ($0.46 per share) a year ago, partly due to lower equity investment gains. Provision for credit loss increased to $22.3 million, including $6.5 million in day-one provisioning from loan growth, reducing EPS by roughly $0.18. Operating costs rose to $25 million from $21.5 million a year ago, driven by higher employee costs, servicing expenses, and elevated professional fees from the proxy. Net interest margin declined 15 basis points year-over-year to 7.94%, pressured by higher borrowing and deposit costs. Recreation loan net charge-offs remained elevated at 3.14% of average portfolio, though stable from the prior year. Warning! GuruFocus has detected 5 Warning Sign with MFIN. Is MFIN fairly valued? Test your thesis with our free DCF calculator. Q: How sustainable is the record loan origination volume seen in Q2 2026? A: Andrew Merstein, President and CEO: We were quite happy with the loan origination volumes this quarter, and we do think that they are sustainable. We would expect continued seasonality, with Q2 and Q3 being stronger origination months. Particularly with home improvement, there is a huge ecosystem of loans to be done, and we are a growing but still a small player in that space, so we feel really good about that. Q: Can you dig into the current credit trends and your outlook for credit in the second half of 2026? A: Andrew Merstein, President and CEO: We are feeling positive about credit, particularly home improvement, where charge-offs have come in sizably and performed much better than a year ago. Recreation is still elevated, but it is not ticking up and came in as expected from Q1. The economy will dictate where we end up, but the pricing changes we made on recreation loans should, over time, produce a better charge-off ratio. Q: What were the underlying drivers of the robust growth in both the recreation and home improvement segments? A: Justin Haley, President and CEO of Medallion Bank: In recreation, we have our non-prime business for RV and marine buyers, where we chose to be a bit more competitive, resulting in higher volume. We also have prime niche businesses where we modified delivery and pricing to win more often. For home improvement, we brought in new talent, grew our active contractor base from 700 to 800, and our marketing engine has stood up. We are leaning into existing relationships and making modifications to win. Q: Can you provide an update on the investments being made in the business in 2026 and what still needs to be done? A: Justin Haley, President and CEO of Medallion Bank: We have made technology investments and are focused on bringing in talent in areas like marketing, data analytics, credit analytics, and collections. The next big shift will be a replacement of our loan origination system, anticipated to be done in Q1 2027. This will unlock the ability to roll out new credit scoring models, including alternative data, to ensure we underwrite with a level of sophistication befitting a $3.5 billion bank. Q: Could you quantify the benefit from the headquarters move and how it fits with the forward trajectory of expense growth? A: Andrew Merstein, President and CEO: We moved to about half the space, saving roughly $500,000 a year, with a 30% cost reduction. Over the life of the new deal, that's about $5 million in savings. Anthony Catron, CFO, added that as we continue to grow, costs will grow with that, but we are committed to bringing in the right talent to grow prudently. Q: What is the appetite to continue the share buyback program, and how does it fit with capital deployment priorities? A: Andrew Merstein, President and CEO: We are a fan of buybacks, especially when we can buy the company back at below book value. We have about $6 million left on our current $40 million authorization and expect to finish that within six months, then likely reload. We are in a good position to do all threegrowth, dividends, and buybackseffectively, and one does not have to come at the expense of the other. Q: Were there any non-recurring items affecting the second quarter earnings? A: Anthony Catron, CFO: Professional fees were slightly elevated due to this year's proxy, which was probably a penny or two on the bottom line. Other than that, we don't view anything as significant non-recurring. The gain on recreation loans was about $1 million, and we expect to have more of those on a more frequent basis. The quarter was fairly clean, though growth comes with a significant day-one provision penalty on the rec portfolio, which was $6.5 million. Q: What was the impact of the share buybacks on EPS? A: Anthony Catron, CFO: The buybacks occurred throughout the quarter, and due to the weighted average share count, we had about a penny benefit. That benefit will be higher in Q3 when we get the full benefit of the reduced share count. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Medallion Financial Corp.? Here are five stocks we like better. Record loan originations drove growth: Home improvement originations more than doubled year over year to $128.6 million, while recreation originations rose 60% to $228.5 million. Loans grew 12% year over year to $2.79 billion, pushing total assets above $3 billion. Profitability weakened despite higher interest income: Net interest income reached a record $57.2 million, but net income fell to $7.4 million, or $0.31 per share, as credit-loss provisions and operating expenses increased. Elevated day-one provisioning for new loans reduced quarterly earnings by about $0.18 per share. Management is investing for continued expansion: Medallion reiterated its expectation for mid-teens full-year loan growth, plans to replace its loan-origination system in early 2027, and expects periodic recreation-loan sales to manage capital. The company also raised its quarterly dividend 16.7% to $0.14 per share and repurchased nearly 780,000 shares. Medallion Financial (NASDAQ:MFIN) reported record quarterly originations in its home improvement and recreation lending businesses during the second quarter of 2026, driving sequential loan growth of 7% and pushing total assets above $3 billion, executives said on the company’s earnings call. President and Chief Executive Officer Andrew Murstein said home improvement originations reached $128.6 million, more than double the level recorded in the prior-year quarter and the highest quarterly total in the company’s history for that segment. Recreation originations rose 60% year over year to a record $228.5 million. → Why SK hynix Could Be the Best AI Chip Stock to Buy Now Murstein said the company had continued to see comparable activity through July while maintaining stable credit quality in both businesses. Total loans reached $2.79 billion as of June 30, up 12% from a year earlier. Net interest income increased 7% year over year to a quarterly record of $57.2 million, supported by growth in the loan portfolio. Net interest margin was 7.94%, down 15 basis points from the year-earlier quarter and six basis points from the first quarter. → 3 Value ETFs to Consider as Growth Stocks Lag Behind Chief Financial Officer Anthony Cutrone said loan yields averaged 12.28% during the quarter, while the average cost of borrowings rose to 4.32% from 4.20% a year earlier. The average cost of deposits at Medallion Bank was 3.96%, compared with 3.84% in the prior-year period. The provision for credit losses was $22.3 million, slightly below the first-quarter level of $22.5 million but above $21.6 million a year earlier. The current-quarter provision included about $6.5 million in day-one provisioning associated with newly originated loans, versus roughly $2.5 million in the first quarter and a $400,000 benefit in the prior-year quarter. → 5 AI Stocks Are Pulling Back—Which Growth Catalysts Still Look Strongest? Cutrone said the additional day-one provisioning reduced quarterly earnings by about $0.18 per share. He said the company views the associated expense as part of supporting loan growth, particularly in recreation lending. Net charge-offs in the recreation portfolio totaled $13.3 million, or 3.14% of average loans, compared with 3.11% in the comparable 2025 quarter. Home improvement net charge-offs were $2.9 million, or 1.37% of average loans, improving from 1.87% a year earlier. Management said it was encouraged by the improvement in home improvement credit performance. Recreation charge-offs remained elevated but were not increasing, Cutrone said, adding that pricing changes discussed in the prior quarter are expected to support improved charge-off-adjusted net interest margin over time. Net income attributable to shareholders was $7.4 million, or $0.31 per diluted share, compared with $11.1 million, or $0.46 per diluted share, in the prior-year quarter. Cutrone said the year-earlier result included $5.9 million more in gains on equity investments than the current quarter, while the current period carried higher growth-related credit provisions. Operating expenses rose to $25 million from $21.5 million a year earlier, reflecting higher employee and servicing costs tied to loan growth, as well as elevated professional fees related to the company’s proxy process. Management said it expects operating costs to rise as the platform expands, though it expects net interest income growth to outpace expense growth over the long term. Book value per share was $17.62 at June 30, compared with $17.66 a year earlier. Tangible book value per share rose to $12.17 from $11.32. During the question-and-answer session, Murstein said current origination volumes are sustainable, though home improvement and recreation lending are subject to seasonal patterns and the second and third quarters tend to be stronger. Medallion Bank President and CEO Justin Haley said recreation growth reflected changes to pricing and program delivery designed to improve the company’s competitiveness with existing relationships. In home improvement, Haley cited new personnel, including hires from EnerBank and Regions, increased active contractors from 700 to 800, and efforts to expand contractor acquisition through marketing. Haley said Medallion Bank is investing in talent across technology, analytics, credit analytics, collections and recovery. The company also plans to replace its loan origination system in the first quarter of 2027, ahead of its busy season. Management said the system replacement is intended to support new credit-scoring models and the incorporation of alternative data into underwriting. Management reiterated its expectation for mid-teens loan growth for the full year, while noting that activity typically slows later in the third quarter, particularly in recreation lending. The company sold about $50 million of recreation loans during the quarter, according to Haley. He said demand for the loans was strong and that Medallion expects to make periodic sales to manage capital as originations grow. Cutrone said the sale did not prevent recreation loans from growing 5% during the quarter. Medallion added a fifth strategic partnership-program partner during the quarter. The program generated $247.1 million of loan originations and more than $1.1 million in fee income. Murstein said the company is working through a pipeline of prospective partners and expects to add partners over time through a measured approach. The commercial lending portfolio grew 5% during the quarter to $126 million, after the company originated two loans totaling $7.1 million. The portfolio’s weighted average coupon was 14.37%. The board approved a quarterly dividend of $0.14 per share, a 16.7% increase from the prior quarter. The company also repurchased nearly 780,000 shares during the period. Murstein said Medallion had about $6 million remaining under its existing $ൂറ40 million repurchase authorization and expects it could be completed within six months, depending on the share price. Murstein also said the company relocated to a smaller New York office, reducing space by roughly half. He estimated annual occupancy savings of about $500,000 and approximately $5 million in savings over the term of the new lease. Medallion Financial Corporation is a specialty finance company that provides asset-based lending solutions to small and mid-sized businesses in the United States. The company's core business activities include secured loans collateralized by business assets such as insurance premiums, commercial real estate, maritime assets and portfolio receivables. Through its insurance premium finance division, Medallion offers short-term loans that allow policyholders to spread insurance costs over multiple payments, while its portfolio financing arm provides funding against a borrower's existing asset portfolios. Founded in 1998 and headquartered in Minneapolis, Minnesota, Medallion Financial originally established itself in the taxi medallion lending market, extending loans secured by New York City cab medallions. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Medallion Financial Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Medallion Financial (MFIN) came out with quarterly earnings of $0.31 per share, beating the Zacks Consensus Estimate of $0.27 per share. This compares to earnings of $0.46 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +14.82%. A quarter ago, it was expected that this business development company would post earnings of $0.25 per share when it actually produced earnings of $0.2, delivering a surprise of -20%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Medallion Financial, which belongs to the Zacks Financial - SBIC & Commercial Industry industry, posted revenues of $61.72 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 5.67%. This compares to year-ago revenues of $62.58 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Medallion Financial shares have lost about 3.6% since the beginning of the year versus the S&P 500's gain of 8.5%. While Medallion Financial has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Medallion Financial was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.32 on $60.23 million in revenues for the coming quarter and $1.13 on $236.78 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - SBIC & Commercial Industry is currently in the bottom 35% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Stellus Capital (SCM), another stock in the same industry, has yet to report results for the quarter ended June 2026. This investment company is expected to post quarterly earnings of $0.26 per share in its upcoming report, which represents a year-over-year change of -25.7%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Stellus Capital's revenues are expected to be $23.13 million, down 10% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Medallion Financial Corp. (MFIN) : Free Stock Analysis Report Stellus Capital Investment Corporation (SCM) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Record Assets Surpass $3.0 billion, Loan Originations Increase 63% NEW YORK, July 29, 2026 (GLOBE NEWSWIRE) -- Medallion Financial Corp. (NASDAQ: MFIN) (“Medallion” or the “Company”), a specialty finance company that originates and services loans in various consumer and commercial industries, along with offering loan origination services to fintech strategic partners, today announced its financial results for the quarter ended June 30, 2026. 2026 Second Quarter Highlights Total net income attributable to stockholders for the second quarter was $7.4 million, or $0.31 per share, compared to $11.1 million, or $0.46 per share, in the prior year quarter. Total net income for the quarter included a $0.2 million gain on equity investments, compared to a $6.1 million gain on equity in the prior year quarter. Net interest income grew 7% to $57.2 million from $53.4 million in the prior year quarter. Net interest margin (“NIM”) on gross loans was 7.94%, compared to 8.09% in the prior year quarter, and NIM on net loans was 8.28%, compared to 8.42% in the prior year quarter. Total assets exceeded $3.0 billion for the first time in company history. Loan originations grew 63% to $611.6 million, compared to $375.0 million in the prior year quarter, and included $247.1 million of strategic partnership loan originations in the current quarter, compared to $168.6 million in the prior year quarter. Total loan portfolio as of June 30, 2026 was $2.795 billion, up 12.5% compared to $2.485 billion a year ago. Credit loss provision was $22.3 million, compared to $21.6 million in the prior year quarter. Net book value per share at June 30, 2026 was $17.62 compared to $16.77 a year ago. The Company declared and paid a quarterly cash dividend of $0.14 per share. The Company repurchased 779,799 shares of its common stock at an average cost of $9.85 per share for $7.7 million. Executive Commentary Andrew Murstein, President and Chief Executive Officer of Medallion Financial Corp., commented, “Our second quarter results further demonstrate the strength and scalability of our lending platform. We achieved record assets of more than $3.0 billion, increased loan originations by 63%, grew net interest income by 7%, and continued to build book value while maintaining disciplined underwriting standards. Demand across our recreation and home improvement lending businesses remains healthy, and our strategic partnership business continues to expand with strategic partnership originations reaching $247 million during the quarter. Additionally, we repurchased nearly 780,000 shares during the quarter at an average price of $9.85 per share, which we believe creates meaningful long-term shareholder value. Despite the absence of significant gains on equity investments in the quarter, our core lending franchise continued to produce meaningful operating results supporting our earnings. As our loan portfolio expanded, we recorded higher credit provisions to support that growth, reflecting the up front reserve requirements associated with new loan originations. These originations provide visibility into future portfolio and earnings growth. We believe Medallion is well positioned for continued profitable growth through disciplined underwriting, a strong funding base, expanding strategic partnerships, and prudent capital allocation.” Business Highlights Recreation Lending Originations were $228.5 million during the quarter, up 63.0% compared to $142.8 million a year ago. Recreation loans, including loans held for investment and loans held for sale, grew 14% to $1.760 billion, or 63% of total loans, as of June 30, 2026, compared to $1.546 billion, or 62%, a year ago. Average loan size as of June 30, 2026 was $22,300 with a weighted average FICO score, measured at the time of loan origination, of 686. Interest income grew 12% to $57.1 million for the quarter, from $51.1 million in the prior year quarter. The average interest rate was 15.06% at quarter-end, compared to 15.12% a year ago. Recreation loans 90 days or more past due were $9.7 million, or 0.57% of gross recreation loans, as of June 30, 2026, compared to $7.3 million, or 0.49%, a year ago. Allowance for credit losses as of June 30, 2026 was 5.16%, compared to 5.05% a year ago. Home Improvement Lending Originations were $128.6 million during the quarter, up 31.7% compared to $54.3 million a year ago. Home improvement loans were $885.6 million, or 32% of total loans, as of June 30, 2026, compared to $803.5 million, or 32%, a year ago. Average loan size as of June 30, 2026 was $24,500 with a weighted average FICO score, measured at the time of loan origination, of 768. Interest income was $20.9 million for the quarter, compared to $20.1 million in the prior year quarter. The average interest rate was 9.69% at quarter-end, compared to 9.87% a year ago. Home improvement loans 90 days or more past due were $1.5 million, or 0.17% of gross home improvement loans, as of June 30, 2026, compared to $1.3 million, or 0.16%, a year ago. Allowance for credit losses as of June 30, 2026 was 2.42%, compared to 2.54% a year ago. Commercial Lending Commercial loans were $126.2 million as of June 30, 2026, compared to $121.4 million a year ago. Average loan size was $4.1 million as of June 30, 2026, invested across 30 portfolio companies. Interest income was $3.5 million for the quarter, compared to $3.8 million in the prior year quarter. The average interest rate on the portfolio was 14.37% as of June 30, 2026, compared to 13.43% a year ago. We recognized $0.2 million of net equity gains during the quarter, compared to $6.1 million a year ago. Strategic Partnerships Originations were $247.1 million during the quarter, compared to $168.6 million a year ago. Total strategic partnership loans held for sale as of June 30, 2026 were $21.4 million, compared to $12.3 million a year ago. Fees generated from strategic partnerships were $1.1 million for the quarter, compared to $0.8 million in the prior year quarter. The average holding period of strategic partnership loans was approximately five days. Taxi Medallion Lending The Company collected $1.8 million of cash on taxi medallion-related assets during the quarter, which resulted in net recoveries and gains of $1.4 million. Total net taxi medallion-related assets declined to $3.5 million, a 42% reduction from a year ago, and represented 0.1% of the Company’s total assets, as of June 30, 2026. AVERAGE BALANCES AND RATES The following table presents our consolidated average balance sheets, interest income and expense, and the average interest earning/bearing assets and liabilities and reflects the average yield on assets and average costs on liabilities as of and for the three months ended June 30, 2026 and 2025.* (1)    Includes deferred financing costs of $10.2 million and $8.5 million as of June 30, 2026 and 2025. Loan Portfolio The following table provides information regarding the composition of our loan portfolio for the dates presented: (*) Less than 1%. Balance Sheet Cash and cash equivalents, including investment securities, as of June 30, 2026, were $275.9 million, compared to $213.5 million as of June 30, 2025. As of June 30, 2026, total assets were $3.194 billion, up from $2.880 billion as of June 30, 2025. As of June 30, 2026, total liabilities were $2.688 billion, up from $2.347 billion as of June 30, 2025. Capital Allocation Quarterly Dividend The Board of Directors declared a quarterly dividend of $0.14 per share, payable on August 31, 2026, to stockholders of record at the close of business on August 17, 2026. (*) Dividend reinstated in Q1 2022. Stock Repurchase Plan During the quarter ended June 30, 2026, the Company repurchased 779,799 shares of its common stock at an average cost of $9.85 per share for $7.7 million. As of June 30, 2026, the Company had $6.7 million remaining under its $40 million stock repurchase program. Conference Call Information The Company will host a conference call to discuss its second quarter financial results tomorrow, Thursday, July 30, 2026, at 9:00 a.m. Eastern time. In connection with its earnings release, the Company has updated its quarterly supplement presentation, which is now available at www.medallion.com. How to Participate Date: Thursday, July 30, 2026 Time: 9:00 a.m. Eastern time Dial-in number: (833) 816-1412 or (412) 317-0504 Live webcast: Link to Webcast of 2Q26 Earnings Call A link to the live audio webcast of the conference call will also be available at the Company’s IR website. Replay Information The conference call replay will be available following the end of the call through Thursday, August 6, 2026 Dial-in: (844) 512-2921 or (412) 317-6671 Passcode: 1021 0218 Additionally, the webcast replay will be available at the Company’s IR website. About Medallion Financial Corp. Medallion Financial Corp. (NASDAQ: MFIN) and its subsidiaries originate and service a portfolio of consumer loans and mezzanine loans in various industries. Key industries served include recreation (towable RVs and marine) and home improvement (swimming pools, replacement roofs, and windows). Medallion Financial Corp. is headquartered in New York City, NY, and its largest subsidiary, Medallion Bank, is headquartered in Salt Lake City, Utah. For more information, please visit www.medallion.com. Forward-Looking Statements Please note that this press release contains forward-looking statements that involve risks and uncertainties relating to business performance, cash flow, net interest income and expenses, other expenses, earnings, growth, and our growth strategy. These statements are often, but not always, made using words or phrases such as “will” and “continue” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These statements relate to future public announcements of our earnings, expectations regarding our loan portfolio, including collections on our taxi medallion loans, the potential for future asset growth, and market share opportunities. Medallion’s actual results may differ significantly from the results discussed in such forward-looking statements. For example, statements about the effects of the current economy, whether inflation or the risk of recession, the effects of tariffs, the impact of the conflict with Iran, operations, financial performance and prospects constitute forward-looking statements and are subject to the risk that the actual impacts may differ, possibly materially, from what is reflected in those forward-looking statements due to factors and future developments that are uncertain, unpredictable and in many cases beyond Medallion’s control. In addition to risks relating to the current economy, for a description of certain risks to which Medallion is or may be subject, please refer to the factors discussed under the heading “Risk Factors” in Medallion’s 2025 Annual Report on Form 10-K. Investor [email protected]

SALT LAKE CITY, July 29, 2026 (GLOBE NEWSWIRE) -- Medallion Bank (Nasdaq: MBNKO, the “Bank”), an FDIC-insured bank providing consumer loans for the purchase of recreational vehicles, boats, and home improvements, along with loan origination services to fintech strategic partners, announced today its results for the quarter ended June 30, 2026. The Bank is a wholly owned subsidiary of Medallion Financial Corp. (Nasdaq: MFIN). 2026 Second Quarter Highlights Net income of $16.0 million, compared to $17.3 million in the prior year quarter. Net income attributable to common shareholder of $13.7 million, compared to $14.7 million in the prior year quarter. Net interest income of $58.1 million, compared to $53.6 million in the prior year quarter. Total non-interest income of $3.0 million in both the current and prior year quarters. Net interest margin of 8.46%, compared to 8.55% in the prior year quarter. Recreation loan originations grew 60% from the prior year quarter to $228.5 million, and the loan portfolio grew 18% to $1.8 billion. Home Improvement loan originations grew 137% from the prior year quarter to $128.6 million, and the loan portfolio grew 10% to $885.6 million. Strategic partnership loan originations grew 47% from the prior year quarter to $247.1 million. During the quarter, the Bank added Together Loans to its growing strategic partnership program. Total provision for credit losses was $21.6 million, compared to $18.7 million in the prior year quarter. Annualized net charge-offs were 2.56% of average loans outstanding, compared to 2.66% in the prior year quarter. Annualized return on average assets and return on average equity were 2.36% and 14.39%, respectively, compared to 2.75% and 16.11%, respectively, for the prior year period. Total assets were $2.8 billion and the Tier 1 leverage ratio was 16.9% at June 30, 2026. Series G Preferred Stock Dividend On June 25, 2026, the Bank’s Board of Directors declared a quarterly cash dividend of $0.5625 per share on the Bank’s Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series G, which trades on the Nasdaq Capital Market under the ticker symbol “MBNKO.” The dividend is payable on October 1, 2026, to holders of record at the close of business on September 15, 2026. About Medallion Bank Medallion Bank specializes in providing consumer loans for the purchase of recreational vehicles, boats, and home improvements, along with loan origination services to fintech strategic partners. The Bank works directly with thousands of dealers, contractors and financial service providers serving their customers throughout the United States. Medallion Bank is a Utah-chartered, FDIC-insured industrial bank headquartered in Salt Lake City and is a wholly owned subsidiary of Medallion Financial Corp. (Nasdaq: MFIN). For more information, visit www.medallionbank.com For a description of certain risks to which Medallion Bank is or may be subject, please refer to the factors discussed under the captions “Cautionary Note Regarding Forward-Looking Statements” and “Risk Factors” included in Medallion Bank’s Form 10-K for the year ended December 31, 2025, and in its Quarterly Reports on Form 10-Q, filed with the FDIC. Medallion Bank’s Form 10-K, Form 10-Qs and other FDIC filings are available in the Investor Relations section of Medallion Bank’s website. Medallion Bank’s financial results for any period are not necessarily indicative of Medallion Financial Corp.’s results for the same period. Company Contact:Investor [email protected] MEDALLION BANKBALANCE SHEETS (1) Formerly described as loan collateral in process of foreclosure.(2) The majority of income tax payable is payable to Medallion Financial Corp, pursuant to a tax sharing agreement.

The market expects Medallion Financial (MFIN) to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended June 2026. This widely-known consensus outlook is important in assessing the company's earnings picture, but a powerful factor that might influence its near-term stock price is how the actual results compare to these estimates. The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on July 29. On the other hand, if they miss, the stock may move lower. While the sustainability of the immediate price change and future earnings expectations will mostly depend on management's discussion of business conditions on the earnings call, it's worth handicapping the probability of a positive EPS surprise. This business development company is expected to post quarterly earnings of $0.27 per share in its upcoming report, which represents a year-over-year change of -41.3%. Revenues are expected to be $58.41 million, down 6.7% from the year-ago quarter. The consensus EPS estimate for the quarter has been revised 4.3% higher over the last 30 days to the current level. This is essentially a reflection of how the covering analysts have collectively reassessed their initial estimates over this period. Investors should keep in mind that the direction of estimate revisions by each of the covering analysts may not always get reflected in the aggregate change. Price, Consensus and EPS Surprise Estimate revisions ahead of a company's earnings release offer clues to the business conditions for the period whose results are coming out. This insight is at the core of our proprietary surprise prediction model -- the Zacks Earnings ESP (Expected Surprise Prediction). The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a more recent version of the Zacks Consensus EPS estimate. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. Thus, a positive or negative Earnings ESP reading theoretically indicates the likely deviation of the actual earnings from the consensus estimate. However, the model's predictive power is significant for positive ESP readings only. A positive Earnings ESP is a strong predictor of an earnings beat, particularly when combined with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold). Our research shows that stocks with this combination produce a positive surprise nearly 70% of the time, and a solid Zacks Rank actually increases the predictive power of Earnings ESP. Please note that a negative Earnings ESP reading is not indicative of an earnings miss. Our research shows that it is difficult to predict an earnings beat with any degree of confidence for stocks with negative Earnings ESP readings and/or Zacks Rank of 4 (Sell) or 5 (Strong Sell). For Medallion Financial, the Most Accurate Estimate is higher than the Zacks Consensus Estimate, suggesting that analysts have recently become bullish on the company's earnings prospects. This has resulted in an Earnings ESP of +2.44%. On the other hand, the stock currently carries a Zacks Rank of #3. So, this combination indicates that Medallion Financial will most likely beat the consensus EPS estimate. Analysts often consider to what extent a company has been able to match consensus estimates in the past while calculating their estimates for its future earnings. So, it's worth taking a look at the surprise history for gauging its influence on the upcoming number. For the last reported quarter, it was expected that Medallion Financial would post earnings of $0.25 per share when it actually produced earnings of $0.20, delivering a surprise of -20.00%. Over the last four quarters, the company has beaten consensus EPS estimates three times. An earnings beat or miss may not be the sole basis for a stock moving higher or lower. Many stocks end up losing ground despite an earnings beat due to other factors that disappoint investors. Similarly, unforeseen catalysts help a number of stocks gain despite an earnings miss. That said, betting on stocks that are expected to beat earnings expectations does increase the odds of success. This is why it's worth checking a company's Earnings ESP and Zacks Rank ahead of its quarterly release. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported. Medallion Financial appears a compelling earnings-beat candidate. However, investors should pay attention to other factors too for betting on this stock or staying away from it ahead of its earnings release. Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Medallion Financial Corp. (MFIN) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

NEW YORK, June 10, 2026 (GLOBE NEWSWIRE) -- Medallion Financial Corp. (NASDAQ: MFIN, “Medallion” or the “Company”), a specialty finance company that originates and services loans in various consumer and commercial industries, along with offering loan origination services to fintech strategic partners, today announced the preliminary voting results reported by the independent inspector of election for the Company’s 2026 Annual Meeting of Stockholders (the “Annual Meeting”), held yesterday. Shareholders re-elected all three of the Company’s director nominees, rejecting the nominees put forward by an affiliate of ZimCal Asset Management LLC (“ZimCal”). Yesterday’s Annual Meeting marks the third consecutive annual meeting at which ZimCal has initiated a proxy contest, each of which have resulted in Medallion shareholders overwhelmingly supporting the Company’s Board and strategy. This year, shareholders backed the Company’s nominees by an average of approximately 78% of votes cast, even after both proxy advisory firms issued split recommendations. Critically, support for the dissident declined sharply since the last vote, with the activist nominees receiving approximately 19% of votes cast, down from approximately 22% in the 2024 contest. After hearing ZimCal’s arguments across three consecutive cycles, shareholders have become less supportive of its campaign, not more. “This result is a clear and emphatic statement from our shareholders,” said Andrew Murstein, President and CEO of Medallion Financial. “For the third year in a row, they have placed their trust in our Board and rejected the campaign of a distressed debt investor seeking a personal windfall at the expense of all other shareholders. Over the last 5 years we have generated over $375 million of net income before taxes, more than our first 25 years combined. We have also increased our dividend by 40% in the last three years. Our focus now returns immediately to what we do best: delivering industry-leading financial performance and long-term value for the shareholders who have stood with us – and to whom we are deeply grateful.” The preliminary results of the Annual Meeting reported in this release remain subject to certification by the inspector of election. The Company will report the certified results of the Annual Meeting in a Form 8-K filed with the Securities and Exchange Commission. About Medallion Financial Corp.Medallion Financial Corp. (NASDAQ: MFIN) and its subsidiaries originate and service a growing portfolio of consumer loans and mezzanine loans in various industries, and loan products and services offered through fintech strategic partners. Key industries served include recreation (towable RVs and marine) and home improvement (replacement roofs, swimming pools, and windows). Medallion Financial Corp. is headquartered in New York City, NY, and its largest subsidiary, Medallion Bank, is headquartered in Salt Lake City, Utah. For more information, please visit www.medallion.com. Forward-Looking Statements Please note that this press release contains forward-looking statements that involve risks and uncertainties relating to business performance, cash flow, net interest income and expenses, other expenses, earnings, growth, and our growth strategy. These statements are often, but not always, made using words or phrases such as “will” and “continue” or the negative version of those words or other comparable words or phrases of a future or forward-looking nature. These statements relate to future public announcements of our earnings, expectations regarding our loan portfolio, including collections on our taxi medallion loans, the potential for future asset growth, and market share opportunities. Medallion’s actual results may differ significantly from the results discussed in such forward-looking statements. For example, statements about the effects of the current economy, whether inflation or the risk of recession, the effects of tariffs, operations, financial performance and prospects constitute forward-looking statements and are subject to the risk that the actual impacts may differ, possibly materially, from what is reflected in those forward-looking statements due to factors and future developments that are uncertain, unpredictable and in many cases beyond Medallion’s control. In addition to risks relating to the current economy, for a description of certain risks to which Medallion is or may be subject, please refer to the factors discussed under the heading “Risk Factors” in Medallion’s 2025 Annual Report on Form 10-K. Company Contact:Investor [email protected] Investor RelationsThe Equity Group Inc.Lena [email protected] (212) 836-9611 Val [email protected] (212) 836-9633