Enova Has Record Quarter for SMB Lending

Enova logged its biggest quarter ever for small business loan originations, hitting $930M in Q4.

“Strong demand and solid credit performance enabled us to be more aggressive with our marketing, particularly in our SMB business,” said Enova CEO David Fisher during the earnings call. The company’s net charge-off ratio was also down, dropping from 5.5% in Q3 to 4.8% in Q4.

Enova has consistently considered itself to be in a league of its own on the small business lending front, citing most recently that it continues to benefit from a “strong brand presence” and “low levels of competition.”

“Our results are driven by the strength of our talented team, diversified product offerings and world-class machine learning, analytics and technology,” said Fisher during the call. “A combination of these strengths has enabled us to successfully manage the uncertain macroeconomic environment we faced in 2023, growing originations while managing credit to acceptable levels that generate unit economics above our targets. Our unwavering commitment to this balanced approach to growth has allowed us to take share from our competitors in both our consumer and SMB business while effectively managing risk.”