Enova: SMB Loan Demand and Performance Remains Normal

Enova originated $1.2B in small business loans in Q1, a 27% increase year-over-year.

Despite noise in the media about economic disruptions, Enova CEO David Fisher said during the earnings call that “We are monitoring both demand and portfolio performance even more closely than normal and continue to see the level of demand we would expect while payment performance remains in line or better than our expectations.”

When asked if the company saw a spike in applications in relation to businesses possibly stocking up on inventory ahead of the new tariff policy, Fisher said they hadn’t seen any spike and that demand has mainly tracked typical seasonal patterns.

The company emphasized more than once that if anything were to change, the quick duration of its small business loans would allow it to react and make adjustments very quickly. As always, Enova reiterated that it does not have much competition in the market, hadn’t seen any new competitive threats in the first quarter, and doesn’t expect to see any changes on the competitive side for the rest of the year.