MEDALLION FINANCIAL CORP Segments Disclosure
(9) SEGMENT REPORTING
The Company has five business segments, which include four lending segments and one non-operating segment, which are reflective of how Company management makes decisions about its business and operations.
The four lending segments reflect the main types of lending performed at the Company, which are recreation, home improvement, commercial, and taxi medallion lending. The recreation and home improvement lending segments are operated by the Bank and loans are made to borrowers residing nationwide. The recreation lending segment is a consumer finance business that works with third-party dealers and financial service providers to finance RVs, boats, collector cars, and other consumer recreational equipment, of which RVs, boats, and collector cars make up 54%, 21%, and 13% of the segment portfolio, with no other product lines at or above 10%, as of December 31, 2025. The highest concentrations of recreation loans are in Texas and Florida at 17% and 10% of loans outstanding and with no other states at or above 10% as of December 31, 2025. The home improvement lending segment works with contractors and financial service providers to finance residential home improvement with the largest product lines being swimming pools, roofs, and windows at 32%, 28%, and 11% of total home improvement loans outstanding, and with no other product lines at or above 10% as of December 31, 2025. The highest concentrations of home improvement loans are in Florida and Texas at 14% and 12% of loans outstanding and with no other states at or above 10% as of December 31, 2025. The commercial lending segment focuses on serving a wide variety of industries, with concentrations in manufacturing, wholesale trade, and construction making up 63%, 11%, and 10% of the loans outstanding as of December 31, 2025, with no other product lines exceeding 10% as of December 31, 2025. The commercial lending segment invests across the United States with concentrations in California, Wisconsin, and New York having 20%, 12%, and 11% of the segment portfolio, and no other states having a concentration at or greater than 10% as of December 31, 2025. The taxi medallion lending segment arose in connection with the financing of taxi medallions, taxis, and related assets, primarily all of which are located in the New York City metropolitan area as of December 31, 2025.
The Company's corporate and other investments segment is a non-operating segment that includes items not allocated to the Company's operating segments such as investment securities, equity investments, intercompany eliminations, goodwill, and other corporate elements. The Company allocates portions of centrally incurred costs inclusive of overhead and interest expense formulaically based upon overall capital allocated to the lending segments.
As part of segment reporting, capital ratios for all operating segments have been normalized as a percentage of consolidated total equity divided by total assets, with the net adjustment applied to corporate and other investments. In addition, the commercial segment primarily represents the mezzanine lending business, with certain legacy commercial loans (immaterial to total) allocated to corporate and other investments.
The Company's chief operating decision maker (CODM) is a group comprised of the Executive Chairman, , and other senior members of management. The CODM primarily uses segment information to identify areas to improve efficiency of resources allocation, determine where to reinvest profits, and minimize unnecessary expenses. The CODM assesses segment performance mainly through selected financial ratios such as returns on average assets and net interest margin, which identifies areas requiring action.
The following table presents segment data as of and for the year ended December 31, 2025.
Year Ended December 31, 2025 |
|
Consumer Lending |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
(Dollars in thousands) |
|
Recreation |
|
|
Home |
|
|
Commercial |
|
|
Taxi Medallion |
|
|
Corporate and Other Investments |
|
|
Consolidated |
|
||||||
Total interest income |
|
$ |
209,321 |
|
|
$ |
80,624 |
|
|
$ |
15,904 |
|
|
$ |
432 |
|
|
$ |
9,039 |
|
|
$ |
315,320 |
|
Total interest expense |
|
|
51,966 |
|
|
|
28,931 |
|
|
|
4,824 |
|
|
|
73 |
|
|
|
12,633 |
|
|
|
98,427 |
|
Net interest income (loss) |
|
|
157,355 |
|
|
|
51,693 |
|
|
|
11,080 |
|
|
|
359 |
|
|
|
(3,594 |
) |
|
|
216,893 |
|
Provision (benefit) for credit losses |
|
|
73,908 |
|
|
|
10,181 |
|
|
|
9,027 |
|
|
|
(3,294 |
) |
|
|
— |
|
|
|
89,822 |
|
Net interest income (loss) after loss provision |
|
|
83,447 |
|
|
|
41,512 |
|
|
|
2,053 |
|
|
|
3,653 |
|
|
|
(3,594 |
) |
|
|
127,071 |
|
Other income |
|
|
1,937 |
|
|
|
12 |
|
|
|
25,249 |
|
|
|
4,671 |
|
|
|
6,124 |
|
|
|
37,993 |
|
Operating expenses |
|
|
(40,567 |
) |
|
|
(19,246 |
) |
|
|
(6,201 |
) |
|
|
(3,647 |
) |
|
|
(15,518 |
) |
|
|
(85,179 |
) |
Net income (loss) before taxes |
|
|
44,817 |
|
|
|
22,278 |
|
|
|
21,101 |
|
|
|
4,677 |
|
|
|
(12,988 |
) |
|
|
79,885 |
|
Income tax (provision) benefit |
|
|
(13,770 |
) |
|
|
(6,845 |
) |
|
|
(6,497 |
) |
|
|
(1,438 |
) |
|
|
4,006 |
|
|
|
(24,544 |
) |
Net income (loss) after taxes |
|
|
31,047 |
|
|
|
15,433 |
|
|
|
14,604 |
|
|
|
3,239 |
|
|
|
(8,982 |
) |
|
|
55,341 |
|
Income attributable to the non-controlling interest |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
8,782 |
|
|||||
Less: redemption of Series F preferred stock - |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,515 |
|
|||||
Total net income attributable to Medallion Financial Corp. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
43,044 |
|
|||||
Balance Sheet Data |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total loan, gross (1) |
|
$ |
1,617,221 |
|
|
$ |
810,237 |
|
|
$ |
123,068 |
|
|
$ |
1,179 |
|
|
$ |
15,144 |
|
|
$ |
2,566,849 |
|
Total assets |
|
|
1,552,257 |
|
|
|
796,254 |
|
|
|
115,601 |
|
|
|
4,329 |
|
|
|
487,023 |
|
|
|
2,955,464 |
|
Total funds borrowed (2) |
|
|
1,262,575 |
|
|
|
647,657 |
|
|
|
94,028 |
|
|
|
3,521 |
|
|
|
396,135 |
|
|
|
2,403,916 |
|
Selected Financial Ratios |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Return on average assets |
|
|
2.05 |
% |
|
|
1.94 |
% |
|
|
12.80 |
% |
|
NM |
|
|
NM |
|
|
|
1.93 |
% |
||
Return on average stockholders' equity |
|
* |
|
|
* |
|
|
* |
|
|
NM |
|
|
NM |
|
|
|
11.06 |
|
|||||
Return on average equity |
|
|
12.00 |
|
|
|
11.36 |
|
|
|
76.06 |
|
|
NM |
|
|
NM |
|
|
|
11.43 |
|
||
Interest yield |
|
|
13.37 |
|
|
|
9.95 |
|
|
|
13.00 |
|
|
NM |
|
|
NM |
|
|
|
11.74 |
|
||
Net interest margin, gross |
|
|
10.05 |
|
|
|
6.38 |
|
|
|
9.09 |
|
|
NM |
|
|
NM |
|
|
|
8.06 |
|
||
Net interest margin, net of allowance |
|
|
10.56 |
|
|
|
6.54 |
|
|
|
9.78 |
|
|
NM |
|
|
NM |
|
|
|
8.40 |
|
||
Reserve coverage (3) |
|
|
5.32 |
|
|
|
2.41 |
|
|
|
7.36 |
|
|
NM |
|
|
NM |
|
|
|
4.50 |
|
||
Delinquency status (4) |
|
|
0.82 |
|
|
|
0.16 |
|
|
|
8.34 |
|
|
NM |
|
|
NM |
|
|
|
0.97 |
|
||
Charge-off (recovery) ratio (5) |
|
|
3.77 |
|
|
|
1.38 |
|
|
|
4.22 |
|
|
NM |
|
|
NM |
|
|
|
2.88 |
|
||
(1) Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2) Excludes deferred financing costs of $8.4 million as of December 31, 2025.
(3) Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4) Loans 90 days or more past due as a percent of total gross loans.
(5) Net charge-offs as a percent of annual average gross loans. Charge-off ratio in the recreation lending segment was 3.95% when excluding loans held for sale.
(NM) Not meaningful.
(*) Line item is not applicable to segments.
The following table presents segment data as of and for the year ended December 31, 2024.
Year Ended December 31, 2024 |
|
Consumer Lending |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
(Dollars in thousands) |
|
Recreation |
|
|
Home |
|
|
Commercial |
|
|
Taxi Medallion |
|
|
Corporate and Other Investments |
|
|
Consolidated |
|
||||||
Total interest income |
|
$ |
194,131 |
|
|
$ |
74,036 |
|
|
$ |
14,007 |
|
|
$ |
659 |
|
|
$ |
7,869 |
|
|
$ |
290,702 |
|
Total interest expense |
|
|
46,123 |
|
|
|
26,277 |
|
|
|
4,294 |
|
|
|
102 |
|
|
|
11,371 |
|
|
|
88,167 |
|
Net interest income (loss) |
|
|
148,008 |
|
|
|
47,759 |
|
|
|
9,713 |
|
|
|
557 |
|
|
|
(3,502 |
) |
|
|
202,535 |
|
Provision (benefit) for credit losses |
|
|
67,995 |
|
|
|
13,458 |
|
|
|
1,093 |
|
|
|
(6,035 |
) |
|
|
(9 |
) |
|
|
76,502 |
|
Net interest income (loss) after loss provision |
|
|
80,013 |
|
|
|
34,301 |
|
|
|
8,620 |
|
|
|
6,592 |
|
|
|
(3,493 |
) |
|
|
126,033 |
|
Other income |
|
|
756 |
|
|
|
11 |
|
|
|
7,860 |
|
|
|
910 |
|
|
|
1,793 |
|
|
|
11,330 |
|
Operating expenses |
|
|
(33,128 |
) |
|
|
(15,586 |
) |
|
|
(4,992 |
) |
|
|
(4,573 |
) |
|
|
(16,148 |
) |
|
|
(74,427 |
) |
Net income (loss) before taxes |
|
|
47,641 |
|
|
|
18,726 |
|
|
|
11,488 |
|
|
|
2,929 |
|
|
|
(17,848 |
) |
|
|
62,936 |
|
Income tax (provision) benefit |
|
|
(15,181 |
) |
|
|
(5,967 |
) |
|
|
(3,661 |
) |
|
|
(933 |
) |
|
|
4,731 |
|
|
|
(21,011 |
) |
Net income (loss) after taxes |
|
|
32,460 |
|
|
|
12,759 |
|
|
|
7,827 |
|
|
|
1,996 |
|
|
|
(13,117 |
) |
|
|
41,925 |
|
Income attributable to the non-controlling interest |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,047 |
|
|||||
Total net income attributable to Medallion Financial Corp. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
35,878 |
|
|||||
Balance Sheet Data |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total loan, gross (1) |
|
$ |
1,543,243 |
|
|
$ |
827,211 |
|
|
$ |
111,273 |
|
|
$ |
1,909 |
|
|
$ |
7,386 |
|
|
$ |
2,491,022 |
|
Total assets |
|
|
1,494,445 |
|
|
|
811,442 |
|
|
|
106,258 |
|
|
|
6,573 |
|
|
|
449,888 |
|
|
|
2,868,606 |
|
Total funds borrowed (2) |
|
|
1,239,592 |
|
|
|
673,064 |
|
|
|
88,137 |
|
|
|
5,452 |
|
|
|
373,168 |
|
|
|
2,379,413 |
|
Selected Financial Ratios |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Return on average assets |
|
|
2.29 |
% |
|
|
1.66 |
% |
|
|
7.38 |
% |
|
|
24.25 |
% |
|
|
(2.95 |
)% |
|
|
1.54 |
% |
Return on average stockholders' equity |
|
* |
|
|
* |
|
|
* |
|
|
* |
|
|
* |
|
|
|
10.12 |
|
|||||
Return on average equity |
|
|
15.11 |
|
|
|
10.76 |
|
|
|
47.93 |
|
|
|
151.76 |
|
|
|
(18.94 |
) |
|
|
9.89 |
|
Interest yield |
|
|
13.30 |
|
|
|
9.45 |
|
|
|
12.71 |
|
|
|
23.39 |
|
|
NM |
|
|
|
11.58 |
|
|
Net interest margin, gross |
|
|
10.14 |
|
|
|
6.09 |
|
|
|
8.81 |
|
|
|
16.99 |
|
|
NM |
|
|
|
8.05 |
|
|
Net interest margin, net of allowance |
|
|
10.58 |
|
|
|
6.24 |
|
|
|
9.18 |
|
|
|
28.15 |
|
|
NM |
|
|
|
8.35 |
|
|
Reserve coverage (3) |
|
|
5.00 |
|
|
|
2.48 |
|
|
|
4.66 |
|
|
|
28.29 |
|
|
NM |
|
|
|
4.12 |
|
|
Delinquency status (4) |
|
|
0.67 |
|
|
|
0.17 |
|
|
|
14.66 |
|
|
|
— |
|
|
NM |
|
|
|
1.13 |
|
|
Charge-off (recovery) ratio (5) |
|
|
3.72 |
|
|
|
1.78 |
|
|
|
0.04 |
|
|
|
(153.72 |
) |
|
NM |
|
|
|
2.69 |
|
|
(1) Inclusive of recreation and strategic partnership loans held for sale, at lower of amortized cost or fair value.
(2) Excludes deferred financing costs of $8.2 million as of December 31, 2024.
(3) Allowance for credit loss as a percent of gross loans held for investment and excludes loans held for sale.
(4) Loans 90 days or more past due as a percent of total gross loans.
(5) Net charge-offs as a percent of annual average gross loans.
(NM) Not meaningful.
(*) Line item is not applicable to segments.
The following table presents segment data as of and for the year ended December 31, 2023.
Year Ended December 31, 2023 |
|
Consumer Lending |
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||
(Dollars in thousands) |
|
Recreation |
|
|
Home |
|
|
Commercial |
|
|
Taxi Medallion |
|
|
Corporate and Other Investments |
|
|
Consolidated |
|
||||||
Total interest income |
|
$ |
167,765 |
|
|
$ |
62,703 |
|
|
$ |
12,719 |
|
|
$ |
1,596 |
|
|
$ |
6,257 |
|
|
$ |
251,040 |
|
Total interest expense |
|
|
31,436 |
|
|
|
18,137 |
|
|
|
3,597 |
|
|
|
72 |
|
|
|
9,704 |
|
|
|
62,946 |
|
Net interest income (loss) |
|
|
136,329 |
|
|
|
44,566 |
|
|
|
9,122 |
|
|
|
1,524 |
|
|
|
(3,447 |
) |
|
|
188,094 |
|
Provision (benefit) for credit losses |
|
|
44,592 |
|
|
|
17,583 |
|
|
|
1,988 |
|
|
|
(26,318 |
) |
|
|
(35 |
) |
|
|
37,810 |
|
Net interest income (loss) after loss provision |
|
|
91,737 |
|
|
|
26,983 |
|
|
|
7,134 |
|
|
|
27,842 |
|
|
|
(3,412 |
) |
|
|
150,284 |
|
Other income |
|
|
376 |
|
|
|
6 |
|
|
|
5,971 |
|
|
|
3,358 |
|
|
|
1,609 |
|
|
|
11,320 |
|
Operating expenses |
|
|
(32,601 |
) |
|
|
(16,752 |
) |
|
|
(3,547 |
) |
|
|
(7,256 |
) |
|
|
(15,412 |
) |
|
|
(75,568 |
) |
Net income (loss) before taxes |
|
|
59,512 |
|
|
|
10,237 |
|
|
|
9,558 |
|
|
|
23,944 |
|
|
|
(17,215 |
) |
|
|
86,036 |
|
Income tax (provision) benefit |
|
|
(17,231 |
) |
|
|
(2,964 |
) |
|
|
(2,767 |
) |
|
|
(6,933 |
) |
|
|
4,985 |
|
|
|
(24,910 |
) |
Net income (loss) after taxes |
|
|
42,281 |
|
|
|
7,273 |
|
|
|
6,791 |
|
|
|
17,011 |
|
|
|
(12,230 |
) |
|
|
61,126 |
|
Income attributable to the non-controlling interest |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6,047 |
|
|||||
Total net income attributable to Medallion Financial Corp. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
$ |
55,079 |
|
|||||
Balance Sheet Data |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Total loans, gross |
|
$ |
1,336,222 |
|
|
$ |
760,621 |
|
|
$ |
114,827 |
|
|
$ |
3,663 |
|
|
$ |
553 |
|
|
$ |
2,215,886 |
|
Total assets |
|
|
1,297,870 |
|
|
|
744,904 |
|
|
|
110,850 |
|
|
|
12,247 |
|
|
|
421,956 |
|
|
|
2,587,827 |
|
Total funds borrowed (1) |
|
|
1,062,584 |
|
|
|
609,863 |
|
|
|
90,754 |
|
|
|
10,027 |
|
|
|
345,462 |
|
|
|
2,118,690 |
|
Selected Financial Ratios |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||
Return on average assets |
|
|
3.36 |
% |
|
|
1.04 |
% |
|
|
6.65 |
% |
|
|
91.25 |
% |
|
|
(3.13 |
)% |
|
|
2.51 |
% |
Return on average stockholders' equity |
|
* |
|
|
* |
|
|
* |
|
|
* |
|
|
* |
|
|
|
17.33 |
|
|||||
Return on average equity |
|
|
21.24 |
|
|
|
6.60 |
|
|
|
41.51 |
|
|
|
574.86 |
|
|
|
(19.78 |
) |
|
|
15.79 |
|
Interest yield |
|
|
13.07 |
|
|
|
8.86 |
|
|
|
12.80 |
|
|
|
26.94 |
|
|
NM |
|
|
|
11.19 |
|
|
Net interest margin, gross |
|
|
10.62 |
|
|
|
6.29 |
|
|
|
9.18 |
|
|
|
25.73 |
|
|
NM |
|
|
|
8.38 |
|
|
Net interest margin, net of allowance |
|
|
11.09 |
|
|
|
6.45 |
|
|
|
9.45 |
|
|
|
61.60 |
|
|
NM |
|
|
|
8.68 |
|
|
Reserve coverage (2) |
|
|
4.31 |
|
|
|
2.76 |
|
|
|
3.61 |
|
|
|
41.93 |
|
|
NM |
|
|
|
3.80 |
|
|
Delinquency status (3) |
|
|
0.70 |
|
|
|
0.20 |
|
|
|
5.40 |
|
|
|
— |
|
|
NM |
|
|
|
0.77 |
|
|
Charge-off (recovery) ratio (4) |
|
|
3.04 |
|
|
|
1.33 |
|
|
|
1.02 |
|
|
|
(309.96 |
) |
|
NM |
|
|
|
1.48 |
|
|
(1) Excludes deferred financing costs of $8.5 million as of December 31, 2023.
(2) Allowance for credit loss as a percent of gross loans.
(3) Loans 90 days or more past due as a percent of total gross loans.
(4) Net charge-offs as a percent of annual average gross loans.
(NM) Not meaningful.
(*) Line item is not applicable to segments.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 10, 2026 | Showing above |
| 2024 | Mar 13, 2025 | |
| 2023 | Mar 7, 2024 | |
| 2022 | Mar 10, 2023 | |
| 2021 | Mar 14, 2022 | |
| 2020 | Mar 16, 2021 | |
| 2019 | Mar 30, 2020 | |
| 2018 | Mar 13, 2019 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.