ECN Capital Corp.

For Q2 2025, ECN Capital reported total originations of $804 million, adjusted EBITDA of $31.5 million, adjusted operating income of $17 million, adjusted net income to common shareholders of $10 million, and adjusted EPS of $0.04. Total adjusted revenue was $62.2 million, up from $58 million in the prior-year quarter, and adjusted operating income rose to $17 million from $14.5 million year over year. Managed assets at Triad were just over $6 billion, and total finance asset balances were maintained below $450 million for the first half of 2025; held-for-trading assets ended the quarter at $242.2 million. Guidance was updated as follows: MH Finance guidance was reaffirmed at $78 million to $90 million, RV & Marine adjusted operating income guidance was narrowed to $14 million to $18 million, and consolidated EPS guidance was tightened to $0.18 to $0.23 per share. On Triad, management said origination revenue margin was slightly below target in Q2 but was tracking to 6.3% year to date, with 6.5% guidance maintained for the second half of 2025.

CEO Stephen Hudson emphasized that the quarter showed the company’s upgraded operating model is working, highlighting record Triad originations, more than $6 billion of managed assets, and early signs that the Source One upgrade strategy is gaining traction. He framed the business as more durable and recurring thanks to servicing, and said 80% of the company-wide upgrade strategies are complete. His tone was upbeat and confident, especially around Triad and the expectation that the RV business is accelerating into Q3.

CFO Jackie Weber focused on the consolidated financial performance and balance sheet discipline, noting $62.2 million of adjusted revenue, $31.5 million of adjusted EBITDA, $17 million of adjusted operating income, and $0.04 adjusted EPS. She said revenue improved year over year due to higher origination and servicing revenue, while interest income and interest expense both fell because on-balance-sheet finance assets were lower. She also said assets and debt were consistent with Q1 and down from the prior-year quarter, with finance assets kept below $450 million and held-for-trading assets at $242.2 million.

Analysts focused on Champion/standstill discussions, Triad’s margin mix, RV & Marine upgrade costs, Source One asset sales timing, and the Blackstone funding relationship. Management said the Champion JV is meeting or exceeding expectations operationally but declined to comment on the Investor Rights Agreement beyond its end date in September. On margins, management said Q2’s sub-6% origination margin was mostly due to sales-channel mix and stronger JV performance, but July margin was 6.4% and full-year 6.5% guidance was maintained. On RV & Marine, management estimated the upgrade program cost at $750,000 to $1 million, with about 60% spent in H1 and the rest in H2, and said delayed Source One asset sales reflected lower first-half originations rather than inability to sell assets.