Unassociated Document

NEWS RELEASE

For Immediate Release

Contact:

Kelly M. Malson

Chief Financial Officer

(864) 298-9800

WORLD ACCEPTANCE CORPORATION REPORTS

RECORD SECOND QUARTER RESULTS

GREENVILLE, S.C. (October 23, 2007) - World Acceptance Corporation (NASDAQ: WRLD) today reported record revenues and net income for its second fiscal quarter ended September 30, 2007.

Net income for the second quarter rose 6.1% to $10.5 million up from $9.9 million for the same quarter last year. Diluted earnings per share increased 15.4% to $0.60 for the current quarter from $0.52 for the prior year quarter. Total revenues for the quarter increased 19.3% to $80.2 million from $67.2 million for the quarter ended September 30, 2006.

“World Acceptance’s revenues benefited from continued growth in our loan portfolio and the contribution from offices opened and acquired since last year,” stated Sandy McLean, CEO of World Acceptance Corporation. “Gross loans outstanding at September 30, 2007, grew to $571.3 million, a 21.5% increase over the $470.3 million outstanding at September 30, 2006.”

Provision for loan losses increased 33.3% to $18.4 million, up from $13.8 million in the second quarter of last year. Net charge-offs increased $3.8 million, or 31.5% compared to the prior year quarter. Net charge-offs as a percentage of average net loans increased to 15.3% on an annualized basis during the most recent quarter from 14.0% in the same quarter as last fiscal year. The current quarter loss ratios returned to more historical levels as expected due to the prior year benefit realized from the bankruptcy reform which became effective in October 2005, but appears to have since stabilized.

The growth rate for per share earnings benefited from a 7.2% decrease in diluted shares outstanding over the two quarterly periods due to Company stock repurchases. World Acceptance repurchased 1.8 million shares of the Company’s common stock during the past twelve months for an aggregate purchase price of $73.4 million. The Company repurchased 690,100 shares of its common stock for an aggregate purchase price of $21.3 million in the second fiscal quarter ended September 30, 2007. Interest expense rose 29.2% to $2.9 million in the second quarter compared with the prior year due to higher average loan balances to fund, and in part, the stock repurchases.

Other key return ratios for the second quarter included a 9.3% return on average assets (annualized) and an annualized return on average equity of 18.8%. Total general and administrative expenses as a percent of total revenues were 52.3%, a slight decrease from the 52.5% during the second quarter of the prior fiscal year.

WRLD Reports Record Second Quarter Results

Page 2

October 23, 2007

Six-Month Results

For the first six months of the fiscal year, net income was $21.3 million, or $1.20 per diluted share, representing a 7.4% increase in net earnings and a 14.3% increase in earnings per share over the $19.8 million, or $1.05 per diluted share, for the prior year six-month period. Total revenues for the first six months of fiscal 2008 were $156.6 million, a 19.5% increase over the $131.0 million during the corresponding period of the previous year. Net charge-offs increased $7.0 million compared to the prior year first six months. Net-charge-offs as a percent of average net loans were 14.0% compared to 12.7% during the prior year six month period.

During the first six months of the fiscal year, the Company opened 73 offices and acquired twelve offices, resulting in a total of 817 offices at September 30, 2007.

About World Acceptance Corporation

World Acceptance Corporation is one of the largest small-loan consumer finance companies, operating 817 offices in eleven states and Mexico. It is also the parent company of ParaData Financial Systems, a provider of computer software solutions for the consumer finance industry.

Second Quarter Conference Call

The senior management of World Acceptance Corporation will be discussing these results in its quarterly conference call to be held at 10:00 a.m. Eastern time today. Interested parties may participate in this call by dialing 1-800-818-5264. A simulcast of the conference call is also available on the Internet at www.streetevents.com and www.vcall.com. The call will be available for replay on the Internet for approximately 30 days.

This press release may contain various “forward-looking statements” within the meaning of Section 27A of the Securities Exchange Act of 1934, as amended, that represent the Company’s expectations or beliefs concerning future events. Such forward-looking statements are about matters that are inherently subject to risks and uncertainties. Factors that could cause actual results or performance to differ from the expectations expressed or implied in such forward-looking statements include changes in the timing and amount of revenues that may be recognized by the Company, changes in current revenue and expense trends (including trends affecting charge-offs), changes in the Company’s markets and changes in the economy (particular in the markets served by the Company). Such factors are discussed in greater detail in the Company’s filings with the Securities and Exchange Commission. World Acceptance Corporation is not responsible for updating the information contained in this press release beyond the publication date, or for changes made to this document by wire services or Internet services.

WRLD Reports Record Second Quarter Results

Page 3

October 23, 2007

World Acceptance Corporation

Consolidated Statements of Operations

(unaudited and in thousands, except per share amounts)

	Three Months Ended				Six Months Ended
	September 30,				September 30,
	2007		2006		2007		2006

Interest & fees	$	69,706	$	58,750	$	135,095	$	113,286
Insurance & other		10,492		8,458		21,492		17,759
Total revenues		80,198		67,208		156,587		131,045
Expenses:
Provision for loan losses		18,416		13,813		32,632		24,980
General and administrative expenses
Personnel		27,891		23,673		56,747		47,266
Occupancy & equipment		5,368		4,412		10,301		8,328
Data processing		640		555		1,190		1,050
Advertising		2,278		1,794		4,730		3,683
Intangible amortization		638		745		1,253		1,538
Other		5,115		4,110		9,901		8,271
		41,930		35,289		84,122		70,136
Interest expense		2,932		2,270		5,268		4,171
Total expenses		63,278		51,372		122,022		99,287
Income before taxes		16,920		15,836		34,565		31,758
Income taxes		6,454		5,975		13,249		11,910
Net income	$	10,466	$	9,861	$	21,316	$	19,848
Diluted earnings per share	$	0.60	$	0.52	$	1.20	$	1.05
		17,523		18,884		17,728		18,840

Consolidated Balance Sheets

(unaudited and in thousands)

	September 30,			March 31,			September 30,
	2007			2007			2006
ASSETS
Cash	$	5,863		$	5,779		$	6,601
Gross loans receivable		571,319			505,788			470,275
Less: Unearned interest & fees		(148,654	)		(127,750	)		(120,314	)
Allowance for loan losses		(32,269	)		(27,840	)		(26,549	)
Loans receivable, net		390,396			350,198			323,412
Property and equipment, net		16,937			14,310			13,073
Deferred tax benefit		19,648			14,507			3,971
Goodwill		5,333			5,040			4,936
Intangibles		10,907			11,060			10,928
Other assets		9,890			10,222			8,644
	$	458,974		$	411,116		$	371,565

LIABILITIES AND SHAREHOLDERS' EQUITY
Liabilities:
Notes payable		225,400			171,200			123,200
Income tax payable		1,605			8,015			1,055
Accounts payable and accrued expenses		13,471			16,408			13,290
Total liabilities		240,476			195,623			137,545
Shareholders' equity		218,498			215,493			234,020
	$	458,974		$	411,116		$	371,565

WRLD Reports Record Second Quarter Results

Page 4

October 23, 2007

Selected Consolidated Statistics

(dollars in thousands)

	Three Months Ended						Six Months Ended
	September 30,						September 30,
	2007			2006			2007			2006

Expenses as a percent of total revenues:
Provision for loan losses		23.0	%		20.6	%		20.8	%		19.1	%
General and administrative expenses		52.3	%		52.5	%		53.7	%		53.5	%
Interest expense		3.7	%		3.4	%		3.4	%		3.2	%

Average gross loans receivable	$	560,205		$	462,907		$	543,244		$	447,626

Average loans receivable	$	414,529		$	334,442		$	402,851		$	333,937

Loan volume	$	419,261		$	348,061		$	833,750		$	689,894

Net charge-offs as percent of average loans		15.3	%		14.0	%		14.0	%		12.8	%

Return on average assets		9.3	%		10.9	%		9.7	%		11.3	%

Return on average equity		18.8	%		17.3	%		19.3	%		17.8	%

Offices opened (closed) during the period, net		35			37			85			58

Offices open at end of period		817			678			817			678

END

South Carolina	0-19599	57-0425114
(State or other jurisdiction	(Commission	(IRS Employer
of incorporation)	File Number)	Identification No.)


108 Frederick Street, Greenville, South Carolina		29607
(Address of principal executive offices)		(Zip Code)

Exhibit Number		Description of Exhibit
99.1		Press release issued October 23, 2007

		WORLD ACCEPTANCE CORPORATION
		(Registrant)

Date: October 23, 2007
	By:	/s/ Kelly M. Malson
		Kelly M. Malson
		Chief Financial Officer

Exhibit		Description

99.1		Press Release dated October 23, 2007