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Nicholas Financial Reports Record 1st Quarter Results

20 July 1999

Nicholas Financial Reports Record 1st Quarter Results

                  Annual Meeting Will Be Held August 4, 1999

    CLEARWATER, Fla., July 19 -- Nicholas Financial, Inc.,
today announced record revenues and earnings for the first
quarter ended June 30, 1999.  The Company reported that net income increased
93% to $502,147 for the three-months ended June 30, 1999, as compared to
$260,224 for the three-month period ended June 30, 1998.  Diluted earnings per
share rose 82% to $.20 cents for the three months ended June 30, 1999, as
compared to $.11 for the three months ended June 30, 1998.  Revenue for the
first quarter rose 36% from $2,187,880 to $2,970,630.  The Company has
announced increased earnings in ten consecutive comparable quarters.

    Annual Meeting August 4th at 10 am in Clearwater, FL:
    The Company will hold its annual meeting this year on August 4, 1998 at
10:00 AM, at the Countryside Country Club in Clearwater, Florida.

    Branch Office Expansion:
    The Company has opened its second branch office in the Atlanta area.  The
Company now operates three branches in Georgia and twelve branches in Florida.
The Company is currently preparing to open a new branch office in Charlotte,
North Carolina.
    Except for the historical information contained herein, the matters
discussed in this news release include forward-looking statements that involve
risks and uncertainties including competitive factors, the management of
growth, and other risks detailed from time to time in the Company's filings
and reports with the Securities and Exchange Commission, including the
Company's Annual Report on Form 10-K for the year ended March 31, 1999.  Such
statements are based on the beliefs of the Company's management as well as
assumptions made by and information currently available to Company management.
Actual events or results may differ materially.


                           NICHOLAS FINANCIAL, INC.
                                  UNAUDITED
                        CONSOLIDATED SELECT FINANCIALS
                   FOR THE 1ST QUARTER ENDING JUNE 30, 1999


                                       1999            1998             %

    OPERATIONS:

    REVENUES                     $2,970,630      $2,187,880           36%

    OPERATING EXPENSES           $2,156,213      $1,764,393           22%

    OPERATING INCOME BEFORE TAXES  $814,417        $423,487           92%

    NET INCOME                     $502,147        $260,224           93%

    DILUTED EARNINGS PER SHARE         $.20            $.11           82%


    BALANCE SHEET:

    TOTAL ASSETS                $44,151,223     $36,696,060           20%

    STOCKHOLDER'S EQUITY:        $9,042,848      $7,236,051           25%