PROG Holdings Inc. (NYSE:PRG) Q2 2022 Results Conference Call July 27, 2022 8:30 AM ET Company Participants Brian Garner - CFO John Baugh - VP, IR Steve Michaels - President, CEO Conference Call Participants Alessandra Jimenez - Raymond James Anthony Chukumba - Loop Capital Brad Thomas - KeyBanc Capital Markets Hal Goetsch - Loop Capital Jason Haas - Bank of America Kyle Joseph - Jefferies Vincent Caintic - Stephens Operator Good morning and welcome to the PROG Holdings, Inc., Second Quarter 2022 Earnings ...

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED June 30, 2022 OR WASHINGTON, D.C. 20549 ________________________________ FORM 10-Q ________________________________ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 UNITED STATES SECURITIES AND EXCHANGE COMMISSION FOR THE TRANSITION PERIOD FROM TO Securities registered pursuant to Section 12(b) of the Act: Common Stock, $0.50 Par Value PRG New York St ...

Financial Data and Key Metrics Changes - Q1 consolidated revenues decreased by 1.5% year-over-year, amounting to $710.5 million compared to $721 million in the previous year [27] - Adjusted EBITDA for Q1 was $64.6 million, representing a margin of 9.1%, down from $118.1 million or 16.4% in the same period last year [27] - GAAP diluted EPS was $0.49, while non-GAAP EPS was $0.57 [28] Business Line Data and Key Metrics Changes - Progressive Leasing's revenue was $692.9 million, a 2.1% decrease from $708 million in the prior year [21] - The gross leased asset balance increased by 17.6%, which is expected to drive stronger revenue in the latter half of the year [13][22] - Write-offs for Progressive Leasing were $50.3 million, or 7.3% of revenue, compared to $18.6 million and 2.6% in the previous year [25] Market Data and Key Metrics Changes - Progressive Leasing's GMV declined by 1.1% year-over-year, with e-commerce GMV growing by 10% year-over-year, representing 15.9% of total GMV in Q1 [12] - The company anticipates that the macroeconomic environment will remain challenging but believes it can capture a larger share of the underserved market [18] Company Strategy and Development Direction - The company is focusing on several initiatives to increase GMV, including co-branded marketing campaigns and enhanced customer experience [11] - The management believes that the current economic environment presents an opportunity to capture a larger share of the market as consumers seek flexible payment solutions [18] - The company is committed to investing in technology and product development to enhance its offerings and maintain competitive advantage [67] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence that Q1 results represent the low point for EBITDA margins and GMV growth for the year [11] - The company expects write-offs to remain within the targeted annual range of 6% to 8% for 2022 [15] - Management noted that the business has shown resilience in various economic cycles and anticipates growth opportunities in the current environment [18] Other Important Information - The company repurchased approximately $78.1 million of its common stock during Q1, with $482.8 million remaining under its $1 billion share repurchase program [29] - The company ended the quarter with $600 million in gross debt and $184 million in cash, resulting in a net leverage of approximately 1.2 times trailing 12-month adjusted EBITDA [28] Q&A Session Summary Question: Can you provide more details on the new e-commerce retail partner? - Management indicated that the new partner is Wayfair, which presents a significant opportunity for growth [59] Question: How do you expect the year to shape up, particularly for Q2? - Management expects Q2 to show improvement but noted that the most significant acceleration will occur in the back half of the year [49][53] Question: What are the implications of the tax refund season on results? - Management described the tax season as muted this year, with typical behaviors observed but difficult to separate from the impact of prior stimulus [85] Question: What percentage of customers are repeat customers? - Approximately 50% of leases originated in any given period are from repeat customers, an increase from the mid-30s percentage a few years ago [94]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________ FORM 10-Q ________________________________ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED March 31, 2022 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO COMMISSION FILE NUMBER 1-39628 ________________________________ PROG HOLDINGS, INC. (Exact name of regis ...

Financial Data and Key Metrics Changes - PROG Holdings reported a consolidated revenue growth of 6.8% year-over-year for Q4, reaching $646.5 million, and a 7.8% increase for the full year 2021 [13][32] - Adjusted EBITDA for Q4 was $72.1 million, representing an adjusted EBITDA margin of 11.2%, down from 15.6% in the previous year [13][32] - The company ended 2021 with adjusted EBITDA of $388.7 million, a 13.9% increase over 2020, and an adjusted EBITDA margin of 14.5% [13][32] Business Line Data and Key Metrics Changes - The Progressive Leasing segment achieved GMV growth of 18.3% in Q4 and 15.8% for the year, with e-commerce GMV growing 45% in Q4 and 151% for the year [11][29] - Progressive Leasing's revenue grew 6% to $630 million in Q4, driven by portfolio growth, while the provision for write-offs was 6.8%, aligning with pre-pandemic norms [30][32] - Vive Financial segment reported record GMV revenue and adjusted EBITDA in 2021, with expected revenue growth driven by a higher loans receivable balance [21][22] Market Data and Key Metrics Changes - The company noted that GMV growth was primarily driven by large national POS partners, and they expect this trend to continue despite macroeconomic challenges [12][18] - The first quarter of 2022 has started slightly negative year-to-date compared to the same period last year, influenced by supply chain disruptions and inflation [17][18] Company Strategy and Development Direction - PROG Holdings aims to broaden its fintech ecosystem by developing innovative products and technologies, including the integration of Four Technologies for Buy Now, Pay Later solutions [10][23] - The company has authorized a $1 billion share repurchase program and returned significant capital to shareholders by repurchasing approximately 17% of its outstanding common stock [10][14] - The management team has been strengthened with seasoned executives and independent directors to enhance operational capabilities [16] Management's Comments on Operating Environment and Future Outlook - Management expressed concerns about the macroeconomic environment, including supply chain disruptions, labor shortages, and inflation, which may create headwinds in the near term [17][24] - For 2022, the company forecasts revenue growth in the mid-to-high single digits for Progressive Leasing, with adjusted EBITDA margins expected to return to pre-pandemic levels [18][35] - Management remains optimistic about long-term growth opportunities, particularly in e-commerce and partnerships with retail partners [25][24] Other Important Information - The company reported a net cash position and plans to utilize its strong cash generation capabilities for capital allocation priorities, including share repurchases and potential M&A [14][28] - The company expects SG&A expenses to return to slightly higher than pre-pandemic levels due to investments in technology and increased compensation costs [20][60] Q&A Session Summary Question: Is the current shift in consumer behavior due to inflation or a result of previous stimulus spending? - Management indicated that the current environment is influenced by multiple factors, including inflation and the impact of COVID, but they expect improvement as the situation normalizes [39][40] Question: What is the outlook for the credit environment and its impact on customer behavior? - Management anticipates a normalization in credit performance, with higher write-offs expected, but they believe there will be a demand for point-of-sale payment options as the macro environment evolves [48][50] Question: How does the company view its cash flow generation and share repurchase strategy? - Management confirmed strong cash flow generation capabilities and indicated that they will continue to return cash to shareholders while maintaining a conservative leverage ratio [56][58] Question: What is the competitive landscape following recent industry consolidations? - Management noted that while competition remains strong, the consolidation may level the playing field and provide opportunities for PROG Holdings to capture market share [65][66] Question: How should investors connect GMV growth with reported revenue growth? - Management clarified that while there is a correlation, the growth in leased asset portfolios will have a more direct impact on revenue, and normalization of 90-day buyouts will also affect revenue trends [68][70]

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from to Commission file Number. 1-39628 PROG HOLDINGS, INC. (Exact name of registrant as specified in its charter) Georgia 85-2484385 (State or other jurisdiction of in ...

PROG Holdings, Inc. (NYSE:PRG) Q3 2021 Earnings Conference Call November 3, 2021 8:30 AM ET Company Participants John Baugh - Vice President of Investor Relations Steve Michaels - Chief Executive Officer Brian Garner - Chief Financial Officer Conference Call Participants Anthony Chukumba - Loop Capital Kyle Joseph - Jefferies Jason Haas - Bank of America Bobby Griffin - Raymond James Brad Thomas - KeyBanc Capital Markets Vincent Caintic - Stephens Inc. Hal Goetsch - Loop Capital Markets Operator Good day an ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________ FORM 10-Q ________________________________ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED SEPTEMBER 30, 2021 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO COMMISSION FILE NUMBER 1-39628 ________________________________ Securities registered pursuant to Se ...

PROG Holdings, Inc. (NYSE:PRG) Q2 2021 Results Conference Call July 29, 2021 8:30 AM ET Company Participants John Baugh - Vice President of Investor Relations Steve Michaels - Chief Executive Officer Brian Garner - Chief Financial Officer Conference Call Participants Kyle Joseph - Jefferies Jason Haas - Bank of America Bradley Thomas - KeyBanc Capital Markets Bobby Griffin - Raymond James Michael Young - Truist Tim Vierengel - Northcoast Research Anthony Chukumba - Loop Capital Operator Good morning and wel ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ________________________________ FORM 10-Q ________________________________ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE QUARTERLY PERIOD ENDED JUNE 30, 2021 OR TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 FOR THE TRANSITION PERIOD FROM TO COMMISSION FILE NUMBER 1-39628 ________________________________ PROG HOLDINGS, INC. (Exact name of regist ...