Upstart(US:UPST)2025-08-05 20:05Financial Performance - Total revenue for Q2 2025 reached $257 million, reflecting a 102% year-over-year growth, with revenue from fees at $241 million, up 84% year-over-year[5] - GAAP net income for Q2 2025 was $5.6 million, an improvement from a loss of $54.5 million in Q2 2024[5] - Adjusted EBITDA for Q2 2025 was $53.1 million, compared to a loss of $9.3 million in Q2 2024, resulting in an adjusted EBITDA margin of 21%[5] - Contribution profit for Q2 2025 was $141 million, an 85% increase year-over-year, maintaining a contribution margin of 58%[5] - For the full year 2025, Upstart expects total revenue of approximately $1.055 billion, with revenue from fees around $990 million and net interest income of approximately $65 million[5] - Total revenue for Q2 2025 was $257.3 million, a 101% increase from $127.6 million in Q2 2024[39] - Net income for Q2 2025 was $5.6 million, compared to a net loss of $54.5 million in Q2 2024, marking a significant turnaround[39] - Adjusted EBITDA for Q2 2025 was $53.1 million, with an adjusted EBITDA margin of 21%, compared to an adjusted EBITDA loss of $9.3 million in Q2 2024[39] - Contribution profit for Q2 2025 was $140.5 million, maintaining a contribution margin of 58%[35] - Adjusted net income for Q2 2025 was $42.2 million, compared to an adjusted net loss of $15.3 million in Q2 2024[42] - Basic net income per share for Q2 2025 was $0.06, a recovery from a loss of $0.62 per share in Q2 2024[42] - The operating margin improved to 2% in Q2 2025, compared to a negative 43% in Q2 2024[39] Loan Performance - Upstart originated 372,599 loans in Q2 2025, a 159% increase year-over-year, with a conversion rate of 23.9%, up from 15.2% in Q2 2024[5] - The conversion rate for loans processed was 15.2% for the three months ended June 30, 2024[32] - Transaction volume for the three months ended June 30, 2024, was $1,109,732,000, with 143,900 loans processed[32] - Upstart's platform continues to automate over 90% of loans, enhancing efficiency and customer experience[7] Assets and Cash Flow - Upstart's cash and cash equivalents decreased from $788.4 million at the end of 2024 to $395.9 million by June 30, 2025[20] - Total assets increased from $2.37 billion at the end of 2024 to $2.48 billion by June 30, 2025[20] - Cash, cash equivalents, and restricted cash at the end of the period were $560,618,000 for the six months ended June 30, 2024[30] Operational Costs - Borrower acquisition costs for Q2 2025 were $60.9 million, up from $23.2 million in Q2 2024[35] - Customer operations costs for Q2 2025 were $39.3 million, an increase from $31.2 million in Q2 2024[36] - Operating expenses for the three months ended June 30, 2024, totaled $183,116,000, leading to a loss from operations of $(55,486,000)[23] Profitability and Growth Indicators - The company achieved GAAP profitability a quarter earlier than expected, indicating a strong recovery and growth trajectory[3]