Core Insights - Katapult Holdings, Inc. reported strong financial results for Q1 2025, with double-digit growth in gross originations and revenue, driven by increased engagement in its app marketplace [3][5][9] - The company is optimistic about achieving its full-year targets for 2025, expecting gross originations to grow at least 20% [9][11] Financial Performance - Gross originations for Q1 2025 reached $64.2 million, a 15.4% increase year-over-year, with total revenue at $71.9 million, up 10.6% [5][31] - The company experienced a net loss of $5.7 million in Q1 2025, compared to a net loss of $0.6 million in Q1 2024, primarily due to higher costs [5][31] - Adjusted EBITDA for Q1 2025 was $2.2 million, down from $5.6 million in Q1 2024, impacted by increased costs associated with rapid growth [5][36] Market Engagement - Approximately 59% of gross originations in Q1 2025 originated from the Katapult app marketplace, marking it as the largest customer referral source [5] - KPay gross originations grew approximately 57% year-over-year, with a unique customer count increase of over 65% [5][11] Business Outlook - The company plans to introduce new merchants to its app marketplace in 2025, aiming to leverage its strategic marketing and strong consumer offerings to drive growth [8][9] - Katapult expects to maintain strong credit quality in its portfolio, supported by enhancements to risk modeling and onboarding high-quality merchants [15] Key Metrics - Customer satisfaction remains high, with a Net Promoter Score of 66 as of March 31, 2025 [5] - Write-offs as a percentage of revenue were 9.0% in Q1 2025, within the company's long-term target range of 8% to 10% [13]

Company Overview - Upbound Group, Inc. (formerly Rent-A-Center, Inc.) is a leading lease-to-own provider with operations in the United States, Puerto Rico, and Mexico, offering consumers access to high-quality, durable products under flexible lease purchase agreements without long-term debt obligations [11] Investment Ratings - Upbound Group is rated 2 (Buy) on the Zacks Rank, indicating a favorable investment outlook [12] - The company has a VGM Score of B, suggesting a combination of attractive value, growth, and momentum characteristics [12] Performance Metrics - Upbound Group's shares have increased by 10.1% over the past four weeks, indicating strong momentum [12] - The Zacks Consensus Estimate for fiscal 2025 has risen by $0.04 to $4.14 per share, reflecting positive earnings revisions from analysts [12] - The company boasts an average earnings surprise of 4.8%, highlighting its ability to exceed earnings expectations [12] Style Scores - Upbound Group has a Momentum Style Score of B, which is beneficial for momentum investors looking for stocks with upward price trends [12] - The combination of a solid Zacks Rank and top-tier Momentum and VGM Style Scores positions Upbound Group as a strong candidate for investors [13]