Business
Pagaya Reports First Quarter 2025 Results, GAAP Profitable Earlier than Expected
Reported strong performance across key metrics: Net income attributable to Pagaya shareholders of $8 million; up $29 million YoY Record Adjusted EBITDA of
About this update from Pagaya Technologies Ltd.
[{"type":"text","content":"\n\nReported strong performance across key metrics:\n\n\nNet income attributable to Pagaya shareholders of $8 million; up $29 million YoY\n\n\nRecord Adjusted EBITDA of $80 million; up 100% YoY\n\n\nRecord total revenue and other income of $290 million; up 18% YoY\n\n\n\n\nCompany raises full-year guidance for Total Revenue, GAAP Net Income and Adjusted EBITDA\n\n\n NEW YORK & TEL AVIV, Israel--(BUSINESS WIRE)--\nPagaya Technologies Ltd. (NASDAQ: PGY) (“Pagaya”, the “Company” or “we”), a global technology company delivering artificial intelligence infrastructure for the financial ecosystem, today announced financial results for the quarter ending March 31, 2025.\n\nFor additional information, view Pagaya's first quarter 2025 letter to shareholders here.\n\n“Pagaya has entered a new era in 2025—an era of profitability. Our focus is clear: growing profit and creating long-term value for our shareholders while bridging Wall Street and Main Street. With strong operating leverage, diversified funding, and growing partner adoption, this is just the beginning,” said Gal Krubiner, co-founder and CEO of Pagaya Technologies.\n\nFirst Quarter 2025 Highlights\nAll comparisons are made versus the same period in 2024 and on a year-over-year basis unless otherwise stated.\n\n\nGAAP net income attributable to Pagaya shareholders of $8 million (exceeding outlook of ($20) million to breakeven) increased by $29 million year-over-year, driven primarily by revenue growth and operational efficiencies.\n\n\nNetwork volume of $2.4 billion (versus our outlook of $2.5 billion to $2.7 billion) roughly flat year-over-year as we continue to focus on profitable growth.\n\n\nRecord total revenue and other income of $290 million (at the high-end of outlook of $280 million to $295 million) increased by 18% year-over-year, driven by a 19% increase in revenue from fees.\n\n\nRevenue from fees less production costs (“FRLPC”) of $116 million increased by 26% year-over-year, driven by improved economics in our personal loan and auto verticals.\n\n\nThe Company raised $1.4 billion across 3 transactions in Q1 and expanded its funding network by 3 new investors, for a total of 135 funding partners, with additional 2 executed so far in Q2.\n\n\nRecord adjusted EBITDA of $80 million (exceeding outlook of $65 million to $75 million) increased by $40 million compared to th...