Business
Pagaya Reports Second Quarter and First Half 2024 Results
Record Total Revenue, FRLPC and Adjusted EBITDA, raising full-year outlook Signed our first forward flow agreement for $1 billion New enterprise partnership
About this update from Pagaya Technologies Ltd.
[{"type":"text","content":"\n\nRecord Total Revenue, FRLPC and Adjusted EBITDA, raising full-year outlook\n\n\n\nSigned our first forward flow agreement for $1 billion\n\n\n\nNew enterprise partnership with OneMain Financial and onboarding a new top 5 bank to our network\n\n\n\nFirst AAA rating on personal loan ABS program, reflecting stable performance and scale\n\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 second quarter and the first half of 2024.\n\n\nFor additional information, view Pagaya's second quarter 2024 letter to shareholders here.\n\n\n“We set ambitious goals for our business this year and delivered on all of them,” said Gal Krubiner, co-founder and CEO of Pagaya Technologies. “We had another quarter of record financial results, expanded our network with more top lenders and enhanced our funding capacity. Our business has strong momentum as we continue to execute on our strategy in the second half.”\n\n\nSecond Quarter 2024 Highlights\n\n\nAll comparisons are made versus the same period in 2023 and on a year-over-year basis unless otherwise stated.\n\n\n\nNetwork volume of $2.3 billion (in line with outlook of $2.2 billion to $2.4 billion) grew by 19% year-over-year.\n\n\n\nGrowing our partner network with top lenders. Onboarding a new top 5 bank by total assets in our point-of-sale (“POS”) vertical. Added an enterprise relationship with OneMain Financial across auto and personal loans. Expanded our partnership with LendingClub to our flagship personal loan product.\n\n\n\nAchieved a step-change in capital efficiency, with a $1 billion forward flow purchase agreement, upcoming acquisition of Theorem, and AAA-rated personal loan ABS program. These initiatives are expected to enhance capital efficiency by reducing Pagaya’s capital needs to fund network volume.\n\n\n\nRecord total revenue and other income of $250 million (exceeding outlook of $235 million to $245 million) increased by 28% year-over-year, driven by a 31% increase in revenue from fees, and is now at an annual run-rate of approximately $1 billion.\n\n\n\nRecord revenue from fees less production costs (“FRLPC”) of $97 million increased by 49% year-over-...