Pagaya Technologies Ltd. · NASDAQ:PGY
Pagaya Technologies — Q4 2025 Earnings Presentation
24 slides from Pagaya Technologies's earnings presentation, Feb 9, 2026
Slide 1: Q4 Letter to Shareholders
Q4 Letter to Shareholders DAT E I SS UED February 9, 2026 1
Slide 2: Q4 Financial Highlights
“ Our fourth quarter and full-year results demonstrate, again, the benefits of years of work to position our company for long-term durable growth with a focus on increasing profitability, benefitting from our prior investments across the entire enterprise. Looking ahead, we will continue to leverage
Slide 3: Q4 Business Highlights
Q4 Business Highlights Scaling our network with three new partners & multiple in the onboarding queue We have multiple additional partners getting onboarded at this time which will go live over the next few quarters, including regional banks. These new partners represent each of the three asset clas
Slide 4: Dear Fellow Shareholders
Gal Krubiner Co-founder and CEO Dear Fellow Shareholders, I’m pleased to discuss our fourth quarter and full year does not indicate consumer deterioration, we have 2025 results, highlighting our achievements and how the luxury of pivoting our production. As such, credit we are positioned toward our
Slide 5: Letter continued: lending partners and prudent risk
have a handful of additional lending partners in We are comfortable accepting lower conversions the onboarding queue, progressing toward 2026 when appropriate to remain prudent on risk and launches across all asset classes. In the coming to limit potential adverse outcomes. As a mature years, we exp
Slide 6: Business Profitability
As we enter 2026, our guidance and business plan are driven first and foremost by this disciplined growth philosophy that has been shaped over time. We’ve accomplished a tremendous amount in 2024 and 2025 that set us up for efficient and durable growth. We stabilized the business as we reached scale
Slide 7: Update on our Operating Business
Sanjiv Das Co-founder and President Update on our Operating Business As we wrap up the year with our fourth consecutive classes with agile decision-making. quarter of GAAP net income profitability and look ahead, our disciplined growth strategy is clear: Our existing partners continue to adopt our c
Slide 8: Existing Partners: Expanding Our Product Suite Across the Funnel
Existing Partners The evidence of PGY product adoption across leading partners includes the following (see Exhibit 2): • Several of our largest existing partners adopted Direct Marketing Engine after a series of tests, and are scaling with us across Direct Mail and Email prescreen campaigns. These p
Slide 9: Funding Credit
Funding Credit We continue to diversify from a primarily prefunded-ABS Turning to credit performance, we remain disciplined in funding structure to include more forward flow structures our underwriting, with our core focus centered around and other committed structures that help reduce our gaining a
Slide 10: Fourth Quarter 2025 Results
Evangelos Perros Chief Financial Officer Fourth Quarter 2025 Results Over the last two years, we have executed on our Growing Auto and financial strategy to put Pagaya on a path to GAAP Point-of-Sale network volumes net income profitability and to demonstrate our ability to deliver long term, consis
Slide 11: 2026 Growth: Network Volume
NETWORK VOLUME Fourth quarter network volume grew 3% year-over-year to $2.7 billion with double-digit growth across each of our credit verticals - Personal Loan, Auto and POS - partially offset by zero volume in SFR. Personal Loans grew 10% year-over-year and remained the largest contributor to netw
Slide 12: Operating Leverage ($M)
FEE REVENUE LESS PRODUCTION COSTS FRLPC grew 12% year-over-year in the fourth quarter to $131 million and continued to meaningfully outpace network volume growth by 9 points. FRLPC as a % of network volume (“FRLPC %”) expanded by 40 basis points year-over-year to 4.9%. The increase is primarily attr
Slide 13: Record $34 million of GAAP net income in the fourth quarter
NET INCOME CREDIT PERFORMANCE We reported a record $34 million of GAAP net Credit performance remains in line with underwriting income in the fourth quarter. GAAP net income expectations across all verticals. Credit trends of 2025 included the positive impact of $9 million from non- vintages represe
Slide 14: Funding and Balance Sheet Efficiency
Funding and Balance Sheet Efficiency Funding equivalents and $945 million of Investments in Loans and Securities, primarily related to regulatory risk Performance continues to drive strong demand retention and discretionary investment in assets from across all asset verticals, and we remain focused
Slide 15: 2026 Financial Outlook
2026 Financial Outlook Our first quarter and full-year 2026 outlook reflects the momentum and resilience in our business. We remain cautious in the near term given persistent uncertainty. We expect volume growth throughout the year, driven by increased penetration with existing partners, contributio
Slide 16: Conference Call and Webcast Information
Conference Call and Webcast Information The Company will hold a webcast and conference call today, February 9, 2026, at 8:30 a.m. Eastern Time. A live webcast of the call will be available via the Investor Relations section of the Company’s website at investor.pagaya.com. To listen to the live webca
Slide 17: Cautionary Note About Forward-Looking Statements
Cautionary Note About Forward-Looking Statements This document contains forward-looking statements within of general economic conditions, including, but not limited to the meaning of Section 27A of the Securities Act of 1933, as rising interest rates, inflation, supply chain disruptions, exchange am
Slide 18: Non-GAAP financial measures include the following items
non-GAAP financial measures have limitations in their usefulness Core operating expenses is defined as operating expenses less to investors because they have no standardized meaning share-based compensation, depreciation and amortization, prescribed by U.S. GAAP and are not prepared under any whole
Slide 19: Consolidated Statements of Operations (Unaudited)
PAGAYA TECHNOLOGIES LTD. CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) (In thousands, except share and per share data) Three Months Ended Year Ended December 31, December 31, 2025 2024 2025 2024 Revenue Revenue from fees $ 321,036 $ 275,669 $ 1,261,341 $ 1,004,550 Other Income Interest income 15
Slide 20: Consolidated Balance Sheets
PAGAYA TECHNOLOGIES LTD. CONSOLIDATED BALANCE SHEETS (In thousands) December 31, December 31, 2025 2024 Assets Cash and cash equivalents $ 235,329 $ 187,921 Restricted cash and cash equivalents 53,020 38,597 Fees receivables (1) 153,250 127,114 Investments in loans and securities (1) 945,269 778,409
Slide 21: Consolidated Statements of Cash Flows
PAGAYA TECHNOLOGIES LTD. CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands) Year Ended December 31, 2025 2024 Cash flows from operating activities Net income (loss) including noncontrolling interests $ 71,370 $ (445,698) Adjustments to reconcile net income (loss) to net cash used in operating acti
Slide 22: Cash Flows: Financing Activities
Payments made to secured borrowing (341,350) (361,428) Payments made to long-term debt (353,690) (14,000) Debt issuance costs (12,488) (16,651) Net cash provided by financing activities 129,601 436,688 Effect of exchange rate changes on cash and cash equivalents, and restricted cash and cash equival
Slide 23: Reconciliation of Non-GAAP Financial Measures
PAGAYA TECHNOLOGIES LTD. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (UNAUDITED) ($ in thousands, unless otherwise noted) Three Months Ended Year Ended December 31, December 31, 2025 2024 2025 2024 Net Income (Loss) Attributable to Pagaya Technologies Ltd. $ 34,296 $ (237,922) $ 81,389 $ (401,406)
Slide 24: Core Operating Expenses Reconciliation
Three Months Ended Year Ended December 31, December 31, 2025 2024 2025 2024 Operating expenses $ 65,046 $ 89,451 $288,364 $367,756 Adjusted to exclude the following: Share-based compensation 9,136 15,645 54,118 61,497 Depreciation and amortization 7,126 8,278 30,077 28,753 Whole loan allowance for l