Upbound Group, Inc. · NASDAQ:UPBD
Upbound — Q1 2025 Earnings Presentation
25 slides from Upbound's earnings presentation, May 1, 2025
Slide 1: First Quarter Earnings Review
™ First Quarter Earnings Review May 1, 2025
Slide 2: Disclosures
Disclosures Forward-Looking Statements This communication contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, including, among others, statements regarding our goals, plans and projections with respect to our operations, financial posi
Slide 3: Our Mission: Elevating Financial Opportunity for All
Our Mission Elevating Financial Opportunity for All Empowering underserved consumers with seamless, holistic financial tools to improve their financial lives.
Slide 4: Upbound at a Glance
Upbound at a Glance Our family of brands provides elevated access and financial opportunities for our customers and partners Innovative financial solutions for millions of customers, • Virtual lease-to-own platform delivered through three core business segments • Digital model expands access to more
Slide 5: Q1 Quarter in Review
Q1 Quarter in Review 8.8% á ~27% 26.1%+á Y/Y Paying Subscriber Growth (as of Y/Y GMV1 Growth Revenue from E-Commerce Channel quarter-end) 240 bps, 170 bps á -2.0%, -4.5% Over 35% á 3 Y/Y Increase in Net Earnings Margin and Y/Y Same Store Sales and Store Count Y/Y Revenue Growth5 Adjusted EBITDA Marg
Slide 6: Q1 Consolidated Financial Highlights
Q1 Consolidated Financial Highlights $1.2 billion $24.8 million $0.42 Consolidated Revenue Net Income GAAP Diluted EPS +7.3% y/y -$2.9 million y/y -$0.08 y/y $137.7 million $1.00 $126.1 million Net Cash Provided by 1 Non-GAAP Diluted EPS1 Adjusted EBITDA Operating Activities +$0.21 y/y +15.6% y/y +$
Slide 7: 2025 Strategic Priorities
2025 Strategic Priorities Customer Focus Drives Digital Evolution Maintain Momentum Repeat Business Enhance customer experience and Expand the existing growth Broaden Marketplace merchant roster optimize omni-channel execution to trajectory by adding new customer and streamline the LTO experience fo
Slide 8: Acima Q1 Highlights
Acima Q1 Highlights Rental Revenue by Product Category Acima GMV Trend ($M) Acima LCO and Past Due Rates1 Trends 1 Defined as the average accounts 60+ days past due as a percentage of total open leases. 60+ past due rates normalized to exclude large retailers that are no longer on Acima’s platform.
Slide 9: Brigit Q1 Highlights
Brigit Q1 Highlights Revenue by Source1 Brigit Paying Users2 (#000s) and ARPU3 on a Proforma Basis4 Brigit Cash Advance Volume5 ($M) and Net Advance Loss Rate6 on a Proforma Basis4 1 Revenue by Source includes revenue from only February and March 2025 (following Upbound's acquisition of Brigit on Ja
Slide 10: Rent-A-Center Q1 Highlights
Rent-A-Center Q1 Highlights Rental Revenue by Product Category Rent-A-Center Portfolio1,2 Per Store ($000's) and Same Store Sales Trends Rent-A-Center LCO and Past Due Rates2,3 Trends 1 Lease Portfolio Value: Represents the aggregate dollar value of the expected monthly rental income associated with
Slide 11: Q1 Quarter-End Financial Position & Capital Allocation
Q1 Quarter-End Financial Position & Capital Allocation $311.8 million $10.6 million $21.4 million Liquidity Capital Expenditures Dividends Paid $1.4 billion 2.9x 2.0x Net Debt1 Net Leverage Ratio2 Target Net Leverage Ratio2 All figures except capital expenditures and dividends paid, which represent
Slide 12: Full Year and Q2 2025 Guidance
Full Year and Q2 2025 Guidance Strong start to year results in raising the midpoint of FY 2025 guidance Current Guidance Previous Guidance (Provided 5/1/2025) (Provided 2/20/2025) 1 Consolidated Guidance FY 2025 FY 2025 Revenues ($B) $4.60 - $4.75 $4.50 - $4.75 Adj. EBITDA Excluding SBC ($M)2 $510 -
Slide 13: Appendix
upb ound Appendix
Slide 14: Deep Penetration into Large Addressable Market
Deep Penetration into Large Addressable Market Many consumers are facing significant Upbound’s solutions platform addresses financial pressure. needs of underserved consumers. 62% 63% Multiple Upbound brands with expanded offerings serve similar target consumer of Americans live of gig workers list
Slide 15: Reconciliation of Net Earnings to Net Earnings Excluding Special Items (Q1 2025)
Reconciliation of Net Earnings to Net Earnings Excluding Special Items and Non-GAAP Diluted Earnings Per Share Three Months Ended March 31, 2025 Earnings Diluted Operating Before Income Tax Net Earnings per (in thousands) Gross Profit Profit Tax Expense Earnings Share GAAP Results $ 550,129 $ 62,615
Slide 16: Reconciliation of Net Earnings to Net Earnings Excluding Special Items (Q1 2024)
Reconciliation of Net Earnings to Net Earnings Excluding Special Items and Non-GAAP Diluted Earnings Per Share Three Months Ended March 31, 2024 Earnings Diluted Operating Before Income Earnings per (in thousands) Gross Profit Profit Tax Tax Expense Net Earnings Share GAAP Results $ 529,068 $ 61,762
Slide 17: Reconciliation of Net Earnings (Loss) to Adjusted EBITDA, March 31, 2025
Reconciliation of Net Earnings (Loss) to Adjusted EBITDA (Consolidated and by Segment) Three Months Ended March 31, 2025 (in thousands) Acima Rent-A-Center Brigit Mexico Corporate Consolidated Net earnings (loss) $ 73,708 $ 66,415 $ 8,829 $ 1,223 $ (125,382) $ 24,793 Plus: Interest expense, net — —
Slide 18: Reconciliation of Net Earnings (Loss) to Adjusted EBITDA, December 31, 2024
Reconciliation of Net Earnings (Loss) to Adjusted EBITDA (Consolidated and by Segment) Three Months Ended December 31, 2024 (in thousands) Acima Rent-A-Center Brigit Mexico Corporate Consolidated Net earnings (loss) $ 69,653 $ 74,193 $ — $ 667 $ (113,531) $ 30,982 Plus: Interest expense, net — — — —
Slide 19: Reconciliation of Net Earnings (Loss) to Adjusted EBITDA, September 30, 2024
Reconciliation of Net Earnings (Loss) to Adjusted EBITDA (Consolidated and by Segment) Three Months Ended September 30, 2024 (in thousands) Acima Rent-A-Center Brigit Mexico Corporate Consolidated Net earnings (loss) $ 63,994 $ 73,267 $ — $ 884 $ (107,285) $ 30,860 Plus: Interest expense, net — — —
Slide 20: Reconciliation of Net Earnings (Loss) to Adjusted EBITDA, June 30, 2024
Reconciliation of Net Earnings (Loss) to Adjusted EBITDA (Consolidated and by Segment) Three Months Ended June 30, 2024 (in thousands) Acima Rent-A-Center Brigit Mexico Corporate Consolidated Net earnings (loss) $ 69,991 $ 71,562 $ — $ 1,559 $ (109,163) $ 33,949 Plus: Interest expense, net — — — — 2
Slide 21: Reconciliation of Net Earnings (Loss) to Adjusted EBITDA, March 31, 2024
Reconciliation of Net Earnings (Loss) to Adjusted EBITDA (Consolidated and by Segment) Three Months Ended March 31, 2024 (in thousands) Acima Rent-A-Center Brigit Mexico Corporate Consolidated Net earnings (loss) $ 51,911 $ 78,138 $ — $ 1,696 $ (104,058) $ 27,687 Plus: Interest, net — — — — 29,188 2
Slide 22: Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow
Reconciliation of Net Cash Provided by Operating Activities to Free Cash Flow Three Months Ended March 31, LTM (in thousands) 2025 2024 March 31, 2025 Net cash provided by operating activities $ 137,736 $ 45,421 $ 197,035 Purchase of property assets (10,576) (11,817) (55,033) Free cash flow $ 127,16
Slide 23: Supplemental Segment Performance Details – GAAP
Supplemental Segment Performance Details – GAAP Three Months Ended March 31, 2025 Three Months Ended March 31, 2024 Rent-A- Rent-A- (in millions) Acima Center Brigit Mexico Corporate Consolidated (in millions) Acima Center Brigit Mexico Corporate Consolidated Revenue Revenue Rentals and fees $ 477.0
Slide 24: Supplemental Segment Performance Details – Including Non-GAAP Adjustments
Supplemental Segment Performance Details – Including Non-GAAP Adjustments Three Months Ended March 31, 2025 Three Months Ended March 31, 2024 Rent-A- Rent-A- (in millions) Acima Center Brigit Mexico Corporate Consolidated (in millions) Acima Center Brigit Mexico Corporate Consolidated Revenue Revenu
Slide 25: Consolidated Net Leverage Ratio
Consolidated Net Leverage Ratio Q1 (in millions, except net leverage ratio) 2025 Outstanding Debt $ 1,549.1 Less: Cash and cash equivalents 107.3 Net debt 1,441.8 Adjusted EBITDA(1) Q2 2024 124.5 Q3 2024 116.9 Q4 2024 122.8 Q1 2025 126.1 Last twelve months Adjusted EBITDA $ 490.3 Net leverage ratio