Upstart Holdings, Inc. (UPST) Q1 2025 Earnings Call

Investor webinar replay

Replay transcript excerpt

As a reminder, this conference call is being recorded. I will now turn the conference over to Sonia Banerjee, Head of Investor Relations. Sonia, please go ahead. Thank you. Welcome to the Upstart Earnings Call for the first quarter of 2025. With me on today's call are Dave Girard, our co-founder and CEO, and Sanjay Dutta, our CFO. During today's call, we will make forward-looking statements, which include statements about our outlook and business strategy. These statements are based on our expectations and beliefs as of today, which are subject to a variety of risks, uncertainties, and assumptions, and should not be viewed as a guarantee of future performance. Actual results may differ materially as a result of various risk factors that have been described in our SEC filings. We assume no obligation to update any forward-looking statements as the result of new information or future events, except as required by law. Our discussion will include non-GAAP financial measures, which are not a substitute for our GAAP results. Reconciliations of our historical GAAP to non-GAAP results can be found in our earnings materials, which are available on our IR website. And with that, Dave, over to you. Thanks, Sonya. Good afternoon, everyone. Thank you for joining us today. The first quarter was a strong one for Upstart, despite being our seasonally slowest time of the year. Platform originations grew 89% year-on-year, with model wins and improved borrower health combining with more competitive capital to drive meaningfully higher conversion rates. Our revenue grew 67% year-on-year, and our adjusted EBITDA reached 20% for the first time in three years. With fees generating 87% of our revenue, we were also right on the doorstep of GAAP profitability in Q1. Just as importantly, home...