Overview

* Upstart Q3 revenue rises 71% YoY, driven by 80% growth in loan originations

* GAAP net income for Q3 improves to $31.8 mln from a loss last year

* Adjusted EBITDA for Q3 increases to $71.2 mln, reflecting operational efficiency

Outlook

* Upstart expects Q4 2025 revenue of approximately $288 mln

* Company anticipates Q4 2025 GAAP net income of $17 mln

* Upstart projects full-year 2025 revenue of $1.035 bln

Result Drivers

* AI PLATFORM - Upstart's AI platform adapted to macroeconomic changes, contributing to strong Q3 results

* LOAN ORIGINATIONS - 80% YoY growth in loan originations drove revenue increase

* CONVERSION RATE - Improved conversion rate to 20.6% from 16.3% YoY supported transaction volume growth

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q3 Fees $258.53

Revenue mln

Q3 EPS $0.23

Q3 Net $31.8

Income mln

Q3 $253.43

Operatin mln

g

Expenses

Q3 $31.92

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 6 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the consumer lending peer group is "buy"

* Wall Street's median 12-month price target for Upstart Holdings Inc ( UPST ) is $81.00, about 41.3% above its November 3 closing price of $47.54

* The stock recently traded at 20 times the next 12-month earnings vs. a P/E of 41 three months ago

Press Release:

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)