Overview

* Pagaya ( PGY ) Q2 revenue rises 30% yr/yr, driven by Auto and POS verticals

* Adjusted EBITDA for Q2 up 72% yr/yr, reflecting operational scalability

* Net income for Q2 reaches $17 mln, marking second consecutive positive quarter

Outlook

* Pagaya ( PGY ) expects 3Q25 network volume between $2.75 bln and $2.95 bln

* Company sees 3Q25 revenue between $330 mln and $350 mln

* Pagaya ( PGY ) forecasts FY25 adjusted EBITDA between $345 mln and $370 mln

* Company expects FY25 GAAP net income between $55 mln and $75 mln

Result Drivers

* REVENUE GROWTH - Driven by Auto and Point-of-Sale verticals, contributing to a 30% increase in total revenue and other income

* NETWORK VOLUME - Record $2.6 bln network volume, up 14% YoY, supported by growth in Auto and POS verticals and prudent underwriting

* ADJUSTED EBITDA - Increased by 72% YoY to $86 mln, benefiting from improved FRLPC and operating leverage

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Total $326 mln

Revenue

& Other

Income

Q2 Beat $51 mln $17.80

Adjusted mln (10

Net Analysts

Income )

Q2 Net $17 mln

Income

Q2 $86 mln

Adjusted

EBITDA

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the financial technology (fintech) peer group is "buy"

* Wall Street's median 12-month price target for Pagaya Technologies Ltd ( PGY ) is $30.50, about 2.8% below its August 6 closing price of $31.36

* The stock recently traded at 29 times the next 12-month earnings vs. a P/E of 6 three months ago

Press Release:

(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.)