Overview

* PROG Holdings ( PRG ) Q2 revenue of $604.7 mln beats analyst expectations, per LSEG data

* Adjusted EPS for Q2 beats consensus, reflecting strong execution in leasing business

* Progressive Leasing's GMV down 8.9% but within targeted write-off range

Outlook

* PROG Holdings ( PRG ) raises low end of 2025 revenue outlook to $2.45 bln

* Company expects 2025 net earnings between $120 mln and $125 mln

* PROG Holdings ( PRG ) sees Q3 revenue between $580 mln and $595 mln

* Company projects Q3 adjusted EBITDA between $57 mln and $62 mln

Result Drivers

* PROGRESSIVE LEASING - Strong execution in leasing business despite GMV headwinds and loss of key retail partner, per CEO Steve Michaels

* TECHNOLOGY INITIATIVES - AI-powered tools and digital optimization enhance customer engagement and efficiency, driving top-of-funnel engagement

* FOUR TECHNOLOGIES - Over 200% revenue growth and continued profitability, contributing positively to company's ecosystem

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $604.70 $585.70

Revenue mln mln (7

Analysts

)

Q2 Beat $1.02 $0.8 (7

Adjusted Analysts

EPS )

Q2 EPS $0.95

Q2 Net $38.50

Earnings mln

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 2 "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 PROG Holdings Inc ( PRG ) is $36.50, about 21.6% above its July 22 closing price of $28.61

* The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 8 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.)