AI lending platform Upstart Q3 revenue rises

Upstart Holdings

04/11/2025 21:53

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/Miss
Actual
Consensus Estimate
Q3 Fees Revenue
$258.53 mln
Q3 EPS
$0.23
Q3 Net Income
$31.8 mln
Q3 Operating Expenses
$253.43 mln
Q3 Pretax Profit
$31.92 mln


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 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: ID:nBw8fL899a

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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.)