Upbound Group, Inc. ( (UPBD) ) has released its Q3 earnings. Here is a breakdown of the information Upbound Group, Inc. presented to its investors.
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Upbound Group, Inc., headquartered in Plano, Texas, is an omni-channel platform company providing financial solutions through brands like Rent-A-Center and Acima, focusing on facilitating consumer transactions across various retail channels.
In its latest earnings report, Upbound Group, Inc. showcased robust growth in the third quarter of 2024, with notable revenue increases and improvement across key financial metrics. The company highlighted its ability to adapt and thrive amidst a shifting economic landscape by leveraging its strengths and enhancing digital capabilities to optimize consumer experiences.
The company reported a 9.2% year-over-year increase in consolidated revenues, reaching $1,068.9 million. The Acima segment delivered a remarkable 13% year-over-year growth in gross merchandise volume, while Rent-A-Center achieved a 2.6% increase in same-store sales. Net earnings on a GAAP basis saw a significant rise to $30.9 million, attributed primarily to tax impacts from the previous year. Adjusted EBITDA also saw a 10.3% increase, driven by improvements in both the Acima and Rent-A-Center segments.
Despite a slight increase in lease charge-off rates, Upbound maintained a positive financial trajectory with GAAP diluted earnings per share rising to $0.55 from $0.08 in the prior year. Management expressed confidence in achieving their financial targets for the upcoming holiday season and into 2024, emphasizing their commitment to innovation and consumer-centric offerings.
Looking ahead, Upbound Group, Inc. remains optimistic about its growth prospects and strategic initiatives, aiming to harness its national brand presence and scale to introduce new products and solutions. The company’s leadership is poised to capitalize on market opportunities, ensuring a seamless consumer experience and driving sustainable growth in the years to come.
