Pagaya raises FY24 adjusted EBITDA view to $160M-$200M from $150M-$190M

Backs FY24 revenue view $925M-$1.05B, consensus $996.89M. Pagaya announced that the company is executing initiatives to drive enhanced profitability and achieve its goal of reaching positive net cash flow. The company anticipates these initiatives, which include a workforce reduction, will result in annualized gross cost savings of approximately $25M, a portion of which is expected to be reinvested in key growth areas. As a result, Pagaya is raising its full-year 2024 outlook range for adjusted EBITDA to $160M to $200M, an increase of $10M from its previous outlook. There is no change to the Company’s full-year 2024 outlook for network volume and total revenue and other income. “We continue to execute on our financial strategy, delivering strong unit economics, improved operating leverage, and efficient use of our capital,” said Pagaya’s CFO, Evangelos Perros. “We are raising our expectation for full-year 2024 Adjusted EBITDA, with the full impact of the cost savings expected to be realized in 2025.”