Upbound Group, Inc. Reports Fourth Quarter and Full Year 2024 Results

Rhea-AI Summary

Upbound Group (NASDAQ: UPBD) has reported its financial results for the fourth quarter and full year ending December 31, 2024. The company achieved total revenue of $1,079 million for the fourth quarter and $4.3 billion for the full year.

GAAP diluted EPS was $0.55 for the fourth quarter and $2.21 for the full year, while Non-GAAP diluted EPS reached $1.05 for the fourth quarter and $3.83 for the full year.

The company, known for its brands Acima®, Brigit™, and Rent-A-Center®, operates over 2,300 retail units across the United States, Mexico, and Puerto Rico. A conference call to discuss these results and the 2025 outlook will be hosted by CEO Mitch Fadel and CFO Fahmi Karam.

Upbound emphasizes the use of non-GAAP financial measures to provide a consistent basis for performance evaluation, although these measures are not a substitute for GAAP metrics.

Full details, including financial tables, are available on Upbound's investor relations website.

Positive

• Total revenue of $1,079 million for Q4 and $4.3 billion for the full year.
• Non-GAAP diluted EPS of $1.05 for Q4 and $3.83 for the full year.

Negative

• GAAP diluted EPS of $0.55 for Q4 and $2.21 for the full year, which may indicate lower core earnings compared to non-GAAP figures.

Insights

Financial Analyst

The Q4 and full-year 2024 results from Upbound Group demonstrate the company's strong position in the financial technology and rent-to-own space. The $4.3 billion annual revenue showcases the substantial scale of operations, while the significant spread between GAAP EPS ($2.21) and Non-GAAP EPS ($3.83) for the full year indicates material special items affecting the company's reported performance.

The company's hybrid business model, combining 2,300+ physical retail locations with digital channels through brands like Acima and Brigit, creates a robust competitive moat in serving underserved consumers. This omnichannel approach is particularly valuable in the financial services sector, where physical presence can build trust while digital capabilities enable scalability and operational efficiency.

The Q4 Non-GAAP EPS of $1.05 represents approximately 27% of the full-year figure, suggesting relatively consistent quarterly performance. This stability in earnings is important for financial services companies, as it indicates predictable revenue streams and effective risk management in their lending and leasing operations.

The company's focus on technology and data-driven solutions positions it well in the evolving financial services landscape, where traditional banking alternatives are increasingly sought after by consumers. The integration of brands like Brigit (fintech) with Rent-A-Center (traditional retail) demonstrates a forward-thinking strategy to capture both current market share and future growth opportunities in alternative financial services.

Total Revenue of $1,079 million for Fourth Quarter and $4.3 billion for Full Year

GAAP Diluted EPS $0.55 for Fourth Quarter and $2.21 for Full Year

Non-GAAP Diluted EPS¹ $1.05 for Fourth Quarter and $3.83 for Full Year

PLANO, Texas--(BUSINESS WIRE)-- Upbound Group, Inc. (the "Company" or "Upbound") (NASDAQ:UPBD) today announced results for the quarter and year ended December 31, 2024. The earnings release, financial tables and related materials can be found on the Company's investor relations website at https://investor.upbound.com.

Today at 9 a.m. ET, Mitch Fadel, Chief Executive Officer, and Fahmi Karam, Chief Financial Officer, will host a conference call to review the financial results and provide 2025 outlook. Interested parties can access a live webcast of the conference call via this link (webcast link) or through the Company's investor relations website.

About Upbound Group, Inc.

Upbound Group, Inc. (NASDAQ: UPBD), is a technology and data-driven leader in accessible and inclusive financial solutions that address the evolving needs and aspirations of underserved consumers. The Company’s customer-facing operating units include industry-leading brands such as Acima®, Brigit™, and Rent-A-Center® that facilitate consumer transactions across a wide range of store-based and digital channels, including over 2,300 company branded retail units across the United States, Mexico and Puerto Rico. Upbound Group, Inc. is headquartered in Plano, Texas. For additional information about the Company, please visit our website Upbound.com.

Non-GAAP Financial Measures

This release and the Company's related conference call contain certain financial information determined by methods other than in accordance with U.S. Generally Accepted Accounting Principles (GAAP), including (1) Non-GAAP diluted earnings per share (net earnings or loss, as adjusted for special items (as defined below), net of taxes, divided by the number of shares of our common stock on a fully diluted basis) and (2) other non-GAAP financial measures explained in the Company’s other quarterly earnings disclosures. “Special items” refers to certain gains and charges we view as extraordinary, unusual or non-recurring in nature or which we believe do not reflect our core business activities, and are reported as Other Gains and Charges in our Consolidated Statements of Operations.

For the periods presented herein, these special items are described in the quantitative reconciliation table included below in this release. Because of the inherent uncertainty related to these special items, management does not believe it is able to provide a meaningful forecast of the comparable GAAP measures or reconciliation to any forecasted GAAP measure without unreasonable effort. These non-GAAP measures are additional tools intended to assist our management in comparing our performance on a more consistent basis for purposes of business decision-making by removing the impact of certain items management believes do not directly reflect our core operations. These measures are intended to assist management in evaluating operating performance and liquidity, comparing performance and liquidity across periods, planning and forecasting future business operations, helping determine levels of operating and capital investments and identifying and assessing additional trends potentially impacting our Company that may not be shown solely by comparisons of GAAP measures. Consolidated Adjusted EBITDA is also used as part of our incentive compensation program for our executive officers and others. We believe these non-GAAP financial measures also provide supplemental information that is useful to investors, analysts and other external users of our consolidated financial statements in understanding our financial results and evaluating our performance and liquidity from period to period. However, non-GAAP financial measures have inherent limitations and are not substitutes for, or superior to, GAAP financial measures, and they should be read together with our consolidated financial statements prepared in accordance with GAAP. Further, because non-GAAP financial measures are not standardized, it may not be possible to compare such measures to the non-GAAP financial measures presented by other companies, even if they have the same or similar names.

______________

1 Non-GAAP financial measure. Refer to definitions and reconciliations included in this release.

Exhibit 1 - Reconciliation of diluted earnings per share to Non-GAAP diluted earnings per share

Three Months Ended December 31, 2024	Diluted Earnings Per Share
GAAP Results	$	0.55
Plus: Special Items(1)
Acima acquired assets depreciation and amortization		0.21
Legal matters		0.06
Transaction Fees		0.05
Accelerated stock compensation		0.02
Discrete income tax items		0.16
Non-GAAP Adjusted Results	$	1.05
(1) Additional details of Special items are included in Table 6 (Reconciliation of Net Earnings (Loss) to Net Earnings Excluding Special Items and Non-GAAP Diluted Earnings Per Share) of the fourth quarter 2024 earnings release dated February 20, 2025, which can be found on the Company's investor relations website as noted above.

Year Ended December 31, 2024	Diluted Earnings Per Share
GAAP Results	$	2.21
Plus: Debt refinancing fees		0.08
Plus: Special Items(1)
Acima acquired assets depreciation and amortization		0.82
Legal matters		0.22
Acima equity consideration vesting		0.11
Accelerated software depreciation		0.08
Asset Impairments		0.08
Accelerated stock compensation		0.06
Transaction Fees		0.05
Other		0.02
Discrete income tax items		0.10
Non-GAAP Adjusted Results	$	3.83
(1) Additional details of Special items are included in Table 8 (Reconciliation of Net Earnings (Loss) to Net Earnings Excluding Special Items and Non-GAAP Diluted Earnings Per Share) of the fourth quarter 2024 earnings release dated February 20, 2025, which can be found on the Company's investor relations website as noted above.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250220969364/en/

Jeff Chesnut

SVP Strategy & Corporate Development

972-801-1108

jeff.chesnut@upbound.com

Source: Upbound Group, Inc.

FAQ

What were Upbound Group's Q4 2024 revenue and earnings?

Upbound Group reported total revenue of $1,079 million and GAAP diluted EPS of $0.55 for Q4 2024.

What was Upbound Group's full-year 2024 revenue?

Upbound Group achieved total revenue of $4.3 billion for the full year 2024.

What is Upbound Group's non-GAAP diluted EPS for Q4 2024?

Upbound Group's non-GAAP diluted EPS for Q4 2024 was $1.05.

How does Upbound Group's GAAP EPS compare to non-GAAP EPS for 2024?

Upbound Group's GAAP EPS for 2024 was $2.21, while its non-GAAP EPS was $3.83.

What brands does Upbound Group operate?

Upbound Group operates brands such as Acima®, Brigit™, and Rent-A-Center®.

Where can I find Upbound Group's detailed financial results?

Detailed financial results are available on Upbound's investor relations website.