UPBD

Upbound Group, Inc. reported its second‑quarter 2026 results, with revenue of US$1,163.43 million and net income of US$21.58 million, alongside higher earnings per share from continuing operations than a year earlier. The company also narrowed its full‑year 2026 consolidated revenue outlook to US$4.70–US$4.85 billion and issued third‑quarter guidance of US$1.05–US$1.15 billion, giving investors a clearer picture of expected performance. We’ll now examine how the stronger year‑over‑year net income and tightened full‑year revenue guidance affect Upbound Group’s investment narrative. This technology could replace computers: discover 26 stocks that are working to make quantum computing a reality. To own Upbound Group, you need to believe in its lease to own model, Acima’s merchant driven growth and ongoing tech investments, while accepting regulatory and credit risk. The latest quarter’s higher net income and tighter revenue guidance help support the near term earnings catalyst, but do not fundamentally change the central risk around legal and regulatory uncertainty, including the ongoing CFPB related lawsuit and how it could influence future costs and flexibility. The most relevant recent announcement here is the company’s narrowed full year 2026 revenue outlook of US$4.70–US$4.85 billion, alongside third quarter guidance of US$1.05–US$1.15 billion. This updated range frames how investors might weigh catalysts such as technology and e commerce investments against risks like intensifying competition and credit quality, since management has now provided a more precise revenue yardstick against which these factors will be judged. Yet the real issue investors should be aware of is how tighter guidance interacts with potential regulatory fallout and... Read the full narrative on Upbound Group (it's free!) Upbound Group's narrative projects $5.3 billion revenue and $320.5 million earnings by 2029. This requires 4.0% yearly revenue growth and about a $236 million earnings increase from $84.2 million today. Uncover how Upbound Group's forecasts yield a $28.50 fair value, a 42% upside to its current price. Before this report, the most optimistic analysts were penciling in revenue around US$5.6 billion and sharply higher earnings, which is far more bullish than the cautious narrative around regulatory strain and credit losses that could now look different after these results. Explore 3 other fair value estimates on Upbound Group - why the stock might be worth just $28.25! Don't just follow the ticker - dig into the data and build a conviction that's truly your own. A great starting point for your Upbound Group research is our analysis highlighting 3 key rewards and 3 important warning signs that could impact your investment decision. Our free Upbound Group research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Upbound Group's overall financial health at a glance. Every day counts. These free picks are already gaining attention. See them before the crowd does: Capitalize on the AI infrastructure supercycle with our selection of the 56 best 'picks and shovels' of the AI gold rush converting record-breaking demand into massive cash flow. Outshine the giants: these 16 early-stage AI stocks could fund your retirement. Uncover the next big thing with 19 elite penny stocks that balance risk and reward. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include UPBD. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Upbound Group, Inc. UPBD emphasized portfolio discipline, cash generation and digital expansion during its second-quarter 2026 earnings call as management balanced softer consumer demand with improving risk metrics. The company maintained its EBITDA and EPS outlook while narrowing revenue expectations, citing continued pressure on discretionary spending and a more conservative underwriting approach. Upbound reported second-quarter non-GAAP earnings per share of $1.07, matching the Zacks Consensus Estimate. Revenues of $1.16 billion surpassed the consensus estimate of $1.15 billion by 0.70%. Upbound Group, Inc. price-consensus-eps-surprise-chart | Upbound Group, Inc. Quote CEO Fahmi Karam said the quarter reflected continued execution across the company’s three complementary brands, with management prioritizing customer relationships, shared capabilities and long-term operating efficiency. Karam highlighted investments in AI, shared data platforms and personalized customer experiences. The company is applying AI across underwriting, customer communications, account management, collections and marketing initiatives. Brigit remained a major growth driver, with second-quarter revenues increasing 37% year over year to $71.1 million. Paying users reached 1.72 million, up 30.2% year over year, while average monthly revenue per user increased 6.3% to $14.30. Management said Brigit’s growth was supported by subscription expansion, stronger engagement and higher expedited transfer revenues. Adjusted EBITDA reached $11.8 million, representing a 16.6% margin. During Q&A, a Raymond James analyst asked about marketing investments and expected returns. Karam said the company was pleased with subscriber growth and viewed marketing spending as supportive of customer lifetime value. CFO Hal Khouri added that strong product demand could lead to additional marketing investment later in the year. Acima faced pressure from underwriting actions, cybersecurity-related losses and weaker discretionary consumer demand. Revenues declined 2.5% year over year to $603.5 million, while gross merchandise volume declined 10.7%. Karam said certain customer information obtained without authorization contributed to approximately $13 million in fraudulent lease-to-own contract losses during the quarter. The company implemented enhanced authentication controls, fraud monitoring and other security measures. Despite lower volume, Acima improved portfolio quality. Lease charge-offs declined 50 basis points year over year to 8.8%, while adjusted EBITDA increased 5.1% to $98 million and adjusted EBITDA margin expanded to 16.2%. Rent-A-Center delivered its third consecutive quarter of positive same-store sales growth, with company-owned same-store sales increasing 1.6% year over year. The segment continued optimizing its footprint, closing 69 underperforming stores during the quarter while consolidating customer accounts into nearby locations. Management said additional evaluations of the store network will continue. The company also expanded its Amazon partnership, deploying package pickup and return capabilities across approximately 1,500 corporate-owned stores. Karam said the initiative has increased store traffic and improved brand awareness. UPBD reaffirmed full-year adjusted EBITDA guidance of $500 million to $535 million, and non-GAAP EPS guidance of $4.00 to $4.35. The company narrowed full-year revenue guidance to $4.70 billion to $4.85 billion. For the third quarter, management expects revenues of $1.05 billion to $1.15 billion, adjusted EBITDA of $105 million to $115 million, and non-GAAP EPS of $0.85 to $0.95. CFO Hal Khouri said free cash flow expectations were raised to approximately $250 million for the year. The company generated $123 million in operating cash flow and $84 million in free cash flow during the quarter while continuing to reduce leverage. A KeyBanc analyst questioned whether continued consumer pressure could require additional underwriting tightening. Karam said the company already maintains a conservative posture and remains focused on balancing margin, risk and volume. Management said discretionary spending remains pressured, particularly for larger durable goods, while need-based categories have shown more resilience. CFO Khouri noted increased demand shifts toward computers, electronics and tablets within Rent-A-Center. UPBD continues working toward greater integration among Acima, Brigit and Rent-A-Center, using shared customer data and analytics to improve personalization, underwriting and customer lifetime value. UPBD carries a Zacks Rank #3 (Hold), indicating that the stock currently has a neutral ranking based on earnings estimate revisions. The Zacks Rank can change as analysts update their estimates following the latest results. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. The stock has a Value Score of A, Growth Score of A, Momentum Score of D and VGM Score of A. Zacks Style Scores complement the Zacks Rank by evaluating characteristics such as value, growth and momentum, with higher scores reflecting stronger traits within each investment style. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Upbound Group, Inc. (UPBD) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Get insights on thousands of stocks from the global community of over 7 million individual investors at Simply Wall St. Upbound Group (UPBD) drew attention on 30 July 2026 after reporting second quarter results with net income of $21.58 million and diluted EPS of $0.37, alongside updated full year and third quarter revenue guidance. See our latest analysis for Upbound Group. The earnings update follows a mixed price pattern for Upbound Group. The 1 day share price return is down 3.96%, and the 7 day and 30 day share price returns are also lower. However, the 90 day share price return of 4.85%, year to date share price return of 15.97%, and 1 year total shareholder return of 5.72% indicate momentum that has been recovering over the shorter term, despite weaker 3 year and 5 year total shareholder returns. If this earnings report has you thinking about what else might be moving, it could be a good time to broaden your search and check out 19 top founder-led companies Given Upbound Group’s stronger recent returns but weaker multi-year record, the key issue now is whether the current valuation still offers enough upside for the risk involved or if most of the easy reward is already reflected in the price. Upbound Group's most followed narrative points to a fair value of $28.50 per share compared with the latest close at $20.12, which sets up a sizeable gap that this earnings update may help investors reassess. Read the complete narrative. Curious what sits behind that gap between price and fair value for Upbound Group? The narrative leans heavily on revenue traction, margin rebuild and a lower future earnings multiple. The full story ties those moving pieces into one valuation roadmap. Result: Fair Value of $28.50 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, you still need to weigh risks for Upbound Group, including the Acima lawsuit and any economic downturn that could increase lease charge offs and delinquencies. Find out about the key risks to this Upbound Group narrative. If the mixed picture on Upbound Group has you undecided, do not wait for others to set the narrative. You can weigh the trade off yourself using 3 key rewards and 4 important warning signs If Upbound Group has sparked new questions, do not stop here. Fresh ideas often come from comparing different types of stocks and business models side by side. Target income potential with companies that aim to combine strong yields and resilience through 8 dividend fortresses. Hunt for quality at a sensible price by scanning 56 high quality undervalued stocks that pair fundamentals with appealing valuations. Strengthen the defensive side of your portfolio by reviewing 89 resilient stocks with low risk scores that score well on stability and risk controls. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include UPBD. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email [email protected]

Upbound Group, Inc. UPBD reported second-quarter 2026 adjusted earnings of $1.07 per share, down 4.5% year over year and in line with the Zacks Consensus Estimate. Revenues increased 0.5% to $1.16 billion, surpassing the consensus mark by 0.1%.Second-quarter results reflected resilient execution despite a softer consumer spending environment. Brigit maintained strong subscriber and revenue growth, Acima continued to benefit from disciplined underwriting and improving credit trends, while Rent-A-Center delivered its third consecutive quarter of positive same-store sales. The company generated robust cash flow and strengthened its balance sheet. During the quarter, Rent-A-Center expanded its customer services by launching Amazon package pickup and return services at 1,500 stores nationwide, while Brigit entered into a partnership with Experian to enhance its financial wellness platform. However, citing softer consumer demand, management narrowed its fiscal 2026 revenue guidance while reaffirming the adjusted EBITDA and earnings per share outlook. Upbound Group, Inc. price-consensus-eps-surprise-chart | Upbound Group, Inc. Quote Operating profit increased to $54.3 million from $50.7 million in the year-ago quarter, while the operating margin expanded 30 basis points to 4.7%. Net earnings rose 39.4% year over year to $21.6 million, lifting the net profit margin to 1.9% from 1.3%.Adjusted EBITDA declined 4.6% year over year to $127 million, with the adjusted EBITDA margin contracting 60 basis points to 10.9%. Earnings per share improved to 37 cents from 26 cents in the prior-year quarter. Brigit continued to drive Upbound’s digital expansion with strong subscriber growth and higher monetization. Segment revenues increased 37.1% year over year to $71.1 million and topped the Zacks Consensus Estimate of $65 million. Paying subscribers climbed 30.2% year over year to 1.72 million, while average monthly revenue per user (ARPU) rose 6.3% to $14.30, supported by greater adoption of Brigit’s Premium subscription tier, stronger marketplace engagement and higher expedited transfer revenues. However, the net advance loss rate increased 100 basis points to 3.6%.The segment remained profitable despite higher credit costs. Brigit generated net earnings of $7.5 million, representing a 10.6% net profit margin. Adjusted EBITDA totaled $11.8 million, with an adjusted EBITDA margin of 16.6%. Acima delivered resilient profitability despite softer demand and continued underwriting discipline. Segment revenues declined 2.5% year over year to $603.5 million, while gross merchandise volume decreased 10.7% to $466.2 million. The Zacks Consensus Estimate for the Acima segment’s revenues was pegged at $594 million for the quarter. Acima's lease charge-off rate declined 50 basis points year over year to 8.8%. The segment generated net earnings of $73.4 million, down 10.4% year over year. The net profit margin declined 100 basis points year over year to 12.2%. Adjusted EBITDA increased 5.1% year over year to $98 million, with the adjusted EBITDA margin expanding 117 basis points to 16.2%. Rent-A-Center continued to post positive comparable sales despite modest revenue pressure. Company-owned same-store sales increased 1.6% year over year, while average portfolio value per store rose 4% to approximately $81,000. Segment revenues edged down 0.2% year over year to $466.4 million. The Zacks Consensus Estimate for the Rent-A-Center segment’s revenues was pegged at $464 million for the quarter.Profitability moderated from the prior-year period. Net earnings declined 13.2% year over year to $54.7 million, while adjusted EBITDA decreased 7.6% to $63.2 million. Lease charge-offs for company-owned stores increased 30 basis points year over year to 5%. The Mexico segment continued to deliver strong growth, with revenues increasing 14.4% year over year to $22.4 million and beating the consensus estimate of $20.2 million. Adjusted EBITDA was $0.4 million in the second quarter. The company ended the second quarter of 2026 with cash and cash equivalents of $105.3 million compared with $106.8 million in the year-ago quarter. Net debt was $1.33 billion at the end of the second quarter.Net cash provided by operating activities totaled $123.3 million in the second quarter compared with $26.1 million in the prior-year period. Free cash flow improved significantly to $84 million. Capital expenditures were $15.5 million, while dividend payments totaled $22.9 million.Management highlighted continued deleveraging and robust liquidity. Liquidity stood at approximately $487 million at quarter-end, while the net leverage ratio improved to 2.6x from 2.9x at fiscal 2025-end, moving closer to the company's long-term target of 2x. UPBD also maintained its quarterly dividend at 39 cents per share, or $1.56 annualized, while continuing to prioritize debt reduction, investments in the business and shareholder returns. Upbound reaffirmed its fiscal 2026 adjusted EBITDA and earnings guidance while narrowing the revenue outlook to reflect softer consumer demand. The company now expects fiscal 2026 revenues of $4.70-$4.85 billion compared with its prior outlook of $4.70-$4.95 billion. It continues to expect adjusted EBITDA of $500-$535 million and adjusted earnings per share of $4.00-$4.35.For the third quarter of fiscal 2026, management projects revenues to be in the range of $1.05-$1.15 billion. Adjusted EBITDA is expected in the range of $105-$115 million, while adjusted earnings per share are anticipated between 85 cents and 95 cents.Management said it remains focused on reinforcing underwriting discipline while investing in artificial intelligence, shared data platforms and a more connected, personalized customer experience to improve operating efficiency and support long-term profitable growth. The company reiterated its capital allocation priorities of investing in the business, strengthening the balance sheet and returning capital to shareholders while maintaining financial flexibility. UPBD Stock Past Three-Month Performance Image Source: Zacks Investment Research Shares of this Zacks Rank #3 (Hold) company have risen 11.5% over the past three months mostly in line with the industry’s growth. Genesco Inc. GCO is a Nashville-based specialty retailer and branded company. It sells footwear and accessories through retail stores. The company sports a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.The Zacks Consensus Estimate for Genesco’s current fiscal-year earnings indicates growth of 55.2% from the year-ago actuals. GCO delivered a trailing four-quarter average earnings surprise of 3.8%.Tilly's, Inc. TLYS is a specialty retailer in the action sports industry selling clothing, shoes and accessories. The company also flaunts a Zacks Rank #1 at present. The Zacks Consensus Estimate for Tilly's current fiscal-year sales indicates growth of 4.9% from the year-ago actuals. TLYS delivered a trailing four-quarter average earnings surprise of 155.3%. Designer Brands Inc. DBI designs, produces and retails footwear and accessories. It offers shoes, boots, sandals, sneakers, socks, handbags and accessories. It currently carries a Zacks Rank #2 (Buy).The Zacks Consensus Estimate for Designer Brands’ current fiscal-year earnings and sales implies growth of 137.5% and 0.5%, respectively, from the year-ago actuals. DBI delivered a trailing four-quarter average earnings surprise of 112.8%. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Upbound Group, Inc. (UPBD) : Free Stock Analysis Report Genesco Inc. (GCO) : Free Stock Analysis Report Tilly's, Inc. (TLYS) : Free Stock Analysis Report Designer Brands Inc. (DBI) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

This article first appeared on GuruFocus. Release Date: July 30, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Bridget revenue grew 37% year-over-year, with paying subscribers up 30% to 1.7 million. Acima lease charge-offs improved 50 basis points year-over-year to 8.8%, reflecting better portfolio quality. Rent-A-Center same-store sales grew 1.6% for the third consecutive quarter, showing resilience. Free cash flow surged to $84 million from $10 million a year ago, driven by strong operating cash generation. Leverage ratio improved to 2.6x from 2.9x at year-end 2025, with a target of 2x long-term. Acima GMV fell 11% year-over-year due to underwriting tightening, cyber incidents, and macro headwinds. Cybersecurity incidents led to $13 million in fraudulent contract losses in the Acima segment. Rent-A-Center adjusted EBITDA declined 8% year-over-year due to store optimization costs and higher fixed expenses. Consolidated adjusted EBITDA fell to $127 million from the prior year, pressured by marketing timing and fixed costs. Macroeconomic pressures on non-prime consumers dampened demand for large-ticket discretionary items like furniture. Here are the key highlights from the Upbound Group Inc (NASDAQ:UPBD) Q2 2026 earnings call, focusing on the most significant Q&A exchanges. Warning! GuruFocus has detected 7 Warning Signs with UPBD. Is UPBD fairly valued? Test your thesis with our free DCF calculator. Q: Can you unpack the drivers of the implied EBITDA inflection in Q4, which seems to be needed to hit the full-year guidance midpoint? Is it driven by easier comparisons or other factors? A: (Hal, CFO) Yes, there is definitely seasonality at play, particularly with a ramp-up in GMV in the ASEA segment and movement in Rent-A-Center in Q4. We also see the benefits of the tightening actions we took this past quarter creating an inflection point. Additionally, strong gross profit performance and improving lease charge-offs, along with managing the timing of expenses, support the outlook. We feel good about the trajectory, though there is some oscillation from Q2 to Q4. Q: Given the elevated gas prices and other inflationary pressures on the consumer, what are the potential risks to the business in the second half, and do you foresee the need for more underwriting tightening? A: (Sammy, CEO) We are very mindful of the uncertain macro environment and sticky inflation. However, our outlook already contemplates a conservative underwriting posture for the remainder of the year. We feel very strong about portfolio health, highlighted by ASEAs 50 basis point improvement in charge-offs and stable delinquencies across all businesses. We are dialed in and will adjust as needed, but we are currently trading margin for volume and will continue to do so until things improve. Q: Regarding the marketing investments in Bridget, what is the ROI and payback period you are targeting for these investments? A: (Sammy, CEO) We are very pleased with Q2s performance, with revenue up 37% and subscriber growth of 30%. The EBITDA contribution was at the high end of our expectations. The current environment is very conducive to our marketing campaigns due to the liquidity needs of the non-prime consumer, making it a very positive LTV spend. (Hal, CFO) We are seeing extremely strong demand for the product, and we may contemplate additional investment in the back end of the year if performance continues. Q: Can you break down the contribution of the various headwinds (macro weakness, underwriting tightening, cyber incident) to the 11% GMV decline in ASEA, and when each of these headwinds might lap? A: (Sammy, CEO) Its a combination of all three factors. Without the cyber incident, we would have been down closer to Q1s mid-single-digit level. The jewelry category is more impacted by our underwriting tightening, while furniture is more geared toward the macro environment. We are trading risk-adjusted margin for volume, and having losses now below 9% is a real positive. We will take the margin over chasing volume for now. Q: What was the EBITDA drag from the 69 Rent-A-Center stores that were closed, and what is the process for determining the right number of future store closures? A: (Sammy, CEO) We didn't announce the specific EBITDA contribution, but the optimization will be a net positive on a pro forma basis. The first phase of 69 stores was "good hygiene" that we do from time to time. More broadly, we are using new digital capabilities and AI to take a fresh look at optimizing the Rent-A-Center footprint to get EBITDA margins back into the mid-to-high teens. Q: The EBITDA guidance was maintained, but free cash flow guidance was increased by $50 million. What are the pieces that get you to that additional $50 million? A: (Hal, CFO) The main driver is working capital. The compression in top-line and GMV, combined with very strong credit performance, has reduced the need for working capital. We have been experiencing very strong operating cash flow and feel pretty confident around that incremental $50 million. Q: Can you provide an update on the cross-brand initiatives and what you are doing to drive consumers across the businesses? A: (Sammy, CEO) We are very pleased with the progress on integrating Bridget and the cross-sell opportunities. We are focusing on connecting customer data and shared platforms across all three businesses to create a seamless customer experience. The goal is to use Bridgets cash flow insights as a customer hub to improve personalization, underwriting, and ultimately increase lifetime value per customer. Q: Are you seeing any changes in customer behavior or green shoots in specific product categories? A: (Sammy, CEO) At ASEA, all categories were pressured, especially furniture due to macro headwinds. Rent-A-Center, being more need-based, benefited with same-store sales up 1.6%. We are seeing a shift in demand at Rent-A-Center towards computers, electronics, and tablets, which has picked up nicely. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Upbound Group, Inc.? Here are five stocks we like better. Upbound Group’s second-quarter results were within guidance: revenue rose modestly to $1.2 billion, while adjusted EBITDA declined to $127 million and non-GAAP EPS fell about 4% to $1.70. Operating cash flow increased sharply to $123 million, and free cash flow improved to $84 million. Acima faced cybersecurity-related fraud and weaker discretionary demand, contributing to an 11% decline in GMV and approximately $13 million in elevated fraudulent contract losses. However, tighter underwriting improved credit performance, with charge-offs falling to 8.8% and adjusted EBITDA rising 5%. Upbound narrowed its full-year revenue outlook to $4.7 billion-$4.85 billion while reaffirming adjusted EBITDA and EPS guidance, but raised free cash flow guidance to approximately $250 million. Brigit remained a growth driver, with revenue up 37% and paying users up 30% year over year. Top 3 High-Yield Stocks with Strong Analyst Ratings Upbound Group (NASDAQ:UPBD) reported second-quarter 2026 results that were within its guidance, as improved portfolio performance and cash generation helped offset pressure on consumer demand, particularly for discretionary durable goods. Chief Executive Officer Fahmi Karam said the company’s risk management and underwriting actions supported cash flow, debt reduction and progress on strategic initiatives despite a challenging economic backdrop for non-prime consumers. Consolidated revenue totaled $1.2 billion, modestly higher than the prior year, while adjusted EBITDA declined year over year to $127 million. Non-GAAP diluted earnings per share were $1.70, down about 4% from the prior-year quarter. → Why SK hynix Could Be the Best AI Chip Stock to Buy Now 5 Top-Rated Dividend Stocks With Double-Digit Upside Operating cash flow rose sharply. Net cash provided by operating activities was $123 million, compared with $26 million a year earlier, while free cash flow was $84 million, compared with negative $10 million in the prior-year period. Karam said the company experienced cybersecurity incidents during the second quarter in which certain non-sensitive customer information and other documents were obtained without authorization. The company believes some of the information was subsequently used to facilitate fraudulent lease-to-own agreements. → 3 Value ETFs to Consider as Growth Stocks Lag Behind The incidents resulted in approximately $13 million of elevated fraudulent contract losses in the Acima segment during the quarter. Upbound has begun remediation efforts, including enhanced authentication controls, additional fraud detection and monitoring capabilities, and other security improvements. The company also notified federal law enforcement. Karam said the investigation remains ongoing, but Upbound does not expect a material impact from the incidents. Acima’s gross merchandise volume, or GMV, declined about 11% year over year to approximately $466 million, while revenue fell 2.5% to $604 million. Management attributed the decline to deliberate underwriting tightening, the cybersecurity incidents and weaker demand for discretionary categories such as furniture and appliances. → 5 AI Stocks Are Pulling Back—Which Growth Catalysts Still Look Strongest? Despite lower volume, Acima’s credit results improved. Lease charge-offs declined 50 basis points year over year to 8.8%, while adjusted EBITDA rose about 5% to $98 million. The segment’s adjusted EBITDA margin increased 117 basis points to 16.2%. Karam said the company is prioritizing risk-adjusted margin over volume in the current environment. He added that Acima has new merchant agreements in its pipeline and expects GMV to return to year-over-year growth during the fourth quarter. Acima’s checkout button with Wayfair is now live, according to the company. Financial wellness and liquidity platform Brigit posted revenue of $71 million, up 37% from a year earlier. Paying users reached approximately 1.7 million at quarter-end, an increase of about 30% year over year. Monthly average revenue per user increased 6.3% to $14.30, supported by a greater mix of premium-tier customers, marketplace engagement and optional expedited-transfer revenue. Brigit’s net advance loss rate was approximately 3.6%, consistent with recent quarters, and it generated roughly $11.8 million of adjusted EBITDA. Chief Financial Officer Hal Khouri said the company increased advertising and marketing spending to support subscriber growth, and that returns on the investment remained positive based on customer lifetime value. Karam said demand for Brigit’s products has exceeded expectations and the company may consider additional marketing investment later in the year. Brigit also entered a multiyear partnership with Experian in May to offer its earned wage access product to Experian Money Plus members. Karam said the relationship expands Brigit beyond its direct-to-consumer model and adds a new distribution and revenue channel. The company is also continuing a pilot of its line-of-credit product, which management said has seen strong demand. Rent-A-Center recorded its third consecutive quarter of same-store sales growth, with same-store sales increasing 1.6% year over year. Segment revenue was $466 million, and average portfolio value per store rose approximately 3.5% from a year earlier. Lease charge-offs were approximately 5%, up 30 basis points year over year but within the company’s expected range. Adjusted EBITDA fell about 8% to $63 million amid inflationary expenses and higher fixed costs. During the quarter, the company closed 69 underperforming Rent-A-Center stores and merged customer accounts into nearby locations. Karam said the initial optimization effort was intended to improve efficiency while limiting revenue disruption. He said the company will continue evaluating its store footprint, using digital capabilities and market-level operating models to improve profitability. Rent-A-Center has also completed deployment of its Amazon order pickup and returns partnership across approximately 1,500 corporate-owned locations. Karam said the program has driven increased store traffic and brand awareness, though the initiative is still in its early stages. Upbound narrowed its full-year revenue outlook to between $4.7 billion and $4.85 billion, reflecting second-quarter results, lower durable-goods demand and continued underwriting discipline. The company reaffirmed its adjusted EBITDA guidance of $500 million to $535 million and non-GAAP diluted EPS outlook of $4.00 to $4.35. Full-year free cash flow guidance increased to approximately $250 million from $200 million. Acima expects 2026 GMV and revenue to be flat to down low single digits year over year, with losses stabilizing below 9% for the year. Brigit continues to expect annual revenue growth above 30%, with revenue of $265 million to $285 million and adjusted EBITDA of $50 million to $60 million. Rent-A-Center expects full-year revenue to be flat to down low single digits, while adjusted EBITDA margin is expected to remain relatively flat from 2025. For the third quarter, Upbound expects revenue of $1.05 billion to $1.15 billion, adjusted EBITDA of $105 million to $115 million, and non-GAAP diluted EPS of $0.85 to $0.95. Management expects Acima GMV to improve sequentially but remain down low to mid-single digits year over year before returning to growth in the fourth quarter. The company ended the quarter with approximately $487 million of liquidity, net debt of about $1.3 billion and leverage of 2.6 times trailing-12-month adjusted EBITDA, down from 2.9 times at the end of 2025. Upbound paid a quarterly dividend of $0.39 per share, or approximately $23 million, during the quarter. Upbound Group, Inc leases household durable goods to customers on a lease-to-own basis in the United States, Puerto Rico, and Mexico. It operates through four segments: Rent-A-Center, Acima, Mexico, and Franchising. The company's brands, such as Rent-A-Center and Acima that facilitate consumer transactions across a range of store-based and virtual channels. It offers furniture comprising mattresses, tires, consumer electronics, appliances, tools, handbags, computers, smartphones, and accessories. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Upbound Group Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for July 2026.

Upbound Group (UPBD) came out with quarterly earnings of $1.07 per share, in line with the Zacks Consensus Estimate . This compares to earnings of $1.12 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this company that leases furniture and appliances with an option to buy would post earnings of $1.06 per share when it actually produced earnings of $1.08, delivering a surprise of +1.89%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Upbound Group, which belongs to the Zacks Financial - Leasing Companies industry, posted revenues of $1.16 billion for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 0.74%. This compares to year-ago revenues of $1.16 billion. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Upbound Group shares have added about 19.3% since the beginning of the year versus the S&P 500's gain of 6.9%. While Upbound Group has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Upbound Group was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.98 on $1.19 billion in revenues for the coming quarter and $4.15 on $4.81 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Financial - Leasing Companies is currently in the top 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the broader Zacks Finance sector, Crescent Capital BDC (CCAP), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 10. This company is expected to post quarterly earnings of $0.37 per share in its upcoming report, which represents a year-over-year change of -19.6%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Crescent Capital BDC's revenues are expected to be $36.99 million, down 14% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Upbound Group, Inc. (UPBD) : Free Stock Analysis Report Crescent Capital BDC, Inc. (CCAP) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

PLANO, Texas, July 30, 2026--(BUSINESS WIRE)--Upbound Group, Inc. (the "Company" or "Upbound") (NASDAQ:UPBD) today announced results for the quarter ended June 30, 2026. 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, Fahmi Karam, Chief Executive Officer, and Hal Khouri, Chief Financial Officer, will host a conference call to review the Company’s financial results. Interested parties can access a live webcast of the conference call via this link (Webcast Link) or through the Company's investor relations website. Second Quarter 2026 Highlights1 Consolidated Results All Within Guided Ranges: Consolidated revenue of approximately $1.2 billion. Brigit Continues Strong Momentum: Brigit revenue increased 37% year-over-year to $71 million, supported by approximately 30% growth in paying subscribers2 to 1.7 million and a 6.3% increase in ARPU3 to $14.30. Acima Delivers Improved Portfolio Quality: Acima generated $604 million of revenue, down approximately 2.5% year-over-year, but saw lease charge-off rate4 improve 50 basis points year-over-year to 8.8% and EBITDA margin expanded 117 basis points to 16.2%. Rent-A-Center Achieves Third Consecutive Quarter of Same-Store Sales Growth: Same store sales5 increased approximately 160 basis points year-over-year, while achieving $466 million in revenue. Robust Cash Flow Generation: Net cash provided by operating activities of approximately $123 million, while increasing free cash flow to $84 million. 2026 Outlook: Full-year consolidated revenue range narrowed to $4.70–$4.85 billion. Adjusted EBITDA6 range of $500–$535 million and non-GAAP diluted EPS6 range of $4.00–$4.35 reaffirmed. For the third quarter of 2026, the Company expects consolidated revenue of $1.05–$1.15 billion, Adjusted EBITDA6 of $105–$115 million, and non-GAAP diluted EPS6 of $0.85–$0.95. 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 in 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. Forward-Looking Statements This release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, including, among others, statements regarding our 2026 financial guidance, future same store sales expectations and other statements regarding our future outlook. Such forward-looking statements generally can be identified by the use of forward-looking terminology such as "may," "will," "expect," "intend," "could," "estimate," "predict," "continue," "maintain," "should," "anticipate," "believe," or "confident," or the negative thereof or variations thereon or similar terminology. Such forward-looking statements are based on particular assumptions that our management has made in light of its experience and its perception of expected future developments and other factors that it believes are appropriate under the circumstances, and are subject to various risks and uncertainties. Factors that could cause or contribute to material and adverse differences between actual and anticipated results include, but are not limited to, (1) the general strength of the economy and other economic conditions affecting consumer preferences, spending and payment behaviors, including the availability of credit to the Company's target consumers and to other consumers, impacts from continued inflation, central bank monetary policy initiatives to address inflation concerns and a possible recession or slowdown in economic growth, (2) risks described in our full second quarter 2026 earnings release and related materials, and (3) the other risks detailed from time to time in the reports filed by us with the Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended December 31, 2025, and our Quarterly Reports on Form 10-Q for the quarters ended March 31, 2026, and June 30, 2026, as well as subsequent Quarterly Reports on Form 10-Q or Current Reports on Form 8-K. You are cautioned not to place undue reliance on forward-looking statements, which speak only as of the date of this release. Except as required by law, we are not obligated to, and do not undertake to, publicly release any revisions to these forward-looking statements to reflect any events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Non-GAAP Financial Measures This release contains 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), (2) Adjusted EBITDA (net earnings before interest, taxes, stock-based compensation, depreciation and amortization, as adjusted for special items) on a consolidated basis, and (3) Free Cash Flow (net cash provided by operating activities less capital expenditures and customer cash advances). "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, for historical items, are reported as Other Gains and Charges in our Consolidated Statements of Operations. 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 forecasted non-GAAP measures 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. View source version on businesswire.com: https://www.businesswire.com/news/home/20260730780634/en/ Contacts Upbound Investor Relations: [email protected] 972-801-1103