PROG Holdings Reports 22.3% Revenue Growth to $719.7 Million in Latest Quarter

PROG Holdings, Inc. reported significant financial developments in its latest 10-Q filing for the quarter ending June 30, 2026. The company achieved consolidated revenues of $719.7 million, marking a 22.3% increase from $588.5 million in the same period last year. This growth was primarily driven by the acquisition of Purchasing Power, which contributed $130.4 million in revenue. However, revenue from Progressive Leasing decreased by $19.8 million, attributed to a smaller gross leased asset balance and ongoing macroeconomic challenges affecting consumer demand.

The company's net earnings from continuing operations were $37.4 million, slightly down from $37.6 million in the prior year. The decline in earnings was influenced by a $4.8 million legal settlement expense and increased provisions for lease merchandise write-offs, which rose to 8.4% of revenue compared to 7.5% in the previous year. Additionally, the company faced higher interest expenses, which increased by 55.4% to $15.2 million, reflecting the impact of new debt incurred for the acquisition of Purchasing Power.

In terms of operational metrics, PROG Holdings reported a total active customer count of 786,802 for Progressive Leasing, a decrease attributed to reduced consumer demand. Conversely, the Four segment saw a significant increase in active customers, reaching 333,185, driven by the growth of its Buy Now, Pay Later (BNPL) offerings. The company also reported a gross merchandise volume (GMV) of $902 million across its segments, with Four contributing $315.1 million, a 110.6% increase year-over-year.

Strategically, PROG Holdings completed the acquisition of Purchasing Power on January 2, 2026, for $424.2 million in cash, which has been integrated into its financial results. The acquisition is expected to enhance the company's platform by broadening access to flexible payment options for consumers. The company also noted that it continues to navigate a challenging macroeconomic environment, characterized by inflation and rising costs, which have adversely affected consumer confidence and spending patterns.

Looking ahead, PROG Holdings anticipates that the integration of Purchasing Power will yield operational efficiencies and revenue synergies. However, the company remains cautious about the ongoing economic pressures that could impact its performance in the near term. The management emphasized the importance of monitoring customer payment trends and adjusting its decision-making processes to maintain a healthy lease portfolio while addressing the challenges posed by the current economic landscape.