Upbound Group Reports 7.5% Revenue Growth to $1.16 Billion in Q2 2025

Upbound Group, Inc. reported its financial results for the second quarter of 2025, revealing a total revenue of $1.16 billion, a 7.5% increase from $1.08 billion in the same period last year. The growth was primarily driven by a significant contribution from the newly acquired Brigit segment, which generated $51.9 million in revenue, and a $66.2 million increase in the Acima segment. However, the Rent-A-Center segment experienced a decline, with revenues decreasing by approximately $35.7 million, resulting in total revenues for the six months ended June 30, 2025, reaching $2.33 billion, up from $2.17 billion in the prior year.

Net earnings for the second quarter were reported at $15.5 million, down 54.4% from $33.9 million in the same quarter of 2024. For the first half of 2025, net earnings totaled $40.3 million, a decrease of 34.7% compared to $61.6 million in the previous year. The decline in profitability was attributed to increased operating expenses, particularly in legal matters and general administrative costs, which rose significantly due to the Brigit acquisition and ongoing legal challenges.

Strategically, Upbound Group completed the acquisition of Brigit on January 31, 2025, for approximately $395.4 million, which included cash and stock considerations. This acquisition is expected to enhance Upbound's offerings in financial health technology, providing tools for budgeting, credit building, and identity theft protection. The integration of Brigit is anticipated to contribute positively to the company's growth trajectory, although the company is still in the process of finalizing the integration and assessing its impact on financial performance.

Operationally, the company reported a cash flow from operations of $145.6 million for the first half of 2025, a significant increase from $60.5 million in the same period last year. The company ended the quarter with $106.8 million in cash and cash equivalents and outstanding debt of $1.6 billion. The total number of shares outstanding increased to 128.9 million, reflecting the issuance of shares related to the Brigit acquisition. Looking ahead, Upbound Group remains focused on leveraging its data analytics capabilities and expanding its market presence, particularly in the e-commerce space, while navigating the challenges posed by macroeconomic conditions and ongoing legal matters.