Upbound Group, Inc. reported a significant increase in financial performance for the fiscal year ending December 31, 2024, with total revenues rising to $4.32 billion, an 8.2% increase from $3.99 billion in 2023. The company's gross profit also saw a modest increase of 2.9%, reaching $2.08 billion. The operating profit surged by 79.1% to $291.6 million, primarily driven by a substantial increase in revenues from the Acima segment, which rose by 17.1% to $2.26 billion. This growth was attributed to higher gross merchandise volume (GMV) and an expansion of third-party retailer locations.
In comparison to the previous fiscal period, Upbound's financial results reflect a recovery from the challenges faced in 2023, including a net loss of $5.2 million. The company reported net earnings of $123.5 million for 2024, marking a significant turnaround. The improvement in profitability was supported by a decrease in other gains and charges, which fell by over 51% to $104.6 million, and a reduction in operating labor expenses.
Strategically, Upbound Group completed the acquisition of Brigit, a financial health technology company, on January 31, 2025, for a total consideration of up to $460 million. This acquisition is expected to enhance Upbound's offerings in financial solutions, particularly for underserved consumers. The company also announced executive management changes, with Fahmi Karam set to succeed Mitchell E. Fadel as CEO in June 2025.
Operationally, Upbound Group's employee headcount stood at approximately 11,970 as of December 31, 2024, with a notable increase in customer engagement metrics. The Acima segment accounted for about 52% of total revenues, reflecting its critical role in the company's growth strategy. The Rent-A-Center segment, while experiencing a slight revenue decline, reported a 1.5% increase in same-store sales, indicating resilience in its customer base.
Looking ahead, Upbound Group anticipates continued growth driven by its strategic initiatives, including the integration of Brigit and enhancements to its technology platforms. However, the company remains cautious about macroeconomic conditions that could impact consumer spending and payment behaviors, which are critical to its business model. The management's outlook emphasizes a focus on leveraging data analytics and expanding e-commerce capabilities to adapt to changing market dynamics.
About UPBOUND GROUP, INC.
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