Pagaya Technologies

Pagaya Technologies (PGY) Q1 2026 Earnings

Reported May 7, 2026 at 7:02 AM ET · SEC Source

Q1 26 EPS

$0.73

BEAT +29.43%

Est. $0.56

Q1 26 Revenue

$317.9M

MISS 1.82%

Est. $323.8M

vs S&P Since Q1 26

+30.2%

BEATING MARKET

PGY +35.8% vs S&P +5.7%

Market Reaction

Did PGY Beat Earnings? Q1 2026 Results

Pagaya Technologies delivered a strong first-quarter beat in fiscal 2026, posting earnings per share of $0.73 against a consensus estimate of $0.56, a 30.36% positive surprise, as revenue climbed 12.5% year-over-year to $317.94 million. The outperfor… Read more Pagaya Technologies delivered a strong first-quarter beat in fiscal 2026, posting earnings per share of $0.73 against a consensus estimate of $0.56, a 30.36% positive surprise, as revenue climbed 12.5% year-over-year to $317.94 million. The outperformance was anchored by accelerating momentum in the Auto vertical, which reached an annualized run-rate of $2.30 billion, alongside a 130% surge in interest income to $17.67 million that bolstered total revenue and other income. Operating income rose 68% to $80.00 million as network volume grew 9% to $2.62 billion, with Auto and Point-of-Sale verticals leading the expansion. Adjusted EBITDA climbed 18% to $94.17 million, with margins widening to 30% from 27% a year ago. Looking ahead, management raised its full-year GAAP net income guidance to $110.00 million to $160.00 million, and guided Q2 revenue to $345.00 million to $365.00 million, signaling continued confidence in partner deepening and Auto vertical contributions through the remainder of the year.

Key Takeaways

  • Auto and Point-of-Sale vertical growth drove 9% YoY network volume increase (23% ex-SFR)
  • 130% growth in interest income reflecting continued growth in on-balance-sheet investments
  • Operating leverage with core operating expenses flat sequentially while FRLPC grew 5% YoY
  • Adjusted EBITDA margin expanded to 30% from 27% a year ago
  • Lower share-based compensation expense ($7.2M vs $13.2M YoY) contributed to operating efficiency
  • Deliberate shift toward higher-quality borrowers and tighter underwriting standards
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PGY YoY Financials

Q1 2026 vs Q1 2025, source: SEC Filings

“Our results this quarter demonstrate, once again, that at Pagaya, profitability and disciplined risk management are not in tension — they are the same strategy. As we expand our partner network and deepen product adoption, we are building the durable, through-the-cycle business that will bridge Wall Street and Main Street for the long run.”

— Gal Krubiner, Q1 2026 Earnings Press Release