Upstart

UPST Q1 2025 Earnings

Reported May 6, 2025 at 4:05 PM ET · SEC Source

Q1 25 EPS

$0.30

BEAT +75.85%

Est. $0.17

Q1 25 Revenue

$213.4M

BEAT +6.02%

Est. $201.3M

vs S&P Since Q1 25

-55.1%

TRAILING MARKET

UPST -24.4% vs S&P +30.7%

Market Reaction

Did UPST Beat Earnings? Q1 2025 Results

Upstart delivered a notably strong first quarter, with revenue of $213.37 million rising 54.0% year over year and comfortably clearing the $201.26 million consensus, while adjusted EPS of $0.30 beat the $0.17 estimate by 75.85%, reflecting a dramatic… Read more Upstart delivered a notably strong first quarter, with revenue of $213.37 million rising 54.0% year over year and comfortably clearing the $201.26 million consensus, while adjusted EPS of $0.30 beat the $0.17 estimate by 75.85%, reflecting a dramatic operational turnaround from the loss-heavy results of a year ago. The clearest driver behind the outperformance was a sharp rebound in loan origination volumes, with the AI lending marketplace facilitating $2.13 billion in originations, up 102% from the prior-year quarter, as conversion rates improved to 19.1% from 14.0% and 92% of loans were processed with no human involvement. Adjusted EBITDA swung to a positive $42.58 million from negative $20.34 million, and the GAAP net loss narrowed to just $2.45 million from $64.60 million a year earlier. A Bank of America upgrade citing improved fundamentals added further market confidence around the print. Management raised its full-year revenue outlook to approximately $1.01 billion and expects GAAP net income to turn positive in the second half of 2025, with Q2 revenue guided at approximately $225 million.

Key Takeaways

  • Transaction volume up 102% YoY to 240,706 loans with total originations exceeding $2.1 billion (up 89% YoY)
  • Conversion rate improved to 19.1% from 14.0% in Q1 2024
  • 92% of loans fully automated, up from 90% a year ago
  • Platform and referral fees grew 45% YoY to $151 million
  • Net interest income swung positive as fair value adjustments improved significantly
  • Adjusted EBITDA margin improved to 20% from (16%) in Q1 2024
24/7 Wall St

UPST YoY Financials

Q1 2025 vs Q1 2024, source: SEC Filings

24/7 Wall St

UPST Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“With an unparalleled pace of innovation, we continue to raise the bar in AI-enabled lending. In this foundational aspect of our economy, AI is clearly living up to its promise of delivering a radically better product for consumers.”

— Dave Girouard, Q1 2025 Earnings Press Release