Upstart Holdings Inc
Q3 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +0.89%.
Did UPST Beat Earnings? Q3 2025 Results
Upstart posted a notably strong third quarter, beating Wall Street's earnings target by a wide margin even as revenue came in fractionally light. The AI lending platform reported adjusted EPS of $0.52, clearing the $0.42 consensus by 23.43%, while revenue of $277.11 million missed estimates by just 0.90% despite climbing 60.2% year over year. The headline driver was a surge in loan originations, with 428,056 loans totaling roughly $2.85 billion originated in the period, up 80% from a year ago, as an improved conversion rate of 20.6% reflected tangible gains in Upstart's AI underwriting funnel. The company also swung to GAAP net income of $31.80 million from a $6.76 million loss in Q3 2024, with adjusted EBITDA reaching $71.16 million at a 26% margin. Institutional investors have taken note of the momentum, with ownership rising even as some insiders trimmed positions. Looking ahead, management guided Q4 revenue of approximately $288 million and full-year 2025 revenue of approximately $1.04 billion, with GAAP net income of approximately $50 million for the full year.
- 80% YoY growth in loan originations to approximately $2.9 billion
- 128% YoY increase in number of loans originated to 428,056
- Conversion rate improved to 20.6% from 16.3% in Q3 2024
- 91% of loans fully automated
- Net interest income swung positive to $18.6 million from negative $5.5 million in Q3 2024
- Sixfold sequential increase in GAAP net income
- Revenue from fees grew 54% YoY to $259 million
- $7.2 million gain on debt extinguishment
“In Q3, we continued to execute on our 2025 game plan of rapid growth, profitability, and AI leadership — all anchored in exceptional credit performance. The results include 80% year-on-year growth in originations with 71% growth in revenue, and a sixfold sequential increase in GAAP net income.”
Upstart CEO, on the earnings call
Forward Guidance & Outlook
For Q4 2025, Upstart expects total revenue of approximately $288 million (revenue from fees ~$262 million, net interest income ~$26 million), contribution margin of approximately 53%, GAAP net income of approximately $17 million, adjusted net income of approximately $52 million, adjusted EBITDA of approximately $63 million, basic weighted-average share count of approximately 98 million, and diluted weighted-average share count of approximately 111 million shares. For full-year 2025, Upstart expects total revenue of approximately $1.035 billion (revenue from fees ~$946 million, net interest income ~$89 million), GAAP net income of approximately $50 million, and adjusted EBITDA margin of approximately 22%.
UPST YoY Financials
UPST Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.