Upbound Group, Inc. (NASDAQ: UPBD) Reports Strong Q1 2026 Financial Results and Reaffirms 2026 Outlook

PLANO, Texas, April 30, 2026 — Upbound Group, Inc. (NASDAQ: UPBD), a leading provider of accessible and inclusive financial solutions, today announced its financial results for the first quarter ended March 31, 2026. The company also reaffirmed its full-year 2026 guidance, reflecting continued confidence in its operational strategy and financial outlook.

Key Highlights from Q1 2026

• Consolidated Revenue Growth: Upbound delivered a 3.7% year-over-year increase in consolidated revenue, reaching \$1.2 billion for the quarter. This topline growth signals the ongoing demand for the company’s suite of financial services and products.
• Brigit Division Expansion: The Brigit business unit demonstrated exceptional momentum, with revenue surging over 40% year-over-year. This performance was driven by double-digit growth in both paying subscribers and average revenue per user (ARPU). The rapid expansion of Brigit’s subscriber base and improving monetization metrics highlight the segment’s potential as a future growth engine for Upbound.
• Acima Performance: Acima’s disciplined execution resulted in a 1.8% year-over-year revenue increase to approximately \$649 million. Notably, the Acima lease charge-off rate improved to 8.8%, a 130 basis point sequential reduction. This improvement in credit quality could positively impact future profitability and risk-adjusted returns.
• Rent-A-Center Progress: Rent-A-Center posted a 0.4% same store sales increase year-over-year, alongside a 20 basis point sequential improvement in lease charge-off rates. These results indicate steady operational improvements and resilience in the core retail segment.
• Robust Cash Flow: The company generated \$171 million in net cash from operating activities, a significant \$23 million increase compared to the prior year period. This strong cash flow enhances Upbound’s financial flexibility and ability to invest for future growth.

2026 Financial Outlook Reaffirmed

• Full-Year 2026 Guidance: Management reaffirmed its expectations for fiscal 2026, providing the following targets:
  • Consolidated revenue between \$4.70 billion and \$4.95 billion
  • Adjusted EBITDA between \$500 million and \$535 million
  • Non-GAAP diluted EPS between \$4.00 and \$4.35
• Q2 2026 Guidance: For the upcoming quarter, Upbound projects:
  • Consolidated revenue of \$1.1 billion to \$1.2 billion
  • Adjusted EBITDA of \$120 million to \$130 million
  • Non-GAAP diluted EPS of \$1.00 to \$1.10

Strategic and Operational Insights

• Upbound continues to position itself as a technology and data-driven leader in financial solutions, focusing on underserved consumers across the U.S., Mexico, and Puerto Rico. The company’s primary brands include Acima®, Brigit™, and Rent-A-Center®, each contributing to a diversified revenue mix.
• The company’s ongoing emphasis on credit quality, subscriber growth, and operational efficiency underpins its positive outlook. Improvements in lease charge-off rates at both Acima and Rent-A-Center signal better risk management and potential for enhanced margins.

Shareholder Considerations & Potential Price-Sensitive Information

• Sustained Topline and Cash Flow Growth: The consistent revenue and cash flow expansion, especially in high-growth segments like Brigit, are likely to be viewed positively by investors and analysts, potentially supporting share price appreciation.
• Improved Credit Metrics: The notable reduction in lease charge-off rates at both Acima and Rent-A-Center reflects improved risk controls, which may lead to better profitability and reduced volatility—key factors for institutional investors.
• Reaffirmed Guidance: Reaffirming its full-year and next quarter guidance, despite macroeconomic uncertainties, signals management’s confidence in business fundamentals and execution. This outlook stability is important for investor sentiment and could influence share valuation.
• Brigit’s Outperformance: The exceptional performance of Brigit, with over 40% revenue growth, may attract attention as a catalyst for future growth and re-rating of the company’s shares.

Definitions and Notes

• Brigit Paying Subscribers: Customers with an active Plus or Premium account, not delinquent (not 45 days past due) on a cash advance, and made at least 1 of the last 2 subscription payments.
• ARPU: Average monthly revenue per Brigit Paying Subscriber.
• Lease Charge-Offs: Percentage of net book value of unrecoverable on-rent merchandise charged off with lease-to-own customers who are past due.
• Same Store Sales (SSS): Revenue from Company-owned Rent-A-Center stores operated for 13 months or more, reported on a constant currency basis.
• Non-GAAP Measures: Adjusted EBITDA and non-GAAP diluted EPS exclude certain extraordinary, unusual, or non-recurring items. These measures are used internally for decision-making and may differ from similarly titled measures used by other companies.

Important Forward-Looking Information

This report contains forward-looking statements regarding Upbound Group’s future performance and outlook. These statements are subject to risks, including economic conditions, consumer credit availability, inflation, and other factors as detailed in the company’s filings with the SEC. Investors are urged to review these risks carefully and not place undue reliance on forward-looking statements, which are only current as of this release date.

Contact and Further Information

For additional details, investors can access the company’s full earnings release and related materials at the Upbound investor relations website or contact investor relations directly at [email protected] or 972-801-1103.

Disclaimer: This article is for informational purposes only. It is not investment advice. Investors should review all company filings and consult their own advisors before making investment decisions. The author does not hold any position in Upbound Group, Inc. at the time of writing.

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