Upstart Reports Strong Q1 2024 Results and Provides Positive Guidance for the Future
Wednesday, 8 May 2024, 02:30
Financial Highlights
- Revenue from fees was $138 million in Q1, up 18% from the prior year.
- Net interest income was negative $10 million due to increased pricing of prime loans.
- Loan transactions across the platform totaled approximately 119,000 loans, up 42% year over year.
- Contribution margin was 59% in Q1, reflecting increased investments in servicing capabilities.
Future Outlook
- Upstart expects conversion gains and improved model accuracy in the second half of 2024.
- New product initiatives like auto-secured personal loans and customer personalization features are driving growth.
- Positive guidance provided for a return to profitability and growth initiatives for the long term.
- Challenges with consumer risk and interest rates are being addressed through strategic product enhancements.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.