NASDAQ$UPST
Upstart Holdings Inc · Q3 2023 earnings
Q3 2023 earnings · · Investor relations
Briefing
Upstart's performance reflected a mix of challenges and strategic adjustments. The company focused on maintaining profitability and investing in AI capabilities amidst a decrease in revenue and loan origination volume.
Upstart reported a revenue of $135 million, a 14% decrease compared to the third quarter of 2022. The company experienced a net loss of $40.3 million, but improved from a loss of $56.2 million in the same quarter of the previous year. Despite the revenue decline, Upstart achieved adjusted EBITDA positivity for the second consecutive quarter and maintained high contribution margins.
- Total revenue was $135 million, a 14% decrease year-over-year.
- Lending partners originated 114,464 loans, totaling $1.2 billion, a 34% decrease year-over-year.
- GAAP net loss was $(40.3) million, improved from $(56.2) million year-over-year.
- Adjusted EBITDA was $2.3 million, up from $(14.4) million year-over-year.
Headline financials
Revenue & EPS history
Upstart · Revenue · Quarterly
$135M
Revenue by segment
Upstart · $147M total across 1 segment · Q3 2023
- Servicing & Other Fees$147M-18.2%100.0%
Forward guidance
For the fourth quarter of 2023, Upstart expects revenue of approximately $135 million, Revenue From Fees of approximately $150 million, Net Interest Income (Loss) of approximately $(15.0) million, Contribution Margin of approximately 62%, Net Income (Loss) of approximately $(48) million, Adjusted Net Income (Loss) of approximately $(14) million, Adjusted EBITDA of approximately $0 million, Basic Weighted-Average Share Count of approximately 85.6 million shares and Diluted Weighted-Average Share Count of approximately 85.6 million shares
Tailwinds
- Revenue From Fees of approximately $150 million
- Contribution Margin of approximately 62%
- Adjusted EBITDA of approximately $0 million
- Basic Weighted-Average Share Count of approximately 85.6 million shares
- Diluted Weighted-Average Share Count of approximately 85.6 million shares
Headwinds
- Revenue of approximately $135 million
- Net Interest Income (Loss) of approximately $(15.0) million
- Net Income (Loss) of approximately $(48) million
- Adjusted Net Income (Loss) of approximately $(14) million
- Upstart has not reconciled the forward-looking non-GAAP measures above to comparable forward-looking GAAP measures because of the potential variability and uncertainty of incurring these costs and expenses in the future
Historical earnings impact
How earnings announcements have historically affected this stock's price.
Avg. return before/after earnings
Based on 20 quarterly earnings reports · overlaid with Q3 2023
+4.9%
Avg return
Earnings day
+9.4%
Avg return
5 days after
+11.7%
Avg return
30 days after
42%
10 / 24 earnings
Positive
+91.7%
Q4 2020
Best reaction
-59.9%
Q1 2022
Worst reaction
| Quarter | Report date | Reaction (Day 0) | +5 days | +30 days |
|---|---|---|---|---|
| Q1 2026 | -8.1% | -7.9% | -4.6% | |
| Q4 2025 | -15.0% | -21.3% | -32.3% | |
| Q3 2025 | -9.7% | -16.2% | +1.1% | |
| Q1 2025 | -9.6% | +3.0% | +5.7% | |
| Q4 2024 | +31.8% | +22.4% | -27.9% | |
| Q3 2024 | +50.1% | +28.6% | +42.9% | |
| Q2 2024 | +39.8% | +52.2% | +50.0% | |
| Q1 2024 | -10.3% | -1.4% | +4.3% | |
| Q4 2023 | -25.4% | -26.2% | -34.5% | |
| Q3 2023 | -27.0% | -28.8% | +15.6% | |
| Q2 2023 | -34.5% | -35.5% | -38.8% | |
| Q1 2023 | +41.8% | +22.5% | +144.8% | |
| Q4 2022 | +34.2% | +13.9% | -1.8% | |
| Q3 2022 | -8.4% | +21.1% | -7.9% | |
| Q2 2022 | -3.9% | +17.4% | -10.0% | |
| Q1 2022 | -59.9% | -54.5% | -48.3% | |
| Q4 2019 | -13.7% | -19.5% | -10.1% | |
| Q4 2021 | +41.5% | +24.3% | +11.4% | |
| Q3 2020 | -5.0% | -5.7% | -34.7% | |
| Q3 2021 | -23.3% | -21.0% | -46.3% | |
| Q2 2020 | +12.8% | +19.2% | +51.8% | |
| Q2 2021 | +24.8% | +48.2% | +111.1% | |
| Q1 2021 | +4.1% | +17.2% | +66.0% | |
| Q4 2020 | +91.7% | +174.6% | +74.3% | |
| Q1 2020 | — | — | — | |
| Q3 2019 | — | — | — |
Discussion
Share your read of this quarter. Sign-in carries your eToro identity.
Join the conversation
Sign in with eToro to post your read of this quarter and vote on others'.
Sign in with eToro