Earnings

Katapult Posts First Combined Quarter With $753.9 Million Revenue

The Tip Desk · November 12, 2026 · 3 min read

Combined full-quarter Adjusted EBITDA was $131.7 million, up 23% from a year earlier, as the company guided fourth-quarter revenue to $975 million to $1.025 billion.

Katapult Holdings (KPLT) completed its merger with The Aaron’s Company and CCF Holdings on August 11, 2026, and reported third-quarter results that included CCFI, the Consumer Finance segment, for the full period and the Aaron’s and Katapult lease-to-own businesses only from the close.

Consolidated revenue was $753.9 million. Gross profit was $437.7 million, or a 58.1% margin. Operating profit was $24.9 million, which the company said was impacted by acquisition-related costs and restructuring expenses. Net loss was $28.0 million, or $0.38 a share, primarily impacted by interest expense. Adjusted EBITDA was $110.4 million, a 14.6% margin.

On a combined, full-quarter basis that sums CCFI, Aaron’s and Katapult for the entire period, Adjusted EBITDA was $131.7 million, up 23% from $106.8 million in the third quarter of last year, with a 13.1% margin, up about 260 basis points. Combined net loss was $44.5 million versus $30.1 million a year earlier, primarily impacted by acquisition-related costs.

Consumer Finance, which includes CCFI, generated $448.8 million of revenue versus $443.3 million a year earlier. Gross profit was $280.7 million, with a 62.6% margin versus 63.2%. Operating profit fell to $19.6 million from $43.0 million, impacted by acquisition-related costs and restructuring expenses. Segment Adjusted EBITDA was $78.3 million, a 17.5% margin. Finance receivables were approximately $1.0 billion. The segment served about 1.04 million unique active customers.

Lease-to-Own & Retail, which includes Aaron’s and Katapult, reported $305.1 million of revenue for the period from August 11. Gross profit was $157.0 million, a 51.4% margin. Operating profit was $5.3 million. Adjusted EBITDA was $32.1 million, a 10.5% margin. On a combined full-quarter basis, that segment’s Adjusted EBITDA was $53.4 million versus $31.9 million a year earlier, with a 9.6% margin, up about 400 basis points. Combined loss before income taxes for the segment was $35.8 million versus $42.1 million. Book value of merchandise on lease was $484.8 million at September 30. Lease-to-own unique active customers were about 1.08 million versus about 1.12 million a year earlier. E-commerce penetration was 39.6%.

Chief executive Cory Miller said the first quarter with combined operations was defined by speed of execution and that the company had already identified approximately $30 million in annualized cost synergies. The company listed combined leadership roles, a smaller office footprint, vendor consolidation and shared finance, accounting, HR, technology and marketing teams as cost items, and cross-brand lease-to-own offers, expanded protection plans and a larger virtual merchant pipeline as revenue opportunities.

The company ended the quarter with cash and cash equivalents of $261.0 million, restricted cash of $10.8 million and outstanding debt of $1.95 billion. Net leverage was 3.5x. Approximately two-thirds of debt is asset-backed against receivables and lease merchandise. Cash provided by operations for the nine months ended September 30, 2026 was $496.8 million.

For the fourth quarter of 2026, its first full quarter as a combined company, Katapult is providing an outlook of revenues of $975 million to $1,025 million and Adjusted EBITDA of $105 million to $120 million. The company said the outlook reflects a cautious view of the consumer, with macroeconomic headwinds producing lower average ticket sizes and more selective spending in lease-to-own, and assumes those conditions continue through year-end with no improvement. Chief financial officer Russ Falkenstein said the company is staying deliberate on underwriting and protecting margin rather than chasing volume, and is focused on reducing cost of funding.

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