Pagaya Technologies Ltd. (NASDAQ: PGY) shares sank at the opening Friday, on announcing financial results for the second quarter of 2024.
The company reported record total revenue and other income of $250 million (exceeding outlook of $235 million to $245 million) increased by 28% year-over-year, driven by a 31% increase in revenue from fees, and is now at an annual run-rate of approximately $1 billion.
Net loss attributable to Pagaya shareholders of $75 million was impacted by non-cash items such as fair value adjustments and share-based compensation.
Adjusted net income of $7 million, which excludes the impact of non-cash items such as share-based compensation expense and fair value adjustments, represents the fifth consecutive quarter of positive adjusted net income. Record adjusted EBITDA of $50 million (exceeding outlook of $40 million to $45 million), compared to $17 million in the second quarter of 2023, is now at an annual run-rate of approximately $200 million.
“We set ambitious goals for our business this year and delivered on all of them,” said CEO Gal Krubiner. “We had another quarter of record financial results, expanded our network with more top lenders and enhanced our funding capacity. Our business has strong momentum as we continue to execute on our strategy in the second half.”
PGY shares dropped 80 cents, or 5.3%, to $14.30.
