Upstart Holdings, Inc. - UPST STOCK NEWS

AMOCO Federal Credit Union, a Texas-based cooperative with over 106,000 members and $1.4 billion in assets, has partnered with Upstart (NASDAQ: UPST) to offer personal loans to new and existing members. The partnership, which began in March 2023, utilizes the Upstart Referral Network to provide a fast, all-digital lending experience. Qualified applicants on Upstart.com who meet AMOCO's credit policies will receive tailored offers and transition to an AMOCO-branded experience to complete the process.

This collaboration aims to enhance AMOCO's ability to serve its members and provide more access to affordable credit in underserved communities, particularly in the Houston and Galveston markets. The partnership aligns with AMOCO's goal of meeting members' financial needs and expectations for convenient digital services.

Upstart Holdings, Inc. (NASDAQ: UPST) reported its financial results for Q2 2024, ending June 30, 2024. Total revenue was $128 million, down 6% year-over-year and flat sequentially. Total fee revenue saw a 9% year-over-year decline to $131 million. The company originated 143,900 loans totaling $1.1 billion, a 6% annual decrease. Operating loss was ($55.5) million, widening from ($33.3) million a year ago. Net loss stood at ($54.5) million, compared to ($28.2) million in Q2 2023. Adjusted net loss was ($15.3) million versus $5.4 million last year, with GAAP EPS at ($0.62) and adjusted EPS at ($0.17). Contribution profit fell 21% to $76.1 million. Adjusted EBITDA was ($9.3) million, down from $11.0 million. For Q3 2024, the company projects revenue around $150 million and a net loss of approximately ($49) million. Notably, Upstart anticipates positive EBITDA in Q4 2024.

The Bank of Elk River, a leading community bank in Sherburne County, Minnesota, announced a partnership with Upstart (NASDAQ: UPST), an AI-driven lending marketplace. This collaboration aims to offer digital personal loans to customers beyond their traditional reach. Effective June 2023, The Bank of Elk River joined the Upstart Referral Network, enabling qualified applicants to complete loans through an online, bank-branded experience. Pete Onstad, Director of Consumer Banking at The Bank of Elk River, emphasized the goal to exceed customer expectations with superior service and expanded product offerings. Michael Lock, SVP of Lending Partnerships at Upstart, noted the bank’s enhanced ability to provide fast, modern lending experiences.

Texans Credit Union, with 123,000 members and $2.2 billion in assets, has partnered with Upstart (NASDAQ: UPST), an AI-driven lending marketplace, to offer personal loans. This collaboration leverages Upstart's AI technology to enhance Texans Credit Union's lending capabilities, providing a fast, digital experience. The partnership began in August 2023 through the Upstart Referral Network, where qualifying personal loan applicants on Upstart.com can seamlessly transition into a Texans Credit Union-branded experience. This strategic move aims to help more Texans achieve their financial goals by expanding lending opportunities.

Upstart Holdings, the leading AI lending marketplace, will release its second quarter fiscal year 2024 financial results on Aug. 6, 2024, after the market closes. A conference call and live webcast are scheduled for 1:30 p.m. PT / 4:30 p.m. ET on the same day. The earnings press release and investor presentation will be available on Upstart's investor relations website prior to the call. Investors can join the live webcast or dial into the conference call using the provided numbers and code.

Eltura Capital Management has entered into a $1.2 billion forward flow transaction for the second year to purchase consumer installment loans originated on Upstart's platform. This agreement follows the successful acquisition of over $1.2 billion in loans during the first year. Upstart, an AI-driven lending marketplace, connects consumers to over 100 banks and credit unions, enhancing borrower approval rates and offering a digital-first experience. Eltura will provide deal administration, collateral risk management, and reporting services as part of this transaction. Both companies are excited to continue their partnership, aiming to deliver credit solutions to underserved consumers.

Diamond Credit Union, a prominent financial institution in Pennsylvania with over $1 billion in assets and more than 64,000 members, has partnered with Upstart (NASDAQ: UPST), an AI-driven lending marketplace, to offer personal loans. This collaboration, initiated in April 2023, aims to expand Diamond Credit Union's reach through an all-digital lending experience. Qualified applicants on Upstart.com who meet Diamond's credit policies will transition into a Diamond Credit Union-branded online application and closing process. This partnership is expected to enhance access to affordable credit for Diamond Credit Union's members.

Castlelake, a global alternative investment manager specializing in asset-based private credit investments, has agreed to purchase up to $1.2 billion of consumer installment loans originated on Upstart's AI lending marketplace. The 12-month forward flow arrangement builds on a previous 2023 agreement between the two companies. Upstart, which connects millions of consumers to over 100 banks and credit unions using AI for loan approval, benefits from this deal by ensuring a steady capital supply for affordable credit. Castlelake's decision is based on its experience in acquiring or financing over 17 million consumer credit and small business loans. This transaction further solidifies Castlelake's role in the consumer credit and specialty finance sector since 2015.

Seattle Credit Union, a leading credit union and Community Development Financial Institution in Washington state, has partnered with Upstart, an AI-driven lending marketplace. This partnership aims to offer personal loans digitally to new and existing members. Seattle Credit Union, which has assets exceeding $1 billion and serves 55,000 members, joined the Upstart Referral Network in February 2023. Qualified applicants on Upstart.com will receive tailored loan offers matching Seattle Credit Union’s credit policies, enhancing access to affordable credit in the community.