Katapult Holdings Reports Strong Growth and Optimistic 2025 Outlook

Katapult Holdings, Inc. ( (KPLT) ) has released its Q4 earnings. Here is a breakdown of the information Katapult Holdings, Inc. presented to its investors.

Katapult Holdings, Inc., an e-commerce-focused financial technology company, specializes in providing lease-to-own solutions for durable goods, targeting underserved non-prime consumers in the U.S. through its innovative platform and mobile app, Katapult Pay.

In its latest earnings report, Katapult Holdings, Inc. announced a robust performance for the fourth quarter of 2024, highlighted by double-digit growth in gross originations and a significant increase in application volume. The company also set an optimistic outlook for 2025, expecting continued growth in the first quarter.

Key financial metrics from the fourth quarter show gross originations reaching $75.2 million, marking an 11.3% increase year-over-year, while total revenue grew by 9.4% to $63.0 million. Despite a net loss of $9.6 million, this was an improvement from the previous year’s loss. The company also achieved a 50% growth in lease applications and a 52% increase in KPay gross originations.

Strategically, Katapult has successfully transitioned to a two-sided marketplace model, with 61% of gross originations starting in its app marketplace. The company expanded its merchant network by launching partnerships with Metro by T-Mobile, Zales, and Rooms to Go, enhancing its ecosystem to 33 merchants.

Looking ahead, Katapult’s management remains confident in its growth trajectory for 2025, projecting at least a 20% increase in gross originations and revenue. The company aims to maintain strong credit quality and leverage its two-sided marketplace to scale revenue efficiently, anticipating positive Adjusted EBITDA of at least $10 million for the year.