Upbound Group (UPBD) Q3 2026 Earnings Report
MX:UPBD Q3 2026 EPS Results
- Actual EPS
- MXN 18.98
- Consensus EPS
- MXN 17.04
- Beat/Miss
- Beat by +MXN 1.94
- One Year Ago EPS
- MXN 18.79
MX:UPBD Q3 2026 Revenue Results
- Actual Revenue
- MXN 21.54B
- Expected Revenue
- MXN 21.12B
- Beat/Miss
- Beat by +MXN 419.81M
- YoY Revenue Growth
- -1.59%
Earnings Announcement Details
- Quarter
- Q3 2026
- Date
- 10/29/2026
- Time
- Before Open
- Conference Call
- Thursday, October 29, 2026
Upbound Group's next earnings date is estimated for February 25, 2027, based on past reporting schedules.
Q3 2026 Earnings Call Audio
Q3 2026 Earnings Slide Deck
Q3 2026 Earnings Call Summary
The call was broadly positive, with strong adjusted EBITDA, EPS, free cash flow, credit performance, Brigit growth, sequential Rent-A-Center improvement, balance-sheet progress, and constructive guidance. These strengths were partially offset by declining consolidated revenue, Acima GMV and revenue pressure, elevated consumer stress, Brigit's higher loss rate, Rent-A-Center's year-over-year EBITDA decline, and expected legal settlement payments. Highlights significantly outweighed the lowlights.
For the fourth quarter of 2026, Upbound expects consolidated revenue of $1.15 billion-$1.25 billion, adjusted EBITDA of $125 million-$135 million, and non-GAAP diluted earnings per share of $1-$1.10, with lease charge-offs at Brigit, Acima, and Rent-A-Center in line with the third quarter and expectations not reflecting the potential impact of share repurchases; Acima expects GMV to be relatively flat to prior year and adjusted EBITDA margin to finish the year up relative to 2025, while Brigit’s outlook is annualized revenue growth of approximately 35% when normalized for a full year 2025 in the $290 million-$300 million range and adjusted EBITDA in the $55 million-$65 million range, Rent-A-Center expects segment revenue to be flat to down low single digits for the year and adjusted EBITDA margin of approximately 14% for the year, and full-year loss-rate guidance is Brigit in the mid 4% range, Acima remaining at or below 9%, and Rent-A-Center in the low 5% range; full-year revenue guidance is $4.68 billion-$4.78 billion, adjusted EBITDA is $510 million-$525 million, non-GAAP diluted EPS is $4.15-$4.30, free cash flow is at least $250 million, operating cash flow is approximately $400 million, and capital expenditures are approximately $65 million.
- Third-Quarter Results Met or Exceeded GuidanceThird-quarter revenue was $1.15 billion, at the high end of the $1.05 billion to $1.15 billion guided range. Adjusted EBITDA was $123 million, above the $105 million to $115 million guided range, and non-GAAP diluted EPS was $1.01, above the $0.85 to $0.95 guided range and up approximately 1% year-over-year.
- Strong Free Cash Flow and DeleveragingNet cash provided by operating activities was approximately $163 million, up $73 million from the prior-year quarter. Free cash flow was approximately $121 million, more than double the $50 million generated a year ago. Year-to-date free cash flow was approximately $340 million, debt reduction since year-end exceeded $225 million, and leverage declined to 2.4 times from 2.9 times at the start of the year.
- Brigit Delivered Strong GrowthBrigit revenue increased 37% year-over-year to $79 million, paying users increased 27% to approximately 1.84 million, and monthly ARPU increased 4.7% year-over-year to $14.39. Adjusted EBITDA increased 59% to approximately $15 million, with an adjusted EBITDA margin of 18.7%.
- Brigit Partnership and Product ExpansionThe multi-year agreement with Experian to offer Brigit's earned wage access product to Experian Money Plus members is progressing well, with thousands of users already signed up. The company expects the broader rollout to contribute meaningfully to Brigit's momentum in 2027. Brigit's line of credit pilot is also expanding through a measured rollout.
- Acima Profitability and Credit Performance ImprovedAcima adjusted EBITDA increased 15% year-over-year to $86 million, while margin expanded approximately 270 basis points to 14.7%. Lease charge-offs improved more than 100 basis points year-over-year to approximately 8.7%, described as the lowest level since stimulus in 2021. Lower losses and improved gross margin more than offset lower revenue.
- Acima Added a Major Wireless Distribution PartnerAcima entered an integration agreement with Boost Mobile to become a preferred lease-to-own solution across approximately 5,000 Boost Mobile stores nationwide. The integration with Boost Elevate will allow shoppers to apply on their own phones and review lease options at the point of sale.
- Rent-A-Center Produced Its Fourth Consecutive Quarter of Same-Store Sales GrowthRent-A-Center same-store sales increased 1.8% year-over-year in the third quarter, marking the fourth consecutive quarter of growth. Adjusted EBITDA increased 4.9% sequentially to $66 million, and the portfolio value per store increased approximately 0.5% year-over-year.
- Rent-A-Center Amazon Partnership Increased Store TrafficThe Amazon in-store pickup and drop-off partnership is deployed across approximately 1,500 corporate-owned Rent-A-Center stores. Management said traffic increased by about 50 visits per store per week on average, and the program has produced some conversion benefits while the company continues working to track customer conversion more precisely.
- AI and Digital Capabilities Are Being ScaledUpbound is applying AI and advanced analytics across underwriting, customer communications, account management, and collections. Approximately half of the code changes engineers put into production now involve AI assistance, and Rent-A-Center customers are using an AI shopping assistant to find products through natural-language conversations.
- Cross-Brand Integration Efforts ContinuedThe company is building shared data, analytics, underwriting, marketing, and risk capabilities across its three brands. Customer overlap between Brigit and Rent-A-Center and Acima is currently estimated at 10% to 15%, with management identifying opportunities to increase that over time through enterprise-wide personalization and a more connected customer experience.
- Shareholder Returns and Balance-Sheet FlexibilityUpbound funded a quarterly dividend of $0.39 per share, totaling approximately $23 million during the quarter and representing a greater than 9% dividend yield. The company also intends to repurchase up to $50 million of common stock under its existing program while continuing to invest selectively and reduce leverage.
- Raised Brigit Outlook and Maintained Cash-Flow ExpectationsThe company raised its Brigit outlook to annualized revenue growth of approximately 35%, normalized for a full year 2025 revenue base of $290 million-$300 million, with adjusted EBITDA of $55 million-$65 million. Full-year free cash flow is still expected to be at least $250 million, inclusive of estimated legal payments.
- Fourth-Quarter and Full-Year Guidance Remained ConstructiveFourth-quarter guidance calls for consolidated revenue of $1.15 billion-$1.25 billion, adjusted EBITDA of $125 million-$135 million, and non-GAAP diluted EPS of $1-$1.10. Full-year guidance was narrowed to revenue of $4.68 billion-$4.78 billion, adjusted EBITDA of $510 million-$525 million, and non-GAAP diluted EPS of $4.15-$4.30.
MX:UPBD Earnings History
| Report Date | Fiscal Quarter | Forecast / EPS | Last Year's EPS | EPS YoY Change | Press Release |
|---|---|---|---|---|---|
| Feb 25, 2027 | 2026 (Q4) | 19.90- | 18.98 | ― | ― |
| Oct 29, 2026 | 2026 (Q3) | 17.0418.98 | 18.79 | 1.00% (+0.19) | |
| Jul 30, 2026 | 2026 (Q2) | 19.6920.11 | 21.05 | -4.46% (-0.94) | |
| Apr 30, 2026 | 2026 (Q1) | 20.1820.30 | 18.79 | 8.00% (+1.50) | |
| Feb 19, 2026 | 2025 (Q4) | 18.2818.98 | 19.73 | -3.81% (-0.75) | |
| Oct 30, 2025 | 2025 (Q3) | 18.8518.79 | 17.85 | 5.26% (+0.94) | |
| Jul 31, 2025 | 2025 (Q2) | 20.0121.05 | 19.54 | 7.69% (+1.50) | |
| May 01, 2025 | 2025 (Q1) | 17.8018.79 | 14.85 | 26.58% (+3.95) | |
| Feb 20, 2025 | 2024 (Q4) | 19.4119.73 | 15.22 | 29.63% (+4.51) | |
| Oct 31, 2024 | 2024 (Q3) | 17.4817.85 | 14.85 | 20.25% (+3.01) |
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
