Katapult Holdings, Inc. reported third‑quarter 2025 results that highlighted a 22.8% year‑over‑year revenue increase to $74 million and a 25.3% rise in gross originations to $64.2 million, driven by robust demand for its lease‑to‑own marketplace and a growing base of repeat customers.
The revenue growth was largely powered by a 30% jump in app‑marketplace transactions and a 25% rise in KPay payments, reflecting continued consumer adoption of the company’s mobile platform. Compared with the $60.5 million revenue reported in Q3 2024, the current quarter’s figure represents a 22.8% increase, underscoring the company’s ability to scale its core business despite macro‑economic headwinds.
Gross originations grew 25.3% to $64.2 million, the third consecutive year of growth. The lift was driven by a 35% increase in new customer acquisitions and a 20% rise in repeat‑customer originations, indicating strong customer retention and cross‑shopping activity within the marketplace.
Adjusted EBITDA turned positive at $4.4 million, up from a $2.1 million loss in Q3 2024, thanks to disciplined cost management and higher operating leverage. The company’s net loss narrowed to $4.9 million, reflecting higher marketing and technology expenses associated with expanding its merchant network.
Katapult secured a $65 million investment from Hawthorn Horizon Credit Fund, which will be used to repay a term loan and reduce its revolving credit line. The capital infusion strengthens liquidity and improves the balance sheet, positioning the company for continued growth and potential profitability.
For the full year, Katapult revised its guidance to 20‑23% gross‑origination growth and 18‑20% revenue growth, both slightly lower than the previous 20‑25% and 20%+ ranges. Adjusted EBITDA guidance was updated to $8‑9 million, reflecting a more conservative outlook amid uncertain consumer spending.
CEO Orlando Zayas said, “Our 25% gross‑origination growth in the third quarter marks our third consecutive year of growth and we are very proud of our team’s hard work.” He added that the new capital partnership “strengthens our balance sheet and will allow Katapult to accelerate its growth and progress toward sustained profitability.”
The results signal that Katapult’s core marketplace is gaining traction, but the company remains in a net‑loss position and faces macro‑economic uncertainty. The guidance downgrade reflects caution about consumer spending, while the positive adjusted EBITDA and capital infusion suggest a path toward eventual profitability if growth can be sustained and costs remain controlled.
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