Katapult Holdings, Inc. reported robust financial results for the second quarter ended June 30, 2025, exceeding its own expectations. Gross originations grew an impressive 30.4% year-over-year to $72.1 million, while total revenue increased by 22.1% to $71.9 million.
The company achieved a positive adjusted EBITDA of $0.3 million in Q2 2025, surpassing its breakeven expectation, while maintaining fiscal discipline with operating expenses remaining essentially flat year-over-year. Write-offs as a percentage of total revenue were 9.8%, within the target range of 8-10%.
Building on this momentum, Katapult raised its full-year 2025 gross originations outlook to a range of 20-25% growth, up from "at least 20%." The full-year revenue growth guidance was reiterated at "at least 20%," and adjusted EBITDA is now expected to be "at least $10 million" positive.
For the third quarter of 2025, Katapult provided guidance including gross originations growth of 25-30%, revenue growth of 20-25%, and adjusted EBITDA between $3 million and $3.5 million. This positive outlook is driven by continued momentum in the app marketplace and diversification into new categories like automotive.
The company's capital structure was significantly de-risked by the refinancing agreement with Blue Owl Capital on June 12, 2025, which upsized the revolving credit facility to $110 million and extended its maturity to December 4, 2026. This provides crucial liquidity and a longer financial runway.
Despite the positive developments, the company noted that its concentration of gross originations with Wayfair remained at 27% in Q2 2025, and it is vigorously defending a patent infringement lawsuit from FlexShopper. A limited waiver was also required for a breach of Minimum Trailing Three-Month Net Originations as of July 31, 2025, highlighting ongoing covenant management.
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