Katapult Holdings, Inc. (“Katapult” or the “Company”) (NASDAQ:
KPLT), an e-commerce-focused financial technology company, today
reported its financial results for the second quarter ended
June 30, 2024.
“We grew the business across our key financial and
operating metrics year-over-year - gross originations, revenue and
Adjusted EBITDA - and continued to make strong progress on our
growth strategy,” said Orlando Zayas, CEO of Katapult. “Despite the
macro headwinds in the home furnishings category, our non-Wayfair
gross originations, which were 52% of our base this quarter, grew
nearly 20% and total Katapult Pay(R) gross originations more than
doubled, representing 28% of total gross originations during the
quarter. Year-to-date we’ve added three merchants to the Katapult
Pay marketplace and we have kicked off new waterfall integrations
with Meineke and Adorama as well as an integration with
PayTomorrow, a premier waterfall financing platform. Our team is
working hard to deliver the consistent experience our customers
want and the incremental growth that our merchants value. We are
excited about the second half of the year and look forward to
building value for our stakeholders.”
Operating Progress: Recent
Highlights
- Launched new waterfall relationships that integrate our
lease-to-own (LTO) offering in the merchant checkout process:
- Meineke, a leading franchise-based automotive repair chain with
more than 700 locations across the US, has added Katapult to its
consumer application process, called Meineke Payment Solutions
- PayTomorrow, a premier waterfall financing platform that
provides a diverse range of payment options for prime, near prime
and nonprime customers to more than 2,700 merchants, has integrated
our LTO into its solution. We believe this integration will be
instrumental in accelerating our inclusion in the waterfall
platforms of multiple merchants over time.
- Adorama, a leading photography, video, audio, drones, and
computer retailer, has awarded Katapult with an exclusive waterfall
agreement
- Completed our integration process with Synchrony’s digital
waterfall application process, and are now piloting our solution
with a regional merchant. This integration will enable Synchrony’s
retail partners to offer our LTO option to their customers and
allow Katapult to receive application flow from applicants who are
declined for Synchrony's prime credit option.
- Upgraded Katapult platform with the integration of the newest
version of Shopify; have successfully transitioned more than 70
merchants and/or websites to the platform
- Continued to build momentum for Katapult Pay and our app
- Katapult Pay gross originations grew more than 100%
year-over-year
- Launched Lowe’s, Costco and Newegg in the Katapult
marketplace
- Customer satisfaction remained high and Katapult had a Net
Promoter Score of 62 as of June 30, 2024 and 59.3% of gross
originations for the second quarter of 2024 came from repeat
customers1
Second Quarter 2024
Financial Highlights
(All comparisons are year-over-year unless stated
otherwise.)
- Gross originations were $55.3 million, an increase of 1.1%
- Total revenue was $58.9 million, an increase of 8.7%
- Total operating expenses in the second quarter decreased 6.9%.
Fixed cash operating expenses2 decreased approximately 8.8%.
- Net loss was $6.9 million for the second quarter of 2024, an
improvement compared with net loss of $7.4 million reported for the
second quarter of 2023.
- Adjusted net loss was $5.4 million for the second quarter of
2024, an improvement of $0.6 million compared to an adjusted net
loss of $6.0 million reported for the second quarter of 2023
- Adjusted EBITDA2 loss was $0.4 million for the second quarter
of 2024, a meaningful improvement compared to an Adjusted EBITDA2
loss of $1.5 million in the second quarter of 2023
- Katapult ended the quarter with total cash and cash equivalents
of $38.4 million, which includes $4.6 million of restricted cash.
The Company ended the quarter with $69.7 million of outstanding
debt on its credit facility.
- Write-offs as a percentage of revenue were 9.3% in the second
quarter of 2024 and are within the Company’s 8% to 10% long-term
target range. This is a 30 bps improvement compared with 9.6% in
the second quarter of 2023.
[1] Repeat customer rate is defined as the
percentage of in-quarter originations from existing customers. [2]
Please refer to the “Reconciliation of Non-GAAP Measure and Certain
Other Data” section and the GAAP to non-GAAP reconciliation tables
below for more information.
Third Quarter and Full Year 2024 Business
Outlook
The Company is continuing to navigate a
challenging macro environment and it is unclear if interest rates
will move lower this year. While we continue to believe that our
core customer is generally resilient, we also believe inflation is
taking a toll on their budgets and dampening consumer demand. As a
result, it's difficult to assess what, if any impact these dynamics
will ultimately have on our core consumer, prime lending standards
and the US consumer’s access to financing. We continue to believe
that we have a large addressable market of underserved, non-prime
consumers, and it’s important to note that lease-to-own solutions
have historically benefited when prime credit options become less
available.
Based on these dynamics and the operating plan in
place for the full year 2024, Katapult expects to deliver the
following results for the third quarter of 2024:
- 8 to 10% year-over-year increase in gross originations
- 7 to 8% year-over-year increase in revenue
- Breakeven or better Adjusted EBITDA
For full year 2024, Katapult is reiterating the
following outlook:
- We expect to continue to expand our customer base and acquire
new customers
- Year-over-year growth in gross originations is expected to
continue. For the full year we expect gross originations to grow at
a rate of at least 10%.This outlook does not include any material
impact from prime creditors tightening or loosening above us and
assumes that there are no significant changes to the macro
environment. Both our third quarter and full year outlooks assume
the home furnishings retail category returns to growth.
- We also expect to maintain strong credit quality in our
portfolio. This will be driven by ongoing enhancements to our risk
modeling, onboarding high quality new merchants through
integrations, and repeat customers engaging with Katapult Pay
- Revenue growth is expected to be at least 10%
- Finally with the continued execution of our disciplined expense
management strategy combined with our growing top-line, we expect
to deliver positive Adjusted EBITDA for full year 2024.
"We delivered another strong quarter of financial
performance and expect to build momentum during the second half of
2024,” said Nancy Walsh, CFO of Katapult. “As we execute on our
top-line growth initiatives we are continuing to make investments
in our future while maintaining our focus on fiscal discipline.
This has allowed us to successfully grow both revenue and Adjusted
EBITDA. We are on track to deliver a minimum of 10% gross
originations and revenue growth for 2024, and for the first time
since 2021, we expect to achieve positive Adjusted EBITDA for the
full year. We are proud of our progress and look forward to a
productive second half of the year.”
Conference Call and Webcast
The Company will host a conference call and
webcast at 8:00 AM ET on Wednesday, August 14, 2024, to discuss the
Company’s financial results. Related presentation materials will be
available before the call on the Company’s Investor Relations page
at https://ir.katapultholdings.com. The conference call will be
broadcast live in listen-only mode and an archive of the webcast
will be available for one year.
About Katapult
Katapult is a technology driven lease-to-own
platform that integrates with omnichannel retailers and e-commerce
platforms to power the purchasing of everyday durable goods for
underserved U.S. non-prime consumers. Through our point-of-sale
(POS) integrations and innovative mobile app featuring Katapult
Pay(R), consumers who may be unable to access traditional financing
can shop a growing network of merchant partners. Our process is
simple, fast, and transparent. We believe that seeing the good in
people is good for business, humanizing the way underserved
consumers get the things they need with payment solutions based on
fairness and dignity.
Contact
Jennifer Kull VP of Investor Relations
ir@katapult.com
Forward-Looking Statements
Certain statements included in this Press
Release and on our quarterly earnings call that are not historical
facts are forward-looking statements for purposes of the safe
harbor provisions under the United States Private Securities
Litigation Reform Act of 1995. In some cases, forward-looking
statements may be identified by words such as “anticipate,”
“assume,” “believe,” “continue,” “could,” “design,” “estimate,”
“expect,” “intend,” “may,” “plan,” “potentially,” “predict,”
“should,” “will,” “would,” or the negative of these terms or other
similar expressions. These forward-looking statements include, but
are not limited to: in this Press Release and on our associated
earnings call, statements regarding our third quarter 2024 and full
year 2024 business outlook and underlying assumptions, the impact
of our integration with PayTomorrow and, on our associated earnings
call, statements regarding our relationship with Wayfair, the
durability and timing of macroeconomic headwinds, the impact of our
integrations within third-party waterfalls and our relationships
with new merchant-partners on gross originations and financial
expectations beyond 2024. These statements are based on various
assumptions, whether or not identified in this Press Release, and
on the current expectations of Katapult’s management and are not
predictions of actual performance.
These forward-looking statements are provided
for illustrative purposes only and are not intended to serve as, a
guarantee, an assurance, a prediction or a definitive statement of
fact or probability. Actual events and circumstances are difficult
or impossible to predict and will differ from assumptions. Many
actual events and circumstances are beyond the control of Katapult.
These forward-looking statements are subject to a number of risks
and uncertainties, including Katapult’s ability to refinance its
indebtedness, the execution of Katapult’s business strategy,
launching new product offerings and new brands and expanding
information and technology capabilities; Katapult’s market
opportunity and its ability to acquire new customers and retain
existing customers; adoption and success of our mobile application
featuring Katapult Pay; the timing and impact of our growth
initiatives on our future financial performance and the impact of
our new executive hires and brand strategy; anticipated occurrence
and timing of prime lending tightening and impact on our results of
operations; general economic conditions in the markets where
Katapult operates, the cyclical nature of customer spending, and
seasonal sales and spending patterns of customers; risks relating
to factors affecting consumer spending that are not under
Katapult’s control, including, among others, levels of employment,
disposable consumer income, inflation, prevailing interest rates,
consumer debt and availability of credit, pandemics (such as
COVID-19), consumer confidence in future economic conditions,
political conditions, and consumer perceptions of personal
well-being and security and willingness and ability of customers to
pay for the goods they lease through Katapult when due; risks
relating to uncertainty of Katapult’s estimates of market
opportunity and forecasts of market growth; risks related to the
concentration of a significant portion of our transaction volume
with a single merchant partner, or type of merchant or industry;
the effects of competition on Katapult’s future business; meet
future liquidity requirements and complying with restrictive
covenants related to our long-term indebtedness; the impact of
unstable market and economic conditions such as rising inflation
and interest rates; reliability of Katapult’s platform and
effectiveness of its risk model; data security breaches or other
information technology incidents or disruptions, including
cyber-attacks, and the protection of confidential, proprietary,
personal and other information, including personal data of
customers; ability to attract and retain employees, executive
officers or directors; effectively respond to general economic and
business conditions; obtain additional capital, including equity or
debt financing and servicing our indebtedness; enhance future
operating and financial results; anticipate rapid technological
changes, including generative artificial intelligence and other new
technologies; comply with laws and regulations applicable to
Katapult’s business, including laws and regulations related to
rental purchase transactions; stay abreast of modified or new laws
and regulations applying to Katapult’s business, including with
respect to rental purchase transactions and privacy regulations;
maintain and grow relationships with merchants and partners;
respond to uncertainties associated with product and service
developments and market acceptance; the impacts of new U.S. federal
income tax laws; that Katapult has identified material weaknesses
in its internal control over financial reporting which, if not
remediated, could affect the reliability of its condensed
consolidated financial statements; successfully defend litigation;
litigation, regulatory matters, complaints, adverse publicity
and/or misconduct by employees, vendors and/or service providers;
and other events or factors, including those resulting from civil
unrest, war, foreign invasions (including the conflict involving
Russia and Ukraine and the Israel-Hamas conflict), terrorism,
public health crises and pandemics (such as COVID-19), or responses
to such events; Katapult’s ability to meet the minimum requirements
for continued listing on the Nasdaq Global Market; the effects of
the reverse stock split on our common stock; and those factors
discussed in greater detail in the section entitled “Risk Factors”
in Katapult’s periodic reports filed with the Securities and
Exchange Commission (“SEC”), and the Quarterly Report on Form 10-Q
for the quarter ended June 30, 2024 that Katapult filed with
the SEC.
If any of these risks materialize or our
assumptions prove incorrect, actual results could differ materially
from the results implied by these forward-looking statements. There
may be additional risks that Katapult does not presently know or
that Katapult currently believes are immaterial that could also
cause actual results to differ from those contained in the
forward-looking statements. Undue reliance should not be placed on
the forward-looking statements in this Press Release. All
forward-looking statements contained herein are based on
information available to Katapult as of the date hereof, and
Katapult does not assume any obligation to update these statements
as a result of new information or future events, except as required
by law.
Key Performance Metrics
Katapult regularly reviews several metrics,
including the following key metrics, to evaluate its business,
measure its performance, identify trends affecting our business,
formulate financial projections and make strategic decisions, which
may also be useful to an investor: gross originations, total
revenue, gross profit, adjusted gross profit and adjusted
EBITDA.
Gross originations are defined as the retail
price of the merchandise associated with lease-purchase agreements
entered into during the period through the Katapult platform. Gross
originations do not represent revenue earned. However, we believe
this is a useful operating metric for both Katapult’s management
and investors to use in assessing the volume of transactions that
take place on Katapult’s platform.
Total revenue represents the summation of rental
revenue and other revenue. Katapult measures this metric to assess
the total view of pay through performance of its customers.
Management believes looking at these components is useful to an
investor as it helps to understand the total payment performance of
customers.
Gross profit represents total revenue less cost
of revenue, and is a measure presented in accordance with generally
accepted accounting principles in the United States ("GAAP"). See
the “Non-GAAP Financial Measures” section below for a description
and presentation of adjusted gross profit and adjusted EBITDA,
which are non-GAAP measures utilized by management.
Non-GAAP Financial Measures
To supplement the financial measures presented in
this press release and related conference call or webcast in
accordance with GAAP, the Company also presents the following
non-GAAP and other measures of financial performance: adjusted
gross profit, adjusted EBITDA, adjusted net income/(loss) and fixed
cash operating expenses. The Company believes that for management
and investors to more effectively compare core performance from
period to period, the non-GAAP measures should exclude items that
are not indicative of our results from ongoing business
operations.The Company urges investors to consider non-GAAP
measures only in conjunction with its GAAP financials and to review
the reconciliation of the Company’s non-GAAP financial measures to
its comparable GAAP financial measures, which are included in this
press release.
Adjusted gross profit represents gross profit less
variable operating expenses, which are servicing costs, and
underwriting fees. Management believes that adjusted gross profit
provides a meaningful understanding of one aspect of its
performance specifically attributable to total revenue and the
variable costs associated with total revenue.
Adjusted EBITDA is a non-GAAP measure that is
defined as net loss before interest expense and other fees,
interest income, change in fair value of warrant liability,
provision for income taxes, depreciation and amortization on
property and equipment and capitalized software, provision of
impairment of leased assets, loss on partial extinguishment of debt
and stock-based compensation expense.
Adjusted net loss is a non-GAAP measure that is
defined as net loss before change in fair value of warrant
liability and stock-based compensation expense.
Fixed cash operating expenses is a non-GAAP
measure that is defined as operating expenses less depreciation and
amortization on property and equipment and capitalized software,
stock-based compensation expense and variable lease costs such as
servicing costs and underwriting fees. Management believes that
fixed cash operating expenses provides a meaningful understanding
of non-variable ongoing expenses.
Adjusted gross profit, adjusted EBITDA and
adjusted net loss are useful to an investor in evaluating the
Company’s performance because these measures:
- Are widely used to measure a company’s operating
performance;
- Are financial measurements that are used by rating agencies,
lenders and other parties to evaluate the Company’s credit
worthiness; and
- Are used by the Company’s management for various purposes,
including as measures of performance and as a basis for strategic
planning and forecasting.
Management believes the use of non-GAAP financial
measures, as a supplement to GAAP measures, is useful to investors
in that they eliminate items that are not part of our core
operations, highly variable or do not require a cash outlay, such
as stock-based compensation expense. Management uses these non-GAAP
financial measures when evaluating operating performance and for
internal planning and forecasting purposes. Management believes
that these non-GAAP financial measures help indicate underlying
trends in the business, are important in comparing current results
with prior period results and are useful to investors and financial
analysts in assessing operating performance. However, these
non-GAAP measures exclude items that are significant in
understanding and assessing Katapult’s financial results.
Therefore, these measures should not be considered in isolation or
as alternatives to revenue, net loss, gross profit, cash flows from
operations or other measures of profitability, liquidity or
performance under GAAP. You should be aware that Katapult’s
presentation of these measures may not be comparable to similarly
titled measures used by other companies.
KATAPULT HOLDINGS, INC. AND
SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS AND COMPREHENSIVE LOSS (amounts in
thousands, except per share data)
(unaudited)
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
|
|
(As Restated) (1) |
|
|
|
(As Restated) (1) |
Revenue |
|
|
|
|
|
|
|
Rental revenue |
$ |
58,196 |
|
|
$ |
53,439 |
|
|
$ |
122,338 |
|
|
$ |
107,570 |
|
Other revenue |
|
667 |
|
|
|
697 |
|
|
|
1,586 |
|
|
|
1,649 |
|
Total revenue |
|
58,863 |
|
|
|
54,136 |
|
|
|
123,924 |
|
|
|
109,219 |
|
Cost of revenue |
|
48,935 |
|
|
|
44,669 |
|
|
|
97,508 |
|
|
|
87,882 |
|
Gross profit |
|
9,928 |
|
|
|
9,467 |
|
|
|
26,416 |
|
|
|
21,337 |
|
Operating expenses |
|
12,549 |
|
|
|
13,477 |
|
|
|
25,237 |
|
|
|
29,044 |
|
Income (loss) from operations |
|
(2,621 |
) |
|
|
(4,010 |
) |
|
|
1,179 |
|
|
|
(7,707 |
) |
Loss on partial extinguishment of debt |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(2,391 |
) |
Interest expense and other fees |
|
(4,674 |
) |
|
|
(4,098 |
) |
|
|
(9,201 |
) |
|
|
(9,287 |
) |
Interest income |
|
359 |
|
|
|
427 |
|
|
|
683 |
|
|
|
1,047 |
|
Change in fair value of warrant liability |
|
109 |
|
|
|
257 |
|
|
|
(53 |
) |
|
|
389 |
|
Loss before income taxes |
|
(6,827 |
) |
|
|
(7,424 |
) |
|
|
(7,392 |
) |
|
|
(17,949 |
) |
Provision for income taxes |
|
(61 |
) |
|
|
(14 |
) |
|
|
(66 |
) |
|
|
(34 |
) |
Net loss |
$ |
(6,888 |
) |
|
$ |
(7,438 |
) |
|
$ |
(7,458 |
) |
|
$ |
(17,983 |
) |
|
|
|
|
|
|
|
|
Weighted average common shares outstanding - basic and diluted |
|
4,286 |
|
|
|
4,073 |
|
|
|
4,264 |
|
|
|
4,023 |
|
|
|
|
|
|
|
|
|
Net loss per common share - basic and diluted |
$ |
(1.61 |
) |
|
$ |
(1.83 |
) |
|
$ |
(1.75 |
) |
|
$ |
(4.47 |
) |
(1) |
Comparisons to 2023 financial results reflect the restatement made
to the Company’s unaudited interim condensed consolidated financial
statements for each of the interim periods within the year ended
December 31, 2023. For further information, refer to Notes 2 and 16
to the Consolidated Financial Statements included in Part II, Item
8 contained on Form 10-K for the fiscal year ended December 31,
2023. |
|
|
KATAPULT HOLDINGS, INC. AND
SUBSIDIARIES CONDENSED CONSOLIDATED BALANCE
SHEETS (dollars in thousands, except per share
data)
|
June 30, |
|
December 31, |
|
2024 |
|
2023 |
|
(unaudited) |
|
|
ASSETS |
|
|
|
Current assets: |
|
|
|
Cash and cash equivalents |
$ |
33,725 |
|
|
$ |
21,408 |
|
Restricted cash |
|
4,649 |
|
|
|
7,403 |
|
Property held for lease, net of accumulated depreciation and
impairment |
|
56,887 |
|
|
|
59,335 |
|
Prepaid expenses and other current assets |
|
3,489 |
|
|
|
4,491 |
|
Litigation insurance reimbursement receivable |
|
5,000 |
|
|
|
5,000 |
|
Total current assets |
|
103,750 |
|
|
|
97,637 |
|
Property and equipment, net |
|
287 |
|
|
|
327 |
|
Capitalized software and intangible assets, net |
|
1,767 |
|
|
|
1,919 |
|
Right-of-use assets |
|
736 |
|
|
|
888 |
|
Security deposits |
|
91 |
|
|
|
91 |
|
Total assets |
$ |
106,631 |
|
|
$ |
100,862 |
|
LIABILITIES AND STOCKHOLDERS' DEFICIT |
|
|
|
Current liabilities: |
|
|
|
Accounts payable |
$ |
1,455 |
|
|
$ |
903 |
|
Accrued liabilities |
|
22,613 |
|
|
|
24,146 |
|
Accrued litigation settlement |
|
12,000 |
|
|
|
12,000 |
|
Unearned revenue |
|
5,493 |
|
|
|
4,949 |
|
Revolving line of credit, net |
|
69,466 |
|
|
|
— |
|
Term loan, net, current |
|
27,605 |
|
|
|
— |
|
Lease liabilities |
|
366 |
|
|
|
297 |
|
Total current liabilities |
|
138,998 |
|
|
|
42,295 |
|
Revolving line of credit, net |
|
— |
|
|
|
60,347 |
|
Term loan, non-current |
|
— |
|
|
|
25,503 |
|
Lease liabilities, non-current |
|
431 |
|
|
|
614 |
|
Other liabilities |
|
148 |
|
|
|
95 |
|
Total liabilities |
|
139,429 |
|
|
|
128,759 |
|
STOCKHOLDERS' DEFICIT |
|
|
|
Common stock, 0.0001 par value-- 250,000,000 shares authorized;
4,168,919 and 4,072,713 shares issued and outstanding at June 30,
2024 and December 31, 2023, respectively |
|
— |
|
|
|
— |
|
Additional paid-in capital |
|
97,048 |
|
|
|
94,544 |
|
Accumulated deficit |
|
(129,994 |
) |
|
|
(122,536 |
) |
Total stockholders' deficit |
|
(32,946 |
) |
|
|
(27,992 |
) |
Total liabilities and stockholders' deficit |
$ |
106,631 |
|
|
$ |
100,862 |
|
|
|
|
|
|
|
|
|
KATAPULT HOLDINGS, INC. AND
SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF
CASH FLOWS (UNAUDITED) (dollars in
thousands)
|
Six Months Ended June 30, |
|
2024 |
|
2023 |
|
|
|
(As Restated) (1) |
CASH FLOWS FROM OPERATING ACTIVITIES |
|
|
|
Net loss |
$ |
(7,458 |
) |
|
$ |
(17,983 |
) |
Adjustments to reconcile net loss to net cash provided by (used in)
operating activities: |
|
|
|
Depreciation and amortization |
|
68,730 |
|
|
|
60,891 |
|
Net book value of property held for lease buyouts |
|
14,757 |
|
|
|
13,296 |
|
Impairment on property held for lease expense |
|
11,568 |
|
|
|
10,600 |
|
Change in fair value of warrants liability |
|
53 |
|
|
|
(389 |
) |
Stock-based compensation |
|
2,943 |
|
|
|
4,303 |
|
Loss on partial extinguishment of debt |
|
— |
|
|
|
2,391 |
|
Amortization of debt discount |
|
1,405 |
|
|
|
1,592 |
|
Amortization of debt issuance costs, net |
|
132 |
|
|
|
145 |
|
Accrued PIK Interest |
|
697 |
|
|
|
864 |
|
Amortization of right-of-use assets |
|
152 |
|
|
|
198 |
|
Increase (decrease) to cash due to changes in: |
|
|
|
Property held for lease |
|
(92,078 |
) |
|
|
(87,422 |
) |
Prepaid expenses and other current assets |
|
1,002 |
|
|
|
2,858 |
|
Accounts payable |
|
552 |
|
|
|
(290 |
) |
Accrued liabilities |
|
(1,533 |
) |
|
|
186 |
|
Lease liabilities |
|
(114 |
) |
|
|
(227 |
) |
Unearned revenues |
|
544 |
|
|
|
436 |
|
Net cash provided by (used in) operating activities |
|
1,352 |
|
|
|
(8,551 |
) |
CASH FLOWS FROM INVESTING ACTIVITIES |
|
|
|
Purchases of property and equipment |
|
(25 |
) |
|
|
— |
|
Additions to capitalized software |
|
(312 |
) |
|
|
(519 |
) |
Net cash used in investing activities |
|
(337 |
) |
|
|
(519 |
) |
CASH FLOWS FROM FINANCING ACTIVITIES |
|
|
|
Proceeds from revolving line of credit |
|
14,642 |
|
|
|
9,380 |
|
Principal repayments on revolving line of credit |
|
(5,655 |
) |
|
|
(3,311 |
) |
Principal repayment on term loan |
|
— |
|
|
|
(25,000 |
) |
Payments of deferred financing costs |
|
— |
|
|
|
(22 |
) |
Repurchases of restricted stock |
|
(457 |
) |
|
|
(247 |
) |
Proceeds from exercise of stock options |
|
18 |
|
|
|
— |
|
Net cash provided by (used in) financing activities |
|
8,548 |
|
|
|
(19,200 |
) |
Net increase (decrease) in cash, cash equivalents and restricted
cash |
|
9,563 |
|
|
|
(28,270 |
) |
Cash, cash equivalents and restricted cash at beginning of
period |
|
28,811 |
|
|
|
69,841 |
|
Cash, cash equivalents and restricted cash at end of period |
$ |
38,374 |
|
|
$ |
41,571 |
|
Supplemental disclosure of cash flow
information: |
|
|
|
Cash paid for interest |
$ |
6,888 |
|
|
$ |
6,602 |
|
Cash paid for income taxes |
$ |
203 |
|
|
$ |
108 |
|
Deferred financing costs included in accrued liabilities |
$ |
— |
|
|
$ |
493 |
|
Issuance of warrants to purchase common stock in connection with
debt refinancing |
$ |
— |
|
|
$ |
4,060 |
|
Cash paid for operating leases |
$ |
166 |
|
|
$ |
260 |
|
|
|
|
|
|
|
|
|
KATAPULT HOLDINGS, INC.
RECONCILIATION OF NON-GAAP MEASURES AND CERTAIN OTHER DATA
(UNAUDITED) (amounts in
thousands)
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
|
|
(As Restated) (1) |
|
|
|
(As Restated) (1) |
Net loss |
$ |
(6,888 |
) |
|
$ |
(7,438 |
) |
|
$ |
(7,458 |
) |
|
$ |
(17,983 |
) |
Add back: |
|
|
|
|
|
|
|
Interest expense and other fees |
|
4,674 |
|
|
|
4,098 |
|
|
|
9,201 |
|
|
|
9,287 |
|
Interest income |
|
(359 |
) |
|
|
(427 |
) |
|
|
(683 |
) |
|
|
(1,047 |
) |
Change in fair value of warrant liability |
|
(109 |
) |
|
|
(257 |
) |
|
|
53 |
|
|
|
(389 |
) |
Provision for income taxes |
|
61 |
|
|
|
14 |
|
|
|
66 |
|
|
|
34 |
|
Depreciation and amortization on property and equipment and
capitalized software |
|
263 |
|
|
|
227 |
|
|
|
529 |
|
|
|
197 |
|
Provision for impairment of leased assets |
|
429 |
|
|
|
558 |
|
|
|
602 |
|
|
|
424 |
|
Loss on partial extinguishment of debt |
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
2,391 |
|
Stock-based compensation expense |
|
1,552 |
|
|
|
1,686 |
|
|
|
2,943 |
|
|
|
4,303 |
|
Adjusted EBITDA |
$ |
(377 |
) |
|
$ |
(1,539 |
) |
|
$ |
5,253 |
|
|
$ |
(2,783 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
|
|
(As Restated) (1) |
|
|
|
(As Restated) (1) |
Net loss |
$ |
(6,888 |
) |
|
$ |
(7,438 |
) |
|
$ |
(7,458 |
) |
|
$ |
(17,983 |
) |
Add back: |
|
|
|
|
|
|
|
Change in fair value of warrant liability |
|
(109 |
) |
|
|
(257 |
) |
|
|
53 |
|
|
|
(389 |
) |
Stock-based compensation expense |
|
1,552 |
|
|
|
1,686 |
|
|
|
2,943 |
|
|
|
4,303 |
|
Adjusted net loss |
$ |
(5,445 |
) |
|
$ |
(6,009 |
) |
|
$ |
(4,462 |
) |
|
$ |
(14,069 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
|
|
(As Restated) (1) |
|
|
|
(As Restated) (1) |
Total operating expenses |
$ |
12,549 |
|
|
$ |
13,477 |
|
|
$ |
25,237 |
|
|
$ |
29,044 |
|
Less: |
|
|
|
|
|
|
|
Depreciation and amortization on property and equipment and
capitalized software |
|
263 |
|
|
|
227 |
|
|
|
529 |
|
|
|
197 |
|
Stock-based compensation expense |
|
1,552 |
|
|
|
1,686 |
|
|
|
2,943 |
|
|
|
4,303 |
|
Servicing costs |
|
1,141 |
|
|
|
1,103 |
|
|
|
2,273 |
|
|
|
2,093 |
|
Underwriting fees |
|
491 |
|
|
|
480 |
|
|
|
1,000 |
|
|
|
948 |
|
Fixed cash operating expenses |
$ |
9,102 |
|
|
$ |
9,981 |
|
|
$ |
18,492 |
|
|
$ |
21,503 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended June 30, |
|
Six Months Ended June 30, |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
|
|
(As Restated) (1) |
|
|
|
(As Restated) (1) |
Total revenue |
$ |
58,863 |
|
|
$ |
54,136 |
|
|
$ |
123,924 |
|
|
$ |
109,219 |
|
Cost of revenue |
|
48,935 |
|
|
|
44,669 |
|
|
|
97,508 |
|
|
|
87,882 |
|
Gross profit |
|
9,928 |
|
|
|
9,467 |
|
|
|
26,416 |
|
|
|
21,337 |
|
Less: |
|
|
|
|
|
|
|
Servicing costs |
|
1,141 |
|
|
|
1,103 |
|
|
|
2,273 |
|
|
|
2,093 |
|
Underwriting fees |
|
491 |
|
|
|
480 |
|
|
|
1,000 |
|
|
|
948 |
|
Adjusted gross profit |
$ |
8,296 |
|
|
$ |
7,884 |
|
|
$ |
23,143 |
|
|
$ |
18,296 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CERTAIN KEY PERFORMANCE
METRICS
(in thousands) |
Three Months Ended June 30, |
|
Six Months Ended June 30, |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
|
|
(As Restated) (1) |
|
|
|
(As Restated) (1) |
Total revenue |
$ |
58,863 |
|
|
$ |
54,136 |
|
|
$ |
123,924 |
|
|
$ |
109,219 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
KATAPULT HOLDINGS, INC.
GROSS ORIGINATIONS BY QUARTER
|
Gross Originations by Quarter |
($ millions) |
Q1 |
|
Q2 |
|
Q3 |
|
Q4 |
FY 2024 |
$ |
55.6 |
|
|
$ |
55.3 |
|
|
$ |
— |
|
|
$ |
— |
|
FY 2023 |
$ |
54.7 |
|
|
$ |
54.7 |
|
|
$ |
49.6 |
|
|
$ |
67.5 |
|
FY 2022 |
$ |
46.7 |
|
|
$ |
46.4 |
|
|
$ |
44.1 |
|
|
$ |
59.8 |
|
FY 2021 |
$ |
63.8 |
|
|
$ |
64.4 |
|
|
$ |
61.0 |
|
|
$ |
58.9 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Katapult (NASDAQ:KPLT)
Graphique Historique de l'Action
De Nov 2024 à Déc 2024
Katapult (NASDAQ:KPLT)
Graphique Historique de l'Action
De Déc 2023 à Déc 2024