FIGR Q2 2026 Earnings Call Summary

1Key Financial Results and Metrics

Consumer Loan Marketplace Volume: $4.3 billion, up 132% year-over-year, exceeding guidance by 4%.

Adjusted Net Revenue: $218 million, a 95% increase from $112 million year-over-year.

Adjusted EBITDA: $119 million, up 126% year-over-year, with a margin of 55%.

Net Income: $87 million, a 190% increase from $30 million a year ago.

Take Rate: 3.6%, at the low end of the guided range of 3.5% to 4%.

Figure Connect Volume: 65% of total consumer loan marketplace volume, up from 56% last quarter.

2Strategic Updates and Business Highlights

Partner Ecosystem Growth: Increased to 489 partners, up 102 from the previous quarter, with significant contributions from independent mortgage banks, servicers, and fintechs.

Kiavi Acquisition: Expected to close by year-end, adding 40% to volume and $100 million in EBITDA, enhancing the partner ecosystem.

Democratized Prime: Matched offers balance reached $392 million, indicating strong adoption and growth.

AI and Blockchain Investments: Implementation of AI tools for standardization and the use of stablecoin for faster transactions are enhancing operational efficiency.

New Vertical Focus: Emphasis on small business financing and home improvement loans is driving growth.

3Forward Guidance and Outlook

Q3 Guidance: Consumer loan marketplace volume expected between $4.8 billion and $5.2 billion, with July's performance at $1.7 billion indicating strong momentum.

Long-term Margin Goals: Continuing efforts towards achieving 60% EBITDA margins through growth in Figure Connect and operational efficiencies.

4Bad News, Challenges, or Points of Concern

Take Rate Pressure: The lower take rate is attributed to a mix shift towards Figure Connect, which has a lower take rate but higher profitability. Rising interest rates are also impacting gain on sale, which affects take rates.

Balance Sheet Loans: Loans on the balance sheet increased to $600 million, raising concerns about capital intensity despite the capital-light model of Figure Connect.

Market Volatility: Interest rate fluctuations are expected to create ongoing volatility in gain on sale, impacting revenue predictability.

5Notable Q&A Insights

Q3 Volume Assumptions: Management expressed confidence in Q3 guidance based on historical trends and strong July performance.

Partner Contributions: New partners are diverse in size and type, with expectations for significant contributions to volume in the latter half of the year.

Take Rate Clarification: The lower take rate is not due to pricing cuts but rather a strategic shift towards higher volume partners on Figure Connect.

Ecosystem Fees Growth: Ecosystem and technology fees are now the largest revenue contributor, reflecting the ongoing transition to Figure Connect.

Future Asset Classes: The introduction of new asset classes is expected to follow a similar ramp-up as seen with Agora, with AI tools aiding in faster integration. Overall, FIGR demonstrated robust growth in Q2 2026, driven by a strong partner ecosystem and strategic innovations, although challenges related to take rates and market volatility remain.