Propel Holdings (PRL) investor relations material

Executive summary

• Achieved record Q1 originations funded of $199 million, up 30% year-over-year, with new customer originations growing nearly 40% in the quarter.

• Record quarterly revenue of $166.1 million in Q1 2026, up 20% year-over-year from $138.9 million in Q1 2025.

• Adjusted EBITDA reached $42 million, up from $41.2 million in Q1 2025; adjusted net income was $23 million, slightly below last year.

• Board approved a 7% increase in annualized dividend to CAD 0.96 per share, marking the eleventh consecutive quarterly increase.

• Record ending CLAB of $593 million, up 23% year-over-year.

Financial highlights

• Total originations funded increased 30% year-over-year to $199.3 million, driven by both new and returning customers.

• Lending-as-a-Service revenue grew 114% year-over-year to $5.9 million.

• Annualized revenue yield was 112% in Q1, down from 115% last year but up from 109% in Q4.

• Provision for loan losses was 45% of revenue, down from 56% in Q4 2025.

• Loans and advances receivable reached $466.4 million, a record high.

Outlook and guidance

• Anticipates further increases in revenue yield and margin expansion as new customer growth and higher-yielding programs scale.

• Guidance contemplates roughly 50% bottom line growth relative to 2025, with Q1 tracking ahead of expectations.

• Expects Lending-as-a-Service to approach 10% of total revenues by Q4 2026.

• Growth in the U.K. and Lending-as-a-Service expected to accelerate through 2026.

• Management expects continued profitable growth in 2026 and beyond, supported by strong consumer demand and new product launches.