Oportun Financial (OPRT) Sidoti March Small-Cap Virtual Conference summary

Business overview and product highlights

• Offers borrowing and saving solutions targeting underserved, low to moderate income individuals, with a bilingual approach and digital engagement channels.

• Originated 8 million loans and extended over $21 billion in credit since 2005, with nearly $1 billion in 2025 revenue and $148 million in Adjusted EBITDA.

• Three main products: unsecured personal loans, secured personal loans (SPL), and the Set & Save savings app, which has helped members save over $12.5 billion.

• Unsecured loans average $3,300, 26 months, 35.8% APR; SPLs average $6,500, 35 months, 33.4% APR, and have lower credit losses and higher revenue per loan.

• Set & Save app recognized by Bankrate and Forbes, helping users save an average of $1,800 annually.

Technology, underwriting, and customer experience

• Uses AI-driven, fully automated underwriting with proprietary alternative data and bureau scores, enabling precise credit and fraud decisions.

• Verifies income for all applicants and leverages Plaid for bank transaction data, allowing rapid adjustment to underwriting parameters.

• 53% of applicants used multiple fulfillment channels; 78% used the mobile channel; over 100,000 partner payment locations available.

Strategic priorities and operational performance

• 2026 priorities: improve credit outcomes, strengthen business economics, and identify high-quality originations.

• Shifted originations toward existing members (74% in H2 2025), upgraded decisioning infrastructure, and focused on efficiency gains.

• Risk-adjusted net interest margin improved to 15.8%; adjusted OpEx ratio down to 12.7%; adjusted ROE up to 17.5%.

• Exploring risk-based pricing above 36% APR for select segments and lower APRs for high-quality returning members, aiming for higher earnings in 2027.