Upbound Group Q4 Revenue Jumps 10.9% to $1.2B, Free Cash Flow Up $130M
Upbound Group’s Q4 revenue rose 10.9% year-over-year to $1.2 billion, driven by Brigit and 8.6% growth at Acima, while adjusted EBITDA reached $126 million and free cash flow surged $130 million to $180 million. Full-year revenue hit a record $4.7 billion, with net leverage at 2.9x.
1. Q4 Financial Results
Upbound Group reported Q4 revenue of $1.2 billion, a 10.9% increase year-over-year, with adjusted EBITDA of $126 million up 2.6% and adjusted EBITDA margin at 10.5%, down 90 basis points. Non-GAAP EPS was $1.01, down 4%, while free cash flow rose by over $130 million to $180 million.
2. Segment Performance
Acima delivered its ninth consecutive quarter of growth with Q4 GMV near $550 million and adjusted EBITDA of $87 million. Brigit grew to 1.6 million subscribers, with Q4 revenue up 41.5% to $64.6 million and adjusted EBITDA of $11.1 million. Rent-A-Center posted 0.8% same-store sales growth and delivered $69.2 million in adjusted EBITDA.
3. Balance Sheet and Capital Allocation
Upbound ended the year with $358 million in liquidity and net leverage of approximately 2.9x, up from 2.7x due to the Brigit acquisition, with a long-term target of 2.0x. Management prioritized leverage reduction, organic reinvestment and dividend distributions while remaining open to opportunistic share buybacks.
4. 2026 Outlook
For 2026, the company guided revenue of $4.7 billion to $4.95 billion, adjusted EBITDA of $500 million to $535 million, and non-GAAP EPS of $4.00 to $4.35. Corporate costs are expected to be around 4% of revenue.