OppFi Inc.

OppFi reported Q2 2026 revenue of $145 million, up 1.9% year over year and a company record for any second quarter. Originations declined 9% to $212 million. Net charge-offs were approximately 40% of revenue versus 32% in the prior-year period, and net charge-offs as a percentage of receivables rose to 52% from 43%. Recoveries increased to approximately $15 million from $11 million. Adjusted operating expenses were approximately $49 million, or 34% of revenue, down slightly from 35% a year ago. Adjusted net income declined 27% to approximately $29 million, and adjusted EPS fell to $0.33 from $0.45. Management revised full-year 2026 guidance to revenue of $600 million to $625 million, adjusted net income of $115 million to $130 million, and adjusted EPS of $1.34 to $1.51. The company ended Q2 with $92 million of cash, cash equivalents and restricted cash, $277 million of total debt, $414 million of total stockholders' equity, and $541.8 million of total funding capacity, including $173.5 million of unused debt capacity.

Todd Schwartz framed Q2 as a quarter of strategic progress rather than near-term financial outperformance, saying the company invested heavily in product testing, product improvements, and refining the LOLA system. He emphasized that the line of credit product tested well, fills a consumer need for lower monthly payments and more affordability, and should launch next month, while the modular technology platform should shorten future product development cycles. His tone was constructive and confident, with repeated focus on long-term scale, the BNC acquisition, and the idea that the business is being repositioned for a broader multi-product platform.

Pamela Johnson stressed balance-sheet strength, margin discipline, and selective growth, saying OppFi is prioritizing unit economics and margin stability over near-term volume. She highlighted adjusted operating expenses of about $49 million, or 34% of revenue, adjusted net income of about $29 million, and adjusted EPS of $0.33, while noting strong liquidity with $92 million in cash and $541.8 million of total funding capacity. She also pointed to the revised 2026 outlook of $600 million to $625 million of revenue, $115 million to $130 million of adjusted net income, and $1.34 to $1.51 of adjusted EPS, while reiterating confidence in 2027, 2028, and the long-term return targets tied to the BNC combination.

Analysts pressed management on why underwriting was tightened despite broader industry commentary about resilient consumers. Todd Schwartz said weaker consumer sentiment started last summer, affordability is increasingly important, and OppFi wants to keep monthly payments manageable while staying competitive. Questions also focused on the guidance cut and how much stemmed from delayed launches; management said the main issue was late timing of growth initiatives, especially the line of credit, which is now targeted for September, and that LOLA mainly delayed product initiatives rather than driving the entire cut. On BNC, management reiterated that regulatory applications have been submitted and that closing in Q4 remains the plan, but acknowledged the timing is partly outside their control.