Propel Raises Dividend for 13th Consecutive Time as Third-Quarter Revenue Grows
Key Facts
Propel Holdings announced its third-quarter results and scheduled a conference call and webcast to discuss them for November 4, 2026, at 8:30 a.m. U.S. Eastern Time. The announcement comes as the company tracks growth in its lending business after recording record revenue in the previous quarter. The company also announced a cash dividend increase for the 13th consecutive time, according to the quarterly results source. The consecutive dividend increases give investors another measure of the company's decisions on returning some of its proceeds to shareholders. The third-quarter results are being assessed for developments in revenue, originations and credit quality, indicators the company has previously presented in its quarterly updates.
In the second quarter of 2026, Propel revenue rose 26% year over year to a record $179.6 million, according to the company. That was up from revenue in the year-earlier period and puts the third-quarter results in the context of a growth trajectory that began before the period covered by the announcement. Net income was $16.2 million, while adjusted net income reached a record $24.8 million. The difference between the figures reflects the company's use of two profitability measures, one based on net income and the other on its adjusted definition. Adjusted net income rose 29% in the second quarter, compared with 7% growth in net income.
Growth in the second quarter also extended to originations, which increased 25% year over year to a quarterly record of $243.4 million. Originations to new customers rose 34%, or 43% including lending-as-a-service activity, according to the company. The figures show expansion in both financing volume and the flow of new customers, alongside revenue growth. That expansion remains linked to monitoring loan performance, as the company compared net charge-off indicators with year-earlier levels. Net charge-offs were 12% of average combined loan and advance balances in the second quarter, a level the company said was consistent with the year-earlier period.
The previous year's results provide a basis for comparison with the new period: Propel revenue was about $152.1 million in the third quarter of 2025, compared with $117.2 million in the third quarter of 2024. Net income also reached about $15.0 million, compared with about $10.5 million in the year-earlier period. The comparison shows that the company had already expanded revenue and net income before the current third-quarter results. In its investor presentation for the first quarter of 2026, the company said net charge-offs were 12.6% of average combined balances and that the level was in line with its expectations for profitable growth. This puts subsequent credit data in the context of the company's monitoring of loan losses as expansion continues.
The company cited another financing factor in its investor presentation: the cost of debt fell to 10.1% in the first quarter of 2026 from 12.2% in the same period of 2025, and it said the decline supported profitability. The improvement in funding costs came alongside the revenue and originations growth the company recorded in the second quarter. Credit quality, meanwhile, remains part of performance monitoring, with the company saying second-quarter net charge-offs were consistent with the previous year. Management is scheduled to present and discuss third-quarter results on the call and webcast set for November 4, 2026, at 8:30 a.m. Eastern Time. The company also announced a dividend increase for the 13th consecutive time, a step affecting shareholders alongside the results announcement.