A lease-to-own and financial wellness company serving shoppers who may not qualify for traditional credit. Through Rent-A-Center stores and Acima's virtual service, customers rent furniture and appliances with flexible payments and the option to buy; its Brigit app, added in 2025, offers early access to earned wages and credit-building tools. The Rent-A-Center brand began in 1973 when Thomas Devlin opened a store in Wichita, Kansas, and the firm later renamed itself Upbound Group in 2023 to unite its growing lineup of brands.
Q2 2026 gross margin rose 3.0 points to 51.1% as Brigit's mix lifted consolidated profit.
rose to its highest quarterly level in two years. was $1,163.4M, up 0.5% , with of $0.37 and of $21.6M, as the Brigit 's mix and fewer Acima early purchase options lifted margin 3.0 points to 51.1%. The company carries $1.4B of debt with no interest rate swaps as it integrates Brigit.
Key takeaways
rose 3.0 points to 51.1% from Q1 and 1.7 points , helped by a mix shift in the Brigit and fewer early purchase options in Acima, per the H1 MD&A.
was $1,163.4M, up 0.5% but down 4.6% from Q1's $1,219.7M, with H1 2026 revenue up 2.1% to $2,383.2M driven by a $55.0M Brigit contribution.
was $21.6M, up 39.4% , and was $0.37, up 42.3%; was $54.3M, up 6.9% year over year but down 29.9% from Q1.
Section summaries
Management's Discussion and Analysis
Consolidated revenue rose 2.1% to $2.38B in H1 2026, driven by the Brigit acquisition, while operating profit grew 16.2% to $131.7M.
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Total revenues for the six months ended June 30, 2026, increased 2.1% to $2,383.2 million, primarily due to a $55.0 million contribution from the newly acquired Brigit .
Acima revenues decreased 0.3% to $1,252.2 million, as an 8.5% drop in led to lower merchandise sales, partially offset by fewer customers exercising early purchase options.
was $123.3M, up 372.7% , and was $107.8M, up 1275.2%; H1 was $294.0M with $105.3M cash and $1.4B debt at June 30, 2026.
Acima fell 0.3% to $1,252.2M in H1 on an 8.5% GMV drop, while Rent-A-Center revenue fell 0.9% but same-store revenues rose 1.0%.
What changed
Acima lease charge-offs: Q1 2026 was 8.8% of versus 9.6% in 2024; this filing's H1 MD&A shows Acima revenue down 0.3% on 8.5% lower GMV, extending the below-2024 trend.
Brigit paying-user and profit tracking: Q1 2026 added $35.8M in its first full quarter; H1 2026 shows a $55.0M Brigit contribution lifting consolidated margin, confirming the acquisition's mix effect.
Rent-A-Center : FY2025 fell 2.2%; Q1 2026 rose 0.4% and H1 2026 same-store revenues rose 1.0%, reversing the decline.
CFPB and multi-state AG investigations into Acima: risk factors restate no material change from the 2025 10-K, so no new outcome this quarter.
Debt and interest: FY2025 ended with $1.6B debt and a 1% move equal to $11.4M; at June 30 2026 debt is $1.4B with a 1% move equal to $9.9M and no swaps, lowering rate exposure.
What to watch
Acima lease charge-off rate in Q3 2026 after H1 fell 0.3% on 8.5% lower GMV to see if the 8.8% Q1 rate holds.
Brigit and paying-user growth in Q3 after H1 contributed $55.0M to consolidated .
Rent-A-Center same-store trajectory after H1 rose 1.0% to see if revenue follows.
Outcome of CFPB and multi-state AG investigations into Acima and any required penalty or business-model change.
Rent-A-Center revenues fell 0.9% to $948.0 million, driven by fewer early purchase option exercises and lower franchise revenues, while same store revenues increased 1.0%.
Consolidated improved to 49.6% from 48.1%, helped by a mix shift in the Brigit and fewer early purchase options in Acima.
rose 16.2% to $131.7 million, as a $59.3 million increase in and a $15.9 million decrease in other gains and charges were partially offset by a $61.3 million rise in non-labor operating expenses.
was $294.0 million for the first half of 2026, and the company held $105.3 million in cash with $1.4 billion in outstanding debt as of June 30, 2026.
Quantitative and Qualitative Disclosures About Market Risk
Interest Rate Risk Our primary market risk exposure is fluctuations in interest rates. Monitoring and managing this risk is a continual process carried out by our senior management. We manage our market risk based on an ongoing assessment of trends in interest rates and economic…
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Interest Rate Risk
Our primary market risk exposure is fluctuations in interest rates. Monitoring and managing this risk is a continual process carried out by our senior management. We manage our market risk based on an ongoing assessment of trends in interest rates and economic developments, giving consideration to possible effects on both total return and reported earnings. As a result of such assessment, we may enter into swap contracts or other interest rate protection agreements from time to time to mitigate this risk.
As of June 30, 2026, we had $450 million in Notes outstanding at a fixed interest rate of 6.375%. We also had $868.4 million outstanding under the Term Loan Facility and $120.0 million outstanding under our ABL Credit Facility, each at interest rates indexed to the Term SOFR rate or the prime rate. Carrying value of the Term Loan Facility and ABL Credit Facility approximates fair value for such indebtedness. Based on our overall interest rate exposure at June 30, 2026, a hypothetical 1.0% increase or decrease in market interest rates would have the effect of causing an additional $9.9 million annualized pre-tax charge or credit to our Condensed Consolidated Statements of Operations. We have not entered into any interest rate swap agreements as of June 30, 2026.
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Foreign Currency Translation
We are also exposed to market risk from foreign exchange rate fluctuations of the Mexican peso to the U.S. dollar as the financial position and operating results of our stores in Mexico are translated into U.S. dollars for consolidation. Resulting translation adjustments are recorded as a separate component of stockholders’ equity.
Please see Note 11 of our condensed consolidated financial statements included in this Quarterly Report on Form 10-Q for additional discussion of certain of our legal proceedings and governmental inquiries.
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Please see Note 11 of our condensed consolidated financial statements included in this Quarterly Report on Form 10-Q for additional discussion of certain of our legal proceedings and governmental inquiries.
There have been no material changes to the risk factors disclosed in Item 1A of Part 1, “Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2025.
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There have been no material changes to the risk factors disclosed in Item 1A of Part 1, “Risk Factors” of our Annual Report on Form 10-K for the year ended December 31, 2025.