Katapult Holdings Inc (NASDAQ: KPLT) is a technology-driven lease-to-own platform that integrates with omnichannel retailers and e-commerce platforms to enable purchases of everyday durable goods for U.S. non-prime consumers. Revenue is generated through rental payments collected under lease agreements, recorded in accordance with ASC 842, with other revenue recorded as performance obligations are satisfied under ASC 606. Katapult serves consumers who cannot access traditional financing, positioning itself as a point-of-sale financing alternative at merchant checkout. The platform includes KPay, a mobile app feature that issues single-use virtual cards through an issuing bank partner via Marqeta and Sutton Bank. As of the 10-K filed March 11, 2026, Katapult was party to a pending merger agreement with CCFI and Aaron's, expected to close in Q2 2026. The company completed its de-SPAC transaction in June 2021 and does not pay cash dividends on common stock, though Series A and Series B Convertible Preferred Stock issued in 2025 accrue cumulative dividends payable in-kind.

Revenue model

Transactional lease revenue recorded when earned and cash is collected under ASC 842, supplemented by other revenue under ASC 606. Revenue is historically strongest in Q1 due to holiday-season originations in Q4 and customer tax refunds, though in FY2025 revenue was highest in Q3 driven by origination growth in the first half of 2025.

Products and services

Lease-to-own financing platform with point-of-sale integrations for omnichannel and e-commerce merchants. KPay mobile app enabling consumers to complete lease-financed purchases via single-use virtual cards issued through Marqeta and Sutton Bank. AI/ML models are used in platform operations. Property held for lease is a primary balance sheet asset.

Customers and end markets

U.S. non-prime consumers unable to access traditional financing, purchasing everyday durable goods. Merchants served include omnichannel retailers and e-commerce platforms that integrate Katapult at checkout to convert sales. Customer retention is dependent on brand trust and service quality.

Value-chain role

Intermediary between merchants and non-prime consumers, providing lease-to-own financing at the point of sale. Relies on third-party infrastructure including cloud computing providers, virtual card processors (Marqeta), issuing bank partners (Sutton Bank), and a designated loan processor required under its New Revolving Facility loan agreement.

Geographic exposure

United States only, based on filing disclosures referencing U.S. non-prime consumers and U.S. federal, state, and local regulatory obligations.

Source: SEC 10-K, filed 2026-03-11

Industry: Services-Equipment Rental & Leasing, NEC Peers: American Express Co Consumer Portfolio Services Inc CURO Group Holdings Corp. Elevate Credit, Inc. Medallion Financial Corp Old Market Capital Corp Oportun Financial Corp