Oportun Financial (OPRT) Small-Cap Virtual Conference summary

Strategy and leadership

• Seven consecutive quarters of GAAP profitability; focus shifting to durable, risk-adjusted growth and more predictable returns.

• Leadership additions in 2026: Doug Bland as CEO in April, Sean Rowles as CRO in June, Bill Franklin as CFO, Bernardo Martinez as Chief Retail and Sales Officer, and Garrett Hope as Chief Product Officer.

• Risk-based pricing launched in July to tailor terms across risk tiers, retain lower-risk returning members, and responsibly broaden the applicant funnel; certain loans priced above 36%, with best customers potentially below 36%.

• Payment protection launched in April as an opt-in offer covering events including involuntary unemployment, death, or disability; both initiatives are in testing and rollout, with potential to contribute in future years if scaled.

Products and member experience

• Unsecured personal loans were the largest and most profitable product; Q2 average loan size ~$3,400, 27-month term, and 35.7% weighted average APR.

• Secured personal loan originations grew 15% YoY and reached 9% of portfolio in Q2, up from 7%; losses were substantially lower than unsecured loans, with expected revenue per loan ~2x and better risk-adjusted returns.

• Set & Save members set aside an average $1,800 annually; cumulative savings exceeded $13.2 billion since launch, using AI to analyze income and spending and automate goal-based transfers.

• Automated underwriting uses AI/ML, more than 1,000 decision end nodes, alternative data to score consumers without credit files, bank transaction data, bureau data, and income verification; parameters can be changed overnight.

• In Q2, 54% of applicants used multiple fulfillment channels and 79% used mobile for part of the application; channel mix was ~25% retail, ~25% contact center, and ~26% online/mobile.

Credit and earnings performance

• Q2 annualized net charge-off rate improved 65 bps sequentially to 12%, below the 12.2% midpoint of guidance; 30+ day delinquency reached its lowest rate since Q4 2021.

• First-six-month bad rate was ~6% across the last five quarters versus ~15% in challenged vintages; exited online affiliate-led channels, tightened selection, and resumed risk-based pricing in July.

• Q2 revenue was $233 million, above the $227 million-$232 million guidance range; adjusted EBITDA was $49 million, 56% growth YoY and above the $34 million-$39 million range.

• Q2 GAAP EPS was $0.17, up 21% YoY, and adjusted EPS was $0.42, up 35%; adjusted ROE was 20.5%, within the 20%-28% target and up 463 bps YoY.

• Q2 cost of debt fell to 6.3% from 8.6% YoY; adjusted OpEx ratio improved to 12.8% from 13.3% of own principal balance.