SRM Entertainment Q2 Results: Net Income of $1.47mln, Promissory Note Paid Off

SRM Entertainment reported Q2 net income of $1,467,855, a significant improvement from a loss of $520,971 in the prior-year period. The company paid off its $500,000 promissory note, leaving no debt. This financial turnaround highlights the company's improved financial health and ability to meet its debt obligations.

Pagaya Technologies Ltd. (NASDAQ: PGY) has announced its second quarter 2025 earnings, showcasing a significant turnaround to profitability and substantial revenue growth. The fintech company, which leverages artificial intelligence to manage risk and optimize lending decisions for financial institutions, reported impressive financial metrics across the board.

Key financial highlights include:
- Total revenue increased by 30% year-over-year to $326 million.
- Fee revenue grew by 31% to $318 million, contributing to the overall revenue growth.
- Adjusted net income surged by 604% to $51 million, while Adjusted EBITDA grew by 72% to $86 million.
- Network volume reached $2,648 million, a 14% increase from the previous year.

Pagaya's strategic shift from lending partner products to investor products has been a key driver of this transformation. The company's investor product FRLPC (Fee Revenue Less Production Costs) grew from 1% of total FRLPC in Q2 2022 to a dominant 81% in Q2 2025. This strategic pivot has been accompanied by improvements in FRLPC as a percentage of network volume, which reached 4.8% in Q2 2025.

Operational efficiency improvements have also played a significant role in Pagaya's financial turnaround. Core operating expenses decreased by 12% year-over-year to $49 million in Q2 2025, down from $55 million in Q2 2024. This reduction in expenses, along with the growth in revenue, has resulted in substantial Adjusted EBITDA expansion, reaching $86 million in Q2 2025.

Pagaya's AI-driven approach continues to scale, with the company evaluating 238 billion applications in Q2 2025 while maintaining a conversion rate of approximately 1%. This massive data processing capability underscores the company's technological advantage in credit decisioning.

The company's transformation from a loss-making entity to a profitable business appears to be gaining momentum, with Q2 2025 representing another significant step in Pagaya's evolution. Investors have responded positively to these developments, as evidenced by the substantial premarket stock price increase following the release of these results.

For more details, refer to Pagaya's Q2 2025 earnings presentation released on August 7 [1].

References:
[1] https://www.investing.com/news/company-news/pagaya-q2-2025-slides-revenue-jumps-30-as-company-swings-to-profitability-93CH-4176661