PROG Holdings, Inc. (NYSE: PRG)

PROG Holdings is a financial technology holding company that provides transparent and competitive payment options to consumers. The company operates in the alternative financing industry, offering lease to own and buy now, pay later solutions to underserved shoppers. It primarily serves individuals with limited or challenged credit histories who seek alternatives to traditional financing for durable goods such as furniture, electronics, apparel and home goods.

PROG Holdings generates revenue primarily through its lease to own transactions via Progressive Leasing and its short term interest free installment plans via Four. In the year ended December 31 2025, the Progressive Leasing segment accounted for approximately 96% of consolidated revenue, with the remainder coming from Four. Revenue is earned from merchants and consumers who use these payment platforms to purchase goods such as furniture, electronics, apparel, and other durable items, and the company also collects fees from retailers for facilitating sales.

The company operates through the following segments: Progressive Leasing and Four. These segments are how the chief operating decision maker regularly reviews results to allocate resources.

• Progressive Leasing: This segment provides in store, app based and e commerce point of sale lease to own solutions for merchandise including furniture, appliances, electronics, mobile phones, jewelry, mattresses, and automobile accessories. The company purchases the desired merchandise from point of sale partners and leases that merchandise to customers through a cancellable lease to own transaction, offering flexible terms and early buyout options. Progressive Leasing has no stores of its own and serves customers through approximately 24,000 third party partner locations in 45 states, the District of Columbia, and Puerto Rico. The segment generated approximately 96% of the company’s consolidated revenue for the year ended December 31 2025.

• Four: This segment offers consumers a buy now, pay later service that allows purchases to be paid in four interest free installments via a direct to consumer mobile app. The platform uses a proprietary risk decisioning engine to evaluate transactions and provides transparent fixed term payment options. Four serves shoppers across a broad range of retail categories such as apparel, electronics, furniture, footwear, health and beauty, and travel. Revenue for Four includes transaction income, subscription fees, and income from other sources.

PROG Holdings holds a strong position in the alternative payment space, competing with other lease to own providers and numerous buy now, pay later firms. The company differentiates itself through proprietary decisioning technology, a large retail partner network, and a focus on transparent flexible payment terms for near prime and subprime consumers. Its scale and data driven underwriting enable it to serve a broad customer base while managing risk effectively.

The company serves a diverse customer base that includes individuals with limited or challenged credit histories seeking affordable ways to acquire essential goods, as well as mainstream shoppers looking for interest free installment options. Customers access offerings through point of sale partners, the Four mobile app and, after acquisition, the Purchasing Power platform for employee benefits. While specific partner names are not disclosed in the filing, the retailer network spans thousands of stores across multiple industries.