Katapult Holdings, Inc. (KPLT): Análisis PESTLE [Actualizado en Ene-2025]

En el mundo dinámico del financiamiento alternativo, Katapult Holdings, Inc. (KPLT) se encuentra en la encrucijada de la innovación y la complejidad, navegando por un laberinto de desafíos que abarcan dominios políticos, económicos, sociológicos, tecnológicos, legales y ambientales. Este análisis integral de la mano presenta el intrincado paisaje que da forma al posicionamiento estratégico de la compañía, revelando cómo Katapult no se está adaptando solo al cambio, sino que transforma de manera proactiva el ecosistema de crédito de alquiler con opción y consumo con soluciones de punta de corte y enfoques de cabecera que desafían los que desafían Paradigmas financieros tradicionales.

Katapult Holdings, Inc. (KPLT) - Análisis de mortero: factores políticos

Incertidumbre regulatoria en los préstamos fintech y los sectores de crédito al consumo

A partir de 2024, el paisaje de préstamos FinTech enfrenta importantes desafíos regulatorios. La Oficina de Protección Financiera del Consumidor (CFPB) ha aumentado las acciones de cumplimiento, con 13 investigaciones regulatorias principales en el espacio de préstamos alternativo durante 2023.

Cuerpo regulador	Número de investigaciones	Rango fino potencial
CFPB	13	$ 5M - $ 50M
Comisión federal	7	$ 2M - $ 25M

Cambios potenciales en las leyes de protección del consumidor federal y estatal

Los desarrollos legislativos clave impactan el marco operativo de Katapult:

• Requisitos de cumplimiento de la Ley de Privacidad del Consumidor de California (CCPA)
• Regulaciones federales propuestas sobre métodos alternativos de calificación crediticia
• Restricciones a nivel estatal a las prácticas de préstamos al consumidor

Escrutinio continuo de plataformas de préstamos alternativas por agencias gubernamentales

La supervisión del gobierno continúa intensificándose, con un mayor enfoque en la transparencia y la protección del consumidor en las plataformas de préstamos digitales.

Agencia	Enfoque principal	Acciones de aplicación en 2023
CFPB	Protección al consumidor	42 acciones formales
SEGUNDO	Divulgación financiera	18 investigaciones

Impacto de los cambios potenciales en las políticas de crédito de las pequeñas empresas y el consumo

Los paisajes políticos emergentes sugieren cambios potenciales de política que afectan los préstamos alternativos:

• El endurecimiento potencial de los requisitos de acceso a crédito
• Mayos de informes aumentados para las plataformas FinTech
• Regulaciones de privacidad de datos mejoradas

Los costos de cumplimiento regulatorio para Katapult se estiman en el 3-5% de los ingresos anuales, lo que representa un desafío operativo significativo.

Katapult Holdings, Inc. (KPLT) - Análisis de mortero: factores económicos

Las tasas de interés fluctuantes que afectan la rentabilidad de los préstamos

A partir del cuarto trimestre de 2023, la tasa de fondos federales era de 5.33%. El margen de interés neto de Katapult Holdings fue de 8.12% en 2023, con una sensibilidad potencial a los cambios de tasas.

Año	Tasa de fondos federales	Margen de interés neto de KPLT
2022	4.25% - 4.50%	7.85%
2023	5.25% - 5.50%	8.12%

Riesgos de recesión económica afectando la demanda de crédito al consumidor

Las tasas de delincuencia de crédito al consumo en 2023 alcanzaron el 2,34%, con posibles implicaciones para el modelo de negocio de Katapult.

Segmento de crédito	Tasa de delincuencia	Crédito pendiente total
Préstamos al consumo	2.34%	$ 1.76 billones
Mercado de alquiler a opción	3.12%	$ 8.5 mil millones

Aumento de la competencia en financiamiento alternativo

El tamaño del mercado de financiamiento alternativo se estimó en $ 23.4 mil millones en 2023, con múltiples competidores emergentes.

Competidor	Cuota de mercado	Ingresos anuales
Afirmar	15.2%	$ 1.3 mil millones
Katapult	5.7%	$ 239 millones
Zilch	3.4%	$ 87 millones

Desafíos potenciales para mantener el crecimiento

El crecimiento de los ingresos de Katapult se desaceleró a 12.3% en 2023, en comparación con el 28.5% en 2022, lo que indica desafíos económicos potenciales.

Métrica financiera	2022	2023
Crecimiento de ingresos	28.5%	12.3%
Lngresos netos	-$ 54.2 millones	-$ 41.7 millones
Margen bruto	22.6%	19.8%

Katapult Holdings, Inc. (KPLT) - Análisis de mortero: factores sociales

Creciente preferencia del consumidor por opciones de pago flexibles

Según una encuesta de Transunion 2023, el 79% de los consumidores de entre 18 y 40 años prefieren métodos de financiamiento alternativos sobre el crédito tradicional. Se proyecta que el mercado de pagos flexibles alcanzará los $ 680 mil millones para 2025.

Preferencia del método de pago	Porcentaje de consumidores
Compre ahora, pague más tarde (BNPL)	45%
Opciones de compra de arrendamiento	22%
Tarjetas de crédito tradicionales	33%

Mayor demanda de soluciones de crédito alternativas entre las poblaciones desatendidas

Los datos de la Reserva Federal indican que 45 millones de estadounidenses son invisibles de crédito. Aproximadamente el 16% de los adultos estadounidenses no tienen puntaje de crédito.

Segmento de población	Tasa de accesibilidad de crédito
Grupos de bajos ingresos	28%
Adultos jóvenes (18-29)	37%
Comunidades minoritarias	32%

Actitudes cambiantes hacia el acceso bancario y de crédito tradicional

Los Millennials y la Generación Z demuestran una desconfianza significativa en la banca tradicional, con un 67% que prefiere plataformas financieras digitales.

Grupo de edad	Preferencia por servicios financieros alternativos
18-29 años	72%
30-45 años	58%
46-60 años	35%

Conciencia creciente del consumidor de las tecnologías de alquiler y compra de arrendamiento

Se espera que el mercado de alquiler a compra crezca a $ 57.4 mil millones para 2026, con una tasa de crecimiento anual compuesta del 8,3%.

Categoría de productos	Penetración de la compra de arrendamiento
Electrónica	41%
Muebles	33%
Accesorios	26%

Katapult Holdings, Inc. (KPLT) - Análisis de mortero: factores tecnológicos

Inversión continua en IA y aprendizaje automático para la evaluación de riesgos de crédito

Katapult Holdings invirtió $ 3.2 millones en IA y tecnologías de aprendizaje automático en 2023. El modelo de evaluación de riesgo de crédito basado en AI de la compañía procesó 127,456 solicitudes de préstamos con una tasa de precisión del 92.3%.

Inversión tecnológica	Cantidad	Año
Inversión de ai/ml	$ 3.2 millones	2023
Volumen de procesamiento de aplicaciones	127,456	2023
Precisión de evaluación de riesgos de IA	92.3%	2023

Desarrollo de plataformas digitales avanzadas para experiencias de clientes sin interrupciones

Katapult desarrolló una nueva plataforma de préstamos digitales con una inversión de $ 2.7 millones, reduciendo el tiempo de incorporación de los clientes en un 45% y aumentando la participación de los usuarios digitales en un 38%.

Métricas de plataforma digital	Actuación	Año
Inversión de desarrollo de plataforma	$ 2.7 millones	2023
Reducción del tiempo de incorporación	45%	2023
Aumento de la participación del usuario	38%	2023

Expansión de tecnologías de préstamos móviles y basadas en la nube

Katapult amplió las capacidades de préstamos móviles, con el 76% de las aplicaciones de préstamos procesadas a través de plataformas móviles en 2023. La inversión en la infraestructura en la nube alcanzó los $ 1.9 millones.

Tecnología móvil y en la nube	Métrico	Año
Procesamiento de aplicaciones de préstamos móviles	76%	2023
Inversión en la infraestructura en la nube	$ 1.9 millones	2023

Aumento del enfoque en innovaciones de ciberseguridad y protección de datos

Las inversiones de ciberseguridad totalizaron $ 1.5 millones en 2023. La Compañía implementó protocolos de cifrado avanzados y logró el cumplimiento de SoC 2 tipo II.

Métricas de ciberseguridad	Valor	Año
Inversión de ciberseguridad	$ 1.5 millones	2023
Certificación de cumplimiento	SoC 2 Tipo II	2023

Katapult Holdings, Inc. (KPLT) - Análisis de mortero: factores legales

Cumplimiento de regulaciones complejas de préstamos para el consumidor

Katapult Holdings opera bajo múltiples regulaciones de préstamos federales y estatales, que incluyen:

Regulación	Detalles de cumplimiento	Cuerpo regulador
Ley de la verdad en los préstamos (Tila)	Divulgación completa de términos de crédito	Oficina de Protección Financiera del Consumidor
Ley de Igualdad de Oportunidades de Crédito	Prácticas de préstamos no discriminatorios	Comisión federal
Ley de transferencia de fondos electrónicos	Transparencia de transacción digital	Reserva federal

Desafíos legales potenciales en múltiples jurisdicciones estatales

Paisaje regulatorio específico del estado:

Estado	Restricciones de préstamos	Costo de cumplimiento
California	Leyes estrictas de protección del consumidor	Gastos de cumplimiento anuales de $ 275,000
Nueva York	Requisitos de divulgación financiera mejoradas	Costos de adaptación regulatoria de $ 210,000
Texas	Regulaciones complejas de usura	$ 185,000 Inversión de cumplimiento legal

Navegar por la evolución de las leyes de protección y privacidad del consumidor

Métricas de cumplimiento de regulación de privacidad clave:

• Inversión de cumplimiento de CCPA: $ 450,000 en 2023
• Infraestructura de protección de datos: presupuesto anual de $ 1.2 millones
• Frecuencia de actualización de la política de privacidad: revisiones trimestrales

Gestión de requisitos reglamentarios en el sector de financiamiento alternativo

Métricas de cumplimiento regulatorio:

Área de cumplimiento	Gasto	Tasa de cumplimiento
Tamaño del departamento legal	12 abogados a tiempo completo	98.7% de adherencia regulatoria
Capacitación anual de cumplimiento	$ 350,000 de inversión	100% de participación de los empleados
Consultoría legal externa	Presupuesto anual de $ 750,000	Monitoreo regulatorio continuo

Katapult Holdings, Inc. (KPLT) - Análisis de mortero: factores ambientales

Creciente énfasis en prácticas comerciales sostenibles

Katapult Holdings informó emisiones de gases de efecto invernadero de alcance 1 y alcance 2 de 1.325 toneladas métricas CO2E en 2022. El consumo total de energía de la compañía fue de 2.784 MWh, con un 68% de fuentes de energía renovables.

Métrica ambiental	Valor 2022	Valor 2021
Emisiones totales de GEI (toneladas métricas CO2E)	1,325	1,542
Porcentaje de energía renovable	68%	55%
Consumo total de energía (MWH)	2,784	3,012

Reducción potencial de huella de carbono a través de plataformas de préstamos digitales

Eficiencia de la plataforma digital: El modelo de préstamos en línea de Katapult redujo el consumo de papel en un 76%, ahorrando aproximadamente 42 árboles por cada 10,000 transacciones en 2022.

Métrica de eficiencia digital	Impacto 2022
Reducción de papel	76%
Árboles guardados por cada 10,000 transacciones	42

Eficiencia energética en infraestructura tecnológica

Katapult implementó la virtualización del servidor, logrando una reducción del 35% en el consumo de energía del centro de datos. La infraestructura de computación en la nube redujo los requisitos de energía de hardware en un 42%.

Métrica de eficiencia tecnológica	Porcentaje de reducción
Consumo de energía del centro de datos	35%
Requisitos de energía de hardware	42%

Compromiso con estrategias corporativas ambientalmente responsables

La compañía asignó $ 1.2 millones para iniciativas de sostenibilidad en 2022, lo que representa el 3.5% de su presupuesto operativo total.

Inversión de sostenibilidad	Cantidad de 2022	Porcentaje del presupuesto operativo
Presupuesto de iniciativas de sostenibilidad	$1,200,000	3.5%

Katapult Holdings, Inc. (KPLT) - PESTLE Analysis: Social factors

Growing reliance on flexible financing options by non-prime consumers

The core of Katapult Holdings, Inc.'s business model is directly tied to a major social trend: the increasing reliance on flexible, non-traditional financing by the non-prime consumer segment. This demographic, often defined by FICO scores below 620, is actively seeking alternatives to traditional credit cards and bank loans, especially for durable goods like furniture and electronics.

This reliance is clearly demonstrated by the growth in the broader Buy Now, Pay Later (BNPL) market, which is projected to reach a global revenue of approximately $343.52 billion in 2025. In the US alone, an estimated 91.5 million Americans are projected to use BNPL loans in 2025. Katapult's lease-to-own (LTO) solution benefits from this shift, particularly in times when prime credit options become tighter. This is a powerful tailwind for the company, evidenced by its own performance: Katapult's Gross Originations grew 25.3% to $64.2 million in the third quarter of 2025.

Shifting demographics increasing the size of the unbanked/underbanked population

While the number of unbanked households (those without a bank account) has reached a record low of 4.2% (or about 5.6 million households) in the US, the underbanked population-those who use alternative financial services alongside a bank account-remains a massive and stable market. This group is Katapult's primary target. In 2023, the underbanked segment comprised approximately 14.2% of US households, representing roughly 19 million households. This population is disproportionately composed of low-income individuals; for example, 22% of adults with an annual income below $25,000 were unbanked in 2024.

The long-term opportunity for Katapult is to capture this large, underserved market. The company is actively expanding its unique new customer base, which saw a 35% rise over the first three quarters of 2025 compared to the previous year. This suggests their strategy is effectively tapping into the financial inclusion trend. Honestly, this underbanked segment is the engine of the LTO industry.

US Underbanked/Unbanked Market (2023/2024 Data)	Metric	Value
Underbanked Households (FDIC)	Percentage of US Households	14.2%
Underbanked Households (FDIC)	Approximate Number of Households	19 million
Unbanked Adults (Federal Reserve, Low Income)	Adults with income <$25,000 who are unbanked	22%
Katapult Unique New Customers (Q1-Q3 2025)	Year-over-Year Increase	35%

Strong consumer preference for seamless, instant online approval processes

The modern consumer, regardless of credit score, demands speed and convenience. Fintech innovations in 2025 have made 'instant loan approvals' the new standard. For Katapult, this means their technology-driven platform is a critical social advantage. Their proprietary, data-driven AI model can approve a lease within seconds, which is a huge differentiator for consumers who are used to lengthy, traditional credit checks.

This preference for frictionless digital experiences is driving Katapult's operational success. The company's total applications grew by approximately 80% year-over-year in Q3 2025, showing strong demand for their fast process. Also, the Katapult app marketplace is now the single largest customer referral source, accounting for 61% of gross originations in the third quarter of 2025.

Social media and online reviews heavily influencing trust in financing platforms

In the non-prime financing space, trust is defintely the currency. Consumers, particularly younger ones, rely heavily on online social proof and direct engagement to vet financial platforms. In 2025, trust is the 'driving force' in social media engagement, and consumers expect fast, transparent customer service on these platforms.

Katapult is managing this social risk well by focusing on a positive customer experience, which translates into strong word-of-mouth and repeat business. This focus is reflected in their high customer satisfaction metrics:

• Net Promoter Score (NPS) of 64 as of September 30, 2025.
• Approximately 55% of gross originations in Q3 2025 came from repeat customers.

What this high repeat rate hides is the inherent risk of negative reviews spreading quickly on social media, especially concerning the high effective cost of lease-to-own agreements. The company must maintain its high Net Promoter Score to mitigate reputation risk in a sector facing increasing regulatory scrutiny.

Katapult Holdings, Inc. (KPLT) - PESTLE Analysis: Technological factors

Continuous investment in Artificial Intelligence (AI) for underwriting and fraud detection.

The core of Katapult Holdings' business model is its proprietary technology platform, which heavily relies on Artificial Intelligence (AI) for real-time underwriting and fraud mitigation. This isn't a minor feature; it's the engine that manages risk for their non-prime consumer base. The effectiveness of this AI is best measured by the resulting credit quality. For the third quarter of 2025, Katapult reported that write-offs as a percentage of revenue were 9.9%, which is right in the middle of their long-term target range of 8% to 10%.

This consistent performance, even with total application volume growing over 80% year-over-year in Q3 2025, shows the AI is scaling effectively without a proportional spike in bad debt. Honestly, maintaining that tight write-off band while accelerating application volume by that much is a defintely impressive feat of algorithmic risk management. Furthermore, the company's fixed cash operating expenses were reduced to $7.5 million in Q3 2025, a 21.4% year-over-year decrease, suggesting that technology and automation are helping drive operational efficiency.

Need to integrate seamlessly with new e-commerce platforms and mobile wallets.

Katapult's growth is directly tied to its ability to embed its lease-to-own solution directly into the e-commerce checkout flow. The shift to a two-sided marketplace, powered by its app, is proving successful. This is where the integration strategy pays off:

• App-originated gross originations accounted for 61% of Q3 2025 total gross originations.
• The company successfully launched Apple as a KPay-enabled merchant in Q3 2025, a critical integration for mobile wallet adoption.
• KPay gross originations grew 66% year-over-year in Q3 2025, reaching approximately $26 million.

This acceleration in app and KPay usage is proof that consumers are embracing the seamless, mobile-first experience. If the integration is clunky, customers drop off, but these numbers show the opposite-it's driving growth.

Blockchain exploration for enhanced security and transparent transaction tracking.

While the broader fintech sector is exploring distributed ledger technology (DLT) for things like supply chain financing and identity verification, Katapult has not publicly disclosed any specific, material investment or pilot program in blockchain for its core lease-to-own platform as of November 2025. What this estimate hides is that the current focus is on optimizing their existing AI-driven security model. Their success in fraud detection is currently quantified by their ability to keep write-offs within the 8% to 10% target range.

For now, the technical priority is platform speed and reliability, which they measure by their ability to provide a credit decision in 5 seconds or less on average. Any future exploration of blockchain would likely be an incremental project, focused on enhancing the security of customer data or improving the transparency of asset tracking, but it is not a primary driver of the 2025 technology roadmap.

Platform stability is paramount; a single outage can spike merchant churn.

For a point-of-sale (POS) financing provider, system downtime is an immediate revenue killer for their merchant partners, and that quickly leads to churn. Katapult's platform stability is crucial, especially as they have expanded to over 200 merchants. The best proxy for stability is customer and merchant retention and satisfaction.

Here's the quick math on platform stickiness: Repeat customers accounted for 55.3% of gross originations in Q3 2025, which is a very high retention rate for a non-prime consumer product. Plus, their Net Promoter Score (NPS) was 64 as of September 30, 2025, which is in the 'Excellent' range for the financial services industry. A score that high is impossible with a platform that frequently crashes or suffers from slow decisioning.

The company has delivered 10 consecutive quarters of year-over-year revenue growth, reaching $74.0 million in Q3 2025. That kind of sustained growth is a direct result of a stable, high-performing technology infrastructure that merchants trust to convert sales at the point of decision.

Technological Performance Metric (Q3 2025)	Value/Rate	Significance
Write-offs as % of Revenue	9.9%	AI-driven risk management is effective and within the 8%-10% target range.
App-Originated Gross Originations	61%	Success of the mobile-first, integrated e-commerce platform strategy.
KPay Gross Originations Growth (Y-o-Y)	66%	Rapid adoption of the mobile wallet and direct payment solution.
Average Credit Decision Time	5 seconds or less	Direct measure of platform speed and stability at the point of sale.
Repeat Customer Rate	55.3%	High customer loyalty, indicating positive user experience and platform reliability.

Katapult Holdings, Inc. (KPLT) - PESTLE Analysis: Legal factors

Compliance with state-level lease-to-own statutes is a constant, high-cost effort.

The core of Katapult Holdings, Inc.'s legal challenge is navigating the patchwork of state-level lease-to-own (LTO) statutes. There isn't one federal law governing LTO agreements, so you must comply with up to 49 different regulatory regimes across the US. This creates what industry insiders defintely call a compliance nightmare.

For a fintech operating nationally, initial setup costs in the US market are substantial, ranging from $600,000 to $1.25 million, with ongoing annual expenses for multi-state licensing and compliance running between $400,000 and $800,000. This high fixed cost acts as a barrier to entry for smaller competitors, but it's a constant drain on Katapult's operating budget. You can't afford a single misstep across any of these jurisdictions.

Data privacy laws (like CCPA) require robust customer data handling protocols.

As an e-commerce-focused financial technology company, Katapult handles sensitive non-prime consumer data, which heightens its exposure to evolving data privacy legislation. The California Consumer Privacy Act (CCPA) and similar state laws like the Colorado Privacy Act are forcing a significant overhaul of data handling protocols.

The regulatory scrutiny is increasing, especially around automated decision-making-which is central to Katapult's AI-driven platform for risk-based pricing. Companies are expected to budget for a 30% to 40% increase in data privacy compliance costs in 2025 as regulators focus on algorithmic bias prevention and transparency. Honestly, the cost of a breach is far worse: the global average cost of a data breach is estimated to be $4.4 million in 2025.

Ongoing litigation risk related to contract terms and collection practices.

Litigation risk is a permanent fixture in the non-prime consumer finance sector, particularly concerning contract clarity and collection practices. The Consumer Financial Protection Bureau (CFPB) has actively targeted the virtual rent-to-own space, alleging violations of laws like the Fair Credit Reporting Act (FCRA) and the Consumer Financial Protection Act (CFPA).

Katapult itself successfully navigated a significant legal challenge with a proposed settlement in a securities class action lawsuit. The total settlement value reached $2,500,000, with $1,775,000 paid in cash, which was approved in December 2024. This shows the financial impact of legal challenges, even those unrelated to consumer contracts. The company's Q2 2025 financial disclosures still track litigation settlement and related expenses, confirming this is an ongoing operational cost.

Here's the quick math on recent legal costs:

Legal Risk Area	2025 Financial Impact / Threshold	Primary Regulatory Body
Securities Litigation Settlement (Dec 2024 Approval)	$2,500,000 total value ($1,775,000 cash)	U.S. Federal Court / SEC
Multi-State LTO Compliance (Annual Ongoing)	$400,000 to $800,000 (after initial setup)	State Attorneys General / State Regulators
Data Breach Cost (Global Average)	$4.4 million per incident	State AGs / FTC
TILA/CLA Exemption Threshold	$71,900 (transactions at or below are covered)	CFPB / Federal Reserve Board

Potential for new federal Truth in Lending Act (TILA) interpretations for LTO.

Katapult's business model hinges on its transactions being classified as lease-purchase agreements, not credit sales, which typically exempts them from the federal Truth in Lending Act (TILA) and its implementing Regulation Z. But the regulatory ground is shifting.

The CFPB is clearly looking to re-classify certain LTO products. A recent CFPB suit against a competitor explicitly alleged TILA violations, arguing the rent-to-own product was an illegal lending practice. This is the main regulatory risk.

While the 2025 TILA and Consumer Leasing Act (CLA) threshold for transactions is $71,900 or less, which covers most consumer transactions, the real danger is a rule change that redefines LTO as a credit product, forcing Katapult to comply with stringent federal disclosure and rate cap requirements. Katapult's current lease-purchase transactions, which are mostly month-to-month, are structured to fall outside certain Dodd-Frank provisions, but a broad TILA reinterpretation would dramatically change their cost of doing business.

Key regulatory risks to watch:

• TILA Reclassification: A move by the CFPB to treat LTO as a disguised loan.

• UDAAP Enforcement: Increased use of Unfair, Deceptive, or Abusive Acts or Practices (UDAAP) authority by the CFPB to target high-cost LTO terms.

• FCRA Reporting: Scrutiny over how LTO payments and defaults are reported to consumer reporting agencies.

Katapult Holdings, Inc. (KPLT) - PESTLE Analysis: Environmental factors

Growing merchant demand for partners with clear Environmental, Social, and Governance (ESG) reports.

You need to recognize that the ESG movement is now a core requirement for large retail partners, not just a marketing exercise. While the 'E' (Environmental) is less direct for a FinTech company like Katapult Holdings, Inc., their major retail partners-who sell durable goods like electronics and furniture-are under intense pressure from investors and consumers to demonstrate robust ESG compliance. This creates a powerful, indirect demand for Katapult Holdings, Inc. to at least align with their partners' sustainability goals.

The primary environmental risk here is exclusion from major e-commerce platforms if Katapult Holdings, Inc. cannot provide a clear, auditable ESG profile. This is why Katapult Holdings, Inc. has strategically leaned into the 'S' component, making it their de facto ESG shield. Honestly, most merchants care less about your carbon footprint and more about how your partnership helps them meet their own diversity and inclusion targets. That's the real opportunity.

Focus on the 'S' (Social) in ESG, emphasizing financial inclusion for non-prime customers.

Katapult Holdings, Inc.'s entire business model is a direct response to the Social pillar of ESG (Environmental, Social, and Governance)-specifically, financial inclusion. By providing a lease-to-own (LTO) solution, the company serves the underserved U.S. non-prime consumer market, which is a significant social impact metric for their partners. This focus is a strong competitive advantage in the ESG landscape.

The operational metrics for 2025 clearly show this impact:

• Total applications grew approximately 80% year-over-year in the third quarter of 2025.
• Approximately 55% of gross originations in Q3 2025 came from repeat customers, showing strong customer satisfaction and trust.
• The company maintained a high Net Promoter Score (NPS) of 64 as of September 30, 2025, which is a key social metric for customer experience.

Here's the quick math: a growing customer base of non-prime consumers means Katapult Holdings, Inc. is defintely fulfilling a critical social need that traditional prime lenders ignore.

Operational shift to paperless contracts and digital-only communications.

As a technology-driven platform, Katapult Holdings, Inc.'s operational model is inherently environmentally friendly due to its near-total elimination of paper. The shift to a digital-first customer journey is the most direct environmental factor under their control, reducing the need for physical forms, printing, and mailing.

The reliance on the Katapult app marketplace confirms this paperless shift:

Metric (Q3 2025)	Value	Environmental Impact Proxy
Gross Originator Volume from Katapult App Marketplace	61% of total originations	Digital-only contract execution and communication.
KPay Transactions as % of Total Originations	41% of total originations	Mobile-first, paperless payment and lease management.
Total Revenue (Q3 2025)	$74.0 million	All revenue generated from a predominantly paperless transaction base.

The entire transaction lifecycle, from application to payment, is digital. This means a negligible operational carbon footprint from paper use.

Indirect impact from climate-related supply chain disruptions for retail partners.

While Katapult Holdings, Inc. does not manage a physical supply chain, its revenue is directly dependent on the inventory availability of its retail partners. Climate-related events and geopolitical tensions-like the Red Sea shipping disruptions-have a cascading effect on the availability and cost of durable goods, which are Katapult Holdings, Inc.'s core lease-to-own products.

In 2025, the retail sector has been highly exposed: research shows that 91% of global retailers have suffered revenue losses linked to supply chain or transport challenges. Furthermore, shipping disruptions have caused container costs to increase by up to 300% on some routes. This leads to:

• Higher retail prices, increasing the total lease-to-own cost for the non-prime consumer.
• Inventory stockouts, limiting the selection of goods available for Katapult Holdings, Inc. customers.
• A 'challenging home furnishings category' was explicitly noted in the Q2 2025 outlook, highlighting the vulnerability of a key product segment.

The risk isn't to Katapult Holdings, Inc.'s operations, but to the volume of goods available for their customers to lease. Less inventory means fewer originations, even with high application growth.