Revenue: As of FY2026 Q2, the actual value is USD 262.86 M.

EPS: As of FY2026 Q2, the actual value is USD 0.5, beating the estimate of USD 0.4189.

EBIT: As of FY2026 Q2, the actual value is USD 75.66 M.

Financial Performance Highlights (Three Months Ended June 30, 2026)

Happen, Inc. reported a record pre-tax income of $75.7 million for the second quarter of 2026. Return on Equity (ROE) was 15.1%, and Return on Tangible Common Equity (ROTCE) was 15.9%. Net income grew by 52% year-over-year to $58.1 million, up from $38.2 million in the prior year.

Operational Metrics

Origination Volume: Loan originations increased 29% year-over-year to $3.1 billion. Current period originations sold or held for sale were $2,039 million, and current period originations held for investment were $1,107 million. Happen, Inc. began originating loans in the home improvement market during the quarter.

Net Interest Income: Net interest income was $179.017 million, representing a 16% increase year-over-year from $154.249 million. The net interest margin remained stable at 6.14% compared to the prior year.

Non-Interest Income: Total non-interest income was $83.838 million, an 11% decrease year-over-year from $94.186 million. Origination fees were $164.006 million, up 87% year-over-year, while servicing fees decreased 21% to $12.890 million. Gain on sales of loans increased 59% to $21.461 million. Net fair value adjustments were -$121.145 million, a 335% decrease year-over-year.

Credit Performance: The company reported a provision benefit for credit losses of -$10.9 million, a significant improvement compared to an expense of $39.7 million in the prior year. Net charge-offs on total loans and leases held for investment improved to $40.6 million, down from $46.1 million in the same quarter of the prior year, with the net charge-off ratio at 3.2% compared to 3.8% in the prior year.

Operating Costs: Non-interest expense increased by 28% year-over-year to $198.115 million. Marketing expense as a percentage of loan originations was 1.99%. The profit margin (pre-tax) improved to 28.8% from 21.7% in the prior year.

Automation and Efficiency: Happen, Inc. achieved a record automation rate of over 90% and utilized AI-powered agent support tools, leading to record originations efficiency.

Balance Sheet

Assets: Total assets grew 16% year-over-year to $12.5 billion, reaching $12,549,040 thousand as of June 30, 2026, up from $11,567,816 thousand at December 31, 2025.

Deposits: Deposits increased 18% year-over-year to $10.8 billion, with 88% of deposits being FDIC-insured. Total deposits were $10,765,267 thousand as of June 30, 2026, compared to $9,833,870 thousand at December 31, 2025.

Liquidity and Capital: The company maintained robust available liquidity of $4.1 billion. The consolidated Tier 1 leverage ratio was 11.9%, and the CET1 capital ratio was 16.9%. Total equity was $1,567,465 thousand as of June 30, 2026, up from $1,500,428 thousand at December 31, 2025.

Loans Held for Investment: Loans held for investment at fair value were $2,085,066 thousand as of June 30, 2026, significantly higher than $473,314 thousand at December 31, 2025. Loans and leases held for investment, net, were $2,993,252 thousand as of June 30, 2026, compared to $3,997,069 thousand at December 31, 2025. The total servicing portfolio grew 17% year-over-year to $14,596 million.

Outlook / Guidance

For the third quarter of 2026, Happen, Inc. projects loan originations to be between $3.20 billion and $3.35 billion, with diluted EPS expected to range from $0.43 to $0.48. For the full year 2026, the company anticipates loan originations of $12.2 billion to $12.6 billion and diluted EPS between $1.80 and $1.90.