Company: PGYWW
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001883085-25-000082
Chunk: 76

Company: Pagaya Technologies Ltd.
Filing Date: 2025-05-07
Form: 10-Q
Item: Part I, Item 2
Chunk 76
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 million for the three months ended March 31, 2024 to $257.5 million for the three months ended March 31, 2025. These increases were partially offset by a  decrease in capital markets execution fees earned from our ABS transactions during the three months ended March 31, 2025. 

Contract fees, comprised of administration and management fees and performance fees, increased by $7.6 million from $21.7 million for the three months ended March 31, 2024 to $29.3 million for the three months ended March 31, 2025. This increase was due to higher net asset values of assets held by certain Financing Vehicles driven by continued business growth, and an increase in performance fees, as the prior year period included a reversal of performance fees.  

Interest income remained relatively flat year over year. Interest income is directly related to our risk retention holdings and related securities held in our consolidated VIEs as well as certain risk retention holdings held directly by our consolidated subsidiaries. For further information, see “—Net Income (Loss) Attributable to Noncontrolling Interests.” 

Investment (loss) income decreased by $0.9 million to a loss of $0.4 million for the three months ended March 31, 2025 from an income of $0.5 million for three months ended March 31, 2024, reflecting an unfavorable impact from the change in valuation of certain proprietary investments.  

Costs and Operating Expenses   

Three Months Ended March 31,20252024(in thousands)Production costs$167,083 $144,881 Technology, data and product development19,444 19,380 Sales and marketing9,594 10,257 General and administrative46,183 63,068 Total Costs and Operating Expenses$242,304 $237,586 

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Production Costs

Three Months Ended March 31,20252024Change% Change(in thousands, except percentages)Production costs$167,083 $144,881 $22,202 15 %

Production costs increased by $22.2 million, or 15%, to $167.1 million for the three months ended March 31, 2025 from $144.9 million for the three months ended March 31, 2024. This increase was due to the composition of the asset classes that make up our Network Volume, as well as new Partners