Company: PGYWW
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001883085-25-000169
Chunk: 102

Company: Pagaya Technologies Ltd.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 2
Chunk 102
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7 million is not attributable to Pagaya, but rather attributable to the VIEs noncontrolling interests, (2) share-based compensation, which decreased by $2.1 million compared to the same period in 2024,, (3) depreciation and amortization, which increased by $2.0 million compared to the same period in 2024, primarily from capitalized software, and (4) 

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fair value adjustment to warrant liability, which increased by $3.1 million compared to the same period in 2024, driven by changes in the market price of our Class A Ordinary Shares.

Our net cash flows resulting from changes in operating assets and liabilities decreased by $43.2 million to net cash outflows of $31.1 million for the six months ended June 30, 2025 compared to net cash inflows of $12.1 million for the same period in 2024.  

Investing Activities 

Our primary uses of cash in investing activities are the purchase of risk retention assets of sponsored securitization vehicles and investments in equity method and other investments.  

For the six months ended June 30, 2025, net cash used in investing activities totaled $152.2 million, primarily driven by purchases of risk retention assets. These purchases of risk retention assets amounted to $274.1 million, a decrease of $134.3 million compared to the prior period, driven by diversified funding channels, including asset-backed securitization, pass-through and forward flow transactions, in the current period. This cash outflow was partially offset by proceeds received from existing risk retention assets, which totaled $129.4 million, an increase of $53.6 million compared to the prior period.

Financing Activities 

For the six months ended June 30, 2025, net cash provided by financing activities of $74.7 million was primarily attributable to $244.9 million of proceeds from secured borrowing, partially offset by $156.9 million of repayments made to secured borrowing and $8.9 million of repayments made to long-term debt. 

Indebtedness

Receivables Facility

In April 2025, Pagaya Structured Products LLC, a wholly-owned subsidiary, entered into a Loan and Security Agreement (the “LSA Agreement”) with certain lenders. This agreement established a 24-months Capitalized Interest Amounts Facility (the “CIA Facility”) with a maximum principal amount of $24 million to finance eligible capitalized interest amounts related to