v3.26.3
ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES
 9 Months Ended
Sep. 30, 2026
Credit Loss [Abstract]  
ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES ACCOUNTS RECEIVABLE AND OTHER RECEIVABLES
Accounts receivable and other receivables consist of the following:
(in thousands)
September 30, 2026December 31, 2025
Accounts receivable
Progressive Leasing accounts receivable:
Progressive Leasing accounts receivable
$141,436 $136,234 
Less: accounts receivable allowance
(78,148)(68,806)
Progressive Leasing accounts receivable, net
63,288 67,428 
Four affiliate and interchange fees receivable
6,656 6,800 
Purchasing Power accounts receivable
Accounts receivable - acquired portfolio (at fair value)
39,633 — 
Accounts receivable - post-acquisition portfolio
264,309 — 
Less: allowance for credit losses - post-acquisition portfolio
(33,767)— 
Less: unearned interest income - post-acquisition portfolio
(1,926)— 
Client and miscellaneous receivables
36,437 — 
Purchasing Power accounts receivable, net
304,686 — 
Total accounts receivable, net
$374,630 $74,228 
Other receivables - Purchasing Power
Other receivables - acquired portfolio (at fair value)
3,494 — 
Other receivables - post-acquisition portfolio
46,019 — 
Less: allowance for credit losses - post-acquisition portfolio
(5,994)— 
Less: unearned interest income - post-acquisition portfolio
(3,104)— 
Total other receivables, net
$40,415 $— 
Progressive Leasing
Progressive Leasing accounts receivable represent lease payments due from customers and are presented net of an accounts receivable allowance.
The following table summarizes activity in the lease receivable allowance related to Progressive Leasing:
Three months ended September 30,Nine months ended September 30,
(in thousands)
2026202520262025
Beginning balance
$69,436 $68,788 $68,806 $71,607 
Net book value of accounts receivable written off
(95,077)(90,920)(274,968)(283,158)
Recoveries9,027 9,480 31,187 32,029 
Accounts receivable provision
94,762 86,318 253,123 253,188 
Ending balance
$78,148 $73,666 $78,148 $73,666 
Purchasing Power
Purchasing Power receivables consist of amounts acquired in the acquisition of Purchasing Power on January 2, 2026 and receivables originated subsequent to the acquisition date. These receivables are classified as either accounts receivable or other receivables based on the nature of the underlying transaction, consistent with the Company's accounting policies described in Note 1.
Receivables acquired in the acquisition, including both accounts receivable and other receivables, are measured at fair value in accordance with the fair value option. During the three and nine months ended September 30, 2026, the Company recognized gains of $1.5 million and $9.0 million, respectively, on change in the fair value of these receivables. For the three months ended September 30, 2026, the gain consisted entirely of $1.5 million of interest income accretion, with no changes in fair value. For the nine months ended September 30, 2026, the gain consisted of $10.9 million of interest income accretion, partially offset by $1.9 million of changes in the fair value. Receivables originated subsequent to the acquisition date are measured at amortized cost. Additional information regarding measurement and income or loss recognition is included in Note 1.
Accounts receivable
Accounts receivable represent amounts due from customers associated with product sales and commission-based service revenues and are presented net of an allowance for credit losses and unearned interest income.
Other receivables
Other receivables represent amounts billed to end users that are not associated with revenue recognized under ASC 606, including the portion of customer receivables that are service-related costs, sales taxes, and other pass-through charges. These amounts arise in connection with transactions in which the Company facilitates the sale of third-party services as an agent in the transaction and subsequently collects the total contractual consideration from the end-customer.
Other receivables include both acquired and originated balances. Originated other receivables are presented separately and interest is imputed over the contract terms. Cash flows associated with originated other receivables are classified as investing activities in the condensed consolidated statements of cash flows.
Allowance for credit losses
The allowance for credit losses for Purchasing Power receivables originated post-acquisition, including both accounts receivable and other receivables, reflects management's estimate of lifetime expected credit losses and is determined in accordance with the Company's policy described in Note 1.
The following table summarizes activity in the allowance for credit losses related to Purchasing Power post-acquisition receivables:
Three months ended September 30, 2026Nine months ended September 30, 2026
(in thousands)
Accounts receivable
Other receivables
Accounts receivableOther receivables
Beginning balance$23,478 $4,469 $— $— 
Net book value of accounts written off(4,039)(521)(4,082)(524)
Recoveries339 24 419 28 
Provision for credit losses
13,989 2,022 37,430 6,490 
Ending balance$33,767 $5,994 $33,767 $5,994 
The following table presents the amortized cost basis of Purchasing Power receivables originated post-acquisition, disaggregated by credit quality indicator, as of September 30, 2026:
(in thousands)
Originated post-acquisition accounts receivables
Originated post-acquisition other receivables
Aging category
Federal
Non-Federal
September 30, 2026
Federal
Non-Federal
September 30, 2026
1-30 days past due
$1,973 $13,804 $15,777 $620 $2,190 $2,810 
31-59 days past due
968 5,876 6,844 271 863 1,134 
60 or more days past due
1,551 9,515 11,066 391 1,228 1,619 
Past due receivables
$4,492 $29,195 $33,687 $1,282 $4,281 $5,563 
Current receivables
$21,399 $209,223 $230,622 $5,745 $34,711 $40,456