SurgePays, Inc. (NASDAQ: SURG) reported that retailer sales through its smartphone rent-to-own program with All Prepaid, LLC, doing business as LowWeeklyPayments (LWP), reached approximately $176,000 in July, a 23% increase from $142,725 in June, according to a company press release.

The program launched in April with approximately $1,500 in monthly retailer sales and has grown to more than $176,000 across fewer than 50 participating dealer locations. The July figure is preliminary and unaudited.

SurgePays said it has initiated discussions with LWP regarding a potential joint venture to support broader expansion of the program across its independent retail dealer network. The company said it is evaluating the program as a distinct revenue channel within its fintech platform.

"July sales at approximately $176,000 confirms the trajectory of this offering is real, durable, and worthy of dedicated focus," said K. Brian Cox, Chairman and Chief Executive Officer of SurgePays. "Based on the performance we have seen across fewer than 50 participating locations, we have initiated discussions with LWP regarding a potential joint venture to support the program's continued expansion."

Under the LWP program structure, LWP purchases devices from participating retailers and rents them to consumers through a weekly payment arrangement until the device is paid off. The program targets consumers who lack access to traditional credit.

SurgePays said it plans to provide additional updates as discussions with LWP progress. No terms of a potential joint venture have been disclosed.