Dave Reports Third Quarter 2026 Financial Results

Dave deployed approximately $20 million toward share-count reductions during the quarter, leaving $88 million under its repurchase authorization.

Rhea-AI Summary

Dave (Nasdaq: DAVE) reported third-quarter 2026 revenue of $198 million, up 31% year over year, and raised its full-year outlook. Net income fell 31% to $64 million, while adjusted EBITDA rose 39% to $82 million, a 41% margin. New members increased 35% to 1,135,000, and monthly transacting members rose 18% to 3.15 million. ExtraCash originations grew 23% to $2.5 billion; the 28-day past-due rate improved to 2.09% from 2.15%.

Dave now expects 2026 revenue of $746–$750 million, adjusted EBITDA of $327–$330 million and adjusted diluted earnings per share of $17.45–$17.65. Non-GAAP gross margin was 70%, versus 69% a year earlier and 72% last quarter. Cash, investments and restricted cash totaled $315 million at September 30, versus $254 million at June 30. Dave repaid its $75 million Victory Park debt facility in early October.

21 points · 1 major

MixediHow this balance works

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Rhea-AI gives every point it takes from this document a weight. Minor counts 1, Moderate 3 and Major 9, so one Major point outweighs several Minor ones. The bar adds up the weights on each side, and when neither side holds more than 65% of the total the balance reads Mixed.

It reads the document as published, with the same rules for every company, and it does not look at what the market expected or at how the stock traded, so a point can be objectively good on a day the stock falls.

Rhea-AI Sentiment measures something else, the tone of the wording.

How the balance worksHow Sentiment works

0 major · 17 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Major point. Forward-looking: it has not happened yet and may not happen.2026 revenue guidance increased to $746–$750 million from $725–$735 million, implying 35% annual growth.
• Moderate pointQ3 revenue rose 31% year over year to $198 million.
• Moderate pointQ3 adjusted EBITDA increased 39% year over year to $82 million, with a 41% margin.
• Moderate pointQ3 non-GAAP gross profit increased 33% year over year to $138 million.
• Moderate pointNew members increased 35% year over year to 1,135,000, at a $22 customer acquisition cost.
• Moderate pointMonthly transacting members increased 18% year over year to 3.15 million.
• Moderate pointExtraCash originations increased 23% year over year to $2.5 billion.
• Moderate pointExtraCash monetization net of losses expanded approximately 40 basis points to 5.2% year over year.
• Moderate pointCash, investments and restricted cash increased to $315 million from $254 million at June 30, 2026.
• Moderate pointThe $75 million Victory Park debt facility was repaid in early October 2026. 1.9% of market cap
• Moderate pointSeptember average ExtraCash size reached $225; gross monetization was approximately 7.0% as legacy fee caps were relaxed.

10 minor points

• Minor point. Forward-looking: it has not happened yet and may not happen.2026 adjusted EBITDA guidance increased to $327–$330 million from $315–$325 million.
• Minor point. Forward-looking: it has not happened yet and may not happen.2026 adjusted diluted EPS guidance increased to $17.45–$17.65 from $17.00–$17.50.
• Minor pointThe 28-day past-due rate improved to 2.09% from 2.15% a year earlier, falling below 2.00% in September.
• Minor pointDave Debit Card spending increased 5% year over year to $533 million.
• Minor pointApproximately $20 million reduced share count through restricted-stock-unit net settlements and open-market repurchases; $88 million remained authorized.
• Minor point. Forward-looking: it has not happened yet and may not happen.Dave Flex adoption grew from single- to double-digit thousand active users; a broader rollout is planned for 2027.
• Minor point. Forward-looking: it has not happened yet and may not happen.Q4 past-due rates are expected below 2.00%, with sequentially better loss rates and non-GAAP gross margin above Q2.
• Minor pointNine-month revenue increased to $526.9 million from $390.5 million a year earlier.
• Minor pointNine-month adjusted EBITDA increased to $226.3 million from $153.8 million; margin rose to 43% from 39%.
• Minor pointNine-month adjusted net income increased to $169.0 million from $137.6 million a year earlier.

Negative

• Moderate pointQ3 net income fell 31% year over year to $64 million.
• Moderate pointQ3 adjusted net income fell 7% year over year to $60 million.
• Moderate pointQ3 non-GAAP gross margin fell to 70% from 72% sequentially, although above 69% a year earlier.
• Moderate pointCoastal funding outstanding increased to approximately $159 million from $93 million at June 30, 2026.
• Moderate pointQ3 credit-loss provision increased to $36.6 million from $29.9 million a year earlier.
• Moderate point. Forward-looking: it has not happened yet and may not happen.Dave revised its provision forecast after static-pool loss-rate improvement fell short of its prior assumptions.

11 minor points

• Minor pointQ3 diluted earnings per share fell to $3.30 from $6.34 a year earlier.
• Minor pointQ3 adjusted diluted earnings per share fell 1% year over year to $4.39.
• Minor pointQ3 processing and servicing costs increased to $12.8 million from $9.4 million a year earlier.
• Minor pointQ3 financial network and transaction costs increased to $10.4 million from $7.3 million a year earlier.
• Minor pointQ3 advertising and activation costs increased to $28.0 million from $18.9 million a year earlier.
• Minor pointQ3 compensation and benefits increased to $43.3 million from $24.8 million a year earlier.
• Minor pointQ3 technology and infrastructure costs increased to $4.5 million from $3.2 million a year earlier.
• Minor pointQ3 other operating expenses increased to $14.1 million from $11.3 million a year earlier.
• Minor pointQ3 income-tax provision was $10.7 million, versus a $33.6 million benefit a year earlier.
• Minor pointNine-month net income declined to $128.4 million from $129.9 million a year earlier.
• Minor pointNine-month non-GAAP gross margin declined to 71% from 72% a year earlier.

News Explained

Adjusted diluted EPS includes expected capped-call offsets to dilution from the 2031 convertible notes.

During Q3, Dave deployed approximately $20 million to reduce its share count through restricted-stock-unit net settlements and open-market repurchases; $88 million remained available under the repurchase authorization.

The adjusted diluted EPS footnote says its share calculation includes the expected benefit of existing capped-call transactions tied to the 2031 convertible notes, to offset the notes’ dilutive impact.

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Market move: DAVE -8.10% vs previous close. Q3 2026 earnings report

$290.00 – $349.90 Day Range

$3.94B Mkt Cap at Last Price

On Nov 4, the day this news came out, the latest delayed price for DAVE is 8.10% below the previous close. Our momentum scanner has recorded 42 alerts for this stock so far that day. The latest delayed price is $309.00. Relative volume is above average at 1.7x what this stock usually trades by this time of day.

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Key Figures

Revenue: $198 million; up 31% Y/Y Net income: $64 million Net monetization rate: 5.2% +5 more

Revenue

$198 million; up 31% Y/Y

Q3 2026

Net income

$64 million

Q3 2026; down 31% Y/Y

Net monetization rate

5.2%

Q3 2026; highest level in five years

28-day past due rate

2.09%

Q3 2026; improved year-over-year and quarter-over-quarter

Adjusted EBITDA

$82 million; up 39% Y/Y

Q3 2026; 41% margin

Revenue guidance

$746–$750 million

FY 2026; raised from $725–$735 million

Adjusted EBITDA guidance

$327–$330 million

FY 2026; raised from $315–$325 million

Adjusted diluted EPS guidance

$17.45–$17.65 per share

FY 2026; raised from $17.00–$17.50

Previous Earnings Reports

1 past event · Latest: Aug 05

Same Type 1 event

1. Aug 05

   Q2 earnings

   24h Move

   -15.1%

   Q2 results raised FY2026 guidance; Q3 reported higher revenue and EBITDA and raised guidance again.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

arpu, convertible notes, capped call transactions, restricted stock units, +1 more

5 terms

arpu financial

"Continued MTM Growth and ARPU Expansion"

ARPU, or Average Revenue Per User, measures how much money a company earns, on average, from each of its customers over a set period. It helps investors understand how effectively a business is generating income from its customer base, similar to calculating how much each customer spends at a store. Higher ARPU often indicates stronger sales per customer and better revenue performance.

convertible notes financial

"in connection with the 2031 convertible notes"

Convertible notes are a type of short-term loan that a company receives from investors, which can later be turned into company shares instead of being paid back in cash. They matter to investors because they offer a way to support a company early on while giving the potential to own a stake in its success if the company grows and later raises more funding.

capped call transactions financial

"benefit expected to be provided by existing capped call transactions"

Capped call transactions are agreements where investors buy options that give them the chance to benefit if a stock's price goes up, but with a limit on how much they can gain. This helps protect them from paying too much if the stock's price rises a lot, similar to having a maximum limit on a reward. They matter because they help investors manage risk while still allowing some upside potential.

restricted stock units financial

"through restricted stock unit net settlements"

Restricted stock units are a type of company reward where employees are promised shares of stock, but they only fully own these shares after meeting certain conditions, like staying with the company for a set time. They matter because they can become valuable assets and are often used to motivate employees to help the company succeed.

gaap financial

"GAAP Operating Revenues, Net"

GAAP, or Generally Accepted Accounting Principles, are a set of standardized rules and guidelines that companies follow when preparing their financial statements. They ensure consistency, transparency, and comparability across different companies, making it easier for investors to understand and compare financial information accurately. This helps investors make informed decisions based on trustworthy and uniform financial reports.

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Q3 Revenue Growth Accelerates to 31% Y/Y to $198 Million, Driven by Record New Member Acquisition as well as Continued MTM Growth and ARPU Expansion

28-DPD Rate Improves Y/Y and Q/Q to 2.09%, Falling Below 2.00% in September; Net Monetization Rate Expands to 5.2%, Its Highest Level in Five Years

Net Income of $64 Million; Adj. EBITDA Increases 39% Y/Y to $82 Million, Representing a 41% Margin

Raises 2026 Revenue, Adj. EBITDA and Adj. Diluted EPS Guidance

LOS ANGELES, Nov. 4, 2026 /PRNewswire/ -- Dave Inc. ("Dave" or the "Company") (Nasdaq: DAVE), one of the nation's leading neobanks, today reported its financial results for the third quarter ended September 30, 2026.

"Q3 was another strong quarter, with revenue growth accelerating to 31% year-over-year, driven by faster MTM growth and continued ARPU expansion," said Jason Wilk, Founder and CEO of Dave. "Our 28-day past due rate improved year-over-year and sequentially to 2.09%, even as originations grew 23% from a year ago. In September, with CashAI v6.0 fully deployed, average ExtraCash size reached $225, our 28-day past due rate fell below 2.00%, and our gross monetization rate was approximately 7.0% as we relaxed legacy fee caps. Together, these changes let us responsibly extend more credit while delivering greater value to members and strengthening unit economics. Based on this momentum, we are raising our full-year 2026 guidance for Revenue, Adjusted EBITDA and Adjusted Diluted EPS."

Wilk added, "We are also seeing solid early traction with Dave Flex, our new Pay in Four credit card that gives members greater flexibility in managing everyday purchases. During Q3, we grew Dave Flex adoption from single- to double-digit thousand actives, through both cross-selling to existing members and direct customer acquisition at better-than-expected acquisition costs. We are additionally encouraged by strong cross product adoption with ExtraCash that suggests significant upside to baseline member lifetime value. We are excited to continue expanding access to more members ahead of a broader rollout planned for 2027."

Quarterly Financial Highlights ($ in millions, except for per share amounts, unaudited)

	3Q25	4Q25	1Q26	2Q26	3Q26
GAAP Operating Revenues, Net	$151	$164	$158	$171	$198
% Change vs. prior year period	63 %	62 %	47 %	30 %	31 %
Non-GAAP Gross Profit*	$104	$122	$114	$124	$138
% Change vs. prior year period	62 %	68 %	37 %	34 %	33 %
Non-GAAP Gross Profit Margin*	69 %	74 %	72 %	72 %	70 %
Change vs. prior year period	0 bps	300 bps	(500) bps	300 bps	100 bps
GAAP Net Income	$92	$66	$58	$7	$64
% Change vs. prior year period	19,658 %	292 %	101 %	(26 %)	(31 %)
Adjusted Net Income*	$65	$53	$52	$56	$60
% Change vs. prior year period	208 %	92 %	61 %	39 %	(7 %)
Adjusted EBITDA*	$59	$73	$69	$76	$82
% Change vs. prior year period	137 %	118 %	57 %	48 %	39 %
Adj. Net Income per Diluted Share*(1)	$4.45	$3.69	$3.64	$4.12	$4.39
% Change vs. prior year period	196 %	93 %	64 %	48 %	(1 %)

*Non-GAAP measures. See reconciliation of non-GAAP measures at the end of the press release.

(1) Diluted shares used to calculate Adj. Net Income per Diluted Share includes the benefit expected to be provided by existing capped call transactions entered into in connection with the 2031 convertible notes to offset the dilutive impact of the notes.

Third Quarter 2026 Operating Highlights (vs. Third Quarter 2025)

• New members increased 35% to 1,135,000, at a customer acquisition cost of $22
• Monthly Transacting Members ("MTMs") increased 18% to 3.15 million¹
• ExtraCash originations increased 23% to $2.5 billion, while ExtraCash Monetization Rate Net of Losses expanded approximately 40 basis points to 5.2%
• 28-day past due rate improved to 2.09% from 2.15%
• Dave Debit Card spend increased 5% to $533 million

____________________

1 Beginning in the third quarter of 2026, the Company updated its calculation of MTMs to exclude Members whose only monthly activity was low-engagement, non-monetized activity related to Goals accounts. Prior periods have been recast to ensure comparability.

Liquidity Summary
As of September 30, 2026, the Company had $315 million in cash and cash equivalents, investments, and restricted cash, compared to $254 million as of June 30, 2026. The Company's funding structure with Coastal Community Bank had approximately $159 million outstanding at quarter end, up from $93 million as of June 30, 2026. During the third quarter, the Company deployed approximately $20 million to reduce its share count through restricted stock unit net settlements and open market share repurchases, leaving $88 million available under its share repurchase authorization. Subsequent to quarter end, in early October 2026, the Company repaid the $75 million outstanding under its debt facility with Victory Park Management, LLC.

2026 Financial Guidance ($ in millions, except per share amounts)

	Prior FY 2026	New FY 2026
GAAP Operating Revenues, Net	$725 - $735	$746 - $750
Year-Over-Year Growth	31% - 33%	35 %
Adjusted EBITDA*	$315 - $325	$327 - $330
Adj. Net Income per Diluted Share*	$17.00 - $17.50	$17.45 - $17.65

*Non-GAAP measure. The Company does not provide a quantitative reconciliation of forward-looking non-GAAP financial measures because it is unable to predict without unreasonable effort the exact amount or timing of the reconciling items, including interest expense, investment income, and credit provision, among others. The variability of these items could have a significant impact on our future GAAP financial results.

Dave's CFO and COO, Kyle Beilman, commented: "Q3 demonstrated the operating leverage of our model. Adjusted EBITDA grew 39% year-over-year to $82 million, even as we increased marketing investment by over 50%. Attractive returns at higher spend levels supported investment above our prior plan.

"Non-GAAP gross margin was 70%, up from 69% a year ago and compared with 72% last quarter. Coastal funding costs accounted for about 100 basis points of the sequential change, as the transition moved faster than expected and freed up significant liquidity. Provision accounts for most of the remaining change. Provision reflects portfolio growth, mix, and credit performance so it can move differently from static pool delinquency and loss rates, which we believe more directly measure credit quality. Static pool loss rates are tracking flat to down year-over-year, though our prior provision forecast assumed a larger improvement based on the strong early repayment performance we had observed coming out of spring. We've recalibrated our forecast accordingly, and our raised outlook reflects that adjustment.

"Q4 credit is tracking in line with September, and we expect the quarter's 28-day past due rate to be below 2.00%. Based on our updated forecast, we expect better sequential loss rates and Q4 non-GAAP gross margin above Q2 levels. Strong credit, higher monetization, seasoning of record new-member cohorts and more capital-efficient funding position us to accelerate growth and capital return."

Conference Call
Dave management will host a conference call on Wednesday, November 4, 2026, at 4:30 p.m. Eastern time to discuss its financial results for the third quarter ended September 30, 2026, followed by a question-and-answer period. The conference call details are as follows:

• Date: Wednesday, November 4, 2026
• Time: 4:30 p.m. Eastern time
• Conference Call Registration: link
• Webcast: link

The conference call will also be available for replay in the Events section of the Company's website, along with the transcript, at https://investors.dave.com.

If you have any difficulty registering for or connecting to the conference call, please contact Elevate IR at DAVE@elevate-ir.com.

About Dave
Dave (Nasdaq: DAVE) is a U.S. neobank pioneering innovative credit products for everyday Americans. For more information about the Company, visit: www.dave.com. For investor information and updates, visit: investors.dave.com and follow @davebanking on X.

Forward-Looking Statements
This press release includes forward-looking statements within the meaning of the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as "anticipates," "believes," "can," "continue," "could," "estimates," "expects," "forecast," "goal," "grow," "guidance," "intends," "may," "might," "objective," "on track," "opportunity," "outlook," "plans," "position," "potential," "predicts," "projects," "remains," "seeks," "should," "targets," "well-positioned," "will," "would," or the negative of such terms, or other comparable terminology and include, among other things, the quotations of our Chief Executive Officer and Chief Financial Officer relating to Dave's future performance and growth, statements relating to fiscal year 2026 guidance, statements regarding Dave Flex and other products in development, projected financial results for future periods and other statements about future events. Such forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties, which could cause actual results to differ materially from the forward-looking statements contained herein due to many factors, including, but not limited to: the ability of Dave to compete in its highly competitive industry; the ability of Dave to keep pace with the rapid technological and AI-related developments in its industry and the larger financial services industry; the ability of Dave to manage risks associated with providing ExtraCash; the ability of Dave to retain its current customers, acquire new customers (collectively, "Members") and sell additional functionality and services to its Members; the ability of Dave to successfully launch new products and services; the ability of Dave to protect intellectual property and trade secrets; the ability of Dave to maintain the integrity of its confidential information and information systems or comply with applicable privacy and data security requirements and regulations; the reliance by Dave on two bank partners; the ability of Dave to maintain or secure current and future key banking relationships and other third-party service providers, including its ability to comply with applicable requirements of such third parties; the ability of Dave to comply with extensive and evolving laws and regulations applicable to its business; changes in applicable laws or regulations and extensive and evolving government regulations that impact operations and business; the ability to attract or maintain a qualified workforce; the level of product service failures that could lead Members to use competitors' services; investigations, claims, disputes, enforcement actions, arbitration, litigation and/or other regulatory or legal proceedings, including the Department of Justice's lawsuit against Dave; the possibility that Dave may be adversely affected by other macroeconomic factors, including regulatory uncertainty, fluctuating interest rates, inflation, tariffs, unemployment rates, consumer sentiment, market volatility and business, and/or competitive factors; and other risks and uncertainties discussed in Dave's Annual Report on Form 10-K filed with the Securities and Exchange Commission (the "SEC") on March 2, 2026 and any subsequent Quarterly Reports on Form 10-Q under the heading "Risk Factors," filed with the SEC and other reports and documents Dave files from time to time with the SEC. Any forward-looking statements speak only as of the date on which they are made, and Dave undertakes no obligation to update any forward-looking statement to reflect events or circumstances after the date of this press release, except as required by law.

Non-GAAP Financial Information
This press release contains references to adjusted net income, adjusted EBITDA, adjusted EBITDA margin, non-GAAP gross profit, non-GAAP gross profit margin, and adjusted net income per share (basic and diluted) of Dave, which are adjusted from results based on generally accepted accounting principles in the United States ("GAAP") and exclude certain expenses, gains and losses. The Company defines and calculates adjusted EBITDA as GAAP net income before the impact of interest income and/or expense, and funding costs, provision for income taxes, depreciation and amortization, and adjusted to exclude legal settlement expenses, litigation expenses related to the FTC/DOJ matter, stock-based compensation expense, other strategic financing and transactional expenses, discretionary or non-recurring income, changes in fair value of earnout liabilities and changes in fair value of warrant liabilities. The Company defines and calculates adjusted EBITDA margin as adjusted EBITDA as a percentage of GAAP operating revenues, net. The Company defines and calculates variable operating expenses as provision for credit losses, processing and servicing costs and financial network and transaction costs. The Company defines and calculates non-GAAP gross profit as GAAP operating revenues, net excluding variable operating expenses. The Company defines and calculates non-GAAP gross profit margin as non-GAAP gross profit as a percentage of GAAP operating revenues, net. The Company defines and calculates adjusted net income as GAAP net income adjusted to exclude stock-based compensation, discretionary or non-recurring income, legal settlement expenses, litigation expenses related to the FTC/DOJ matter, other strategic financing and transactional expenses, changes in fair value of earnout liabilities and changes in fair value of warrant liabilities, the income tax impact related to the release of the valuation allowance and the income tax impact related to stock-based compensation. The Company defines and calculates non-GAAP adjusted net income per share - basic and non-GAAP adjusted net income per share - diluted as adjusted net income divided by weighted average shares of common stock-basic and adjusted weighted average shares of common stock-diluted, respectively. The Company defines and calculates adjusted weighted average shares of common stock-diluted as GAAP diluted weighted average shares, adjusted to include the benefit expected to be provided by existing capped call transactions entered into in connection with the 2031 convertible notes to offset the dilutive impact of the notes.

These non-GAAP financial measures may be helpful to the user in assessing our operating performance and facilitate an alternative comparison among fiscal periods. The Company's management team uses these non-GAAP financial measures in assessing performance, as well as in planning and forecasting future periods. The methods the Company uses to compute these non-GAAP financial measures may differ from the methods used by other companies. Non-GAAP financial measures are supplemental, should not be considered a substitute for financial information presented in accordance with GAAP and should be read only in conjunction with our condensed consolidated financial statements prepared in accordance with GAAP.

Refer to the section further below for a reconciliation of these non-GAAP financial measures to their most directly comparable GAAP measures for the three and nine months ended September 30, 2026, and 2025.

Investor Relations Contact
Sean Mansouri, CFA or Stefan Norbom
Elevate IR
DAVE@elevate-ir.com 

Media Contact
Dan Ury
press@dave.com 

DAVE INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in millions, except per share data)
(unaudited)
		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2026		2025		2026		2025
Operating revenues:
Service based revenue, net		$                          186.4		$                          139.3		$                          494.0		$                          358.7
Transaction based revenue, net		11.3		11.5		32.9		31.8
Total operating revenues, net		197.7		150.8		526.9		390.5
Operating expenses:
Provision for credit losses		36.6		29.9		92.0		65.7
Processing and servicing costs		12.8		9.4		32.7		23.6
Financial network and transaction costs		10.4		7.3		26.1		21.6
Advertising and activation costs		28.0		18.9		62.6		46.3
Compensation and benefits		43.3		24.8		106.6		78.5
Technology and infrastructure		4.5		3.2		11.7		8.8
Other operating expenses		14.1		11.3		35.4		23.8
Total operating expenses		149.7		104.8		367.1		268.3
Other (income) expenses:
Interest expense, net		(0.1)		1.5		1.5		4.0
Changes in fair value of earnout liabilities		(8.5)		(4.8)		(0.4)		2.7
Changes in fair value of warrant liabilities		(17.9)		(9.1)		(0.6)		11.7
Total other (income) expense, net		(26.5)		(12.4)		0.5		18.4
Net income before provision for income taxes		74.5		58.4		159.3		103.8
Provision (benefit) for income taxes		10.7		(33.6)		30.9		(26.1)
Net income		$                            63.8		$                            92.0		$                          128.4		$                          129.9
Net income per share:
Basic		$                            5.00		$                            6.84		$                            9.90		$                            9.76
Diluted (1)		$                            3.30		$                            6.34		$                            9.13		$                            8.96
Weighted-average shares used to compute net income per share
Basic		12,763,674		13,457,671		12,970,111		13,317,504
Diluted		13,921,273		14,525,301		13,997,781		14,492,827
(1) For the three and nine months ended September 30, 2026, net income used to compute diluted net income per share excludes gains of $17.9 million and $0.6 million, respectively, from changes in fair value of warrant liabilities. In accordance with GAAP, because the warrants are liability-classified and were dilutive for these periods, diluted net income per share is calculated as if the warrants had been classified as equity. This removes the gain on changes in fair value of warrant liabilities from net income and includes the potentially dilutive shares issuable upon exercise of the warrants in weighted-average diluted shares. As a result, diluted net income per share cannot be directly derived by dividing reported net income by weighted-average diluted shares.

 

RECONCILIATION OF TOTAL OPERATING REVENUES, NET
(in millions)
(unaudited)
		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2026		2025		2026		2025
Service based revenue, net
Processing and overdraft service fees, net		$                          169.0		$                          129.2		$                          447.5		$                          326.1
Tips		—		—		—		7.5
Subscriptions		17.3		9.9		46.3		24.8
Other		0.1		0.2		0.2		0.3
Transaction based revenue, net
Interchange revenue, net		6.5		6.1		18.7		18.0
ATM revenue, net		0.6		0.8		1.9		2.3
Other		4.2		4.6		12.3		11.5
Total operating revenues, net		$                          197.7		$                          150.8		$                          526.9		$                          390.5
CALCULATION OF NON-GAAP GROSS PROFIT
(in millions)
(unaudited)
		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2026		2025		2026		2025
GAAP operating revenues, net		$                          197.7		$                          150.8		$                          526.9		$                          390.5
Less: Variable operating expenses
Provision for credit losses		(36.6)		(29.9)		(92.0)		(65.7)
Processing and servicing costs		(12.8)		(9.4)		(32.7)		(23.6)
Financial network and transaction costs		(10.4)		(7.3)		(26.1)		(21.6)
Non-GAAP gross profit		$                          137.9		$                          104.2		$                          376.1		$                          279.6
Non-GAAP gross profit margin		70 %		69 %		71 %		72 %
DAVE INC.
RECONCILIATION OF NET INCOME TO ADJUSTED EBITDA
(in millions)
(unaudited)
		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2026		2025		2026		2025
Net income		$                            63.8		$                            92.0		$                          128.4		$                          129.9
Interest expense, net and funding costs		2.5		1.5		4.6		4.0
Provision for income taxes		10.7		(33.6)		30.9		(26.1)
Depreciation and amortization		1.7		1.8		5.3		4.9
Stock-based compensation		22.0		7.2		45.5		23.0
Discretionary or non-recurring income		—		(0.8)		—		(0.8)
Legal settlement and litigation expenses		6.2		4.5		11.3		4.5
Other strategic financing and transactional expenses		1.0		—		1.3		—
Changes in fair value of earnout liabilities		(8.5)		(4.8)		(0.4)		2.7
Changes in fair value of warrant liabilities		(17.9)		(9.1)		(0.6)		11.7
Adjusted EBITDA		$                            81.5		$                            58.7		$                          226.3		$                          153.8
Adjusted EBITDA margin		41 %		39 %		43 %		39 %
DAVE INC.
RECONCILIATION OF NET INCOME TO ADJUSTED NET INCOME
(in millions, except per share data)
(unaudited)
		For the Three Months Ended September 30,				For the Nine Months Ended September 30,
		2026		2025		2026		2025
Net income		$                            63.8		$                            92.0		$                          128.4		$                          129.9
Stock-based compensation		22.0		7.2		45.5		23.0
Discretionary or non-recurring income		—		(0.8)		—		(0.8)
Legal settlement and litigation expenses		6.2		4.5		11.3		4.5
Other strategic financing and transactional expenses		1.0		—		1.3		—
Changes in fair value of earnout liabilities		(8.5)		(4.8)		(0.4)		2.7
Changes in fair value of warrant liabilities		(17.9)		(9.1)		(0.6)		11.7
Income tax benefit related to the release of the valuation allowance		—		(27.4)		—		(27.4)
Income tax expense (benefit) related to stock-based compensation		(6.3)		3.0		(16.5)		(6.0)
Adjusted net income		$                            60.3		$                            64.6		$                          169.0		$                          137.6
Weighted-average shares used to compute adjusted net income per share
Basic		12,763,674		13,457,671		12,970,111		13,317,504
Diluted		13,921,273		14,525,301		13,997,781		14,492,827
Benefit of shares related to capped call transactions		(177,096)		—		(59,032)		—
Adjusted Diluted		13,744,177		14,525,301		13,938,749		14,492,827
Adjusted net income per share:
Basic		$                            4.72		$                            4.79		$                          13.03		$                          10.33
Diluted		$                            4.39		$                            4.45		$                          12.12		$                            9.49
DAVE INC.
SUMMARY BALANCE SHEET
(in millions)
		September 30,		December 31,
		2026		2025
		(unaudited)
Cash, cash equivalents, restricted cash, and investments		$                          315.1		$                          123.2
Member receivables, net of allowance for credit losses		204.6		297.3
Other assets		104.9		66.9
Total assets		$                          624.6		$                          487.4
Debt facility, current		$                            75.0		$                            75.0
Other current liabilities		60.3		39.0
Convertible notes, net of discount and issuance costs		193.5		—
Other liabilities		22.0		20.7
Total liabilities		$                          350.8		$                          134.7
Total shareholders' equity		$                          273.8		$                          352.7

 

 

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SOURCE Dave Inc.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Dave's third-quarter 2026 revenue and earnings?

Dave reported $198 million in revenue, up 31% year over year, and $64 million in net income, down 31%. Adjusted EBITDA increased 39% to $82 million. GAAP diluted earnings per share were $3.30, compared with $6.34 a year earlier.

What is Dave's updated 2026 financial guidance?

Dave expects $746–$750 million in revenue, $327–$330 million in adjusted EBITDA and $17.45–$17.65 in adjusted diluted earnings per share. The previous ranges were $725–$735 million, $315–$325 million and $17.00–$17.50, respectively.

Why did Dave's third-quarter 2026 gross margin decline sequentially?

Coastal funding costs accounted for about 100 basis points of the sequential non-GAAP gross-margin decline, with credit-loss provision accounting for most of the remainder. Dave said the funding transition moved faster than expected and freed liquidity, while its prior provision forecast had assumed greater improvement in loss rates.

How does Dave calculate adjusted diluted earnings per share for its 2031 convertible notes?

The diluted share count used for adjusted earnings per share includes the expected benefit of existing capped-call transactions entered into alongside the 2031 convertible notes. Those transactions are intended to offset the notes' dilutive impact.