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Dec 31, 2024
Dave Q4 2024 Earnings Report
Dave reported record Q4 2024 revenue and significant profitability growth.
Key Takeaways
Dave Inc. achieved record revenue of $100.9 million in Q4 2024, reflecting a 38% year-over-year growth. Net income surged to $16.8 million, a significant improvement from the prior year's breakeven. Adjusted EBITDA increased 234% year-over-year, reaching $33.4 million, exceeding guidance. The company saw strong member growth, higher ExtraCash originations, and improved credit performance.
Revenue increased 38% year-over-year to $100.9 million.
GAAP net income rose to $16.8 million, up $16.6 million year-over-year.
Adjusted EBITDA grew 234% to $33.4 million, exceeding guidance.
Monthly Transacting Members increased 17% to 2.5 million.
Dave
Dave
Forward Guidance
Dave expects revenue growth between 20% and 25% in FY 2025, driven by a new fee structure and improved monetization. Adjusted EBITDA is projected to grow by 27% to 39%.
Positive Outlook
- Projected revenue growth of 20% to 25% for FY 2025.
- Expected 27% to 39% increase in Adjusted EBITDA.
- New fee structure to enhance ExtraCash limits and monetization.
- Continued focus on expanding member retention and lifetime value.
- Strong variable margins and scalable business model support long-term growth.
Challenges Ahead
- Seasonal softness in ExtraCash demand expected in Q1 2025.
- Macroeconomic uncertainty may impact consumer spending.
- Competitive pressures in the fintech space remain a challenge.
- Potential regulatory risks affecting banking partnerships.
- Dependence on Coastal Community Bank as a sponsor for ExtraCash and banking products.