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Jun 30
Green Dot Q2 2025 Earnings Report
Green Dot reported its financial results for the second quarter of 2025, showing increased momentum and demand for its Banking as a Service (BaaS) platform, leading to raised annual guidance.
Key Takeaways
Green Dot Corporation delivered a solid second quarter in 2025, building on previous momentum with significant growth in total operating revenues and adjusted EBITDA. The company's Banking as a Service (BaaS) division showed increasing demand and new partnerships, contributing to an improved financial outlook for the year. Despite a GAAP net loss, non-GAAP metrics demonstrated strong performance, driven by balance sheet optimization and disciplined cost management.
Total operating revenues increased by 24% year-over-year to $504.176 million in Q2 2025.
Adjusted EBITDA grew by 34% to $45.425 million, with the adjusted EBITDA margin improving to 9.1%.
Non-GAAP diluted earnings per share rose by 60% to $0.40.
The company raised its full-year 2025 guidance for adjusted EBITDA and non-GAAP EPS, citing increasing momentum in BaaS and improved balance sheet performance.
Green Dot
Green Dot
Green Dot Revenue by Segment
Revenue by Segment
Consumer Services Revenue
CapyFin.comB2B Services Revenue
CapyFin.comMoney Movement Services Revenue
CapyFin.comCorporate and Other Revenue
CapyFin.com Forward Guidance
Green Dot raised its full-year 2025 financial guidance, expecting non-GAAP total operating revenues between $2.0 billion and $2.1 billion, adjusted EBITDA between $160 million and $170 million, and non-GAAP EPS between $1.28 and $1.42.
Positive Outlook
- Increased momentum and demand for Banking as a Service (BaaS) with new and expanding partnerships.
- Improving balance sheet performance expected to drive better results.
- Disciplined cost management contributing to improved profitability.
- Raised full-year guidance for adjusted EBITDA and non-GAAP EPS, indicating confidence in future performance.
- Anticipated contribution from optimizing the earnings power of the balance sheet.
Challenges Ahead
- Current macro-economic environment poses potential risks.
- Effect of inflation and interest rates could impact performance.
- Negative trends within certain business channels are a consideration.
- Investment in strategic initiatives and compliance programs may incur costs.
- Any expenses associated with evaluating strategic alternatives are excluded from non-GAAP measures and outlook.