v3.25.2
Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information

Note 18 Segment Information

In accordance with ASC 280, Segment Reporting, the operations of the Company constitute a single operating and reportable segment. This conclusion reflects the manner in which the Chief Operating Decision Maker ("CODM"), a joint responsibility, shared by the Chief Executive Officer and Chief Financial Officer, reviews financial information and makes operating decisions. The determination of the reportable segment is based on the nature of the Company’s products and services, as well as the financial performance, on a consolidated entity-wide basis, that are regularly reviewed by the CODM to guide resource allocation and assess performance.

The Company’s operations, all of which are located in the United States, collectively support this single-segment structure. No Member individually contributed to 10% or more of the Company’s revenues for the three and six months ended June 30, 2025 and 2024.

For further information regarding the Company’s products, services, and the accounting policies applied to its reportable segment, refer to Note 2 Significant Accounting Policies.

The key performance measure used by the CODM to make key operating decisions is consolidated net income, as reported in the Consolidated Statement of Operations. This measure to assess overall financial performance, identify areas for operation

improvement, resource allocation and the allocation of budget between the provision for credit losses, processing and servicing costs, advertising and marketing, compensation and benefits and other operating expenses. This measure helps to ensure alignment with the Company’s long-term financial objectives and supports consistent evaluation across all business activities.

The segment assets and liabilities reviewed by the CODM are those reported on the Company’s consolidated balance sheets, with particular focus on available liquidity, including cash, cash equivalents, investments, restricted cash, and ExtraCash receivables, offset by current liabilities and outstanding debt.

 

The following table presents selected financial information with respect to the Company’s single operating and reportable segment for the three and six months ended June 30, 2025 and 2024, respectively:

 

Dave Inc.
Condensed Consolidated Statements of Operations
(in thousands)

 

 

 

 

 

 

 

 

For the Three Months Ended

 

 

For the Six Months Ended

 

 

June 30, 2025

 

 

June 30, 2024

 

 

June 30, 2025

 

 

June 30, 2024

 

Operating revenues:

 

 

 

 

 

 

 

 

 

 

 

Service based revenue, net

$

121,593

 

 

$

71,651

 

 

$

219,444

 

 

$

137,213

 

Transaction based revenue, net

 

10,164

 

 

 

8,466

 

 

$

20,292

 

 

$

16,534

 

Total operating revenues, net

 

131,757

 

 

 

80,117

 

 

 

239,736

 

 

 

153,747

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

Provision for credit losses

 

25,295

 

 

 

14,365

 

 

 

35,898

 

 

 

24,308

 

Processing and servicing costs

 

7,170

 

 

 

7,499

 

 

 

14,157

 

 

 

14,953

 

Financial network and transaction costs

 

7,227

 

 

 

6,495

 

 

 

14,266

 

 

 

12,850

 

Advertising and activation costs

 

15,456

 

 

 

12,883

 

 

 

27,386

 

 

 

23,820

 

Employee salaries

 

11,779

 

 

 

10,984

 

 

 

23,467

 

 

 

22,751

 

Stock-based compensation

 

8,285

 

 

 

7,706

 

 

 

15,802

 

 

 

13,836

 

Other compensation and benefits

 

6,366

 

 

 

5,555

 

 

 

14,412

 

 

 

11,993

 

Technology and infrastructure

 

2,894

 

 

 

2,809

 

 

 

5,620

 

 

 

5,504

 

Other operating expenses

 

6,203

 

 

 

6,152

 

 

 

12,497

 

 

 

12,664

 

Total operating expenses

 

90,675

 

 

 

74,448

 

 

 

163,505

 

 

 

142,679

 

Other (income) expenses:

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

(588

)

 

 

(537

)

 

 

(1,019

)

 

 

(2,032

)

Interest expense

 

1,777

 

 

 

1,965

 

 

 

3,535

 

 

 

4,182

 

Gain on extinguishment of convertible debt

 

-

 

 

 

-

 

 

 

-

 

 

 

(33,442

)

Changes in fair value of earnout liabilities

 

7,894

 

 

 

(63

)

 

 

7,496

 

 

 

133

 

Changes in fair value of public and private warrant liabilities

 

20,491

 

 

 

(272

)

 

 

20,843

 

 

 

205

 

Total other (income) expense, net

 

29,574

 

 

 

1,093

 

 

 

30,855

 

 

 

(30,954

)

Net income before provision (benefit) for income taxes

 

11,508

 

 

 

4,576

 

 

 

45,376

 

 

 

42,022

 

Provision (benefit) for income taxes

 

2,468

 

 

 

(1,782

)

 

 

7,524

 

 

 

1,421

 

Net income

$

9,040

 

 

$

6,358

 

 

$

37,852

 

 

$

40,601

 

 

Other operating expenses primarily include charitable commitments, depreciation and amortization of property and equipment and intangible assets, legal fees, rent, sales tax-related costs, office expenses, public relations, professional services, travel and entertainment, and insurance. These costs generally reflect our investments in infrastructure, business development, risk management, and administrative costs, and may vary period to period based on operational needs and strategic initiatives.

Significant noncash items that impact net income include provision for credit losses, stock based compensation, depreciation expense, amortization expense (see Note 6, Intangible Assets, Net), changes in fair value of earnout liabilities (see Note 13, Fair Value of Financial Instruments), and changes in fair value of public and private warrant liabilities (see Note 13, Fair Value of Financial Instruments).