v3.26.3
Segment Information
 9 Months Ended
Sep. 30, 2026
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. The Company's products and services, including ExtraCash, Dave Flex, and its other banking and card products, are managed and evaluated on a consolidated basis within this single segment. The launch of Dave Flex in April 2026 and the amended Coastal ExtraCash arrangement effective June 1, 2026 did not change this conclusion; the CODM does not review discrete financial results by product and continues to allocate resources based on consolidated performance. No Member individually contributed to 10% or more of the Company’s revenues for the three and nine months ended September 30, 2026 and 2025.

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 condensed consolidated statement of operations. This measure is used 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 activation costs, 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 Member 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 nine months ended September 30, 2026 and 2025, respectively:

 

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

 

 

 

For The Three Months Ended

 

 

For The Nine Months Ended

 

 

 

September 30, 2026

 

 

September 30, 2025

 

 

September 30, 2026

 

 

September 30, 2025

 

Operating revenues:

 

 

 

 

 

 

 

 

 

 

 

 

Service based revenue, net

 

$

186,349

 

 

$

139,229

 

 

$

493,983

 

 

$

358,673

 

Transaction based revenue, net

 

 

11,355

 

 

 

11,496

 

 

 

32,928

 

 

 

31,788

 

Total operating revenues, net

 

 

197,704

 

 

 

150,725

 

 

 

526,911

 

 

 

390,461

 

Operating expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Provision for credit losses

 

 

36,549

 

 

 

29,846

 

 

 

91,953

 

 

 

65,744

 

Processing and servicing costs

 

 

12,832

 

 

 

9,404

 

 

 

32,691

 

 

 

23,561

 

Financial network and transaction costs

 

 

10,383

 

 

 

7,378

 

 

 

26,102

 

 

 

21,644

 

Advertising and activation costs

 

 

27,959

 

 

 

18,911

 

 

 

62,577

 

 

 

46,297

 

Employee salaries and bonuses

 

 

17,622

 

 

 

14,887

 

 

 

48,745

 

 

 

45,307

 

Capitalized compensation costs

 

 

(2,069

)

 

 

(1,703

)

 

 

(6,062

)

 

 

(4,805

)

Stock-based compensation

 

 

22,013

 

 

 

7,209

 

 

 

45,464

 

 

 

23,011

 

Temporary labor and contractors

 

 

2,355

 

 

 

1,722

 

 

 

6,477

 

 

 

4,569

 

Other compensation, benefits and payroll taxes

 

 

3,375

 

 

 

2,727

 

 

 

12,001

 

 

 

10,441

 

Technology and infrastructure

 

 

4,487

 

 

 

3,192

 

 

 

11,733

 

 

 

8,812

 

Other operating expenses

 

 

14,181

 

 

 

11,254

 

 

 

35,406

 

 

 

23,751

 

Total operating expenses

 

 

149,687

 

 

 

104,827

 

 

 

367,087

 

 

 

268,332

 

Other (income) expenses:

 

 

 

 

 

 

 

 

 

 

 

 

Interest income

 

 

(2,196

)

 

 

(294

)

 

 

(4,348

)

 

 

(1,313

)

Interest expense

 

 

2,062

 

 

 

1,789

 

 

 

5,811

 

 

 

5,324

 

Changes in fair value of earnout liabilities

 

 

(8,467

)

 

 

(4,841

)

 

 

(415

)

 

 

2,655

 

Changes in fair value of warrant liabilities

 

 

(17,881

)

 

 

(9,186

)

 

 

(554

)

 

 

11,657

 

Total other (income) expense, net

 

 

(26,482

)

 

 

(12,532

)

 

 

494

 

 

 

18,323

 

Net income before provision for income taxes

 

 

74,499

 

 

 

58,430

 

 

 

159,330

 

 

 

103,806

 

Provision (benefit) for income taxes

 

 

10,712

 

 

 

(33,642

)

 

 

30,920

 

 

 

(26,118

)

Net income

 

$

63,787

 

 

$

92,072

 

 

$

128,410

 

 

$

129,924

 

 

Other operating expenses primarily include legal fees and settlements, professional fees, including consulting and accounting fees and costs related to other strategic financing activities, depreciation and amortization of property and equipment and internally developed software, insurance, sales tax and other non-income taxes, charitable contributions, travel and entertainment, office and occupancy costs, licenses, dues and fees, and other general and administrative costs. These costs generally reflect the Company's investments in infrastructure, business development, risk management, and administrative operations, and may vary period to period based on operational needs, legal matters and strategic initiatives.

Significant noncash items that impact net income include provision for credit losses (see Note 5, Member Receivables, Net), stock-based compensation (see Note 15, Stock-Based Compensation), depreciation and amortization expense (see Note 6, Intangible Assets, Net), non-cash interest expense related to the amortization of debt issuance costs on the 2031 Notes (see Note 8, Convertible Notes), and changes in fair value of earnout liabilities and warrant liabilities (see Note 13, Fair Value of Financial Instruments).