EX-99.01 2 a03312025-exb9901earningsr.htm EX-99.01 Document
Exhibit 99.01
greendot_corporatelogov4a.jpg
Green Dot Reports First Quarter 2025 Results
Company increases 2025 outlook
Company sees continued momentum in embedded finance with new Samsung and Crypto.com partnerships, and renewal of significant retail partnership
Provo, UT - May 8, 2025 - Green Dot Corporation (NYSE: GDOT), a leading digital bank and fintech that delivers seamless banking and payment tools for consumers and businesses, today reported financial results for the quarter ended March 31, 2025.
“It was a very strong start to 2025 as we beat our projections, added significant new BaaS and money processing partners, and extended a major retail relationship,” said William Jacobs, Interim Chief Executive Officer of Green Dot. “We believe this indicates our work to optimize our platform and operations over the last few years is beginning to pay off, and we look forward to sharing more updates on new partners and partner launches in the coming months. These results also reinforce my confidence that we are positioned to win in the embedded finance market, which is seeing continued demand and expansion.”
Consolidated Results Summary
Three Months Ended March 31,
20252024% Change
(In thousands, except per share data and percentages)
GAAP financial results
Total operating revenues$558,874 $451,988 24%
Net income$25,773 $4,750 443%
Diluted earnings per common share$0.47 $0.09 422%
Non-GAAP financial results1
Non-GAAP total operating revenues1
$555,964 $447,423 24%
Adjusted EBITDA1
$90,559 $59,232 53%
Adjusted EBITDA/Non-GAAP total operating revenues (adjusted EBITDA margin)16.3 %13.2 %3.1%
Non-GAAP net income1
$58,407 $31,440 86%
Non-GAAP diluted earnings per share1
$1.06 $0.59 80%
Unencumbered cash at the holding company was approximately $142 million as of March 31, 2025.
1Reconciliations of total operating revenues to non-GAAP total operating revenues, net income to adjusted EBITDA, net income to non-GAAP net income, and diluted earnings per share to non-GAAP diluted earnings per share, respectively, are provided in the tables immediately following the unaudited consolidated financial statements. Additional information about the Company's non-GAAP financial measures can be found under the caption “About Non-GAAP Financial Measures” below.

Key Metrics
The following table shows Green Dot's quarterly key business metrics for each of the last five calendar quarters on a consolidated basis and by each of its reportable segments. Please refer to Green Dot’s latest Annual Report on Form 10-K for a description of the key business metrics, as well as additional information regarding how Green Dot organizes its business by segment.
20252024
Q1Q4Q3Q2Q1
(In millions)
Consolidated *
Gross dollar volume$37,252 $35,282 $33,473 $32,130 $30,755 
Number of active accounts3.58 3.67 3.46 3.41 3.51 
Purchase volume $5,113 $5,152 $4,887 $5,012 $5,274 
Consumer Services
Gross dollar volume$4,238 $4,060 $3,983 $4,014 $4,500 
Number of active accounts1.80 1.88 1.78 1.76 1.93 
Direct deposit active accounts0.41 0.43 0.44 0.45 0.46 
Purchase volume$3,127 $3,082 $2,904 $3,036 $3,339 
B2B Services
Gross dollar volume$33,014 $31,222 $29,490 $28,116 $26,255 
Number of active accounts1.78 1.79 1.68 1.65 1.58 
Purchase volume$1,986 $2,070 $1,983 $1,976 $1,935 
Money Movement
Number of cash transfers7.51 8.14 8.22 8.15 7.77 
Number of tax refunds processed7.98 0.15 0.19 4.20 9.28 
* Represents the sum of Green Dot's Consumer Services and B2B (as defined herein) Services segments.

"All three of our reporting segments posted profit growth this quarter for the first time in several years," said Jess Unruh, Chief Financial Officer of Green Dot. "Assuming no major changes to the economic backdrop, our first quarter performance should allow us to continue investing in the company while delivering better-than-expected bottom line results to our shareholders."



2025 Financial Guidance
Green Dot has provided its updated financial outlook for 2025. Green Dot’s outlook is based on a number of assumptions that management believes are reasonable at the time of this earnings release. In particular, its outlook reflects several considerations, including but not limited to the current macro-economic environment, the effect of inflation and interest rates, negative trends within certain channels of its business, investment in strategic initiatives and compliance programs, and cost reduction initiatives. Additionally, any expenses associated with Green Dot's process to evaluate strategic alternatives are expressly excluded from its non-GAAP financial measures and outlook. Information regarding potential risks that could cause the actual results to differ from these forward-looking statements is set forth below and in Green Dot's filings with the Securities and Exchange Commission.

Total Non-GAAP Operating Revenues2
•Green Dot now expects its full year non-GAAP total operating revenues2 to be between $2.0 billion and $2.1 billion, up from its previous guidance range of $1.85 billion to $1.90 billion.
Adjusted EBITDA2
•Green Dot now expects its full year adjusted EBITDA2 to be between $150 million and $160 million, up from its previous guidance range of $145 million to $155 million.
Non-GAAP EPS2
•Green Dot now expects its full year non-GAAP EPS2 to be between $1.14 and $1.28, up from its previous guidance range of $1.05 to $1.20.

The components of Green Dot's non-GAAP EPS2 guidance range are as follows:
Range
LowHigh
(In millions, except per share data)
Adjusted EBITDA$150.0 $160.0 
Depreciation and amortization*(62.0)(62.0)
Net interest expense(6.0)(6.0)
Non-GAAP pre-tax income$82.0 $92.0 
Tax impact**(18.0)(20.2)
Non-GAAP net income$64.0 $71.8 
Diluted weighted-average shares issued and outstanding56.0 56.0 
Non-GAAP earnings per share$1.14 $1.28 
*Excludes the impact of amortization of acquired intangible assets
**Assumes a non-GAAP effective tax rate of approximately 22% for full year.
2For additional information, see reconciliations of forward-looking guidance for these non-GAAP financial measures to their respective, most directly comparable projected GAAP financial measures provided in the tables immediately following the reconciliation of Net Income to Adjusted EBITDA.

Conference Call
Green Dot's management will host a conference call to discuss first quarter 2025 financial results today at 5:00 p.m. ET. The conference call can be accessed live from Green Dot's investor relations website at http://ir.greendot.com/. Green Dot uses this website as a tool to disclose important information about the company to investors and comply with its disclosure obligations under Regulation Fair Disclosure. A replay of the webcast will be available at the same website following the call. The replay will be available until Thursday, May 15, 2025.
Forward-Looking Statements
This earnings release contains forward-looking statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements include, among other things, statements in the quotes of Green Dot's executive officers and under the heading "2025 Financial Guidance," and other future events that involve risks and uncertainties. Actual results may differ materially from those contained in the forward-looking statements contained in this earnings release, and reported results should not be considered as an indication of future performance. The potential risks and uncertainties that could cause actual results to differ from those projected include, among other things, impacts from and changes in general economic conditions on Green Dot’s business, results of operations and financial condition, shifts in consumer behavior towards electronic payments, the potential impact on our business of our previously-disclosed strategic review process due to uncertainties in connection therewith, the timing and impact of revenue growth activities, Green Dot's dependence on revenues derived from Walmart or other large partners, the timing and impact of non-renewals or terminations of agreements with other large partners, impact of competition, Green Dot's reliance on retail distributors for the promotion of its products and services, demand for Green Dot's new and existing products and services, continued and improving returns from Green Dot's investments in strategic initiatives, Green Dot's ability to operate in a highly regulated environment, including with respect to any restrictions imposed on its business, changes to governmental policies or rulemaking or enforcement priorities affecting financial institutions or to existing laws or regulations affecting Green Dot's operating methods or economics, Green Dot's reliance on third-party vendors, changes in credit card association or other network rules or standards, changes in card association and debit network fees or products or interchange rates, instances of fraud developments in the financial services industry that impact debit card usage generally, business interruption or systems failure, economic, political and other conditions may adversely affect trends in consumer spending and Green Dot's involvement in litigation or investigations. These and other risks are discussed in greater detail in Green Dot's Securities and Exchange Commission filings, including its most recent annual report on Form 10-K and quarterly report on Form 10-Q available on Green Dot's investor relations website at ir.greendot.com and on the SEC website at www.sec.gov. All information provided in this release and in the attachments is as of May 8, 2025, and Green Dot assumes no obligation to update this information as a result of future events or developments, except as required by law.
About Non-GAAP Financial Measures
To supplement Green Dot's consolidated financial statements presented in accordance with accounting principles generally accepted in the United States of America (GAAP), Green Dot uses measures of operating results that are adjusted for, among other things, non-operating net interest income and expense; other non-interest investment income earned by its bank; income tax benefit and expense; depreciation and amortization, including amortization of acquired intangibles; certain legal settlement gains and charges; stock-based compensation and related employer payroll taxes; changes in the fair value of contingent consideration; transaction costs from acquisitions or divestitures; amortization attributable to deferred financing costs, impairment charges; extraordinary severance expenses; earnings or losses from equity method investments; changes in the fair value of loans held for sale; commissions and certain processing-related costs associated with embedded finance products and


services where Green Dot does not control customer acquisition; realized losses on available-for-sale investment securities; other charges and income not reflective of ongoing operating results; and income tax effects. This earnings release includes non-GAAP total operating revenues, adjusted EBITDA, non-GAAP net income, and non-GAAP diluted earnings per share. These non-GAAP financial measures are not calculated or presented in accordance with, and are not alternatives or substitutes for, financial measures prepared in accordance with GAAP, and should be read only in conjunction with Green Dot's financial measures prepared in accordance with GAAP. Green Dot's non-GAAP financial measures may be different from similarly-titled non-GAAP financial measures used by other companies. Green Dot believes that the presentation of non-GAAP financial measures provides useful information to management and investors regarding underlying trends in its consolidated financial condition and results of operations. Green Dot's management regularly uses these supplemental non-GAAP financial measures internally to understand, manage and evaluate Green Dot's business and make operating decisions. For additional information regarding Green Dot's use of non-GAAP financial measures and the items excluded by Green Dot from one or more of its historic and projected non-GAAP financial measures, investors are encouraged to review the reconciliations of Green Dot's historic and projected non-GAAP financial measures to the comparable GAAP financial measures, which are attached to this earnings release, and which can be found by clicking on “Financial Information” in the Investor Relations section of Green Dot's website at http://ir.greendot.com/.
About Green Dot
Green Dot Corporation (NYSE: GDOT) is a financial technology platform and registered bank holding company that builds banking and payment solutions to create value, retain and reward customers, and accelerate growth for businesses of all sizes. For more than two decades, Green Dot has delivered financial tools and services that address the most pressing financial needs of consumers and businesses, and that transform the way people and businesses manage and move money

Green Dot delivers a broad spectrum of financial products to consumers and businesses through its portfolio of brands, including: GO2bank, a leading digital and mobile bank account offering simple, secure and useful banking for Americans living paycheck to paycheck; the Green Dot Network (“GDN”) of more than 95,000 retail distribution and cash access locations nationwide; Arc by Green Dot, the single-source embedded finance platform combining all of Green Dot’s secure banking and money processing capabilities to power businesses at all stages of growth; rapid! wage and disbursements solutions, providing pay card and earned wage access services to more than 6,000 businesses and their employees; and Santa Barbara TPG (“SBTPG”), the company’s tax division, which processes approximately 14 million tax refunds annually.

Founded in 1999, Green Dot has managed more than 80 million accounts to date both directly and through its partners. Green Dot Bank is a subsidiary of Green Dot Corporation and member of the FDIC. For more information about Green Dot’s products and services, please visit www.greendot.com.


Contacts
Investor Relations: IR@greendot.com
Media Relations: PR@greendotcorp.com


GREEN DOT CORPORATION
CONSOLIDATED BALANCE SHEETS
March 31, 2025December 31, 2024
(unaudited)
Assets(In thousands, except par value)
Current assets:  
Unrestricted cash and cash equivalents$1,772,845 $1,592,391 
Restricted cash43 44 
Investment securities available-for-sale, at fair value102,037 24,152 
Settlement assets680,007 616,172 
Accounts receivable, net128,644 132,007 
Prepaid expenses and other assets62,706 63,424 
Total current assets2,746,282 2,428,190 
Investment securities available-for-sale, at fair value2,002,247 2,008,650 
Loans to bank customers, net of allowance for credit losses of $22,356 and $17,542 as of March 31, 2025 and December 31, 2024, respectively
38,710 31,961 
Prepaid expenses and other assets240,258 242,707 
Property, equipment, and internal-use software, net194,604 188,363 
Operating lease right-of-use assets10,091 10,823 
Deferred expenses985 1,242 
Net deferred tax assets102,639 124,405 
Goodwill and intangible assets392,069 397,941 
Total assets$5,727,885 $5,434,282 
Liabilities and Stockholders’ Equity  
Current liabilities:  
Accounts payable$116,449 $103,765 
Deposits4,166,873 4,010,520 
Obligations to customers234,879 236,616 
Settlement obligations77,468 48,482 
Amounts due to card issuing banks for overdrawn accounts— 84 
Other accrued liabilities91,200 87,675 
Operating lease liabilities2,260 2,416 
Deferred revenue4,797 6,279 
Income tax payable14,337 6,648 
Total current liabilities4,708,263 4,502,485 
Other accrued liabilities829 1,045 
Operating lease liabilities7,888 8,641 
Notes payable63,242 48,526 
Total liabilities4,780,222 4,560,697 
Stockholders’ equity:  
Class A common stock, $0.001 par value; 100,000 shares authorized as of March 31, 2025 and December 31, 2024; 54,873 and 54,227 shares issued and outstanding as of March 31, 2025 and December 31, 2024, respectively
55 55 
Additional paid-in capital408,602 408,010 
Retained earnings769,375 743,602 
Accumulated other comprehensive loss(230,369)(278,082)
Total stockholders’ equity947,663 873,585 
Total liabilities and stockholders’ equity$5,727,885 $5,434,282 



GREEN DOT CORPORATION
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
 Three Months Ended March 31,
 20252024
 (In thousands, except per share data)
Operating revenues:
Card revenues and other fees$375,953 $281,503 
Cash processing revenues113,373 106,806 
Interchange revenues47,919 50,968 
Interest income, net21,629 12,711 
Total operating revenues558,874 451,988 
Operating expenses:
Sales and marketing expenses59,688 62,375 
Compensation and benefits expenses66,214 66,824 
Processing expenses285,317 195,666 
Other general and administrative expenses86,910 116,569 
Total operating expenses498,129 441,434 
Operating income60,745 10,554 
Interest expense, net1,386 1,457 
Other (expense), net(25,704)(1,810)
Income before income taxes33,655 7,287 
Income tax expense7,882 2,537 
Net income$25,773 $4,750 
Basic earnings per common share:$0.47 $0.09 
Diluted earnings per common share$0.47 $0.09 
Basic weighted-average common shares issued and outstanding:54,361 52,942 
Diluted weighted-average common shares issued and outstanding:55,282 53,270 



GREEN DOT CORPORATION
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
 Three Months Ended March 31,
 20252024
 (In thousands)
Operating activities  
Net income$25,773 $4,750 
Adjustments to reconcile net income to net cash provided by operating activities:  
Depreciation and amortization of property, equipment and internal-use software15,184 16,432 
Amortization of intangible assets5,200 5,664 
Provision for uncollectible overdrawn accounts from purchase transactions2,864 7,623 
Provision for loan losses11,127 4,788 
Stock-based compensation3,021 8,625 
Losses in equity method investments2,846 2,656 
Realized loss on available-for-sale investment securities24,497 — 
Amortization of discount on available-for-sale investment securities(513)(563)
Impairment of long-lived assets61 2,821 
Other(1,499)(808)
Changes in operating assets and liabilities:
Accounts receivable, net499 13,193 
Prepaid expenses and other assets1,720 17,033 
Deferred expenses257 142 
Accounts payable and other accrued liabilities11,988 5,786 
Deferred revenue(1,695)(928)
Income tax receivable/payable7,713 2,198 
Other, net(322)(235)
Net cash provided by operating activities108,721 89,177 
Investing activities  
Purchases of available-for-sale investment securities(80,741)— 
Proceeds from maturities of available-for-sale securities54,520 45,776 
Proceeds from sales and calls of available-for-sale securities287 95 
Payments for property, equipment and internal-use software(19,418)(14,495)
Net changes in loans(17,631)(39,939)
Investment in TailFin Labs, LLC— (35,000)
Proceeds from other investments— 39,118 
Other investing activities(474)(81)
Net cash used in investing activities(63,457)(4,526)
Financing activities  
Borrowings on notes payable14,860 — 
Borrowings on revolving line of credit— 64,000 
Repayments on revolving line of credit— (80,000)
Taxes paid related to net share settlement of equity awards(2,429)(1,400)
Net changes in deposits159,766 451,961 
Net changes in settlement assets and obligations to customers(36,586)(86,684)
Deferred financing costs(422)— 
Net cash provided by financing activities135,189 347,877 
Net increase in unrestricted cash, cash equivalents and restricted cash180,453 432,528 
Unrestricted cash, cash equivalents and restricted cash, beginning of period1,592,435 686,502 
Unrestricted cash, cash equivalents and restricted cash, end of period$1,772,888 $1,119,030 
Cash paid for interest$2,112 $3,320 
Cash paid for income taxes$3 $202 
Reconciliation of unrestricted cash, cash equivalents and restricted cash at end of period:
Unrestricted cash and cash equivalents$1,772,845 $1,118,804 
Restricted cash43 226 
Total unrestricted cash, cash equivalents and restricted cash, end of period$1,772,888 $1,119,030 



GREEN DOT CORPORATION
REPORTABLE SEGMENTS (UNAUDITED)
Three Months Ended March 31,
20252024
Segment Revenue(In thousands)
Consumer Services$95,256 $100,612 
B2B Services341,991 241,200 
Money Movement Services110,247 103,150 
Corporate and Other8,470 2,461 
Total segment revenues555,964 447,423 
Embedded finance commissions and processing expenses (8)4,427 5,100 
Other income (9)(1,517)(535)
Total operating revenues$558,874 $451,988 
Three Months Ended March 31,
20252024
Segment Profit(In thousands)
Consumer Services$33,632 $33,259 
B2B Services27,152 18,283 
Money Movement Services76,826 65,847 
Corporate and Other(47,051)(58,157)
Total segment profit *90,559 59,232 
Reconciliation to income before income taxes
Depreciation and amortization of property, equipment and internal-use software15,184 16,432 
Stock based compensation and related employer taxes3,443 8,706 
Amortization of acquired intangible assets5,200 5,664 
Impairment charges61 6,405 
Legal settlements and related expenses937 5,880 
Other expense, net4,989 5,591 
Operating income60,745 10,554 
Interest expense, net1,386 1,457 
Other (expense), net(25,704)(1,810)
Income before income taxes$33,655 $7,287 
* Total segment profit is also referred to herein as adjusted EBITDA in its non-GAAP measures. Additional information about the Company's non-GAAP financial measures can be found under the caption “About Non-GAAP Financial Measures."
Green Dot's segment reporting is based on how its Chief Operating Decision Maker (“CODM”) manages its businesses, including resource allocation and performance assessment. Its CODM (who is the Chief Executive Officer) organizes and manages the businesses primarily on the basis of the channels in which its product and services are offered and uses net revenue and segment profit to assess profitability. Segment profit reflects each segment's net revenue less direct costs, such as sales and marketing expenses, processing expenses, transaction losses and fraud management, and customer support and related expenses. Green Dot’s operations are aggregated amongst three reportable segments: 1) Consumer Services, 2) Business to Business ("B2B") Services and 3) Money Movement Services.
The Corporate and Other segment primarily consists of net interest income, certain other investment income earned by Green Dot's bank, interest profit sharing arrangements with certain BaaS partners (a reduction of revenue), eliminations of inter-segment revenues and expenses, and unallocated corporate expenses, which include Green Dot's fixed expenses, such as salaries, wages and related benefits for its employees and certain third-party contractors, professional services fees, software licenses, telephone and communication costs, rent, utilities, and insurance that are not considered when Green Dot's CODM evaluates segment performance. Non-cash expenses such as stock-based compensation, depreciation and amortization of long-lived assets, impairment charges and other non-recurring expenses that are not considered by Green Dot's CODM when it is evaluating overall consolidated financial results are excluded from its unallocated corporate expenses.


GREEN DOT CORPORATION
Reconciliation of Total Operating Revenues to Non-GAAP Total Operating Revenues (1)
(Unaudited)
 Three Months Ended March 31,
 20252024
 (In thousands)
Total operating revenues$558,874 $451,988 
Embedded finance commissions and processing expenses (8)(4,427)(5,100)
Other income (9)1,517 535 
Non-GAAP total operating revenues$555,964 $447,423 

Reconciliation of Net Income to Non-GAAP Net Income (1)
(Unaudited)
 Three Months Ended March 31,
 20252024
 (In thousands, except per share data)
Net income$25,773 $4,750 
Stock-based compensation and related employer payroll taxes (3)3,443 8,706 
Amortization of acquired intangible assets (4)5,200 5,664 
Transaction and related acquisition costs (4)446 — 
Amortization of deferred financing costs (5)141 36 
Impairment charges (5)61 6,405 
Legal settlements and related expenses (5)937 5,880 
Losses in equity method investments (5)2,846 2,656 
Change in fair value of loans held for sale (5)11 (225)
Realized loss on available-for-sale investment securities (5)24,497 — 
Extraordinary severance expenses (6)2,986 5,020 
Other income, net (5)(93)(50)
Income tax effect (7)(7,841)(7,402)
Non-GAAP net income$58,407 $31,440 
Diluted earnings per common share
GAAP$0.47 $0.09 
Non-GAAP$1.06 $0.59 
Diluted weighted-average common shares issued and outstanding
GAAP55,282 53,270 




GREEN DOT CORPORATION
Supplemental Detail on Diluted Weighted-Average Common Shares Issued and Outstanding
(Unaudited)
 Three Months Ended March 31,
 20252024
 (In thousands)
Class A common stock outstanding as of March 31:54,873 53,158 
Weighting adjustment(512)(216)
Dilutive potential shares:
Service based restricted stock units863 259 
Performance-based restricted stock units6 4 
Employee stock purchase plan52 65 
Diluted weighted-average shares issued and outstanding55,282 53,270 

Reconciliation of Net Income to Adjusted EBITDA (1)
(Unaudited)
 Three Months Ended March 31,
 20252024
 (In thousands)
Net income$25,773 $4,750 
Interest expense, net (2)1,386 1,457 
Income tax expense7,882 2,537 
Depreciation and amortization of property, equipment and internal-use software (2)15,184 16,432 
Stock-based compensation and related employer payroll taxes (2)(3)3,443 8,706 
Amortization of acquired intangible assets (2)(4)5,200 5,664 
Transaction and related acquisition costs (2)(4)446 — 
Impairment charges (2)(5)61 6,405 
Legal settlements and related expenses (2)(5)937 5,880 
Losses in equity method investments (2)(5)2,846 2,656 
Change in fair value of loans held for sale (2)(5)11 (225)
Realized loss on available-for-sale investment securities (2)(5)24,497 — 
Extraordinary severance expenses (2)(6)2,986 5,020 
Other income, net (2)(5)(93)(50)
Adjusted EBITDA$90,559 $59,232 
Non-GAAP total operating revenues$555,964 $447,423 
Adjusted EBITDA/Non-GAAP total operating revenues (adjusted EBITDA margin)16.3 %13.2 %



GREEN DOT CORPORATION
Reconciliation of Forward Looking Guidance for Non-GAAP Financial Measures to
Projected GAAP Total Operating Revenues (1)
(Unaudited)
FY 2025
Range
LowHigh
(In millions)
Total operating revenues$2,016 $2,116 
Adjustments (8)(9)(16)(16)
Non-GAAP total operating revenues$2,000 $2,100 

Reconciliation of Forward Looking Guidance for Non-GAAP Financial Measures to
Projected GAAP Net Loss (1)
(Unaudited)
FY 2025
Range
LowHigh
(In millions)
Net loss$(53.6)$(46.4)
Adjustments (10)203.6 206.4 
Adjusted EBITDA$150.0 $160.0 
Non-GAAP total operating revenues$2,100 $2,000 
Adjusted EBITDA/Non-GAAP total operating revenues (adjusted EBITDA margin)7.1 %8.0 %

Reconciliation of Forward Looking Guidance for Non-GAAP Financial Measures to
Projected GAAP Net Loss(1)
(Unaudited)
FY 2025
Range
LowHigh
(In millions, except per share data)
Net loss$(53.6)$(46.4)
Adjustments (10)117.5 118.1 
Non-GAAP net income$64.0 $71.8 
Diluted earnings (loss) per share
GAAP$(0.96)$(0.83)
Non-GAAP$1.14 $1.28 
Diluted weighted-average shares issued and outstanding
GAAP56.0 56.0 



(1)To supplement Green Dot’s consolidated financial statements presented in accordance with GAAP, Green Dot uses measures of operating results that are adjusted to exclude various, primarily non-cash, expenses and charges. These financial measures are not calculated or presented in accordance with GAAP and should not be considered as alternatives to or substitutes for operating revenues, operating income, net income or any other measure of financial performance calculated and presented in accordance with GAAP. These financial measures may not be comparable to similarly-titled measures of other organizations because other organizations may not calculate their measures in the same manner as Green Dot does. These financial measures are adjusted to eliminate the impact of items that Green Dot does not consider indicative of its core operating performance. You are encouraged to evaluate these adjustments and the reasons Green Dot considers them appropriate.
Green Dot believes that the non-GAAP financial measures it presents are useful to investors in evaluating Green Dot’s operating performance for the following reasons:
•adjusted EBITDA is widely used by investors to measure a company’s operating performance without regard to items, such as non-operating net interest income and expense, income tax benefit and expense, depreciation and amortization, stock-based compensation and related employer payroll taxes, changes in the fair value of contingent consideration, transaction costs, impairment charges, extraordinary severance expenses, certain legal settlement and related expenses, earnings or losses from equity method investments, changes in the fair value of loans held for sale, realized losses on available-for-sale investment securities, and other charges and income that can vary substantially from company to company depending upon their respective financing structures and accounting policies, the book values of their assets, their capital structures and the methods by which their assets were acquired;
•securities analysts use adjusted EBITDA as a supplemental measure to evaluate the overall operating performance of companies; and
•Green Dot records stock-based compensation from period to period, and recorded stock-based compensation expenses and related employer payroll taxes, net of forfeitures, of approximately $3.4 million and $8.7 million for the three months ended March 31, 2025 and 2024, respectively. By comparing Green Dot’s adjusted EBITDA, non-GAAP net income and non-GAAP diluted earnings per share in different historical periods, investors can evaluate Green Dot’s operating results without the additional variations caused by stock-based compensation expense and related employer payroll taxes, which may not be comparable from period to period due to changes in the fair market value of Green Dot’s Class A common stock (which is influenced by external factors like the volatility of the public markets and the financial performance of Green Dot’s peers) and is not a key measure of Green Dot’s operations.
Green Dot’s management uses the non-GAAP financial measures:
▪as measures of operating performance, because they exclude the impact of items not directly resulting from Green Dot’s core operations;
▪for planning purposes, including the preparation of Green Dot’s annual operating budget;
▪to allocate resources to enhance the financial performance of Green Dot’s business;
▪to evaluate the effectiveness of Green Dot’s business strategies;
▪to establish metrics for variable compensation; and
▪in communications with Green Dot’s board of directors concerning Green Dot’s financial performance.
Green Dot understands that, although adjusted EBITDA and other non-GAAP financial measures are frequently used by investors and securities analysts in their evaluations of companies, these measures have limitations as an analytical tool, and you should not consider them in isolation or as substitutes for an analysis of Green Dot’s results of operations as reported under GAAP. Some of these limitations are:
▪that these measures do not reflect Green Dot’s capital expenditures or future requirements for capital expenditures or other contractual commitments;
▪that these measures do not reflect changes in, or cash requirements for, Green Dot’s working capital needs;
▪that these measures do not reflect non-operating interest expense or interest income;
▪that these measures do not reflect cash requirements for income taxes;
▪that, although depreciation and amortization are non-cash charges, the assets being depreciated or amortized will often have to be replaced in the future, and these measures do not reflect any cash requirements for these replacements; and
▪that other companies in Green Dot’s industry may calculate these measures differently than Green Dot does, limiting their usefulness as comparative measures.


(2)Green Dot does not include any income tax impact of the associated non-GAAP adjustment to adjusted EBITDA, as the case may be, because each of these adjustments to the non-GAAP financial measure is provided before income tax expense.
(3)This expense consists primarily of expenses for restricted stock units (including performance-based restricted stock units) and related employer payroll taxes. Stock-based compensation expense is not comparable from period to period due to changes in the fair market value of Green Dot’s Class A common stock (which is influenced by external factors like the volatility of public markets and the financial performance of Green Dot’s peers) and is not a key measure of Green Dot’s operations. Green Dot excludes stock-based compensation expense from its non-GAAP financial measures primarily because it consists of non-cash expenses that Green Dot does not believe are reflective of ongoing operating results. Green Dot also believes that it is not useful to investors to understand the impact of stock-based compensation to its results of operations. Further, the related employer payroll taxes are dependent upon volatility in Green Dot's stock price, as well as the timing and size of option exercises and vesting of restricted stock units, over which Green Dot has limited to no control. This expense is included as a component of compensation and benefits expenses on Green Dot's consolidated statements of operations.
(4)Green Dot excludes certain expenses that are the result of acquisition or divestiture activities, including a sale in connection with its evaluation of strategic alternatives. These acquisition-related adjustments include items such as transaction costs, the amortization of acquired intangible assets, changes in the fair value of contingent consideration, settlements of contingencies established at time of acquisition and other acquisition related charges, such as integration charges and professional and legal fees, which result in Green Dot recording expenses or fair value adjustments in its GAAP financial statements. Green Dot may also from time to time incur gains or losses from divestitures of a business or other sale activities, as well as professional and legal fees and other direct expenses associated with such transactions. Green Dot analyzes the performance of its operations without regard to these adjustments. In determining whether any acquisition-related adjustment is appropriate, Green Dot takes into consideration, among other things, how such adjustments would or would not aid in the understanding of the performance of its operations. These items are included as a component of other general and administrative expenses on Green Dot's consolidated statements of operations, as applicable for the periods presented.
(5)Green Dot excludes certain income and expenses that are not reflective of ongoing operating results. It is difficult to estimate the amount or timing of these items in advance. Although these events are reflected in Green Dot's GAAP financial statements, Green Dot excludes them in its non-GAAP financial measures because Green Dot believes these items may limit the comparability of ongoing operations with prior and future periods. These adjustments include items such as amortization attributable to deferred financing costs, impairment charges related to long-lived assets, earnings or losses from equity method investments, legal settlements and related expenses, changes in the fair value of loans held for sale, realized losses on available-for-sale investment securities and other income and expenses, as applicable for the periods presented. In determining whether any such adjustment is appropriate, Green Dot takes into consideration, among other things, how such adjustments would or would not aid in the understanding of the performance of its operations. Each of these adjustments, except for amortization of deferred financing costs, earnings and losses from equity method investments, fair value changes on loans held for sale, and realized losses on available-for-sale investment securities, which are all included below operating income, are included within other general and administrative expenses on Green Dot's consolidated statements of operations.
(6)During the three months ended March 31, 2025, Green Dot recorded $3.0 million related to extraordinary severance expenses, which were paid out in connection with reductions in force and other extraordinary involuntary terminations of employment. Although severance expenses may arise throughout the fiscal year, Green Dot believes the nature of these extraordinary costs are not indicative of its core operating performance. This expense is included as a component of compensation and benefits expenses on Green Dot's consolidated statements of operations.
(7)Represents the tax effect for the related non-GAAP measure adjustments using Green Dot's year to date non-GAAP effective tax rate. It also excludes both the impact of excess tax benefits related to stock-based compensation and the IRC §162(m) limitation that applies to performance-based restricted stock units expense as of March 31, 2025.
(8)Represents commissions and certain processing-related costs associated with embedded finance products and services where Green Dot does not control customer acquisition. This adjustment is netted against revenues when evaluating segment performance.
(9)Represents other non-interest investment income earned by Green Dot Bank. This amount is included along with operating interest income in Green Dot's Corporate and Other segment since the yield earned on these investments are generated on a recurring basis and earned similarly to its investment securities available-for-sale.
(10)These amounts represent estimated adjustments for items such as income taxes, depreciation and amortization, employee stock-based compensation and related employer taxes, transaction costs from acquisitions or divestitures, amortization attributable to deferred financing costs, impairment charges, extraordinary severance expenses, earnings and losses from equity method investments, changes in the fair value of loans held for sale, legal settlements and related expenses, realized losses on available-for-sale investment securities and other income and expenses. Employee stock-based compensation expense includes assumptions about the future fair value of the Company’s Class A common stock (which is influenced by external factors like the volatility of public markets and the financial performance of the Company’s peers).