On March 3, 2025, Dave Inc (DAVE, Financial), a leading U.S. neobank, announced its financial results for the fourth quarter and full year ending December 31, 2024. The company reported a record Q4 revenue of $100.9 million, marking a 38% year-over-year increase, and a full-year revenue of $347.1 million, up 34% from the previous year. Dave Inc also achieved a Q4 net income of $16.8 million, a significant increase from the previous year, and an adjusted EBITDA of $33.4 million, exceeding the high-end of guidance. The company has set a strong revenue and adjusted EBITDA outlook for 2025, driven by increased member growth and strategic initiatives.
Positive Highlights
- Q4 revenue increased by 38% year-over-year to $100.9 million.
- Full-year 2024 revenue rose by 34% to $347.1 million.
- Q4 net income surged to $16.8 million, a $16.6 million increase from the previous year.
- Adjusted EBITDA for Q4 increased by 234% year-over-year to $33.4 million.
- ExtraCash originations grew by 44% year-over-year.
- Strong liquidity with $91.9 million in cash and equivalents as of December 31, 2024.
Negative Highlights
- Provision for credit losses increased to $16.6 million in Q4.
- Investments decreased from $113.2 million in 2023 to $40.5 million in 2024.
Financial Analyst Perspective
Dave Inc's impressive financial performance in Q4 and FY24 highlights its robust growth trajectory and effective cost management. The significant increase in net income and adjusted EBITDA indicates strong operational leverage and profitability. The company's strategic focus on expanding its member base and enhancing its product offerings, such as ExtraCash, has contributed to its financial success. The transition to a new fee structure is expected to further enhance monetization and member lifetime value, positioning Dave Inc for continued growth in 2025.
Market Research Analyst Perspective
Dave Inc's record financial results underscore its position as a leading player in the neobank sector. The company's ability to attract new members and increase transaction volumes reflects its competitive edge in providing cost-effective banking solutions. The partnership with Coastal Community Bank to enhance its banking products further strengthens its market position. As the demand for digital banking services continues to rise, Dave Inc is well-positioned to capitalize on this trend and drive long-term value for its stakeholders.
Frequently Asked Questions
Q: What was Dave Inc's Q4 2024 revenue?
A: Dave Inc reported a Q4 2024 revenue of $100.9 million.
Q: How much did Dave Inc's net income increase in Q4 2024?
A: Dave Inc's net income increased by $16.6 million year-over-year to $16.8 million in Q4 2024.
Q: What is Dave Inc's financial outlook for 2025?
A: Dave Inc expects FY 2025 GAAP operating revenues to be between $415 million and $435 million, with adjusted EBITDA projected to grow by 27% to 39% year-over-year.
Read the original press release here.
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