Expensify Reports $33 Million in Revenue and $3.3 Million in Free Cash Flow
Key Facts
Expensify reported net revenue of $33.0 million in the third quarter of 2026, down 6% from the same period a year earlier, according to results for the quarter ended September 30. By contrast, the company generated $3.3 million in free cash flow, up 170% year over year, while cash flow from operations was $4.0 million, an increase of 510%. The figures put improved cash generation alongside continued revenue pressure, presenting a mixed picture of the company’s quarterly results. Expensify also reported a net loss of $3.3 million, compared with a loss of $2.3 million in the third quarter of 2025. It also reported net income of $3.1 million on a non-GAAP basis and adjusted earnings before interest, taxes, depreciation and amortization of $6.1 million.
Chief Executive David Barrett said Expensify Classic is a “steady cash flow engine,” with a customer base that naturally declines over time, while describing New Expensify as the company’s “growth engine.” Recurring annual revenue from customers who signed up for New Expensify and did not use the Classic version exceeded $13 million in the third quarter. That revenue grew 212% from a year earlier and 30% from the second quarter of 2026. The increase gives the new product greater weight in the company’s performance as overall revenue continues to decline year over year. On the results call, management said revenue pressure was continuing and that its focus was on business fundamentals and a return to sustainable growth.
Revenue from interchange fees tied to the Expensify Card was about $5.8 million in the third quarter, up 8% from the same period last year. Trips booked through Expensify Travel also increased 40% year over year and 13% from the second quarter, reaching a quarterly record. The company said it launched the card in 13 European markets, including the United Kingdom, and noted that it issues the card in the United Kingdom and 12 European Union countries for bank accounts in pounds sterling and euros. Card and travel results highlight growth in specific activities alongside a decline in overall revenue. The company repurchased 722,121 Class A shares during the quarter for about $1.3 million.
Paid members totaled 636,000 in October 2026, Chief Financial Officer Ryan Schaffer said on the results call. Schaffer said October is typically stronger than the third quarter and described the figure as expected. The number follows a quarter in which the company reported a decline in annual revenue, as Expensify continues to pursue a return to sustainable growth. The company estimated free cash flow for the fiscal year ending December 31, 2026, at between $13.5 million and $15.5 million. It said the estimate is not a guarantee of future performance, and also announced a referral agreement with Visa that allows Visa to refer eligible customers and corporate card programs to Expensify for expense management.
The results included the company’s announcement that thousands of customers had adopted the beta version of its custom agent, which it said could handle more than 96% of real-world requests received during the sample period from October 26 to November 1, 2026. The announcement adds a new dimension to its product development strategy, alongside growth in New Expensify and its card and travel businesses. EXFY shares closed at $2.23 on November 5, 2026, according to EL7 data. The share move follows results combining strong growth in cash flows with declining revenue and a quarterly net loss. The company’s cash flow estimates remain tied to the fiscal year ending December 31, 2026, and it cautioned that they are not a guarantee of performance.