Green Dot revenue jumps 21% in third quarter to $601.086 million

Key Facts

Green Dot said on November 9 that operating revenues were $601.086 million in the quarter ended September 30, 2026, up 21% from the same period last year. Revenue growth came as diluted non-GAAP EPS fell to $0.05 from $0.06, a decline of 17%. By contrast, the GAAP loss per share narrowed to $0.13 from $0.56 a year earlier. The results showed revenue expansion and an improvement in the accounting net loss, alongside a decline in the adjusted profitability measure. Chief Financial Officer Jess Unruh said results were "slightly above our expectations," citing moderately better performance across several divisions and cost control.

The GAAP net loss was about $7.392 million for the quarter, compared with a loss of $30.791 million in the third quarter of 2025. Non-GAAP net income fell to $3.098 million from $3.515 million, a decline of 12%. Adjusted EBITDA rose 9% to $25.759 million from $23.571 million, but its margin fell to 4.3% from 4.8%. The contrast highlights growth in adjusted operating earnings in dollar terms alongside a contraction in their margin, as adjusted net income and adjusted EPS declined. In the first nine months of 2026, operating revenues rose 19% to $1.853 billion from $1.558 billion, while GAAP net income was $44.274 million, following a loss of $52.043 million a year earlier.

At the business level, total transaction volume rose in the quarter to $47.183 billion from $39.505 billion a year earlier, while active accounts fell to 3.38 million from 3.51 million. Business-to-business (B2B) activity was stronger than the total: transaction volume rose to $43.674 billion from $35.868 billion, and active accounts increased to 2.00 million from 1.89 million. In consumer services, active accounts fell to 1.38 million from 1.62 million, and transaction volume declined to $3.509 billion from $3.637 billion. The company said B2B segment earnings grew year over year as demand and activity in banking-as-a-service (BaaS) increased. It added that a large partnership drove BaaS revenue growth, while the rest of the portfolio also grew and margins improved slightly outside that partnership.

The company attributed the improvement in adjusted EBITDA to factors including tax processing, BaaS growth and better returns on balance-sheet management; the measure rose 9% in the quarter and 6% year to date. Tax business revenue also increased about 17% year to date, driven by market share gains and the launch of a new franchise partner. However, adjusted EBITDA margin for the first nine months was 9.2%, versus 10.3% in the same period, down 1.1 percentage points despite 6% growth in adjusted EBITDA in dollar terms. The parent company held about $38 million in cash on September 30. These indicators point to differing performance across the company’s units, with B2B volumes expanding, consumer activity declining and EBITDA margins lower over the nine-month period.

The results come amid acquisition agreements Green Dot announced on November 24, 2025, under which affiliates of Smith Ventures would acquire the non-bank fintech assets and businesses, with the business to continue as an independent entity after the proposed deal closes. The company said in its release that it would not hold an earnings call or provide 2026 financial guidance in this release. It said the transaction is expected to close by the first quarter of 2027, subject to regulatory approvals and customary closing conditions. GDOT shares closed at $12.24 on November 6, before the results were announced. The company will provide further details on its quarterly results at a call scheduled for November 12 at 4:00 p.m. Eastern Time.