Overview

* Green Dot Q2 2025 revenue rises 24% yr/yr, adjusted EPS beats estimates

* Adjusted EBITDA for Q2 beats analyst expectations, driven by cost management

* Co raises full-year guidance, citing BaaS momentum and balance sheet improvement

Outlook

* Green Dot ( GDOT ) expects 2025 revenue guidance $2.0 bln-$2.1 bln

* Company expects full-year adjusted EBITDA of $160 mln-$170 mln

* Green Dot ( GDOT ) increases 2025 non-GAAP EPS forecast to $1.28-$1.42

* Company cites BaaS momentum for improved 2025 outlook

Result Drivers

* BAAS MOMENTUM - Increasing demand for Banking as a Service (BaaS) with new partnerships, including Samsung and Credit Sesame, driving revenue growth

* BALANCE SHEET OPTIMIZATION - Improved balance sheet performance contributing to financial results

* COST MANAGEMENT - Disciplined cost management cited as a factor in achieving higher adjusted EBITDA

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 $504.18

Operatin mln

g

Revenue

Q2 Beat $0.4 $0.18 (3

Adjusted Analysts

EPS )

Q2 Beat $22.24 $9.82

Adjusted mln mln (3

Net Analysts

Income )

Q2 Net -$47.02

Income mln

Q2 Beat $45.42 $27.50

Adjusted mln mln (3

EBITDA Analysts

)

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the consumer lending peer group is "buy"

* Wall Street's median 12-month price target for Green Dot Corp ( GDOT ) is $14.00, about 31.1% above its August 8 closing price of $9.64

* The stock recently traded at 7 times the next 12-month earnings vs. a P/E of 7 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)