28-DPD Rate Reaches Record Q1 Low of 1.69%, While Net Monetization Expands to 5.1%, Marking Its Highest Level in Over Four Years
Q1 Net Income Grows 101% Y/Y to $57.9 Million; Adj. EBITDA Increases 57% Y/Y to $69.3 Million
Deploys Approximately $195 Million in Share Repurchase Activity, Representing 7.0% of Shares Outstanding
Raises 2026 Revenue, Adj. EBITDA and Adj. Diluted EPS Guidance
LOS ANGELES, May 5, 2026 /PRNewswire/ -- Dave Inc. ("Dave" or the "Company") (NASDAQ:DAVE), one of the nation's leading neobanks, today reported its financial results for the first quarter ended March 31, 2026.
"We delivered another exceptional quarter to start the year, driven by record credit performance and consistent strong execution against our growth algorithm," said Jason Wilk, Founder and CEO of Dave. "Our 28-Day Past Due rate improved both sequentially and year-over-year to 1.69%, the lowest Q1 rate in company history. Despite the typical dynamics of tax refund season and elevated refunds, demand remained strong with 18% year-over-year MTM and 24% year-over-year ARPU expansion, both above our stated targets. These results are the product of years of significant investments in CashAI and the continued innovation and excellence delivered by our team."
Wilk continued, "We also began member testing of our new Pay in 4 card product in early April. We believe our underwriting advantage with CashAI differentiates us in the credit card and BNPL market and will further position us to drive the next phase of significant growth."
Quarterly Financial Highlights ($ in millions, except for per share amounts, unaudited)
1Q25
2Q25
3Q25
4Q25
1Q26
GAAP Operating Revenues, Net
$108.0
$131.7
$150.8
$163.7
$158.4
% Change vs. prior year period
47 %
64 %
63 %
62 %
47 %
Non-GAAP Gross Profit*
$83.4
$92.0
$104.2
$121.9
$114.4
% Change vs. prior year period
67 %
78 %
62 %
68 %
37 %
Non-GAAP Gross Profit Margin*
77 %
70 %
69 %
74 %
72 %
Change vs. prior year period
900 bps
500 bps
0 bps
300 bps
(500) bps
GAAP Net Income
$28.8
$9.1
$92.0
$66.0
$57.9
% Change vs. prior year period
(16 %)
42 %
19,658 %
292 %
101 %
Adjusted Net Income*
$32.5
$40.5
$64.6
$53.3
$52.3
% Change vs. prior year period
208 %
290 %
208 %
92 %
61 %
Adjusted EBITDA*
$44.2
$50.9
$58.7
$72.9
$69.3
% Change vs. prior year period
235 %
236 %
137 %
118 %
57 %
Adj. Net Income per Diluted Share*
$2.22
$2.78
$4.45
$3.69
$3.64
% Change vs. prior year period
177 %
263 %
196 %
93 %
64 %
*Non-GAAP measures. See reconciliation of non-GAAP measures at the end of the press release.
First Quarter 2026 Operating Highlights (vs. First Quarter 2025)
New members increased 22% to 695,000, at a customer acquisition cost of $18
Monthly Transacting Members ("MTMs") increased 18% to 2.99 million
ExtraCash originations increased 37% to $2.1 billion, while ExtraCash Monetization Rate Net of Losses expanded nearly 40 basis points to 5.1%
Average 28-day past due rate of 1.69% versus 1.70%
Dave Debit Card spend increased 9% to $534 million
Liquidity Summary
As of March 31, 2026, the Company had $177.8 million in cash and cash equivalents, investments, and restricted cash, compared to $123.2 million as of December 31, 2025. The $54.6 million increase was primarily driven by $82.0 million of net cash provided by operating activities and $175.7 million of net proceeds from our convertible notes offering (net of $24.3 million paid for the capped call transactions, purchasers' discounts and transaction costs), partially offset by $186.7 million of share repurchases and $8.2 million in tax payments related to the net share settlement of equity awards.
The Company maintains $113.3 million of remaining capacity under its existing share repurchase authorization and expects to continue deploying capital opportunistically, subject to market conditions.
2026 Financial Guidance ($ in millions)
Prior FY 2026
New FY 2026
GAAP Operating Revenues, Net
$690 - $710
$710 - $720
Year-Over-Year Growth
25% - 28%
28% - 30%
Adjusted EBITDA*
$290 - $305
$305 - $315
Adj. Net Income per Diluted Share*
$14.00 - $15.00
$16.25 - $16.75
*Non-GAAP measure. The Company does not provide a quantitative reconciliation of forward-looking non-GAAP financial measures because it is unable to predict without unreasonable effort the exact amount or timing of the reconciling items, including interest expense, investment income, and loss provision, among others. The variability of these items could have a significant impact on our future GAAP financial results.
Dave's CFO and COO, Kyle Beilman, commented: "Q1 was another quarter where we demonstrated the quality and consistency of our business model and the excellent execution of our team. Our Net Monetization Rate of 5.1%, its highest level in more than four years, alongside the strongest Q1 credit performance in company history underpin the quality of our earnings growth. These results reflect what we believe is durable, structurally strong member demand: customer acquisition efficiency is nearing all-time highs with payback periods at nearly 3 months, and our growing product roadmap, with Pay in 4 card member testing underway, gives us strong conviction in our ability to deliver on our growth algorithm for many years to come."
"I also want to provide context on the sequential increase in our provision for credit losses. With March 31 falling on a Tuesday, ExtraCash receivables were at their intra-week peak at quarter-end, creating an unfavorable timing dynamic that resulted in a higher reserve build on a larger outstanding portfolio. Importantly, this reflects quarter-end timing rather than a credit-quality signal, as our underlying credit performance continues to trend favorably."
"Based on Q1 outperformance and our positive outlook, we are raising full-year 2026 guidance across all three metrics. On capital allocation, we deployed $194.9 million in share repurchase activity during Q1, exceeding net proceeds from our convertible note offering. We intend to continue repurchasing shares opportunistically as a core component of our capital allocation strategy."
Conference Call
Dave management will host a conference call on Tuesday, May 5, 2026, at 5:00 p.m. Eastern time to discuss its financial results for the first quarter ended March 31, 2026, followed by a question-and-answer period. The conference call details are as follows:
Date: Tuesday, May 5, 2026Time: 5:00 p.m. Eastern timeConference Call Registration: linkWebcast: link
The conference call will also be available for replay in the Events section of the Company's website, along with the transcript, at https://investors.dave.com.
If you have any difficulty registering for or connecting to the conference call, please contact Elevate IR at [email protected].
About Dave
Dave (NASDAQ:DAVE) is a U.S. neobank pioneering innovative credit products for everyday Americans. For more information about the Company, visit: www.dave.com. For investor information and updates, visit: investors.dave.com and follow @davebanking on X.
Forward-Looking Statements
This press release includes forward-looking statements, which are subject to the "safe harbor" provisions of the U.S. Private Securities Litigation Reform Act of 1995. These statements may be identified by words such as "feels," "believes," "expects," "anticipates," "estimates," "projects," "intends," "remains," "should," "is to be," or the negative of such terms, or other comparable terminology and include, among other things, the quotations of our Chief Executive Officer and Chief Financial Officer relating to Dave's future performance and growth, statements relating to fiscal year 2026 guidance, projected financial results for future periods and other statements about future events. Such forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties, which could cause actual results to differ materially from the forward-looking statements contained herein due to many factors, including, but not limited to: the ability of Dave to compete in its highly competitive industry; the ability of Dave to keep pace with the rapid technological and AI-related developments in its industry and the larger financial services industry; the ability of Dave to manage risks associated with providing ExtraCash; the ability of Dave to retain its current customers, acquire new customers (collectively, "Members") and sell additional functionality and services to its Members; the ability of Dave to successfully launch new products and services; the ability of Dave to protect intellectual property and trade secrets; the ability of Dave to maintain the integrity of its confidential information and information systems or comply with applicable privacy and data security requirements and regulations; the reliance by Dave on two bank partners; the ability of Dave to maintain or secure current and future key banking relationships and other third-party service providers, including its ability to comply with applicable requirements of such third parties; the ability of Dave to comply with extensive and evolving laws and regulations applicable to ...
