Slide 1: Q3 2023 Results
Q3 2023 Results Nove mbe r 9th, 20 23 1 Gre 1 Gre e n Dot e n Dot Corporation Corporation – Confide – Confide ntialntial
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements, which are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements include, among other things, statements regarding Green Dot’s 2023 guidance, Green Dot’s ability to r
Slide 3: Key Q3 2023 Highlights and Themes
Key Q3 2023 Highlights and Themes 3Q23 Results Platform Conversions Completed; Solid Momentum in GO2bank, Reallocating Resources to Drive Results impacted by technology Focus on Efficiency Sequential Improvement in B2B Growth conversions, investments in BSA/AML, Platform conversions completed, GO2ba
Slide 4: Q3 2023 Results
Q3 2023 Results Non-GAAP Revenue1 Adjusted EBITDA1 Non-GAAP Revenue1 increased 3% • Consumer Services down 13% • B2B Services up 26% • Money Movement down 15% Adjusted EBITDA1 down 48% • Adjusted EBITDA Margin of ~6.8%, down ~668 bps as the company works through the de-conversion of BaaS partners, t
Slide 5: Q3 2023 Key Metrics
Q3 2023 Key Metrics Actives 1 Gross Dollar Volume Actives 1 declined 15% • Consumer Services actives were down 14%, the slowest rate of decline in over a year. The retail channel continues to face secular headwinds while the direct channel continues to focus on growth of GO2bank while legacy brands
Slide 6: Consumer Services
Consumer Services Segment Revenue declined 13% • Declines were driven largely by secular headwinds in retail, the de-conversion of a retail program and sunsetting products in the direct channel Segment Revenue Segment Profit • Revenue in the direct channel declined ~20% due to a full quarter impact
Slide 7: B2B Services
B2B Services Segment Revenue Segment Profit Segment Revenue increased 26% • Strong growth from a key BaaS partner and benefits from initial launch of new partners remains partially offset by previously announced partner de-conversions • Rapid! PayCardsaw solid growth in GDV and sequential improvemen
Slide 8: Money Movement Services
Money Movement Services Segment Revenue Segment Profit Segment Revenue decreased 15% • Tax was down from last year but is essentially flat YTD while the Green Dot Network (GDN) continues to see moderating rates of decline versus last year. The moderation in growth in GDN revenue is attributable to t
Slide 9: Updated 2023 Guidance
Updated 2023 Guidance Low High Non-GAAP Operating Revenue 1 $1,465.0 $1,480.0 Adjusted EBITDA1 $170.0 $175.0 Non-GAAP diluted EPS1 $1.62 $1.69 in millions, e xce pt for Non-GAAP EPS 1 Ple ase se e an appe ndix at the e nd of the pre se ntation for a re conciliation of GAAP to Non-GAAP Me asure s 2 E
Slide 10: Appendix: Reportable Segments
Appendix: Reportable Segments Green Dot's segment reporting is based on how its Chief Operating Decision Maker (“CODM”) manages its businesses, includingesourcer allocation and performance assessment. Its CODM (who is the Chief Executive Officer) organizes and manages the business primarily on the b
Slide 11: Reportable Segments
Appendix: Reportable Segments 11 Gre e n Dot Corporation – Confide ntial
Slide 12: About Non-GAAP Financial Measures
Appendix: Non-GAAP Financial Measures About Non -GAAP Financial Measures To supplement Green Dot's consolidated financial statements presented in accordance with accounting principles generally accepted in the United States of America ("GAAP"), Green Dot uses measures of operating results that are a
Slide 13: Appendix: Non-GAAP Financial Measures
Appendix: Non-GAAP Financial Measures 13 Gre e n Dot Corporation – Confide ntial
Slide 14: Appendix: Non-GAAP Financial Measures
Appendix: Non-GAAP Financial Measures 14 Gre e n Dot Corporation – Confide ntial
Slide 15: Appendix: Non-GAAP Financial Measures
Appendix: Non-GAAP Financial Measures 15 Gre e n Dot Corporation – Confide ntial
Slide 16: Appendix: Non-GAAP Financial Measures
Appendix: Non-GAAP Financial Measures 16 Gre e n Dot Corporation – Confide ntial
Slide 17: Appendix: Non-GAAP Financial Measures
Appendix: Non-GAAP Financial Measures 1) To supplement Green Dot’s consolidated financial statements presented in accordance with GAAP, Green Dot uses measures of ope rating results that are adjusted to exclude various, primarily non-cash, expenses and charges. These financial measures are not calcu
Slide 18: Appendix: Non-GAAP Financial Measures
Appendix: Non-GAAP Financial Measures Green Dot understands that, although adjusted EBITDA and other non-GAAP financial measures are frequently used by investors andsecurities analysts in their evaluations of companies, these measures have limitations as an analytical tool, and you should not consid
Slide 19: Appendix: Non-GAAP Financial Measures
Appendix: Non-GAAP Financial Measures 5) Green Dot excludes certain income and expenses that are not reflective of ongoing operating results. It is difficult to estimate the amount or timing of these items in advance. Although these events are reflected in Green Dot's GAAP financial statements, Gree