Green Dot Raises 2025 EPS Guidance to $1.28-$1.42, Strengthens Embedded Finance Partnerships.

Green Dot has raised its 2025 EPS guidance to $1.28-$1.42, driven by strong Q2 results. Adjusted revenue was up 24% and adjusted EBITDA was up 34%, both ahead of plan. Interim CEO William I. Jacobs attributed the success to continued outperformance and the strengthening of embedded finance partnerships.

Green Dot Corporation (NYSE: GDOT) has raised its 2025 EPS guidance to a range of $1.28 to $1.42, driven by a robust second-quarter performance. The company reported adjusted earnings per share (EPS) of $0.40, surpassing analyst estimates by $0.10 [2]. Revenue reached $501.16 million, up 24% year-over-year (YoY) from $402.56 million, significantly exceeding the consensus estimate of $460.86 million [2]. The company also reported an adjusted EBITDA increase of 34% to $45.43 million, up from $34 million in the same quarter last year [2].

The interim CEO, William I. Jacobs, attributed the success to continued outperformance and the strengthening of embedded finance partnerships. "It was another solid quarter as we built on the momentum of the last several quarters, launched a new partnership with Samsung (KS:005930) and announced an exciting new partnership with Credit Sesame," Jacobs stated [2].

Green Dot's full-year non-GAAP EPS guidance was raised to between $1.28 and $1.42, up from its previous range of $1.14 to $1.28. The company maintained its revenue forecast of $2.0 billion to $2.1 billion [1]. The B2B Services segment showed particularly strong growth, with revenue increasing 38% to $348.65 million from $252.06 million in the year-ago quarter [2].

Following the earnings release, Green Dot's stock rose by 3.01% in aftermarket trading, closing at $9.80. The stock's movement is notable given its position within its 52-week range of $6.12 to $13.58 [3].

Green Dot's strategic partnerships and product innovations are driving growth. The company is focusing on investments in compliance and risk management as critical to its strategy. The staffing industry continues to face challenges, potentially affecting customer acquisition, while transaction volume softness in money processing could impact revenue. Macroeconomic pressures and regulatory changes may also pose challenges [3].

References:
[1] https://seekingalpha.com/news/4483427-green-dot-non-gaap-eps-of-0_40-beats-by-0_22-revenue-of-504_18m-beats-by-13_61m
[2] https://www.investing.com/news/earnings/green-dot-stock-soars-21-following-q2-beat-and-raise-93CH-4183776
[3] https://in.investing.com/news/transcripts/earnings-call-transcript-green-dot-q2-2025-earnings-exceed-expectations-stock-rises-93CH-4957089