Chime — Third Quarter 2026 Earnings Summary

Financial Performance:

• Revenue grew 32% year over year to $718 million in Q3 2026, accelerating from 27% growth in Q2 2026.
• Payments revenue increased 22% year over year to $444 million; combined with Outbound Instant Transfer (OIT) revenue, growth was 26%.
• Platform-related revenue grew 52% year over year to $274 million, driven by MyPay and Instant Loans.
• Gross profit was $646 million, yielding a 90% gross margin.
• Transaction profit (non-GAAP) grew 41% year over year to $530 million, resulting in a 74% transaction margin.
• Net income was $44 million, marking the third consecutive quarter of GAAP profitability; net margin was 6%, an increase of 16 percentage points year over year.
• Adjusted EBITDA (non-GAAP) was $137 million, representing a 19% margin, up 14 percentage points year over year.
• Active Members reached 10.9 million, a 20% year-over-year increase, with 1.8 million net new Active Members added over the trailing 12 months and approximately 500,000 in Q3.
• Average Revenue per Active Member (ARPAM) grew 10% year over year to $270.
• Purchase Volume (PV) grew 19% year over year to $38.5 billion; including OIT volume, growth was 22% to $40 billion.
• Cash and cash equivalents were $636.7 million as of September 30, 2026, up from $466.3 million as of December 31, 2025.
• Total assets were $2.21 billion as of September 30, 2026, compared to $1.96 billion as of December 31, 2025.
• Total liabilities were $665.3 million as of September 30, 2026, compared to $562.9 million as of December 31, 2025.

Guidance and Future Outlook:

• Raised full-year 2026 revenue guidance to between $2.792 billion and $2.802 billion, representing 28% year-over-year growth.
• Raised full-year 2026 Adjusted EBITDA guidance to between $519 million and $524 million, with an expected margin of approximately 19%.
• Raised Q4 2026 revenue guidance to between $757 million and $767 million, representing 27% to 29% year-over-year growth.
• Raised Q4 2026 Adjusted EBITDA guidance to between $161 million and $166 million, with an expected margin between 21% and 22%.

Business Segments and Product Lines:

• Chime Prime members, defined as those earning $75,000 or more annually, generate more than double the ARPAM of the average Active Member.
• Prime and Chime Card usage lifted credit to 29% of Purchase Volume, nearly double the level from a year ago.
• MyPay origination volume reached a record $5.3 billion with loss rates around 1%; annualized revenue exceeded $500 million and transaction profit hit a record $80 million.
• Instant Loans are used by more than 20% of Active Members, with annualized revenue exceeding $115 million; originated $381 million with repeat borrower loss rates up to 50% lower than first-time borrowers.
• Launched Chime Invest to all members, Visa Flex, joint accounts, and began testing a new line of credit for Chime Prime members.
• Plans to launch an unsecured credit card next year and roll out a paycard to enhance the Enterprise offering.
• Chime Enterprise signed The Michaels Companies, Inc. (nearly 40,000 employees) and the City of Charleston as its first public-sector partner; expanded Workday partnership.

Market and Competitive Landscape:

• Lifetime value to member acquisition cost (LTV:CAC) ratio reached nearly 10x for all Active Members, the strongest unit economics in the company's history.
• Direct depositor growth accelerated for the third straight quarter.

Risks and Challenges:

• Forward-looking statements involve risks including ability to attract and retain Active Members, relationships with bank partners, changes in interchange and card network fees, and evolving laws and regulations.
• Risks related to the proposed transaction with Stride Bank, including regulatory approvals and closing conditions, are noted.
• Actual results may differ materially from forward-looking statements due to risks such as member satisfaction, third-party reliance, and history of net losses prior to recent profitability.

Management Commentary and Tone:

• CEO Chris Britt described Q3 2026 as the "strongest quarter yet as a public company," citing structural improvements in growth and profitability.
• Management expressed confidence in raising the outlook due to momentum in Chime Prime, the lending business, and unit economics.
• The tone indicates a focus on deepening primary account relationships and accelerating revenue growth.

Other Key Points:

• Pending acquisition of Stride Bank (via Central Service Corporation) remains on track to close in the first half of 2027, subject to regulatory approvals.
• Chime expects more than $100 million in annual net after-tax synergies from the Stride Bank acquisition.
• The acquisition is expected to enable accelerated product development, greater control over the member experience, and a deeper structural cost advantage.
• Chime repurchased $222.1 million of common stock during the nine months ended September 30, 2026.
• Chime secured a $100 million warehouse facility as of September 30, 2026.
• Conference call and investor presentation available at investors.chime.com.