Financial Performance - Year-to-Date 2024 Revenue of $42.8 million, up 6% YoY[1] - Q3 2024 Operating revenues totaled $14.1 million, compared to $14.4 million in Q3 2023[4] - Q3 2024 Net loss totaled $(5.0) million, or $(0.42) per diluted share[5] - Total operating revenues for Q3 2024 were $14,077 thousand, a 12.2% increase from Q3 2023's $14,381 thousand[16] - Net loss for Q3 2024 was $4,995 thousand, compared to a net loss of $3,952 thousand in Q3 2023[16] - Core Net Loss for Q3 2024 was $(3,999) thousand, an improvement from $(4,209) thousand in Q3 2023[21] - Core EBITDA for Q3 2024 was $(2,081) thousand, compared to $(789) thousand in Q3 2023[21] - Basic and diluted earnings per common share remained consistent at $(0.42) in Q3 2024 compared to $(0.34) in Q3 2023[16] Acquisition and Equity - BM Technologies to be acquired by First Carolina Bank for $5 per share in cash, with an equity value of approximately $67 million[2] - The acquisition represents a 55% premium to the trading price per share as of October 24, 2024, and a 90% premium to the market as of August 14, 2024[3] Deposits and Account Activity - Average serviced deposits totaled $708 million, and ending serviced deposits totaled $820 million at September 30, 2024[6] - Approximately 125 thousand new account sign-ups in Q3 2024 and 290 thousand new account sign-ups in the first nine months of 2024[6] - Higher Education Organic Deposits totaled $353 million for Q3 2024 and $1,167 million for the nine months ended September 30, 2024[7] - Total Ending Deposits in Q3 2024 were $820 million, a 17% decrease from $994 million in Q3 2023[22] - Organic Deposits in Q3 2024 were $353 million, a 14% decrease from $411 million in Q3 2023[22] Revenue and Expenses - Interchange and card revenue increased to $2,990 thousand in Q3 2024, up 30.5% from $2,292 thousand in Q3 2023[16] - Servicing fees decreased to $7,557 thousand in Q3 2024 from $8,658 thousand in Q3 2023[16] - Technology, communication, and processing expenses decreased to $6,168 thousand in Q3 2024 from $7,826 thousand in Q3 2023[16] - Total operating expenses decreased to $18,166 thousand in Q3 2024 from $18,766 thousand in Q3 2023[16] - Core Operating Expenses excluding Depreciation and Amortization for Q3 2024 were $16,158 thousand, compared to $15,170 thousand in Q3 2023[19] Liquidity and Balance Sheet - Liquidity remained strong at September 30, 2024, with $11.2 million of cash and no debt[5] - Total assets decreased to $43,844 thousand in September 2024 from $51,051 thousand in September 2023[17] - Total current liabilities increased to $22,150 thousand in September 2024 from $15,953 thousand in September 2023[17] - Accumulated deficit grew to $49,894 thousand in September 2024 from $36,853 thousand in September 2023[17] Debit Card and POS Activity - Debit card spend totaled $663 million in Q3 2024 and $2.1 billion in the nine months ended September 30, 2024[6] - Total POS spend in Q3 2024 was $663 million, a 10% decrease from $737 million in Q3 2023[22] Higher Education and FAR Disbursements - Higher Education retention rate remained stable at 99% in Q3 2024[22] - FAR disbursement amount in Q3 2024 was $3.9 billion, an 8% increase from $3.6 billion in Q3 2023[22]

BM Technologies, Inc. (BMTX) came out with a quarterly loss of $0.42 per share versus the Zacks Consensus Estimate of a loss of $0.18. This compares to loss of $0.34 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -133.33%. A quarter ago, it was expected that this company would post a loss of $0.18 per share when it actually produced a loss of $0.41, delivering a surprise of -127.78%.Over the last four quarters, the company ha ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 30, 2024 OR ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission file number 001-38633 BM Technologies, Inc. (Exact name of registrant as specified in its charter) Delaware 82-3410369 (State or other juris ...

NEW YORK, Nov. 05, 2024 (GLOBE NEWSWIRE) -- Monteverde & Associates PC (the “M&A Class Action Firm”), has recovered money for shareholders and is recognized as a Top 50 Firm in the 2018-2022 ISS Securities Class Action Services Report. We are headquartered at the Empire State Building in New York City and are investigating BM Technologies, Inc. (NYSE: BMTX), relating to a proposed merger with First Carolina Bank. Under the terms of the agreement, BM Technologies stockholders will receive $5.00 per share in ...

NEW YORK, Nov. 3, 2024 /PRNewswire/ -- Monteverde & Associates PC (the "M&A Class Action Firm"), has recovered money for shareholders and is recognized as a Top 50 Firm in the 2018-2022 ISS Securities Class Action Services Report. We are headquartered at the Empire State Building in New York City and are investigating BM Technologies, Inc. (NYSE: BMTX), relating to a proposed merger with First Carolina Bank. Under the terms of the agreement, BM Technologies stockholders will receive $5.00 per share in cash ...

BM Technologies, Inc. (NYSE:BMTX) Q2 2024 Results Conference Call August 15, 2024 9:00 AM ET Company Participants Brian Prenoveau - Investor Relations Luvleen Sidhu - Co-Founder, Chairman and Chief Executive Officer Ajay Asija - Chief Financial Officer James Donahue - President and Chief Technology Officer Conference Call Participants Michael Grondahl - Northland Securities William Dezellem - Tieton Capital Operator Good morning, everyone, and welcome to the BM Technologies Second Quarter 2024 Earnings Call ...

[Executive Summary & Highlights](index=1&type=section&id=Executive%20Summary%20%26%20Highlights) [Overall Performance Overview](index=1&type=section&id=Overall%20Performance%20Overview) BM Technologies reported mixed results for **Q2** and **H1 2024**, with **H1** revenue up **10% YoY** but **Q2** revenue slightly down, focusing on digital transformation and a **Durbin exempt bank** strategy for future growth in higher education - **First Half 2024 Revenue**: **$28.7 million**, up **10% YoY**[1](index=1&type=chunk)[3](index=3&type=chunk) - **Q2 2024 Interchange and Card Revenue**: Increased **57% YoY**[1](index=1&type=chunk)[6](index=6&type=chunk) - **Strategic Focus**: Digital transformation and switching to a **Durbin exempt bank** to set the stage for growth in the higher education business[2](index=2&type=chunk) [Strategic Initiatives and Product Launches](index=1&type=section&id=Strategic%20Initiatives%20and%20Product%20Launches) BMTX completed its **NextGen** technology platform transformation, enabling faster product development, and launched a cash back rewards engine and an **AI/ML-powered Identity Verification (IDV) SaaS product** for universities, with **15 sales YTD** - **Technology Platform**: Completed a cutting-edge microservice architecture platform (**NextGen**) in **Q2 2024**, unlocking the ability to bring additional products and services to market[2](index=2&type=chunk)[10](index=10&type=chunk) - **Product Launches**: Launched a cash back rewards engine for **Vibe** customers (early July) and an innovative Software-as-a-Service (**SaaS IDV**) product for universities, leveraging **AI** and machine learning to mitigate fraud[1](index=1&type=chunk)[3](index=3&type=chunk)[8](index=8&type=chunk) - **IDV Product Sales**: **15** Identity Verification (**IDV**) product sales year-to-date[1](index=1&type=chunk)[9](index=9&type=chunk) [Financial Highlights (Q2 & H1 2024)](index=1&type=section&id=Financial%20Highlights%20%28Q2%20%26%20H1%202024%29) **Q2 2024** saw a net loss of **$(4.8) million**, including **$1.6 million** in one-time **NextGen** implementation costs, with **Core EBITDA** at a loss of **$(0.9) million** for **Q2** and a positive **$0.5 million** for **H1**, maintaining strong liquidity with **$12.5 million** cash and no debt | Metric | Q2 2024 | H1 2024 | Q2 2023 | | :----- | :------ | :------ | :------ | | Operating Revenues | $12.5M | $28.7M | $12.6M | | Net Loss | $(4.8)M | $(4.1)M | $(4.46)M | | Diluted EPS | $(0.41) | $(0.35) | $(0.39) | | Core EBITDA (Loss) | $(0.9)M | $0.5M | $(0.9)M | - One-time **Q2 2024** costs: **$1.6 million** (**$0.13 per diluted share**) related to the implementation of **NextGen** technology[4](index=4&type=chunk)[10](index=10&type=chunk) - **Liquidity** (**June 30, 2024**): **$12.5 million** of cash (over **$1 per diluted share** outstanding), **$0.4 million** of working capital, and no debt[4](index=4&type=chunk) - **Seasonality**: The second quarter is generally the weakest quarter of the year for the higher education business[4](index=4&type=chunk)[7](index=7&type=chunk) [Operating Highlights (H1 2024)](index=2&type=section&id=Operating%20Highlights%20%28H1%202024%29) The company reported **$685 million** in average serviced deposits and **$642 million** in ending serviced deposits at **June 30, 2024**, with debit card spend reaching **$1.4 billion** in **H1** and **160 thousand** new account sign-ups - Average serviced deposits totaled **$685 million** and ending serviced deposits totaled **$642 million** at **June 30, 2024**[5](index=5&type=chunk)[28](index=28&type=chunk) - Debit card spend totaled **$631 million** in **Q2 2024** and **$1.4 billion** in the six months ended **June 30, 2024**[5](index=5&type=chunk)[28](index=28&type=chunk) - New account sign-ups: Approximately **60 thousand** in **Q2 2024** and approximately **160 thousand** in the first six months of **2024**[5](index=5&type=chunk) - **Higher Education Organic Deposits**: **$366 million** for **Q2 2024** and **$814 million** for **H1 2024**[5](index=5&type=chunk)[28](index=28&type=chunk) [Financial Performance Analysis](index=2&type=section&id=Financial%20Performance%20Analysis) [Revenue Breakdown](index=2&type=section&id=Revenue%20Breakdown) Total **GAAP Operating Revenue** for **Q2 2024** was **$12.541 million**, a slight decrease of **1% YoY**, while **Interchange and card revenue** showed strong growth, up **57% YoY**, and servicing and account fees declined | Revenue Type (in thousands) | Q2 2024 | Q2 2023 | YoY Change ($) | YoY Change (%) | | :-------------------------- | :------ | :------ | :------------- | :------------- | | Interchange and card revenue | $2,284 | $1,458 | $826 | 57% | | Servicing fees | $6,874 | $7,700 | $(826) | (11)% | | Account fees | $1,805 | $1,910 | $(105) | (5)% | | University fees | $1,469 | $1,373 | $96 | 7% | | Other revenue | $109 | $200 | $(91) | (46)% | | **Total GAAP Operating Revenue** | **$12,541** | **$12,641** | **$(100)** | **(1)%** | [Operating Expenses and Profitability](index=2&type=section&id=Operating%20Expenses%20and%20Profitability) **GAAP Operating Expense** for **Q2 2024** was **$17.210 million**, a **3% decrease YoY**, with **Core EBITDA (Loss)** for **Q2 2024** at **$(881) thousand**, showing a **3% improvement YoY**, and **$1.560 million** in **NextGen** implementation costs incurred during **Q2** | Expense/Profitability Metric (in thousands) | Q2 2024 | Q2 2023 | YoY Change ($) | YoY Change (%) | | :---------------------------------------- | :------ | :------ | :------------- | :------------- | | GAAP Operating Expense | $17,210 | $17,682 | $(472) | (3)% | | Core Operating Expense (ex. Dep & Amort) | $13,422 | $13,547 | $(125) | (1)% | | Core EBITDA (Loss) | $(881) | $(906) | $25 | 3% | | Core EBITDA (Loss) Margin | (7)% | (7)% | N/A | N/A | - **NextGen** implementation costs: **$1,560 thousand** incurred in **Q2 2024**[6](index=6&type=chunk)[10](index=10&type=chunk)[20](index=20&type=chunk)[23](index=23&type=chunk)[26](index=26&type=chunk) [Business Segment Update](index=3&type=section&id=Business%20Segment%20Update) [Higher Education Vertical](index=3&type=section&id=Higher%20Education%20Vertical) The **Higher Education** segment maintained a high client retention rate of **99.3%** and signed **three new colleges** in **H1 2024**, with **Q2** disbursements totaling over **$1.9 billion**, **12%** of which went into **BankMobile Vibe** accounts, and a new rewards engine is expected to boost transaction volume despite a **4% YoY** decrease in debit card **POS** spend in **Q2** - **Client Retention**: **99.3%** of **Higher Education** institutional clients retained during **Q2 2024**[7](index=7&type=chunk)[28](index=28&type=chunk) - **New Clients**: Signed **three new colleges** and universities in **H1 2024**, providing access to approximately **16,000 additional students**[7](index=7&type=chunk) - **Disbursements**: Over **$1.9 billion** in refunds disbursed to students in **Q2 2024**, with approximately **12%** (**$234 million**) disbursed into **BankMobile Vibe** checking accounts[7](index=7&type=chunk)[28](index=28&type=chunk) | Metric | Q2 2024 | Q2 2023 | YoY Change ($) | YoY Change (%) | | :-------------------------------- | :------ | :------ | :------------- | :------------- | | Higher Education Average Serviced Deposits | $425M | $429M | $(4)M | (1)% | | Higher Education Ending Serviced Deposits | $392M | $408M | $(16)M | (4)% | | Debit Card POS Spend (Higher Education) | $472M | $490M | $(18)M | (4)% | - **New Product**: Launched a rewards engine in early July for **Vibe** customers to earn cash back on debit card purchases, expected to increase transaction and spend volume[8](index=8&type=chunk) - **IDV Product**: Signed **15** universities for the **IDV SaaS** product **YTD**, with a strong pipeline for solid sales through the remainder of the year[9](index=9&type=chunk) [Banking-as-a-Service (BaaS) Vertical](index=3&type=section&id=Banking-as-a-Service%20%28BaaS%29%20Vertical) The **BaaS** segment experienced significant declines in deposits and debit card spend, with the **BaaS** relationship set to expire in **February 2025**, and the company expects a wind-down to increase pro-forma **core EBITDA** by at least **$1 million per quarter** due to unprofitability in the current environment | Metric | Q2 2024 | Q2 2023 | YoY Change ($) | YoY Change (%) | | :-------------------------------- | :------ | :------ | :------------- | :------------- | | BaaS Average Serviced Deposits | $261M | $494M | $(233)M | (47)% | | BaaS Ending Serviced Deposits | $250M | $439M | $(189)M | (43)% | | Debit Card POS Spend (BaaS) | $158M | $168M | $(10)M | (6)% | - **Relationship Expiry**: The **BaaS** relationship expires in **February 2025**[10](index=10&type=chunk) - **Profitability**: The **BaaS** business is unprofitable for the company in the current regulatory and interest rate environment[10](index=10&type=chunk) - **Wind-down Impact**: In the event of a wind-down, pro-forma **core EBITDA** is expected to increase by at least **$1 million per quarter** on a run-rate basis[10](index=10&type=chunk) [Technology and Growth Initiatives](index=3&type=section&id=Technology%20and%20Growth%20Initiatives) [Technology Platform Transformation](index=3&type=section&id=Technology%20Platform%20Transformation) The company completed its **NextGen** technology platform, a microservice architecture, in **Q2 2024**, a significant investment enabling the launch of targeted products and services, though it resulted in higher **Q2** expenses due to running dual platforms - **NextGen Platform**: Completed the technology platform transformation to a cutting-edge microservice architecture in **Q2 2024**[2](index=2&type=chunk)[10](index=10&type=chunk) - **Capabilities**: The platform unlocks the ability to market targeted products and services to the **Vibe** customer base and bring additional products to market at an industry-leading pace[2](index=2&type=chunk)[10](index=10&type=chunk) - **Q2 Expenses**: Implementation of the new architecture resulted in higher expenses in **Q2** related to technology and professional services costs from running two separate platforms[10](index=10&type=chunk) [Growth Outlook](index=4&type=section&id=Growth%20Outlook) BMTX anticipates revenue growth and positive **Core EBITDA** in **2024**, driven by investments in the **Higher Education** vertical, the full-year effect of **Durbin-exempt interchange rates**, and stricter cost controls, with future product launches including financial, insurance, and wellness benefits, and enhanced direct deposit/external account linking - **2024 Outlook**: Anticipates revenue growth and positive **Core EBITDA** in **2024**[12](index=12&type=chunk) - **Growth Drivers**: Investments in the **Higher Education** vertical, full-year effect of **Durbin-exempt interchange rates**, and stricter cost controls implemented as part of the Company's **PEP**[12](index=12&type=chunk) - **Upcoming Products**: Next product launch targeted before year-end will provide students with financial, insurance, and wellness benefits; also enhancing direct deposit experience and external account linking[10](index=10&type=chunk) - **Commitment**: The **Higher Education** vertical is a prized asset, with necessary investments made, including **NextGen** implementation[12](index=12&type=chunk) [Corporate Information](index=4&type=section&id=Corporate%20Information) [Earnings Webcast & Contact](index=4&type=section&id=Earnings%20Webcast%20%26%20Contact) The company will host a conference call and webcast on **August 15, 2024**, to discuss **Q2 2024** results, with contact information provided for investors and media - **Webcast Date**: Thursday, **August 15, 2024**, at **9:00 am ET**[13](index=13&type=chunk) - **Access**: Via the Company's investor relations site (ir.bmtxinc.com) or direct link[13](index=13&type=chunk) - **Investor Contact**: Ajay Asija, Chief Financial Officer, **BM Technologies, Inc**. (AAsija@bmtx.com)[14](index=14&type=chunk) - **Media Inquiries**: Brigit Hennaman, Rubenstein Public Relations, Inc. (bhennaman@rubensteinpr.com)[14](index=14&type=chunk) [About BM Technologies, Inc.](index=4&type=section&id=About%20BM%20Technologies%2C%20Inc.) **BM Technologies, Inc**. (**BMTX**) is a leading digital banking platform and **Banking-as-a-Service (BaaS)** provider, focused on technology, innovation, and financial wellness, operating as a technology company providing banking services through partner banks - **Company Identity**: Among the largest digital banking platforms and **Banking-as-a-Service (BaaS)** providers in the country[1](index=1&type=chunk)[14](index=14&type=chunk) - **Mission**: To financially empower millions of Americans by providing a more affordable, transparent, and consumer-friendly banking experience[14](index=14&type=chunk) - **Business Model**: A technology company that provides banking services through its partner banks, not a bank itself[14](index=14&type=chunk) [Forward-Looking Statements](index=5&type=section&id=Forward-Looking%20Statements) [Forward-Looking Statements](index=5&type=section&id=Forward-Looking%20Statements) This section contains cautionary statements regarding forward-looking information, highlighting that actual results may differ materially due to various risks and uncertainties, including economic conditions, competition, regulatory risks, and partner performance, with the company disclaiming any obligation to update these statements unless required by law - **Nature**: Statements about future expectations, beliefs, and intentions, identified by words such as "anticipate," "believe," "expect," etc[16](index=16&type=chunk) - **Risks and Uncertainties**: Actual results may differ materially due to factors including general economic conditions, consumer adoption, technology and competition, interest rate volatility, new partnerships, regulatory risks, and the operations of partners[16](index=16&type=chunk)[17](index=17&type=chunk) - **Disclaimer**: Shareholders and investors should not place undue reliance on forward-looking statements; **BMTX** undertakes no obligation to update or revise them unless required by law[18](index=18&type=chunk) [Unaudited Financial Statements](index=6&type=section&id=Unaudited%20Financial%20Statements) [Consolidated Statements of Income (Loss)](index=6&type=section&id=Consolidated%20Statements%20of%20Income%20%28Loss%29) This table provides a detailed breakdown of operating revenues and expenses, leading to net income (loss) and earnings per share for **Q2 2024** and prior quarters, showing a net loss of **$(4.831) million** for **Q2 2024** | (amounts in thousands) | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 | Q2 2023 | | :--------------------- | :------ | :------ | :------ | :------ | :------ | | Total operating revenues | $12,541 | $16,181 | $14,859 | $14,381 | $12,641 | | Total operating expenses | $17,210 | $15,526 | $19,038 | $18,766 | $17,682 | | Income (loss) from operations | $(4,669) | $655 | $(4,179) | $(4,385) | $(5,041) | | Net income (loss) | $(4,831) | $748 | $(3,963) | $(3,952) | $(4,456) | | Diluted earnings (loss) per common share | $(0.41) | $0.06 | $(0.34) | $(0.34) | $(0.39) | [Consolidated Balance Sheets](index=7&type=section&id=Consolidated%20Balance%20Sheets) This table presents the company's assets, liabilities, and shareholders' equity as of **June 30, 2024**, and prior periods, with total assets at **$47.994 million** and total liabilities at **$21.872 million** at **June 30, 2024** | (amounts in thousands) | June 30, 2024 | March 31, 2024 | Dec 31, 2023 | Sep 30, 2023 | June 30, 2023 | | :--------------------- | :------------ | :------------- | :----------- | :----------- | :------------ | | Cash and cash equivalents | $12,457 | $14,288 | $14,288 | $11,524 | $11,524 | | Total current assets | $22,091 | $28,564 | $28,564 | $23,401 | $29,349 | | Total assets | $47,994 | $50,977 | $54,640 | $51,051 | $59,167 | | Total current liabilities | $21,653 | $22,899 | $22,899 | $15,953 | $19,833 | | Total liabilities | $21,872 | $23,668 | $23,668 | $16,811 | $21,124 | | Total shareholders' equity | $26,122 | $30,884 | $30,972 | $34,240 | $38,043 | [Non-GAAP Financial Reconciliations](index=8&type=section&id=Non-GAAP%20Financial%20Reconciliations) [Core Operating Expenses Reconciliation](index=8&type=section&id=Core%20Operating%20Expenses%20Reconciliation) **GAAP** total expenses are reconciled to **Core Operating Expenses** by adjusting for restructuring, merger and acquisition related expenses, impairment of developed software, **NextGen** implementation costs, and share-based compensation | (amounts in thousands) | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 | Q2 2023 | | :----------------------------------------------------- | :------ | :------ | :------ | :------ | :------ | | GAAP total expenses | $17,210 | $15,526 | $19,038 | $18,766 | $17,682 | | Less: restructuring, merger and acquisition related expenses | $(71) | $(79) | $56 | $0 | $(274) | | Less: NextGen implementation costs | $(1,560) | $0 | $0 | $0 | $0 | | Core Operating Expenses ex. Dep and Amort | $13,422 | $14,831 | $15,621 | $15,170 | $13,547 | [Core Net (Loss) Income Reconciliation](index=9&type=section&id=Core%20Net%20%28Loss%29%20Income%20Reconciliation) **GAAP** net income (loss) is reconciled to **Core net (loss) income** by adding back non-core items such as warrant liability adjustments, restructuring expenses, impairment, share-based compensation, and **NextGen** implementation costs | (amounts in thousands, except per share data) | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 | Q2 2023 | | :-------------------------------------------- | :------ | :------ | :------ | :------ | :------ | | GAAP net income (loss) | $(4,831) | $748 | $(3,963) | $(3,952) | $(4,456) | | Add: NextGen implementation costs | $1,560 | $0 | $0 | $0 | $0 | | Core net (loss)/income | $(2,553) | $109 | $(3,250) | $(4,209) | $(4,053) | | Core diluted (loss) earnings per common share | $(0.22) | $0.01 | $(0.28) | $(0.36) | $(0.35) | [Core EBITDA (Loss) Reconciliation](index=9&type=section&id=Core%20EBITDA%20%28Loss%29%20Reconciliation) **GAAP** net income (loss) is reconciled to **Core EBITDA (Loss)** by adjusting for non-core items, income tax, and depreciation and amortization, with **Q2 2024 Core EBITDA (Loss)** at **$(881) thousand** | (amounts in thousands) | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 | Q2 2023 | | :----------------------------------------------------- | :------ | :------ | :------ | :------ | :------ | | GAAP net income (loss) | $(4,831) | $748 | $(3,963) | $(3,952) | $(4,456) | | Add: NextGen implementation costs | $1,560 | $0 | $0 | $0 | $0 | | Add: depreciation and amortization | $1,671 | $1,226 | $2,488 | $3,420 | $3,138 | | Core (Loss) EBITDA | $(881) | $1,350 | $(762) | $(789) | $(906) | [Key Performance Metrics](index=10&type=section&id=Key%20Performance%20Metrics) [Key Performance Metrics](index=10&type=section&id=Key%20Performance%20Metrics) This section provides key operational metrics for both **Higher Education** and **BaaS** segments, including debit card **POS** spend, serviced deposits, and other **Higher Education** specific metrics | Metric ($ millions) | Q2 2024 | Q1 2024 | Q4 2023 | Q3 2023 | Q2 2023 | YoY Change ($) | YoY Change (%) | | :------------------ | :------ | :------ | :------ | :------ | :------ | :------------- | :------------- | | **Debit card POS spend** | | | | | | | | | Higher education | $472 | $636 | $545 | $567 | $490 | $(18) | (4)% | | BaaS | $158 | $172 | $168 | $171 | $168 | $(10) | (6)% | | Total POS spend | $631 | $809 | $714 | $737 | $658 | $(28) | (4)% | | **Serviced deposits (Ending)** | | | | | | | | | Higher education | $392 | $535 | $361 | $636 | $408 | $(16) | (4)% | | BaaS | $250 | $284 | $313 | $357 | $439 | $(189) | (43)% | | Total Ending Deposits | $642 | $820 | $674 | $994 | $848 | $(205) | (24)% | | **Serviced deposits (Average)** | | | | | | | | | Higher education | $425 | $537 | $479 | $466 | $429 | $(4) | (1)% | | BaaS | $261 | $290 | $326 | $387 | $494 | $(233) | (47)% | | Total Average Deposits | $685 | $828 | $805 | $853 | $922 | $(237) | (26)% | | **Higher Education Metrics** | | | | | | | | | Higher education retention | 99% | 99% | 99% | 99% | 98% | N/A | N/A | | FAR disbursement amount ($B) | $1.9 | $4.3 | $2.0 | $3.6 | $1.8 | $0.1 | 6% | | Organic deposits ($M) | $366 | $449 | $390 | $411 | $400 | $(34) | (9)% |

BM Technologies, Inc. (BMTX) came out with a quarterly loss of $0.41 per share versus the Zacks Consensus Estimate of a loss of $0.18. This compares to loss of $0.35 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of -127.78%. A quarter ago, it was expected that this company would post a loss of $0.15 per share when it actually produced earnings of $0.06, delivering a surprise of 140%. Over the last four quarters, the company ha ...

Financial Performance - For the three months ended June 30, 2024, the net loss increased to $4.8 million, compared to a net loss of $4.4 million for the same period in 2023, reflecting an increase of $0.4 million [117]. - Operating revenues for Q2 2024 decreased by $0.1 million, or 1%, totaling $12.5 million, while operating expenses decreased by $0.5 million, or 3%, totaling $17.2 million [117]. - The loss from operations for Q2 2024 was $4.7 million, which is a decrease of $0.4 million compared to the loss of $5.0 million in Q2 2023 [117]. - The company reported a loss before income tax expense of $4.8 million for Q2 2024, an increase of $0.4 million from the loss of $4.4 million in Q2 2023 [117]. - For the six months ended June 30, 2024, net loss decreased by $5.3 million to $4.1 million compared to the same period in 2023 [120]. - Basic and diluted earnings (loss) per common share improved to $(0.35) for the six months ended June 30, 2024, compared to $(0.81) in the same period of 2023 [120]. Revenue and Expenses - Operating revenues increased by $2.7 million, or 10%, to $28.7 million for the six months ended June 30, 2024 [122]. - Operating expenses decreased by $4.7 million, or 13%, to $32.7 million for the six months ended June 30, 2024, including one-time costs of $1.6 million related to NextGen implementation [126]. - Interchange and card revenue increased by $1.3 million, or 29%, to $5.7 million for the six months ended June 30, 2024 [122]. - Servicing fees increased by $1.5 million, or 11%, to $15.8 million for the six months ended June 30, 2024 [122]. - Total operating revenues decreased by $0.1 million, or 1%, to $12.5 million for the three months ended June 30, 2024, primarily due to a decrease in servicing fees [121]. Cash Flow and Liquidity - Net cash provided by operating activities increased to $1,656,000 for the six months ended June 30, 2024, compared to a net cash used of $(4,064,000) for the same period in 2023, representing a change of $5,720,000 [131]. - The increase in net cash from operating activities was primarily driven by a $5.3 million increase in net income and a $3.4 million increase from prepaid and other assets [132]. - Cash used in investing activities increased by $0.2 million to $(3,254,000) for the six months ended June 30, 2024, primarily due to increased development of internal use software [133]. - Cash used in financing activities decreased by $2.2 million to $(233,000) for the six months ended June 30, 2024, mainly due to larger tax payments related to share-based compensation awards [133]. - Cash and cash equivalents decreased to $12.5 million at June 30, 2024, from $14.3 million at December 31, 2023 [128]. - Management believes there are sufficient funds available to support ongoing business operations for at least the next 12 months, projecting liquidity of $16.7 million at August 14, 2025 [130]. Accounting and Regulatory Matters - The company is evaluating the impact of new accounting standards that will be effective for annual periods beginning after December 15, 2024 [112]. - The company's effective tax rate was 0.0% for the three months ended June 30, 2024, and (0.4)% for the six months ended June 30, 2024 [127]. - The company does not hold a bank charter and is not subject to direct banking regulation, operating instead as a service provider to partner banks [108]. Customer and Credit Risk - BMTX's primary revenue sources include interchange and card revenue, servicing fees, account fees, and university fees, driven by customer activity [106]. - At June 30, 2024, Customers Bank accounted for 0% of total accounts receivable, down from 16% at December 31, 2023 [134]. - FCB accounted for 46% of total accounts receivable at June 30, 2024, compared to 2% at December 31, 2023 [134]. - A BaaS partner accounted for 20% of total accounts receivable at June 30, 2024, down from 48% at December 31, 2023 [134]. - MasterCard accounted for 19% of total accounts receivable at June 30, 2024, slightly down from 21% at December 31, 2023 [135]. - The company has not experienced losses on cash accounts held with Customers Bank, which may exceed the FDIC coverage limit of $250,000 [135]. - Management believes that the credit risk associated with deposits at Customers Bank is not significant [135].

There are three stages to a golden cross. First, there must be a downtrend in a stock's price that eventually bottoms out. Then, the stock's shorter moving average crosses over its longer moving average, triggering a positive trend reversal. The third stage is when a stock continues the upward momentum to higher prices. The bullish case only gets stronger once investors take into account BMTX's positive eamings outlook for the current quarter. There have been 1 upwards A golden cross is a technical chart pa ...