Financial Performance - Q4 revenue increased by 5% quarter-over-quarter, with FY24 net loss down 76% year-over-year[3]. - FY24 adjusted EBITDA reached $39.4 million, up 199% year-over-year[3]. - Revenue for Q4 2024 was $37,004,000, a 5.1% increase from $35,208,000 in Q4 2023[29]. - Total revenue for the year ended December 31, 2024, was $139,236,000, down 7.6% from $150,687,000 in 2023[29]. - The net loss for the year ended December 31, 2024, was $10,055 thousand, a significant improvement from a net loss of $41,456 thousand in 2023, representing a reduction of approximately 76.8%[31]. - Non-GAAP net income for FY24 was $23.5 million, compared to a net loss of $10.1 million[8]. - Adjusted EBITDA for the year ended December 31, 2024, was $39,372 thousand, compared to $13,174 thousand in 2023, indicating an increase of approximately 198.5%[32]. - The net loss margin for the year ended December 31, 2024, improved to 7% from 28% in 2023[33]. Cash Flow and Liquidity - Operating cash flow and free cash flow for FY24 were both $23.9 million, exceeding the high end of the forecast by 19%[3]. - The net cash provided by operating activities for the year ended December 31, 2024, was $23,877 thousand, a substantial increase from $1,559 thousand in 2023[31]. - Free cash flow for the year ended December 31, 2024, was $23,863 thousand, compared to $555 thousand in 2023, reflecting a notable increase[34]. - Free cash flow guidance for FY25 is estimated between $16.0 million and $20.0 million[11]. - Cash and cash equivalents rose to $48,772,000 as of December 31, 2024, compared to $47,510,000 in 2023[27]. - The cash and cash equivalents and restricted cash at the end of the period were $90,834 thousand, down from $96,658 thousand at the end of 2023[31]. Expenses and Liabilities - Operating expenses for Q4 2024 totaled $18,391,000, a decrease of 25.5% compared to $24,686,000 in Q4 2023[29]. - Research and development expenses for the year ended December 31, 2024, were $24,638,000, up from $23,368,000 in 2023[29]. - Total stock-based compensation expense for the year ended December 31, 2024, was $33,537,000, down from $41,212,000 in 2023[29]. - The company reported a total current liabilities reduction from $67,892,000 in 2023 to $38,010,000 in 2024[27]. - The company reduced its debt by $22.7 million in 2024, achieving a debt-free status[3][15]. Membership and Revenue Streams - Paid members decreased by 4% year-over-year to 687,000, but showed a slight increase from Q3 2024[15]. - Expensify Card spend grew by 44% year-over-year, with interchange revenue increasing by 54% year-over-year to $17.2 million[3][8]. - The company launched a travel product, adding new revenue opportunities[15]. Operational Efficiency - AI-driven support expanded to provide 80% of tier 1 support, significantly reducing human escalations[15]. - Gross margin for Q4 2024 was $18,856,000, slightly up from $18,700,000 in Q4 2023[29]. - The adjusted operating cash flow margin for the year ended December 31, 2024, was 17%, up from 1% in 2023[34].

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Financial Data and Key Metrics Changes - Total revenue for Q3 2024 was $35.4 million, representing a 6.3% increase quarter-over-quarter but a 3% decrease year-over-year, indicating ongoing challenges in the business [7] - Average paid members remained flat at 684,000 quarter-over-quarter, reflecting a 5% decrease compared to the same period last year [8] - Free cash flow for Q3 was $6.7 million, with operating cash flow at $3.7 million and a net loss of $2.2 million; non-GAAP net income was $5.4 million, and adjusted EBITDA was $9.7 million [9] - Free cash flow guidance for the year was increased to $19 million to $20 million, up from previous guidance of $15 million to $16 million [11] Business Line Data and Key Metrics Changes - Interchange revenue from the Expensify Card was $4.6 million, a significant 48% increase year-over-year, driven by the successful launch of the new card program [8][13] - 94% of existing card spend has been migrated to the new program, which is expected to further enhance revenue growth [14][15] Market Data and Key Metrics Changes - Paid active users in October increased to 693,000, a 1% improvement from Q3 [16] Company Strategy and Development Direction - The company is focusing on stabilizing the business and improving core fundamentals while laying a stronger foundation for future growth [6] - The new Expensify platform aims to automate the remaining 20% of expense management processes, enhancing efficiency and user experience through a chat-centric design [21][24] - Expensify Travel is in the market and generating revenue, with expectations for significant growth as it becomes a standard offering in expense management [27] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about near-term momentum and the potential for revenue growth from the new Expensify platform [7] - The company is seeing a rebound in existing customer usage expansion, which is expected to contribute positively to future growth [35] Other Important Information - The company has not implemented any workforce reductions; instead, it is focusing on operational efficiencies to improve cash flow margins [47] Q&A Session Summary Question: What is the revenue contribution from Expensify Travel today? - Management believes Expensify Travel has significant potential as it becomes a standard requirement for expense management, but specific revenue figures are not yet available [28] Question: How does the company plan to manage share buybacks going forward? - Management is opportunistic regarding share buybacks and is exploring various options for deploying cash reserves [29][30] Question: What is driving the increase in paid members? - The increase is attributed to the ramp-up of the new Expensify platform and a rebound in existing customer usage expansion [34] Question: How is the go-to-market strategy evolving? - The company continues to focus on organic channels and improving conversion rates, with positive early results from the new platform [38][40] Question: Is there any interchange revenue from travel offerings? - Management indicated that the connection between travel product usage and interchange revenue is not significant at this time [43][45] Question: Were there any cost-cutting measures that led to increased free cash flow? - The increase in free cash flow is primarily due to operational efficiencies rather than workforce reductions [47]

Financial Performance - For the quarter ended September 30, 2024, revenue was $35.4 million, a decrease of 3% from $36.5 million in the same period in 2023 [112]. - Revenue decreased by $13.2 million, or 11%, for the nine months ended September 30, 2024 compared to the same period in 2023 [120]. - Adjusted EBITDA for the three months ended September 30, 2024 was $9.676 million, compared to a loss of $3.549 million in the same period of 2023, indicating a significant improvement [133]. - The adjusted EBITDA margin improved to 27% for the three months ended September 30, 2024, compared to a margin of (10)% in the same period of 2023 [133]. - Non-GAAP net income for the three months ended September 30, 2024 was $5.432 million, a recovery from a loss of $6.736 million in the same period of 2023 [135]. - The non-GAAP net income margin was 15% for the three months ended September 30, 2024, compared to (18)% in the same period of 2023 [135]. - Net loss for the three months ended September 30, 2024, was $2.2 million, compared to a net loss of $17.0 million in the same period in 2023 [110]. Operating Expenses - Total operating expenses for the three months ended September 30, 2024, were $18.0 million, down from $33.7 million in the same period in 2023 [110]. - Research and development expenses for the three months ended September 30, 2024, were $5.6 million, down from $6.6 million in the same period in 2023 [110]. - General and administrative expenses decreased significantly to $9.1 million for the three months ended September 30, 2024, from $14.2 million in the same period in 2023 [110]. - Sales and marketing expenses for the three months ended September 30, 2024, were $3.3 million, a decrease from $12.9 million in the same period in 2023 [110]. - Research and development expenses decreased by $1.0 million, or 15%, for the three months ended September 30, 2024 compared to the same period in 2023 [115]. - General and administrative expenses decreased by $5.2 million, or 36%, for the three months ended September 30, 2024 compared to the same period in 2023 [116]. - Sales and marketing expenses decreased by $9.6 million, or 75%, for the three months ended September 30, 2024 compared to the same period in 2023 [117]. Cash Flow and Liquidity - Net cash provided by operating activities increased to $16.475 million for the nine months ended September 30, 2024, up from $2.102 million in the same period of 2023 [141]. - The company had $39.2 million in cash and cash equivalents as of September 30, 2024, with no outstanding indebtedness and $24.0 million available for additional borrowings [139]. - Net cash used in investing activities was $6.699 million for the nine months ended September 30, 2024, primarily due to software development costs [143]. - Net cash used in financing activities was $21.180 million for the nine months ended September 30, 2024, mainly for repayment of the revolving line of credit and common stock repurchases [144]. - The company believes its existing cash resources will be sufficient to finance operations and growth strategy for the next 12 months [140]. Membership and Transactions - As of September 30, 2024, Expensify has processed 1.7 billion expense transactions and has over 15 million members [93]. - The average number of paid members decreased from 719,000 in September 30, 2023 to 684,000 in September 30, 2024, representing a decline of approximately 4.9% [131]. Other Financial Metrics - Interchange revenue for the three months ended September 30, 2024, was $3.7 million, compared to $4.2 million for the nine months ended September 30, 2024 [99]. - Cost of revenue, net decreased by $0.5 million, or 3%, for the three months ended September 30, 2024 compared to the same period in 2023 [113]. - Gross margin remained consistent at 52% for both the three months ended September 30, 2024 and 2023 [114]. - Gross margin decreased to 55% for the nine months ended September 30, 2024 compared to 56% in the same period in 2023 [122]. - Other income (expenses), net decreased by $4.1 million, or 80%, for the nine months ended September 30, 2024 compared to the same period in 2023 [125]. - Provision for income taxes was $6.4 million during the nine months ended September 30, 2024 compared to $1.9 million for the same period in 2023 [127]. Compliance and Governance - As of September 30, 2024, the company was in compliance with all debt covenants [154]. - The total liquidity ratio must be maintained at not less than 1.10 to 1.00 from the quarter ending March 31, 2024, and not less than 1.20 to 1.00 from the quarter ending June 30, 2024 [152]. - The total EBITDA net leverage ratio must be maintained at not less than 2.50 to 1.00 from the quarter ended March 31, 2025 [152]. - There have been no material changes in contractual obligations and commitments as of September 30, 2024 [155]. - The company has not engaged in any off-balance sheet financing arrangements during the periods presented [157]. - There have been no material changes to critical accounting policies and estimates compared to the 2023 Annual Report [159]. - No indemnification demands have been made that could materially affect the company's financial statements [156]. - The company has entered into a Second Amendment to the 2024 Amended Loan and Security Agreement, allowing certain subsidiaries to remain excluded under specific conditions [153]. - There have been no material changes in market risk disclosures compared to the 2023 Annual Report [161]. - Recent accounting pronouncements not yet adopted are detailed in the Quarterly Report on Form 10-Q [160]. Transition and Future Outlook - The transition from the Legacy Card Program to the Updated Card Program is expected to be fully completed by December 31, 2024 [95]. - The company expects to continue investing in product and service offerings to enhance customer experience and attract new customers [104].

Financial Performance - Revenue for Q3 2024 was $35.4 million, a decrease of 3% year-over-year[8] - Total revenue for the three months ended September 30, 2024, was $35,409 thousand, a decrease of 2.97% from $36,494 thousand for the same period in 2023[28] - Non-GAAP net income for Q3 was $5.4 million[9] - Adjusted EBITDA for Q3 was $9.7 million[9] - Net loss for the three months ended September 30, 2024, was $(2,198) thousand, significantly improved from a net loss of $(17,003) thousand for the same period in 2023[28] - Net loss for the nine months ended September 30, 2024, was $8,743,000, a significant improvement from a loss of $34,252,000 in the same period of 2023[30] - Adjusted EBITDA for the three months ended September 30, 2024, was $9,676,000, compared to a loss of $3,549,000 in the same period of 2023, resulting in an adjusted EBITDA margin of 27%[31] - Non-GAAP net income for the three months ended September 30, 2024, was $5,432,000, with a non-GAAP net income margin of 15%, compared to a loss of $6,736,000 and a margin of -18% in the same period of 2023[32] Cash Flow and Liquidity - Free cash flow guidance for FY 2024 has been raised to $19.0 - $20.0 million, an increase of 27% from previous guidance[4] - Net cash provided by operating activities for the three months ended September 30, 2024, was $3,687,000, an improvement from a cash outflow of $5,106,000 in the same period of 2023[32] - Free cash flow for the three months ended September 30, 2024, was $6,679,000, compared to a negative free cash flow of $7,113,000 in the same period of 2023, resulting in a free cash flow margin of 19%[32] - Cash and cash equivalents as of September 30, 2024, were $39,172 thousand, down from $47,510 thousand as of December 31, 2023[26] - Cash and cash equivalents at the end of the period were $85,254,000, down from $134,608,000 at the end of September 30, 2023[30] - The company experienced a net decrease in cash and cash equivalents of $11,404,000 for the nine months ended September 30, 2024, compared to a decrease of $13,102,000 in the same period of 2023[30] Expenses and Cost Management - Total operating expenses for the three months ended September 30, 2024, were $17,976 thousand, down 46.73% from $33,712 thousand for the same period in 2023[28] - Research and development expenses for the three months ended September 30, 2024, were $5,618 thousand, down from $6,607 thousand for the same period in 2023[28] - Stock-based compensation expense decreased to $23,535,000 for the nine months ended September 30, 2024, from $30,612,000 in the same period of 2023[30] User Engagement and Growth - Interchange derived from the Expensify Card grew to $4.6 million, an increase of 48% compared to the same period last year[1] - Paid members decreased by 5% year-over-year to 684,000[10] - The number of users utilizing Expensify's free features exceeds 12 million, indicating strong user engagement and market presence[25] - New Expensify generated 61% more leads at Suiteworld 2024 compared to the previous year[6] - Expensify Travel began generating new revenue for the first time during Q3[7] Balance Sheet and Financial Position - Total current assets increased slightly to $138,536 thousand as of September 30, 2024, compared to $137,232 thousand as of December 31, 2023[26] - Total liabilities decreased to $56,312 thousand as of September 30, 2024, from $76,040 thousand as of December 31, 2023[27] - Stockholders' equity increased to $119,934 thousand as of September 30, 2024, compared to $100,744 thousand as of December 31, 2023[27]

From a technical perspective, Expensify, Inc. (EXFY) is looking like an interesting pick, as it just reached a key level of support. EXFY's 50-day simple moving average crossed above its 200-day simple moving average, which is known as a "golden cross" in the trading world. There's a reason traders love a golden cross -- it's a technical chart pattern that can indicate a bullish breakout is on the horizon. This kind of crossover is formed when a stock's short-term moving average breaks above a longer-term m ...

Expensify, Inc. (EXFY) appears an attractive pick given a noticeable improvement in the company's earnings outlook. The stock has been a strong performer lately, and the momentum might continue with analysts still raising their earnings estimates for the company. The upward trend in estimate revisions for this company reflects growing optimism of analysts on its earnings prospects, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earni ...

Rob Daly/OJO Images via Getty Images I still have a Buy rating for Expensify, Inc. (NASDAQ:EXFY) stock. EXFY achieved substantial EBITDA and EPS beats for Q2 2024. Looking ahead, the company raised its full-year free cash flow outlook, and guided for new revenue contributions from the Expensify Travel product and the New Expensify superapp in Q3. In a nutshell, both its results and outlook are good, which justifies a bullish view for the stock. The assessment of EXFY's key Q4 2023 financial metrics was the ...

Expensify, Inc. (EXFY) came out with quarterly earnings of $0.07 per share, in line with the Zacks Consensus Estimate. This compares to loss of $0.01 per share a year ago. These figures are adjusted for non-recurring items. A quarter ago, it was expected that this company would post earnings of $0.08 per share when it actually produced earnings of $0.05, delivering a surprise of -37.50%. Over the last four quarters, the company has surpassed consensus EPS estimates just once. Expensify, which belongs to the ...

During an interview with Brad Pitt for the upcoming F1 movie, Cramer mentioned that Expensify is a sponsor of the in-movie fictional F1 racing team. He told viewers if they were going to remember one stock from the interview, it should be Expensify. Following this rally, Cramer put out another statement concerning EXFY stock. Here's what he said, according to Seeking Alpha. There are plenty of other stock market stories traders are going to want to read about below! "Guys I am being facetious about a compan ...