Revenue Recognition

Below is detail of operating revenues (in thousands):

 

 

 

For the Years Ended December 31,

 

 

 

2025

 

 

2024

 

 

2023

 

Service based revenue, net

 

 

 

 

 

 

 

 

 

     Processing and overdraft service fees, net

 

$

466,841

 

 

$

218,802

 

 

$

152,490

 

     Tips

 

 

7,496

 

 

 

67,563

 

 

 

56,945

 

     Subscriptions

 

 

37,224

 

 

 

24,599

 

 

 

21,483

 

     Other

 

 

349

 

 

 

462

 

 

 

1,323

 

Transaction based revenue, net

 

 

 

 

 

 

 

 

 

     Interchange revenue, net

 

 

24,364

 

 

 

19,990

 

 

 

17,004

 

     ATM revenue, net

 

 

2,253

 

 

 

3,087

 

 

 

2,605

 

     Other

 

 

15,655

 

 

 

12,573

 

 

 

7,243

 

Total operating revenues, net

 

$

554,182

 

 

$

347,076

 

 

$

259,093

 

 

 

 

 

 

 

 

 

 

 

 

Service Based Revenue, Net:

Service based revenue, net primarily consists of optional tips, optional processing fees, and subscriptions charged to Members, net of processor costs associated with ExtraCash originations. The Company operates concurrent receivable programs where receivables originated and held under legacy arrangements are accounted for as financial receivables in accordance with ASC 310, Receivables. Receivables originated and subsequently purchased under partner arrangements meet the criteria of sales accounting in accordance with ASC 860, Transfers and Servicing, and are accounted for as purchases of financial assets. These receivables are purchased at par value, which approximates the fair value, within one business day since the initial origination of the loans to Members. Processing and overdraft service fees, net and tips are recognized under the effective interest method for both arrangements.

Historical Timeline

Fiscal YearFiled
2025Mar 2, 2026Showing above
2024Mar 4, 2025
2023Mar 5, 2024
2022Mar 13, 2023

About Revenue Disclosures

Revenue disclosures under ASC 606 explain how a company identifies performance obligations, allocates transaction prices, and determines when revenue is recognized. This section is essential for understanding whether reported revenue reflects genuine economic activity or aggressive accounting choices. Analysts examine the mix of point-in-time versus over-time recognition, which directly affects revenue timing and comparability.

Key signals: rising contract liabilities (deferred revenue) suggest strong future revenue visibility, while declining contract assets may indicate slowing project milestones. Watch for variable consideration estimates — rebates, returns, and performance bonuses that require management judgment. Significant changes in disaggregated revenue by geography or product line can reveal shifting business mix before it appears in headline numbers. Compare revenue growth against contract liability growth to assess sustainability, and scrutinize any changes in the timing of recognition that coincide with earnings pressure.