Green Dot Corp. shares fell Friday after the prepaid debit card provider’s first quarter results missed Wall Street estimates. The company did raise its full-year outlook based on trends of higher card usage by customers.
After the markets closed Thursday, the Monrovia company reported net income of $12.7 million (29 cents per share), compared with $12.8 million (27 cents) a year earlier. Total operating revenue rose 26 percent to $117 million and operating expenses were up 41 percent to $96.8 million.
Green Dot, which went public last year, said adjusted per-share profit was 39 cents.
Analysts surveyed by Thomson Reuters on average expected adjusted per-share profit of 40 cents on revenue of more than $119 million.
The number of active cards at the end of the first quarter stood at 4.28 million. Gross dollar volume rose 62 percent to $4.6 billion, and is expected to grow more than 40 percent for the full year.
“Our results in the first quarter show that our customers continue to incorporate our products into their everyday lives and are using them more frequently,” Chief Financial Officer John Keatley said in a statement. He added that customers are increasing the amount of money they load on their cards.
The company now expects full-year adjusted operating revenue of $490 million to $505 million. That’s up from its previous forecast of $480 million to $500 million.
Shares closed down $5.20, or nearly 11 percent, to $43.16 on the New York Stock Exchange.
For reprint and licensing requests for this article, CLICK HERE.
Stories You May Also Be Interested In
- Green Dot Mixed on Expectations
- Green Dot Shares Soar on Improved Outlook
- Green Dot’s Quarter Beats Expectations
- Green Dot’s Quarter Meets Wall Street Forecasts
- Personnel Costs Lower Green Dot’s Quarter
- Green Dot Lowers Outlook, Shares Plunge
- Mixed Quarter at Green Dot Causes Shares to Decline
- Profit Up at Debit Card Company