ML
Moneylion INC
NYSE
8-K: MoneyLion Achieves Record Revenue and Adjusted EBITDA in 2023, Eyes First Profitable Quarter in 2024
Sentiment:
Quarterly Report
7 March 2024 7:31 AM
MoneyLion reported record full-year revenue of $423.4 million and adjusted EBITDA of $46.4 million for 2023, with management forecasting accelerating growth and a first positive GAAP EPS quarter in 2024.
Better than expected
The company's full-year revenue, gross profit, and adjusted EBITDA exceeded expectations.
Management is projecting the first positive GAAP EPS quarter in 2024, which is better than previous performance.
Summary
- MoneyLion announced its financial results for the fourth quarter and full year ended December 31, 2023.
- The company achieved record full-year revenue of $423.4 million, a 24% increase year-over-year.
- Gross profit margin for the full year was 60%, up from 57% in the previous year.
- MoneyLion reported a net loss of $45.2 million for the full year 2023, and a net loss of $4.2 million for Q4 2023.
- Adjusted EBITDA reached a record $46.4 million for the full year and $16.5 million for the fourth quarter.
- Total customers grew by 115% year-over-year to 14 million, and total products grew by 79% to 23.1 million.
- Total originations increased by 27% year-over-year to $2.3 billion for the full year.
- For the first quarter of 2024, MoneyLion expects revenue between $115 and $118 million and adjusted EBITDA between $15 and $18 million.
- Management anticipates accelerating revenue growth and the first positive GAAP EPS quarter in 2024.
Sentiment
Score: 8
Explanation: The document conveys a positive sentiment due to record revenue, adjusted EBITDA, and customer growth. The company's forward-looking statements about achieving profitability in 2024 further boost the positive outlook.
Positives
- MoneyLion achieved record revenue and adjusted EBITDA for the full year 2023.
- The company demonstrated significant growth in customer base and product adoption.
- Gross profit margins improved year-over-year, indicating increased efficiency.
- MoneyLion is projecting continued revenue growth and profitability in 2024.
- The company's ecosystem is supporting its path to profitability.
- MoneyLion's consumer product offerings have improved with a focus on guidance and community.
- The company is expanding its offerings to enterprise partners with insights, audience optimization tools and content-as-a-service.
Negatives
- MoneyLion reported a net loss of $45.2 million for the full year 2023, although this is a significant improvement from the previous year.
- The company experienced a net loss of $4.2 million in Q4 2023.
Risks
- The company's future performance is subject to various risks, including market conditions, competition, and regulatory changes.
- MoneyLion relies on third-party partners and service providers, which could pose risks if these relationships are disrupted.
- The company's ability to achieve and maintain profitability is not guaranteed.
- There are risks related to the proper functioning of MoneyLion's information technology systems and data storage, including cyberattacks.
- MoneyLion's ability to protect its intellectual property is also a risk factor.
Future Outlook
MoneyLion expects accelerating revenue growth and its first positive GAAP EPS quarter in 2024. For the first quarter of 2024, the company anticipates revenue between $115 and $118 million and adjusted EBITDA between $15 and $18 million.
Management Comments
- Dee Choubey, MoneyLion's co-founder and CEO, stated that 2023 was the company's strongest year ever.
- Choubey highlighted the company's unique consumer and enterprise ecosystem as supporting its path to profitability.
- Choubey mentioned the company's focus on expanding offerings to enterprise partners.
- Rick Correia, MoneyLion's CFO, noted that gross profit margin and Adjusted EBITDA were above the high end of guidance, while revenue was in the middle of the range.
- Correia provided financial guidance for the first quarter of 2024.
Industry Context
MoneyLion's results reflect a growing trend in the FinTech industry, with companies focusing on expanding their product offerings and achieving profitability. The company's emphasis on a consumer and enterprise ecosystem aligns with the industry's move towards integrated financial solutions.
Comparison to Industry Standards
- MoneyLion's 24% revenue growth for the full year 2023 is strong compared to some established fintech companies, but it is important to compare it to similar stage companies.
- Companies like SoFi and Upstart have also shown significant revenue growth, but their profitability metrics vary.
- MoneyLion's focus on adjusted EBITDA as a key performance indicator is common in the fintech sector, but it's important to consider GAAP profitability.
- The 115% growth in total customers is impressive, but it needs to be compared to customer acquisition costs and retention rates.
- MoneyLion's expansion into enterprise solutions is a strategy also seen in other fintech companies, such as Marqeta and Plaid.
Stakeholder Impact
- Shareholders are likely to react positively to the strong financial results and positive outlook.
- Employees may benefit from the company's growth and potential profitability.
- Customers will likely see continued improvements in product offerings and services.
- Enterprise partners may find increased value in MoneyLion's expanded platform and tools.
Next Steps
- MoneyLion will host a conference call and webcast to discuss the results.
- The company will focus on accelerating revenue growth and achieving its first positive GAAP EPS quarter in 2024.
- MoneyLion will continue to expand its product offerings and enterprise partnerships.
Key Dates
- 2023-12-31: End of the financial year and quarter for which results are reported.
- 2024-03-07: Date of the press release announcing Q4 and full year 2023 financial results.
Keywords
FinTech, Financial Technology, Revenue, Adjusted EBITDA, Gross Profit, Customer Growth, Financial Results, Profitability, Originations, GAAP EPS
ML
Moneylion INC
NYSE
Sector: TBD
Filings with Classifications
Better than expected
3 April 2025 8:41 AM
Shareholder Communication
- The offer represents a premium of up to 80% over MoneyLion's 60-day VWAP, indicating a better outcome for shareholders compared to the company's standalone prospects.
Capital raise
5 March 2025 9:43 PM
Merger Announcement
- Gen Digital intends to fund the cash portion of the merger consideration using a combination of cash on hand and proceeds from an anticipated incremental $750 million term loan B facility.
Better than expected
25 February 2025 8:31 AM
Annual Results
- The company's net income of $9.1 million in 2024 is better than the net loss of $45.2 million in 2023.
- The company's total revenue increased by 28.9% year-over-year.
- The company's customer base grew significantly to 20.4 million.
Better than expected
25 February 2025 7:40 AM
Earnings Release
- MoneyLion's net income of $9 million is better than the net loss of $45.2 million in the previous year.
- The adjusted EBITDA of $92 million is better than the $46.4 million in the previous year.
- The revenue of $546 million is better than the $423.4 million in the previous year.
Better than expected
26 December 2024 6:12 AM
Form 425 Filing
- MoneyLion's growth and profitability improvements exceeded expectations, leading to the acquisition by Gen Digital.
Capital raise
10 December 2024 1:36 PM
Merger Announcement
- The document mentions the issuance of contingent value rights by Gen Digital in connection with the proposed transaction.
- These contingent value rights may involve the issuance of shares of Gen Digital's common stock, potentially diluting existing shareholders.
Better than expected
25 November 2024 5:30 PM
Debt Refinancing Announcement
- The refinancing significantly lowers the cost of capital and extends the debt maturity, which are both positive outcomes.
Better than expected
25 November 2024 5:29 PM
Debt Refinancing Announcement
- The refinancing significantly lowers the cost of capital and extends the debt maturity, which are both positive outcomes.
Worse than expected
7 November 2024 9:31 AM
Quarterly Report
- The company reported a net loss of $2.79 million for the quarter, which is worse than the previous quarter and indicates that the company is not yet profitable.
Better than expected
7 November 2024 7:35 AM
Quarterly Report
- The company's revenue, adjusted EBITDA, and customer growth all exceeded expectations.
- MoneyLion raised its full-year guidance for both revenue and adjusted EBITDA, indicating better-than-expected performance.
- The company achieved a net income before income taxes of $0.5 million, a significant improvement from a loss in the same quarter of the previous year.
Better than expected
6 August 2024 9:26 AM
Quarterly Report
- The company's net income improved significantly from a loss to a profit.
- The company's revenue growth was strong, exceeding expectations.
- The company's adjusted EBITDA improved substantially year-over-year.
Better than expected
6 August 2024 7:35 AM
Quarterly Report
- MoneyLion's Q2 2024 results exceeded expectations with record revenue, a return to profitability, and significant growth in key metrics.
- The company also raised its full-year guidance, indicating confidence in continued strong performance.
Better than expected
16 May 2024 7:30 AM
Legal Update
- The dismissal of the lawsuit is a better outcome than expected, as it removes a legal challenge and potential financial burden for the company.
Better than expected
7 May 2024 9:12 AM
Quarterly Report
- The company reported a net income of $7.1 million compared to a net loss of $9.2 million in the same period last year.
- The company's Adjusted EBITDA improved substantially to $23.5 million compared to $7.3 million in the same quarter last year.
- The company's total revenue increased by 29.2% year-over-year.
Better than expected
7 May 2024 7:32 AM
Quarterly Report
- MoneyLion's Q1 2024 results exceeded the high end of their guidance range across all metrics.
- The company achieved record revenue, net income, and adjusted EBITDA, indicating better than expected performance.
Better than expected
29 April 2024 4:15 PM
Proxy Statement
- MoneyLion's revenue of $423 million in 2023 represents a 24% year-over-year increase, indicating better than expected growth.
- The company's customer base more than doubled, reaching approximately 14 million by the end of 2023, suggesting better than expected customer acquisition.
Better than expected
7 March 2024 7:31 AM
Quarterly Report
- The company's full-year revenue, gross profit, and adjusted EBITDA exceeded expectations.
- Management is projecting the first positive GAAP EPS quarter in 2024, which is better than previous performance.
Disclaimer: This summary was generated by artificial intelligence and its accuracy is not guaranteed. The information provided here is for general informational purposes only and does not constitute financial advice, recommendation, or endorsement of any kind. It may contain errors or omissions. You should not rely on this information to make financial decisions. Always seek the advice of a qualified financial professional before making any investment or financial decisions. Use of this information is at your own risk.