Expensify (NASDAQ:EXFY) Posts Quarterly Earnings Results, Beats Expectations By $0.01 EPS

Key Points

• Expensify reported EPS of $0.03, beating the $0.02 consensus estimate, but quarterly revenue of $33.02 million fell short of analysts’ $33.87 million forecast.
• Free cash flow increased 170% year over year to $3.3 million, and the company raised its 2026 free-cash-flow guidance to $13.5 million–$15.5 million.
• Revenue from new-platform customers with no history on Expensify Classic exceeded $13 million in ARR, up 212% year over year, though management said the platform’s ability to offset Classic’s decline remains uncertain.

Expensify (NASDAQ:EXFY - Get Free Report) issued its earnings results on Thursday. The company reported $0.03 earnings per share for the quarter, beating the consensus estimate of $0.02 by $0.01, reports. Expensify had a negative net margin of 12.23% and a negative return on equity of 12.30%. The business had revenue of $33.02 million for the quarter, compared to analyst estimates of $33.87 million.

Here are the key takeaways from Expensify's conference call:

• Q3 revenue was $33 million, with 630,000 average paid members, as management acknowledged continued top-line pressure from the declining Classic customer base.
• Free cash flow rose 170% year over year to $3.3 million, and Expensify raised its 2026 free-cash-flow guidance to $13.5 million–$15.5 million. The company also reported $6.1 million in adjusted EBITDA.
• New Expensify revenue from customers who have never used Classic topped $13 million in ARR, up 30% from Q2 and 212% year over year. Management said the new platform could offset Classic’s decline next year if current trends hold, though the timing remains uncertain.
• Expensify Travel bookings increased 40% year over year to a record quarter, while Card interchange revenue rose 8% to $5.8 million. Executives said travel is helping reduce churn and is making Expensify more competitive for customers seeking combined travel-and-expense tools.
• Expensify expanded its AI integrations, including its inclusion in Anthropic’s Claude for Small Business bundle, and said its agent handles more than 96% of user requests. Management described the partnership as promising but said its eventual effect on customer acquisition and retention is not yet clear.

Expensify Trading Down 8.1%

Shares of Expensify stock traded down $0.18 during mid-day trading on Friday, reaching $2.05. 534,224 shares of the stock were exchanged, compared to its average volume of 390,136. The company has a market cap of $161.83 million, a price-to-earnings ratio of -11.39 and a beta of 1.72. The firm has a 50-day simple moving average of $2.36 and a 200 day simple moving average of $1.63. Expensify has a fifty-two week low of $0.69 and a fifty-two week high of $2.81.

Analyst Upgrades and Downgrades

A number of research analysts have commented on the stock. Weiss Ratings restated a "sell (d-)" rating on shares of Expensify in a research note on Monday, September 28th. Citigroup upgraded Expensify from a "market outperform" rating to an "outperform" rating in a research note on Friday, August 7th. Citizens Jmp upgraded Expensify from a "market perform" rating to an "outperform" rating and set a $3.00 price objective on the stock in a research note on Friday, August 7th. Finally, Wall Street Zen raised Expensify from a "hold" rating to a "buy" rating in a report on Saturday, August 15th. Two equities research analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Hold" and an average price target of $3.00.

Expensify Company Profile

Expensify, Inc develops cloud-based software for expense management and business payments. Its platform is designed to help individuals and organizations capture receipts, create and submit expense reports, manage reimbursements, and automate accounting-related workflows.

The company's products and services include receipt scanning, expense tracking, corporate cards, bill payment, invoicing, travel-related expense management, and integrations with accounting and enterprise software. Expensify serves businesses of various sizes, as well as self-employed professionals and individuals who need tools for managing work-related spending.

Expensify was founded in 2008 and is headquartered in San Francisco, California.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.