Chime Reports Third Quarter 2026 Financial Results
Chime Financial, Inc. (CHYM) filed an SEC Form 8-K — Results of Operations and Financial Condition. Chime Reports Third Quarter 2026 Financial Results Revenue grows 32% year over year to $718 million Achieves third consecutive quarter of GAAP profitability Raises Q4 and full-year 2026 outlook SAN FRANCISCO – (BUSINESS WIRE) – Nov. 4, 2026 – Chime ® (Nasdaq: CHYM) today reported
How this was made
The 30-second read
Why it matters
The raised guidance signals stronger growth trajectory, likely attracting buying interest and supporting the stock price.
Market read
Earnings beat and raised outlook make the news material for traders focused on fintech and high‑growth tech stocks.
What to watch
Potential regulatory scrutiny of Chime's banking model could temper upside.
Revenue grows 32% year over year to $718 million; achieves third consecutive quarter of GAAP profitability; raises Q4 and full-year 2026 outlook.
Revenue grew 32% year over year to $718 million, transaction profit grew 41% to $530 million, and GAAP net income was $44 million. Chime also raised fourth-quarter and full-year 2026 revenue and adjusted EBITDA outlook.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Revenue, three months ended September 30, 2026 (in thousands)GAAP | $718.0M | – | 32% |
| Cost of revenue, three months ended September 30, 2026 (in thousands)GAAP | 71.94M | – | – |
| Gross profit, three months ended September 30, 2026 (in thousands)GAAP | $646.1M | – | – |
| Gross margin, three months ended September 30, 2026GAAP | 90 % | – | – |
| Transaction and risk losses, three months ended September 30, 2026 (in thousands)GAAP | 115.6M | – | – |
| Member support and operations, three months ended September 30, 2026 (in thousands)GAAP | 104.8M | – | – |
| Sales and marketing, three months ended September 30, 2026 (in thousands)GAAP | 168.5M | – | – |
| Technology and development, three months ended September 30, 2026 (in thousands)GAAP | 119.4M | – | – |
| General and administrative, three months ended September 30, 2026 (in thousands)GAAP | 98.70M | – | – |
| Depreciation and amortization recorded as operating expense, three months ended September 30, 2026 (in thousands)GAAP | 4.73M | – | – |
| Total operating expenses, three months ended September 30, 2026 (in thousands)GAAP | 611.7M | – | – |
| Income (loss) from operations, three months ended September 30, 2026 (in thousands)GAAP | 34.32M | – | – |
| Other income, net, three months ended September 30, 2026 (in thousands)GAAP | 9.65M | – | – |
| Net income (loss) before income taxes, three months ended September 30, 2026 (in thousands)GAAP | 43.97M | – | – |
| Provision (benefit) for income taxes, three months ended September 30, 2026 (in thousands)GAAP | 250K | – | – |
| Net income (loss), three months ended September 30, 2026 (in thousands)GAAP | $43.72M | – | – |
| Net margin, three months ended September 30, 2026GAAP | 6 % | – | up 16 percentage points year over year |
| Basic net income (loss) per share attributable to common stockholders, three months ended September 30, 2026GAAP | $ 0.11 | – | – |
| Diluted net income (loss) per share attributable to common stockholders, three months ended September 30, 2026GAAP | $ 0.11 | – | – |
| Total depreciation and amortization, three months ended September 30, 2026 (in thousands)GAAP | $7.94M | – | – |
| Stock-based compensation expense and related payroll tax, three months ended September 30, 2026 (in thousands)GAAP | $76.28M | – | – |
| Transaction profit, three months ended September 30, 2026 (in thousands)non-GAAP | $530.5M | – | 41% |
| Transaction margin, three months ended September 30, 2026non-GAAP | 74 % | – | – |
| Adjusted EBITDA, three months ended September 30, 2026 (in thousands)non-GAAP | $137.3M | – | – |
| Adjusted EBITDA margin, three months ended September 30, 2026non-GAAP | 19 % | – | up 14 percentage points year over year |
| Revenue, nine months ended September 30, 2026 (in thousands)GAAP | $2.04B | – | – |
| Gross profit, nine months ended September 30, 2026 (in thousands)GAAP | $1.82B | – | – |
| Gross margin, nine months ended September 30, 2026GAAP | 89 % | – | – |
| Total operating expenses, nine months ended September 30, 2026 (in thousands)GAAP | 1.72B | – | – |
| Income (loss) from operations, nine months ended September 30, 2026 (in thousands)GAAP | 101.8M | – | – |
| Net income (loss), nine months ended September 30, 2026 (in thousands)GAAP | $125.0M | – | – |
| Basic net income (loss) per share attributable to common stockholders, nine months ended September 30, 2026GAAP | $ 0.33 | – | – |
| Diluted net income (loss) per share attributable to common stockholders, nine months ended September 30, 2026GAAP | $ 0.31 | – | – |
| Transaction profit, nine months ended September 30, 2026 (in thousands)non-GAAP | $1.51B | – | – |
| Transaction margin, nine months ended September 30, 2026non-GAAP | 74 % | – | – |
| Adjusted EBITDA, nine months ended September 30, 2026 (in thousands)non-GAAP | $357.5M | – | – |
| Adjusted EBITDA margin, nine months ended September 30, 2026non-GAAP | 18 % | – | – |
| Active Membersother | 10.9M | approximately 500,000 quarter over quarter in Q3 | 20% |
| Average Revenue per Active Member (ARPAM)other | $270 | – | 10% |
| Purchase Volume (PV)other | $38.5B | – | 19% |
| Purchase Volume including OIT volumeother | $40B | – | 22% |
| MyPay origination volumeother | $5.3B | – | – |
| MyPay loss ratesother | around 1% | – | – |
| MyPay annualized revenueother | exceeded $500 million | – | – |
| MyPay transaction profitnon-GAAP | $80M | – | nearly double a year ago |
| Instant Loans annualized revenueother | exceeded $115 million | – | – |
| Instant Loans originatedother | $381M | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Payments revenue26% year-over-year growth when combined with Outbound Instant Transfer (OIT) revenue. | $444M | – | 22% |
| Platform-related revenueReflecting the continued scaling of MyPay and Instant Loans. | $274M | – | 52% |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
Fourth Quarter and full-year 2026 outlook
- RevenueFull year of 2026: between $2.792 and $2.802 billion, representing year-over-year revenue growth of 28%. Fourth quarter of 2026: between $757 and $767 million, representing year-over-year revenue growth between 27% and 29%.
- NoteFull year of 2026 adjusted EBITDA: between $519 and $524 million, with an adjusted EBITDA margin of approximately 19%.
- NoteFourth quarter of 2026 adjusted EBITDA: between $161 and $166 million, with an adjusted EBITDA margin between 21% and 22%.
Capital returns
- Repurchases of common stock, nine months ended September 30, 2026: (222,074) (in thousands).
What drove it
- Record 1.8 million net new Active Members over the trailing 12 months and approximately 500,000 quarter over quarter in Q3.
- Chime Prime and Chime Card helped lift credit to 29% of PV, nearly double a year ago.
- More than 20% of Active Members use Instant Loans.
- The lifetime value to member acquisition cost ratio reached nearly 10x for all Active Members.
- Chime Enterprise signed and launched The Michaels Companies, Inc. and signed the City of Charleston as its first public-sector employer partner.
- The pending acquisition of Stride Bank remains on track to close in the first half of 2027, subject to regulatory approvals and closing conditions. Chime continues to expect more than $100 million in annual net after-tax synergies.
Concerns
- Transaction and risk losses were 115,614 (in thousands) in the third quarter of 2026, versus 97,053 (in thousands) in the third quarter of 2025.
- Sales and marketing expense was 168,465 (in thousands) in the third quarter of 2026, versus 153,608 (in thousands) in the third quarter of 2025.
- General and administrative expense was 98,701 (in thousands) in the third quarter of 2026, versus 76,575 (in thousands) in the third quarter of 2025.
- The Stride Bank transaction is subject to regulatory approvals and closing conditions.
- Annualized loss rates for repeat Instant Loans borrowers were up to 50% lower than for first-time borrowers.
What to watch
- Fourth-quarter 2026 revenue guidance of between $757 and $767 million and adjusted EBITDA guidance of between $161 and $166 million.
- Further scaling of MyPay, which reported $5.3 billion of origination volume and annualized revenue exceeding $500 million.
- Instant Loans adoption, which exceeded 20% of Active Members, and the performance of loss rates.
- Execution of Chime Prime, Visa Flex, the tested line of credit for Chime Prime members, joint accounts, Chime Invest, and planned unsecured credit card and paycard launches next year.
- Progress toward closing the Stride Bank acquisition in the first half of 2027 and realization of expected annual net after-tax synergies exceeding $100 million.
Balance sheet and cash flow
- Cash and cash equivalents as of September 30, 2026: $ 636,656 (in thousands); December 31, 2025: $ 466,252 (in thousands).
- Restricted cash as of September 30, 2026: 118,866 (in thousands); December 31, 2025: 14,508 (in thousands).
- Marketable securities as of September 30, 2026: 546,319 (in thousands); December 31, 2025: 587,828 (in thousands).
- Loans held for investment, net as of September 30, 2026: 92,417 (in thousands); December 31, 2025: 71,581 (in thousands).
- Warehouse facility as of September 30, 2026: 100,000 (in thousands); December 31, 2025: —.
- Total assets as of September 30, 2026: $ 2,207,427 (in thousands); December 31, 2025: $ 1,964,605 (in thousands).
- Total liabilities as of September 30, 2026: 665,269 (in thousands); December 31, 2025: 562,899 (in thousands).
- Net cash provided by operating activities, nine months ended September 30, 2026: 421,023 (in thousands); 2025: 20,227 (in thousands).
- Cash flows used in investing activities, nine months ended September 30, 2026: (56,247) (in thousands); 2025: (344,483) (in thousands).
- Cash flows used in financing activities, nine months ended September 30, 2026: (90,014) (in thousands); 2025: 432,958 (in thousands).
- Cash, cash equivalents, and restricted cash, end of period: $ 755,522 (in thousands); 2025: $ 458,702 (in thousands).
Analysis
Chime reported $718 million of third-quarter revenue, up 32% year over year, with growth accelerating from 27% year-over-year growth in the second quarter. Payments revenue was $444 million and platform-related revenue was $274 million, with the latter growing 52% year over year as MyPay and Instant Loans scaled. Active Members reached 10.9 million, up 20% year over year, while ARPAM increased 10% to $270 and Purchase Volume rose 19% to $38.5 billion.
Profitability improved substantially. Gross profit was $646,065 thousand and gross margin was 90%, compared with 87% in the prior-year quarter. Transaction profit was $530,451 thousand, up 41% year over year, and transaction margin was 74%, compared with 69%. GAAP net income was $43,724 thousand, compared with a net loss of $54,722 thousand, and adjusted EBITDA was $137,309 thousand with a 19% margin, compared with $28,757 thousand and a 5% margin.
The company described stronger unit economics alongside expanding lending and subscription engagement. MyPay reported $5.3 billion of origination volume, annualized revenue exceeding $500 million, transaction profit of $80 million, and loss rates around 1%. Instant Loans were used by more than 20% of Active Members, generated annualized revenue exceeding $115 million, and originated $381 million. Credit reached 29% of PV, while Prime members generated more than double the ARPAM of the average Active Member.
Cash generation was also positive over the nine-month period. Net cash provided by operating activities was 421,023 thousand, compared with 20,227 thousand in the prior-year period. Cash and cash equivalents were $636,656 thousand at September 30, 2026, marketable securities were 546,319 thousand, and the company had a 100,000 thousand warehouse facility. Chime repurchased 222,074 thousand of common stock during the nine months ended September 30, 2026.
Management raised outlook for both the fourth quarter and full year. Full-year revenue is expected between $2.792 and $2.802 billion with adjusted EBITDA between $519 and $524 million. Fourth-quarter revenue is expected between $757 and $767 million, while adjusted EBITDA is expected between $161 and $166 million. The release also identifies the planned Stride Bank acquisition, expected to close in the first half of 2027 subject to approvals and conditions, as a source of expected annual net after-tax synergies exceeding $100 million.
Management, verbatim
This was our strongest quarter yet as a public company, and we are seeing structural improvements in our growth and profitability profile.
Chris Britt, CEO and Co-founder of Chime
We added a record 1.8 million net new Active Members over the past year, accelerated revenue growth to 32%, and delivered our third consecutive quarter of GAAP profitability.
Chris Britt, CEO and Co-founder of Chime
Our momentum gives us confidence to raise our outlook for the remainder of the year.
Chris Britt, CEO and Co-founder of Chime
Not in the filing
stated, not guessed- Previous-release outlook was not provided, so no comparison of reported results with prior guidance is available.
- CFO commentary was not provided.
- Quarterly operating cash flow was not provided; the filing reports nine-month operating cash flow only.
- Free cash flow was not reported.
- Dividend information was not reported.
- Quarterly prior-period values were not reported for the listed third-quarter financial statement metrics.
- Forward guidance for gross margin, operating expenses, and tax rate was not reported.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was checked against the filing text, and a metric whose value, prior period and change do not add up is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.
Background
Chime Financial, a Nasdaq‑listed fintech, filed an 8‑K reporting its Q3 2026 earnings and updated outlook.
Ticker impact
Chime reported Q3 2026 results with 32% revenue growth and raised Q4 and full-year 2026 guidance.
likely upward pressure as the market prices in the raised guidance
The earnings beat and raised outlook suggest improved fundamentals, prompting traders to consider buying on the news.
Market effects
Strong fintech earnings may boost sentiment toward digital banking and payments stocks.
Positive for U.S. technology sector, especially fintech peers.
Limited to markets tracking U.S. fintech performance.
Counterpoint
If the raised guidance is already priced in, the stock could face a short‑term pull‑back.
Key entities
- companyChime Financial, Inc.
Fintech firm providing banking and payment services.
