Q: Can you provide details on the economics of the new MoneyCard deal with Walmart compared to previous terms? A: Outside of the TailFin capital, there are no changes to the economics of the MoneyCard program. We are focused on improving programs within Walmart and leveraging TailFin funding to enhance customer experience and innovate. We are excited about the opportunity to continue innovating and improving the programs at Walmart. – Chris Ruppel, Interim President, Chief Revenue Officer; Jess Unruh, Chief Financial Officer
Q: Could you review your different divisions in terms of synergies or connections with other divisions, and how would this affect potential divestments? A: Over the last couple of years, we’ve tried to bring our tech into focus. Some divisions, like the Tax business, are more autonomous. We are always looking at ways to deliver value to shareholders, and if divesting a division makes sense, we would consider it. This is part of our strategic review to ensure the market values our assets appropriately. – William Jacobs, Chairman of the Board, Interim Chief Executive Officer
Q: What are your thoughts on the growth potential for consumer active accounts, and what are the building blocks for a return to positive growth? A: The decline in consumer active accounts is moderating, with PLS contributing significantly to this trend. We are focused on expanding capabilities and offerings, particularly with Walmart. While we don’t anticipate a return to active growth in 2025, our business development efforts and partner collaborations could help. – Jess Unruh, Chief Financial Officer; Chris Ruppel, Interim President, Chief Revenue Officer
Q: What macroeconomic conditions are factored into your annual guidance? A: Our guidance is based on the current macro environment. Any changes in the macro environment would prompt us to reassess our numbers. The guidance reflects our view of the environment as it stands today. – William Jacobs, Chairman of the Board, Interim Chief Executive Officer
Q: How has the operating environment for embedded finance and Banking-as-a-Service changed compared to a few years ago? A: The market has matured significantly, with a growing awareness of the disconnect between technology platforms and issuing banks. Partners now have a clearer strategy for embedded finance, and there’s increasing demand. The market is still growing, and partners are investing more in improving their customer relationships. – Chris Ruppel, Interim President, Chief Revenue Officer
Q: What are you seeing in terms of the competitive environment within embedded finance? A: The market is competitive, but there’s a preference for established, at-scale partners with expertise beyond just tech investments. Our vertical integration and comprehensive capabilities help us differentiate in the market. The demand for embedded finance continues to grow, and we are well-positioned to capitalize on this trend. – Chris Ruppel, Interim President, Chief Revenue Officer
For the complete transcript of the earnings call, please refer to the full earnings call transcript.