Company: GDOT
Filing Date: 2025-11-10
Form Type: 10-Q
Source: 0001386278-25-000076
Chunk: 254

Company: GREEN DOT CORP
Filing Date: 2025-11-10
Form: 10-Q
Item: Part I, Item 2
Chunk 254
---
 from the comparable prior year period. The increase in net interest income was primarily the result of yields earned from an increase in cash from deposit programs with our partners and higher yielding investments from our bond repositioning strategy, and a decrease in interest shared with certain BaaS partners (a reduction of revenue).

37

Operating Expenses

The following table presents a breakdown of our operating expenses among sales and marketing, compensation and benefits, processing, and other general and administrative expenses:

 Three Months Ended September 30, 20252024Amount% of TotalOperating RevenuesAmount% of TotalOperating Revenues (In thousands, except percentages)Operating expenses:    Sales and marketing expenses$48,243 9.7 %$52,626 12.8 %Compensation and benefits expenses63,411 12.8 61,795 15.1 Processing expenses309,311 62.5 228,227 55.7 Other general and administrative expenses86,790 17.5 70,027 17.1 Restructuring and other charges19,902 4.0 — — Total operating expenses$527,657 106.5 %$412,675 100.7 %

Sales and Marketing Expenses — Sales and marketing expenses totaled $48.2 million for the three months ended September 30, 2025, a decrease of $4.4 million, or 8%, from the comparable prior year period. This decrease was driven primarily by a decrease in supply chain materials expenses, which are comprised of debit card plastics and related materials costs, from fewer active accounts, a decrease in revenue-sharing arrangements in our tax processing business and a decrease in our marketing expenses in our Consumer Services business.

Compensation and Benefits Expenses — Compensation and benefits expenses totaled $63.4 million for the three months ended September 30, 2025, an increase of $1.6 million, or 3%, from the comparable prior year period. The increase was driven primarily by an increase in accrued bonus compensation expense due to our current financial performance relative to our annual targets, partially offset by a decrease in employee stock-based compensation expense due to forfeitures of awards.

Processing Expenses — Processing expenses totaled $309.3 million for the three months ended September 30, 2025, an increase of $81.1 million, or 36%, from the comparable prior year period. This increase was principally due to growth in gross dollar volume on certain BaaS account programs