EXFY

Image source: The Motley Fool. Thursday, Aug. 6, 2026 at 5 p.m. ET Investor Relations - Niki Wallroth Chief Financial Officer - Ryan Schaffer Founder and CEO - David Barrett Niki Wallroth: Hello, and thank you for joining us for Expensify's Q2 2026 Earnings Call. My name is Niki, and I'm going to start off with the legal disclosure, and then I'll hand things off to Ryan Schaffer, our CFO; and David Barrett, our Founder and CEO. Please note that all the information presented on today's call is unaudited. And during the course of this call, management may make forward-looking statements within the meaning of the federal securities laws. These statements are based on management's current expectations and beliefs and involve risks and uncertainties that could cause actual results to differ materially from those described in these forward-looking statements. Forward-looking statements in the earnings release that we issued today, along with comments on this call, are made only as of today and will not be updated as actual events unfold. Please refer to today's press release and our filings with the SEC for a detailed discussion of the risks that could cause actual results to differ materially from those expressed or implied in any forward-looking statements made today. Please also note that on today's call, management will refer to certain non-GAAP financial measures. While we believe these non-GAAP financial measures provide useful information for investors, the presentation of this information is not intended to be considered in isolation or as a substitute for the financial information presented in accordance with GAAP. Please refer to today's press release or the investor presentation for a reconciliation of these non-GAAP financial measures to their most comparable GAAP measures. And with that, I'll hand it over to Ryan Schaffer, our CFO. Ryan Schaffer: Thanks, Niki, and thanks, everyone, for joining today's call. Let's start with the Q2 financials. Revenue for the quarter was $33.9 million. Average paid members were 640,000. Expensify Card interchange revenue across both Classic and New Expensify was $5.9 million, up 12% year-over-year. While we continue to see some pressure on the top line, our focus remains firmly on the financials of the business and on executing the work required to return to sustainable growth. Even though revenue has declined year-over-year, we've been working hard to meaningfully improve profitability and cash flow. Operating cash flow was $8.4 million and free cash flow was $6.4 million. Our GAAP net loss improved to $3.9 million from $8.8 million a year ago. Non-GAAP net income was $3.4 million compared to a non-GAAP net loss last year, and adjusted EBITDA improved to $6.6 million from a negative adjusted EBITDA a year ago. These results reflect the discipline with which we're managing the business as we focus on improving execution, returning to growth and creating long-term value. Q2 free cash flow of $6.4 million was up 2% from the same period last year and up 162% from the previous quarter. Given that trajectory, we're raising our full year 2026 free cash flow guidance from $6 million to $9 million up to $12 million to $14 million. As always, we'd like to give you an early look at next quarter's paid member trends. For July 2026, we had 634,000 paid members. As you can see from previous years, July tends to run a bit lower as people take vacations and travel less for business. This is the usual summer dip, and we'd expect things to pick back up as we move through Q3. Turning to capital allocation. This was an active quarter for us. We commenced and completed a modified Dutch auction tender offer, repurchasing approximately 6.1 million shares of Class A common stock at $1.20 per share. That tender was actually substantially undersubscribed despite the premium we offered on the stock price. So following its completion, we went into the open market and purchased an additional 712,000 shares at an average price of $1.63 per share. Altogether, that brings our total Q2 repurchase to approximately 6.8 million shares of Class A common stock, which represents roughly a 7% reduction in shares outstanding. We think this reflects real conviction in the value of this business and is a continued commitment to returning capital to shareholders even as we keep investing in growth. With that, I'll hand it over to David for a business and product update. David Barrett: Thanks, Ryan. Q2 was a quarter where I think the product itself tells the story better than any single number could. We made real progress in AI on product velocity. And as Ryan just covered in capital allocation, let me walk you through what that actually looked like for our customers. I want to start with something a customer told us this quarter because it captures exactly what we're building towards. Laura Redmond of Redmond Accounting, put it this way. "Expense approvals used to sit in my inbox for days, waiting for me to eyeball a $40 lunch receipt. That's not judgment. That's just routing. I set up an agent rule that clears anything in policy on its own. I got back hours a week I didn't even know I was losing." That's the whole thesis in one sentence. Most approval work isn't judgment. It's routing and routing is exactly what we should be automating away. That's what agent rules do. It's what we call Level 3 workflow automation. Tag, categorize, edit, route, hold, approve, reject or pay based on natural language rules that get evaluated with LLM judgment inside of real-time workflow. So instead of writing rigid if this, then that logic, you just tell it what you want in plain English and it handles judgment calls the way Laura's example showed. The next step up from that is custom agents, what we call Level 4. These are prompt-driven agents that collaborate over chat, e-mail and SMS with employees, vendors or clients. They're both reactive, responding to internal or external events as they happen and proactive, taking scheduled actions on their own. So where agent rules handles routing within the workflow, custom agents can actually go and have that conversation on your behalf. And this one is no longer in beta. It's live. The Expensify MCP gives third-party AI assistants a direct connection to Expensify. So tools like ChatGPT, Claude and Cursor can access expense data through natural language right from within those apps. We think this is a meaningful differentiator and it's a good example of us meeting customers inside the tools they are increasingly using. Beyond the AI work, Q2 is one of our strongest shipping quarters yet with more than 30 features and enhancements, and I want to hit a few highlights from each month rather than read the whole list. This slide has the details for anyone who wants them. In April, the headline was really bring your own card. We shipped personal card imports directly into the Expensify wallet and shared card feeds across workspaces, so customers can keep using the corporate cards they already have and still get full expense automation with no card migration required. In May, we focused on giving admins more control without more overhead. Card freeze and unfreeze and CSV company card imports both extend that same bring your own card thesis, making it easier for finance teams to bring existing card programs into Expensify. We also expanded prohibited expense detection, a good example of AI quietly doing enforcement work that used to be manual. And in June, as I just covered, the Expensify MCP went live, alongside real-time Expensify card rules and automatic VAT capture via SmartScan, which starts to open up more of our international opportunity. It's been gratifying to see that work recognized externally, too. We were named Expense Management Platform of the Year at the TravelTech Breakthrough Awards this quarter. Now I want to step back because I think the simplest way to understand Expensify right now is that we're not really one company or 2. Expensify Classic is the gold standard for traditional expense management. It established what's now the traditional design in the category: web and mobile app, credit card import, plus scanning, plus GPS mileage tracking in an end-to-end workflow with export to cloud accounting and next-day reimbursement. That was our focus for the first 12 years, culminating in our IPO. But here is the thing. Less than 1% of global businesses are actually interested in traditional expense management approach. New Expensify is the new standard for AI expense management. A mobile-first, chat-first design that puts humans and AI agents in the same workflow. With a stripped-down, AI-centric experience that works over email and meets users wherever they already are. New Expensify is what lets us go after the other 99%. And each of those two products plays a different role for us financially. Classic is a steady profit engine. It requires minimal engineering and direct investment, but it produces a substantial cash flow. New sign-ups only ever see New Expensify now. So Classic is a large but deliberately shrinking set of customers. That's fine. Classic has given us the platform and the resources to build New Expensify in the first place. We believe New Expensify, on the other hand, is our rapid growth engine into a genuinely untapped market. Essentially, all of our engineering has been devoted to it for years now, and most of our customers and users, including both net new sign-ups and migrated Classic customers, are on it today. It's extremely competitive and growing rapidly on top of and separate from the Classic migration itself. And you can see that growth directly in the numbers. Net new revenue from New Expensify, meaning revenue from customers who signed up on New Expensify and never touched Classic. So this excludes all of the Classic customers who simply migrated over, grew more than 250% year-on-year to over $10 million in ARR. So to summarize the quarter, our Classic to New migration has entered its long tail. Virtually all Classic customers have been nudged towards New Expensify. Most of them choose to stay, and now we have more users on New than on Classic. New Expensify itself grew rapidly, with net new revenue up over 250% year-on-year to more than $10 million in ARR. Our card program continued to scale, with combined Classic and New Expensify card interchange revenue up 12% year-over-year to $5.9 million. We launched a wide range of customer-requested features, more than 30 this quarter, including the MCP server and our new AI agents, which ultimately earned us a Platform of the Year award. And we returned capital to shareholders, repurchasing approximately 6.8 million shares of Class A common stock, representing about 7% reduction in our shares outstanding. Our path forward is the same one we've talked about since the IPO. Keep migrating the remaining Classic customers onto New Expensify, where they get a dramatically better experience, and keep accelerating new customer acquisition into a market that's still almost entirely untapped. What's different today is that now we have increasingly solid evidence the plan is working. With that, thank you all for joining us today, and let's move to Q&A. Niki Wallroth: Aaron, I believe you're on the line with us. Aaron Kimson: I'm here. First one for me. The free cash flow guide for the year was initially a little bit lighter for 2026 at $6 million to $9 million on the 4Q call in late February. You reiterated it on the 1Q call in May. Tonight, you took it up $5.5 million at the midpoint. I guess the question is, where are you in terms of the sales and marketing investments as well as AI investments that you initially cited as part of the drag on free cash flow in '26 on the original guide relative to '25 free cash flow? Ryan Schaffer: Great question. So we are deploying our sales and marketing dollars that has started. We have some more coming later this year. Also, we are currently in a, I think, a place a lot of companies are where our AI spend is scaling, but we're also now looking at it and trying to cut it back. Luckily, we have the best spend management software in the world. So we're doing a great job doing that responsibly. So it's scaling but also I'm trying to figure out how we can reduce it without impacting operations. And also, I just want to point out that we had a class action lawsuit settlement in Q1, and we weren't exactly sure how that was going to turn out, and that's all behind us. So that also helps put a -- now that we kind of a that's a known quantity, that helps put a better -- we can see what the numbers are going to look like a little bit better now that's kind of behind us. Aaron Kimson: Got it. And then the second question I have, so the $10 million in New Expensify ARR exclusive of prior classic customers that switched over, is really encouraging. I guess what I'm interested in is what's the 250% year-over-year number? And any commentary you can give on the sequential growth of what that might have looked like a quarter ago. I think that's the most important thing for investors right now, just trying to figure out whether New Expensify is bringing in net new customers and revenue at a rate that it's going to continue to accelerate and become a more meaningful part of the business, right? At the $10 million ARR, it's still less than 10% of the total business from those net new customers on New Expensify. David Barrett: Sure. That makes sense. Maybe I'll be curious, Ryan, for your thoughts on this in a second. But I guess I would say I think that is the real kind of story and challenge of the company right now. On one hand, if this company were exclusively New Expensify, we would all be high-fiving each other as the hottest startup in the space by far. And that we have a product which is super rad, it's very competitive, it's growing really quick. It's already got almost 12,000 customers or already like over $10 million in ARR. This is a great startup. And also we have this Classic product, which has been around forever, which is producing a tremendous amount of cash that we've used to fund and build this startup. And either of those is actually quite valuable, like having a super fast-growing expense management startup combined with a kind of super cash flow positive sort of traditional product. Both of those are actually really, really nice to have. But when you combine them, it looks like a single company that has kind of like nothing going on. So it's a very confusing story that we admit. That's why we're trying to -- and it's a story we've been telling for a long time. We understand why people could be confused. That's why we're trying to break it out a bit here to clarify that, no, actually, there's something really rocking and rolling here. Also, there's something else that's funding it, which is a really great thing. And so the question is, how does those balance out? And it's a great question. I guess if we had better insight, we would be giving better forecasting. And I would say right now our challenge is we've solved the -- what I would say is the hardest part, and that is build an incredibly successful new differentiated product in this market. And I think that this chart really shows the growth of that product, and it's really good. Now what we need to do is we need to complete migrating everyone over to it and addressing basically any sort of anxieties along the way. Recall that New Expensify is it's a new product that's pretty differentiated. It's quite different. And it is targeted to a much larger market than the one that we were historically targeting. And so there are a lot of conversations with existing customers who are like, "Well, how does this really -- how do these changes, like how do they work for me?" And it reminds me a bit like when I get a Tesla for the first time, years ago, and I went in, and I was just shocked like, it doesn't have a key, you don't start the car, you just drive. You don't even turn on the windshield wipers. Just figures -- it's just such a different experience, like it has no buttons. It's a wildly different experience, and that can be a little jarring. And I think that's of some of the experience we're dealing with now is basically it's like, how do we get existing customers onto the new platform such that we can address kind of the churn, which is gradually eroding the traditional customer base. And so the question is, well, which is going to happen first? Will New Expensify's growth just get to a scale that it can overcome Classic's churn? And also, what can we do to reduce and reverse Classic's churn by getting those customers onto New Expensify and then cross-selling our new products and so forth. So there's kind of 2 different business strategies playing out in parallel. Which of those is going to win, which is going to happen first? I mean it's a combination of both. But it's a pretty dynamic system right now. And so it's -- if I had better insight, I would be sharing it. But right now, we're just saying there are these really positive trends on both sides, and it's a little unclear which is going to win out. Anyway, I don't know -- that's kind of my take on the answer. I'd be curious for your thoughts, Ryan. Ryan Schaffer: So Aaron, I believe you asked what's the sequential quarter? I don't have that offhand. I'm just -- I'm looking at the graph. And it looks like we were at a little around 7 end of Q1. So we're just around 12 in end of Q2. So it's growing pretty rapidly, which is why we're highlighting this. The -- to maybe just put a little finer point on what David just said. Basically, we have our large -- we've broken the customer base out into 2 cohorts. We have our large Classic cohort, which is slowly decreasing. And of course, it's decreasing because we're not adding new customers to it, right? It's -- you cannot join the Classic cohort anymore. And then we have the New Expensify cohort, which is small but growing rapidly. So if you were to line up 2 charts, one, which is the Classic slowly declining. And on top of it, you overlaid New Expensify rapidly increasing. Eventually, those 2 lines intersect and then we're just in a growth mode again. So we think that, that is on its way. We don't know exactly what's going to happen. We think it's coming soon. And so we're just sharing the information that we have. Aaron Kimson: I appreciate that. And I had missed the graphic with the deluge of earnings after the bell. So this really helps. And then I guess the last question I would have is just any color on the percentage of total ARR that comes from New Expensify when you include the migrations from Classic today? Is it a meaningful part of the business? Ryan Schaffer: So over -- I believe it is 56% of users are on New Expensify. So we have crossed more people use New Expensify than Classic now. So that's a pretty major milestone that we hit this quarter. David Barrett: But also, I would say, virtually all new revenue is coming from New Expensify because you can't buy Classic anymore. It's -- we only sell New. And so I'd say all incremental revenue is being added via New. Niki Wallroth: Great. Daniel, I believe you're on the line. Daniel Jester. I have a couple of Daniels. Daniel Jester: Hope you can hear me? Can we just continue the conversation then about New Expensify? And so I think from a client perspective and a user perspective, I think this all is very clear. Is there a different monetization opportunity for New Expensify customers versus Classic? David Barrett: I can take a crack at this and see what Ryan has to say after that. Fundamentally, it's solving the same problem, and it's solving it using the same servers and the same support team and the same sales team and everything. So the business model is fundamentally the same. I view it more as just a refinement on executing the fundamental business model. And by that, I mean, what makes Expensify special is not necessarily that it's buttons click faster or whatever it might be, but that it allows customers to close their books faster because we recognize that a huge fraction of the delay in closing the books starts with, kind of -- it's tied up in the human collaboration element. And so New Expensify is really about trying to help streamline the collaboration elements between humans and also bring in AI agents to do the work that historically humans had to do, the kind of the collaborative chatting elements, the light judgment elements and routing elements that historically humans had to do. And so it's the same fundamental business model. It's just much, much better at it. So for example, Classic has always grown primarily through word of mouth and individual employees adopting the product before the boss. That just works way better in New Expensify because it's a simpler product to adopt. It's more like WhatsApp than it is like an enterprise tool, and you also don't need to use the app. You can just use email. And so the bulk of the market out there is just using e-mail and Excel. And so this is trying to meet people where they currently are by saying, it's like, hey, you like using email for your expenses? Cool, keep doing that. But rather than emailing a human, just email our agent, and then it's going to work the same for you, but now your accountant doesn't have to basically manually enter it into the accounting system. And so again, I would say fundamentally, the monetization is the same from a business model perspective. The difference, however, is I believe it's going to have a much larger addressable market because it's a fundamentally different experience that appeals to the 99% of the market that just has consistently opted out of a traditional kind of like enterprise-heavy kind of like web-based design. Anyway, that's kind of my crack at that answer. Ryan, I'm curious what you think. And I think you're on mute. Ryan Schaffer: I'm muted. Okay. All right. We have -- so we are adding new monetization to the product. We launched a new feature called Consolidated Travel Billing, which is a new way we're monetizing travel. That's very new, but that's an exciting way to pull some more transactional revenue out of our travel product. We also recently launched a lot of AI features. And I think that some sort of usage-based monetization is something we're heavily considering. It's still early days there, but I think that's something that we're considering and nothing to announce today, but we are looking at new ways to generate revenue and developing new product features. Also invoicing is -- sorry, bill pay is on the horizon, a lot of opportunities there. So I think that we're going to continue to layer more monetization opportunities into the product on top of what we already have. Daniel Jester: That is very helpful. And maybe speaking of that, can we spend a moment around what you saw in terms of payment volumes and revenue this quarter? It looked like you saw an improvement in growth compared to the first quarter. And so what are you seeing there? And just maybe any updates you're able to share in terms of the penetration of the card into the base and how that's been progressing? Ryan Schaffer: So I think the card continues to do really well, which is, I think, encouraging because our -- probably we have 2 kind of big marketing messages right now. One is really centered on AI, but another one is really pushing what we call BYOC, bring your own card. This is a marketing message that we have found to be very effective, especially with all the noise. Everyone has a card these days. We have found the message that you can bring your own card and use Expensify. One interesting aspect of Expensify is that we don't require you to use our card. If you look at our kind of neo card competitors, Ramp, Brex and the like, you have to use their card. There's -- that's how they make money. So if you use -- if you switch to them, you have to use their card. We don't require you to switch. We'd love to give you an Expensify card. But if you want to use your own card, that's great, too. And there's a lot of people who don't want one of these neo cards. They like their card, they like their Amex, they like their Capital One, whatever they have, and they don't want to switch. So if you're one of those people, Expensify is kind of not only the best option, it's kind of your only option. So that message has been working really well for us. And I'm just pointing out that the card is continuing to grow despite the fact that we're pushing all of our marketing efforts towards saying you don't need -- you can bring your own card. So it's -- I think that's pretty interesting. And I think things are moving in the right direction. Daniel Jester: And would you share anything about maybe what sort of compared to the first quarter, how second quarter payment volumes trended? Any sort of high-level thoughts about what you saw? Ryan Schaffer: I mean a modest increase, right, quarter-over-quarter. So I think we're just consistently adding more volume quarter-after-quarter and it just continues to grow. Daniel Jester: Okay. And then one last one for me on maybe the pipeline in terms of how you're seeing travel. I know that's a little bit of a different sales cycle. And I'd love to kind of hear how the ramping process is going there on the sales front. Ryan Schaffer: So the -- we just launched, I mentioned earlier, a feature called Consolidated Travel Billing, which is kind of our answer, we think it's pretty unique and exciting in the market. It's basically -- it's similar to central billing, but it solves all the problems that a central billing card creates. So we have -- this is kind of the new hotness for travel, and we have a huge list of customers that are basically waitlisted on it, and we are now -- we have like a contest internally, a big push basically to get everyone onto this new feature that we just launched, and it's quite lucrative for us. So we are very excited about that. And I think travel just continues to be something that brings us large customers, and it gets us in the conversation with these kind of larger enterprises. So it's -- we're still very excited about travel, and it's one of the pillars of our business. Niki Wallroth: All right. That rounds out all our questions. David Barrett: Great. Well, thank you so much for taking the time to talking to us here. It's been a really, really exciting quarter. And so I can't wait to talk more again in the future. So thank you so much. Before you buy stock in Expensify, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Expensify wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $400,209!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,375,393!* That performance is why people listen. 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Expensify (EXFY) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

This article first appeared on GuruFocus. Release Date: August 06, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Expensify Inc (NASDAQ:EXFY) significantly improved profitability, with GAAP net loss narrowing to $3.9 million from $8.8 million year-over-year and non-GAAP net income turning positive at $3.4 million. The company generated strong cash flow, with Q2 free cash flow of $6.4 million, up 162% from the previous quarter, leading to a raised full-year 2026 free cash flow guidance to $12-$14 million. New Expensify, the company's AI-driven product, is showing rapid growth, with net new revenue from customers who never used Classic growing over 250% year-over-year to more than $10 million in ARR. Expensify Inc (NASDAQ:EXFY) demonstrated commitment to shareholders by repurchasing approximately 6.8 million shares of Class A common stock in Q2, representing a roughly 7% reduction in shares outstanding. The company launched over 30 new features and enhancements in Q2, including advanced AI capabilities like agent rules, custom agents, and the Expensify MCP, which was recognized with the 'Expense Management Platform of the Year' award. Card interchange revenue grew 12% year-over-year to $5.9 million, indicating continued scaling of the card program despite a marketing push for 'bring your own card'. Expensify Inc (NASDAQ:EXFY) continues to experience top-line pressure, with total revenue declining year-over-year to $33.9 million. Average paid members decreased to 640,000 in Q2, and further declined to 634,000 in July 2026, reflecting ongoing churn in the Classic customer base. The company's modified Dutch auction tender offer was substantially undersubscribed, indicating weak shareholder demand to sell at the offered price, despite a premium. The Classic to New Expensify migration is in its 'long tail,' and the company admits it is unclear whether New Expensify's growth will outpace Classic's churn, creating uncertainty about the timeline for returning to overall growth. AI spend is scaling and the company is actively trying to cut it back, suggesting rising costs in this area that could pressure future profitability. The company's story remains complex and confusing to investors, as it combines a fast-growing startup (New Expensify) with a cash-flow-positive but shrinking legacy business (Classic), making it difficult to forecast overall performance. Warning! GuruFocus has detected 7 Warning Signs with EXFY. Is EXFY fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide more color on the sequential growth of new Expensify ARR, excluding Classic migrations, and whether it's accelerating to become a more meaningful part of the business?A: David Barrett (CEO) explained that the company is essentially two businesses: a fast-growing startup (new Expensify) and a cash-flow-positive legacy product (Classic). He noted that new Expensify alone would be considered a "hot startup" with over $10 million in ARR and roughly 12,000 customers, growing over 250% year-over-year. Ryan Schafer (CFO) added that new Expensify ARR grew from approximately $7 million at the end of Q1 to around $12 million at the end of Q2, showing rapid sequential growth. The company believes the two lines (Classic declining, new Expensify rising) will eventually intersect, returning the company to overall growth mode. Q: What is the percentage of total ARR that comes from new Expensify when including migrations from Classic, and is it a meaningful part of the business?A: Ryan Schafer (CFO) stated that over 56% of users are now on new Expensify, marking a major milestone where more people use new Expensify than Classic. David Barrett (CEO) added that virtually all incremental revenue is coming from new Expensify since Classic is no longer sold to new customers, making new Expensify the sole driver of revenue growth. Q: Why was the full-year 2026 free cash flow guidance raised from $6-9 million to $12-14 million, and where are you in terms of sales/marketing and AI investments?A: Ryan Schafer (CFO) explained that sales and marketing investments have started deploying with more coming later in the year. He noted that AI spend is scaling but the company is actively working to reduce it responsibly using its own spend management software. Additionally, a class action lawsuit settlement from Q1 is now behind them, providing better visibility into future numbers, which contributed to the raised guidance. Q: Is there a different monetization opportunity for new Expensify customers versus Classic?A: David Barrett (CEO) said the fundamental business model is the same, but new Expensify is a refinement that appeals to a much larger addressable market (the 99% of businesses that opted out of traditional expense management). Ryan Schafer (CFO) added that the company is exploring new monetization avenues, including consolidated travel billing (a new way to monetize travel), potential usage-based monetization for AI features, and upcoming bill pay functionality. Q: What did you see in terms of payment volumes and revenue this quarter, and how is card penetration progressing?A: Ryan Schafer (CFO) reported that card interchange revenue grew 12% year-over-year to $5.9 million, with modest quarter-over-quarter increases in payment volumes. He highlighted the "bring your own card" (BYOC) marketing message as highly effective, differentiating Expensify from Neo card competitors like Ramp and Brex that require customers to use their cards. Despite pushing this message, the Expensify card continues to grow, indicating strong overall card program performance. Q: How is the travel business ramping, and what updates can you share on the sales front?A: Ryan Schafer (CFO) announced the launch of consolidated travel billing, a unique feature that solves problems created by central billing cards. There is a large waitlist of customers, and the company is running an internal contest to drive adoption. Travel continues to be a pillar of the business, bringing in larger enterprise customers and serving as an entry point for conversations with bigger organizations. Q: Can you elaborate on the capital allocation strategy, particularly the tender offer and open market repurchases?A: Ryan Schafer (CFO) detailed that the company completed a modified Dutch auction tender offer, repurchasing approximately 6.1 million shares at $1.20 per share, which was substantially undersubscribed. Following that, they purchased an additional 712,000 shares in the open market at an average price of $1.63 per share. Total Q2 repurchases were approximately 6.8 million shares, representing a 7% reduction in shares outstanding, reflecting strong conviction in the business's value. Q: What were the key product developments and AI advancements during Q2?A: David Barrett (CEO) highlighted the launch of "agent rules" (level three workflow automation) that use natural language and LLM judgment for routing tasks, and "custom agents" (level four) that collaborate via chat, email, and SMS. The Expensify MCP (Model Context Protocol) went live, allowing third-party AI assistants like ChatGPT, Claude, and Cursor to access expense data. Over 30 features were shipped in Q2, including personal card imports, card freeze/unfreeze, prohibited expense detection, and automatic VAT capture, earning the company the "Expense Management Platform of the Year" award. Q: How is the Classic to new Expensify migration progressing, and what is the strategy for the remaining Classic customers?A: David Barrett (CEO) stated that the migration has entered its "long tail," with virtually all Classic customers having added new Expensify. Most choose to stay, and the company now has more users on new than Classic. The strategy is to continue migrating remaining Classic customers while accelerating new customer acquisition. He compared the transition to getting a Tesla for the first timea jarring but superior experienceand acknowledged that addressing customer anxieties about the new platform is key to reducing Classic churn. Q: What were the key financial metrics for Q2 2026, and how did they compare to the prior year?A: Ryan Schafer (CFO) reported Q2 revenue of $33.9 million with average paid members of 640,000. Operating cash flow was $8.4 million and free cash flow was $6.4 million, up 162% from the previous quarter. GAAP net loss improved to $3.9 million from $8.8 million a year ago, while non-GAAP net income was $3.4 million. Adjusted EBITDA improved to $6.6 million from negative a year ago. For July 2026, paid members were 634,000, reflecting the typical summer dip. For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Interested in Expensify, Inc.? Here are five stocks we like better. Profitability and cash flow improved: Expensify reported $33.9 million in Q2 revenue, $6.4 million in free cash flow and a narrower GAAP net loss. The company raised its 2026 free-cash-flow forecast to $12 million-$14 million from $6 million-$9 million. New Expensify is growing as Classic declines: Revenue from direct New Expensify customers increased more than 250% year over year to roughly $12 million in annual recurring revenue, while the new platform reached 56% of users. Management cautioned that the timing for growth to fully offset the declining Classic customer base remains uncertain. Share repurchases and product investments continued: Expensify bought back approximately 6.8 million Class A shares during the quarter, reducing shares outstanding by about 7%, while investing in AI features, card integrations and travel products intended to support future growth. Will Expensify Get Even Cheaper To Buy? Expensify (NASDAQ:EXFY) reported second-quarter revenue of $33.9 million and continued improvements in profitability and cash generation, while management emphasized growth in its newer AI-focused expense management platform as its legacy Classic product base declines. Chief Financial Officer Ryan Schaffer said average paid members totaled 640,000 during the quarter. Expensify card interchange revenue across its Classic and New Expensify offerings reached $5.9 million, up 12% from a year earlier. → 3 Drone Stocks That Should Soar After the Summer Slump “While we continue to see some pressure on the top line, our focus remains firmly on the financials of the business and on executing the work required to return to sustainable growth,” Schaffer said. Operating cash flow was $8.4 million in the second quarter, while free cash flow was $6.4 million. Free cash flow increased 2% year over year and 162% sequentially, according to Schaffer. → Meta’s Earnings Drop Shows Wall Street Wants More Than Ad Growth The company’s GAAP net loss narrowed to $3.9 million from $8.8 million in the prior-year period. Non-GAAP net income was $3.4 million, compared with a non-GAAP net loss a year earlier, while adjusted EBITDA improved to $6.6 million from a negative result in the prior-year quarter. Based on its first-half results and outlook, Expensify raised its full-year 2026 free-cash-flow forecast to between $12 million and $14 million, from prior guidance of $6 million to $9 million. → Jersey Mike's Serves Fresh Gains After IPO Stumble Schaffer said the company has begun deploying sales and marketing spending, with additional investment expected later in the year. He also said Expensify’s AI-related spending is increasing, though the company is examining ways to reduce that expense without affecting operations. In addition, he cited the resolution of a class-action lawsuit settlement in the first quarter as providing greater clarity around the company’s financial outlook. For July, Expensify reported 634,000 paid members. Schaffer said the lower figure reflected a typical seasonal decline associated with summer vacations and reduced business travel, and that the company expects activity to improve as the third quarter progresses. During the quarter, Expensify completed a modified Dutch auction tender offer, repurchasing about 6.1 million Class A shares at $1.20 per share. The tender offer was substantially undersubscribed despite being offered at a premium to the market price, Schaffer said. After completing the tender offer, the company bought another 712,000 Class A shares in the open market at an average price of $1.63 per share. Total second-quarter repurchases were approximately 6.8 million shares, representing roughly a 7% reduction in shares outstanding. Schaffer said the purchases reflected management’s conviction in the business and its commitment to return capital to shareholders while continuing to invest in growth. Founder and Chief Executive Officer David Barrett described Expensify Classic as a mature, cash-generating traditional expense management product, while characterizing New Expensify as the company’s growth platform built around mobile, chat and AI-enabled workflows. New Expensify revenue from customers that signed up directly for the product, excluding former Classic customers that migrated to the new platform, rose more than 250% year over year to more than $10 million in annual recurring revenue, Barrett said. During the question-and-answer session, Schaffer said the figure appeared to have increased from about $7 million at the end of the first quarter to around $12 million at the end of the second quarter. Barrett said New Expensify had nearly 12,000 customers. Management said New Expensify now accounts for 56% of users, marking the point at which more users are on the new platform than on Classic. Barrett added that virtually all new revenue is being added through New Expensify because customers can no longer purchase Classic. “We have our large Classic cohort, which is slowly decreasing,” Schaffer said, noting that the company is no longer adding new customers to the legacy offering. “We have the New Expensify cohort, which is small but growing rapidly.” Management said the timing of when New Expensify growth will offset the declining Classic customer base remains uncertain. Barrett said the company is working to complete the migration of remaining Classic users and address concerns from customers adjusting to the different product experience. Barrett said the company released more than 30 features and enhancements during the second quarter. Product updates included personal card imports into the Expensify wallet, shared card feeds across workspaces, card freeze and unfreeze capabilities, company card imports, expanded prohibited-expense detection, real-time card rules and automatic VAT capture through SmartScan. The company also launched its Expensify MCP integration, which Barrett said allows third-party AI assistants including ChatGPT, Claude and Cursor to access Expensify expense data through natural-language interactions. Expensify also made its custom AI agents generally available after a beta period. Schaffer said the company’s “bring your own card” marketing message has resonated with customers that want to retain their existing corporate card programs while using Expensify’s expense automation tools. He said card volumes posted a modest quarter-over-quarter increase and have continued to grow consistently. On monetization, Barrett said the fundamental model for New Expensify remains similar to the company’s legacy business, though its simpler, email-enabled and chat-focused experience could appeal to a broader market. Schaffer said the company is also considering additional revenue opportunities, including usage-based monetization for AI capabilities, though he said there was nothing to announce. Expensify recently introduced Consolidated Travel Billing, a travel feature Schaffer called a potentially lucrative offering. He said the company has a large waitlist of customers for the feature and continues to view travel as a key way to engage larger enterprise customers. Expensify, traded on NASDAQ under the ticker EXFY, is a software-as-a-service (SaaS) company specializing in automated expense management and reporting. Its flagship platform enables employees to capture receipts via mobile app or email, automatically extract expense details through optical character recognition (OCR) and artificial intelligence, and submit streamlined expense reports. The solution is designed to eliminate manual data entry and reduce approval cycle times, serving a broad range of industries from small businesses to large enterprises. Founded in 2008 by entrepreneur David Barrett, Expensify has grown from a simple receipt-scanning app into a comprehensive spend management suite. 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 [email protected]. The article "Expensify Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Interchange revenue derived from the Expensify Card grew to $5.9 million, an increase of 12% as compared to the same period last year. SAN FRANCISCO, August 06, 2026--(BUSINESS WIRE)--Expensify, Inc. (Nasdaq: EXFY), the easiest way to manage expenses, corporate cards, and travel, today released a letter to shareholders from Founder and CEO David Barrett alongside results for its quarter ended June 30, 2026. A Message From Our Founder This is the most exciting quarter in years, as we are finally able to pull back the curtain on New Expensify's growth. To set the stage, recall that Expensify is not just one product, but two: Expensify Classic is what established us in the market, and – I think is fair to say – established the standard by which everyone else in the industry is currently being measured: credit card import into a mobile app that scans, categorizes, and reconciles receipts, powered by a robust workflow engine that automatically submits, approves, reimburses, and exports to third party systems. Even though we were the first, everyone else in the industry has largely copied this design. This defined the first twelve or so years of Expensify's life, up to IPO. New Expensify is a complete redesign (and major rewrite) based on the sobering realization that no matter how good we made Expensify Classic, it would never appeal to more than a tiny fraction of the global market. Of the 300 million businesses in the world – all of which manage expenses (because you get expenses long before you get revenue) – less than 1% (and closer to 0.1%) has ever paid us or any of our competition. To break out of this tiny corner of a vast market, we needed to radically rethink our product. These are essentially two different businesses intertwined into one: they share the same servers, the same data, and a lot of the same code. They are both built and maintained by the same team, and to a very large degree, are used by the same customers: most can switch back and forth freely between them, and many do. However, users behave very, very differently on each – and each provides a completely different benefit to our business. Expensify Classic is a reliable, profitable workhorse: with minimal investment, it has generated steady for us from a stable but slowly shrinking customer base. Expensify Classic is a "fixed" pool of customers: you can't sign up for Expensify Classic today, so it's a pool that will naturally drain. Every business has some nonzero amount of churn, and that churn will gradually reduce our Classic customer base over time. This has allowed us to pour our efforts into building and growing New Expensify, which is growing very quickly. We'll talk about this more on the earnings call, but revenue from net new customers – meaning, customers who have signed up on New Expensify and have never seen or used Classic – has grown by over 250% year-over-year, to over $10 million ARR across over 10,000 new customers. This is exclusive of Classic customers who have switched to New (which at this point, is most of them). In my opinion, the conclusion to draw from this is that Expensify isn't a sleepy, low-growth company. Rather, it is the combination of: A large, robust, traditional Expensify Classic product that requires minimal maintenance but generates stable cashflow, most of which is being invested into building… A small, innovative, and quickly growing New Expensify product that aims to capture a market 10-100x larger than our traditional product ever could. We feel either of these alone should be reasonably valued higher than the current business is being today – and the sum of the two should be valued even higher still. Based on that conviction, we attempted to repurchase $25 million of Class A common stock using a modified Dutch auction tender offer, and successfully repurchased 6.1 million shares of Class A common stock at $1.20 per share. (The tender was substantially undersubscribed despite the premium offered on the share price.) We then purchased approximately 712,000 additional shares, for $1.2 million, bringing the total Q2 repurchase to 6.8 million shares of Class A common stock, representing a ~7% reduction in shares outstanding. We still have a long road ahead of us, and our path back to sustained growth depends on how effectively we: Retain and expand our Classic customers by migrating the last of them onto New Expensify, where they can benefit from a dramatically improved experience for both traditional and modern agentic workflows, and… Continue accelerating new customer acquisition by scaling both lead generation and high-velocity self-service sales in this large, untapped market. This isn't a new story. It's the same story we told at IPO, and on every earnings call since. This isn't a new market: it's the same market that's been there all along. All that's new is (I feel) we have increasingly solid evidence the plan is going to work – and though I never doubted it, it's extremely exciting to see it play out in practice. -david Founder and CEO of Expensify Financial Second Quarter 2026 Highlights Revenue, net was $33.9 million, a decrease of 5% as compared to the same period last year. Generated $8.4 million of cash from operating activities. Free cash flow was $6.4 million. Net loss was $3.9 million, compared to $8.8 million for the same period last year. Non-GAAP net income was $3.4 million. Adjusted EBITDA was $6.6 million. Interchange revenue derived from the Expensify Card grew to $5.9 million, an increase of 12% as compared to the same period last year. See Financial Outlook section for Free Cash Flow guidance for fiscal year ending December 31, 2026. Business Second Quarter 2026 Highlights Paid members - Paid members were 640,000, a decrease of 2% as compared to the same period last year. AI expands across the platform - Customers can now set up Expensify, automate expenses, and analyze spend using natural language via email, text, or in-app, with AI-powered workflow agents entering beta. Expanded commercial ecosystem - Launched the Expensify MCP, connecting Expensify to AI assistants like ChatGPT, Claude, and Cursor for natural-language access to expense data. Product velocity remained strong - Shipped 30+ product improvements in Q2 across cards, mileage tracking, policy controls, bulk editing, and AI-powered spend controls, and was named Expense Management Platform of the Year in the TravelTech Breakthrough Awards. Capital return to shareholders - Repurchased approximately 6.1 million shares of Class A common stock at $1.20 per share through a modified Dutch auction tender offer, as well as approximately 0.7 million additional shares repurchased at an average price of $1.63 per share. Total repurchases of approximately 6.8 million shares of Class A common stock represent an approximately 7% reduction in shares outstanding. Financial Outlook Expensify's outlook statements are based on current estimates, expectations and assumptions and are not a guarantee of future performance. The following statements are forward-looking and actual results could differ materially depending on market conditions and the factors set forth under "Forward-Looking Statements" below. There can be no assurance that the Company will achieve the results expressed by this guidance. Free Cash Flow Expensify estimates free cash flow of $12.0 million - $14.0 million for the fiscal year ending December 31, 2026. The Company does not provide a reconciliation for free cash flow estimates on a forward-looking basis because it is unable, without making unreasonable efforts, to provide a meaningful or reasonably accurate calculation or estimation of net cash provided by operating activities and certain reconciling items on a forward-looking basis, which could be significant to the Company's results. Stock Based Compensation An estimate of expected stock-based compensation for the next four fiscal quarters is as follows, which is driven primarily by the pre-IPO grant of RSUs issued to all employees (which vest quarterly over eight years with approximately three years remaining). Est. stock-based compensation (millions) Availability of Information on Expensify’s Website Investors and others should note that Expensify routinely announces material information to investors and the marketplace using SEC filings, press releases, public conference calls, webcasts and the Expensify Investor Relations website at https://ir.expensify.com. While not all of the information that the Company posts to its Investor Relations website is of a material nature, some information could be deemed to be material. Accordingly, the Company encourages investors, the media and others interested in Expensify to review the information that it shares on its Investor Relations website. Conference Call Expensify will host a video call to discuss the financial results and business highlights at 2:00 p.m. Pacific Time today. An investor presentation and the video call information is available on Expensify’s Investor Relations website at https://ir.expensify.com. A replay of the call will be available on the site for three months. Non-GAAP Financial Measures In addition to financial measures prepared in accordance with U.S. generally accepted accounting principles ("GAAP"), we provide certain non-GAAP financial measures, including adjusted EBITDA, non-GAAP net (loss) income, and free cash flow. We believe our non-GAAP financial measures are useful in evaluating our business, measuring our performance, identifying trends affecting our business, formulating business plans and making strategic decisions. Accordingly, we believe that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating our results of operations in the same manner as our management team. These non-GAAP financial measures are presented for supplemental informational purposes only, should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly titled metrics or measures presented by other companies. Non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation or as substitutes for financial information presented under GAAP. There are a number of limitations related to the use of non-GAAP financial measures versus comparable financial measures determined under GAAP. For example, other companies in our industry may calculate these non-GAAP financial measures differently or may use other measures to evaluate their performance. All of these limitations could reduce the usefulness of these non-GAAP financial measures as analytical tools. Investors are encouraged to review the related GAAP financial measures and the reconciliations of these non-GAAP financial measures to their most directly comparable GAAP financial measures and to not rely on any single financial measure to evaluate our business. A reconciliation of each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP is at the end of this press release. Adjusted EBITDA. We define adjusted EBITDA as net loss excluding provision for (benefit from) income taxes, other income, net, depreciation and amortization, and stock-based compensation expense. Non-GAAP net income (loss). We define non-GAAP net income (loss) as net loss excluding stock-based compensation expense. Free cash flow. We define free cash flow as net cash provided by operating activities excluding changes in settlement assets, net and settlement liabilities, reduced by the purchases of property and equipment and software development costs. The tables at the end of the Condensed Consolidated Financial Statements provide reconciliations to the most directly comparable GAAP financial measure to each of these non-GAAP financial measures. Forward-Looking Statements Forward-looking statements in this press release, or made during the earnings call, which are not historical facts, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements include statements regarding our strategy, future financial condition, future operations, future cash flow, projected costs, prospects, plans, objectives of management and expected market growth, product developments and their potential impact and our stock-based compensation estimates and involve known and unknown risks that are difficult to predict. As a result, our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as "may," "will," "shall," "should," "expects," "plans," "anticipates," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," "goal," "ambition," "objective," "seeks," "outlook," or "continue" or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans, or intentions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, but are not limited to: the impact on inflation on us and our members; our borrowing costs, which have and may continue to increase as a result of increases in interest rates; our expectations regarding our financial performance and future operating performance; our ability to attract and retain members, expand usage of our platform, sell subscriptions to our platform and convert individuals and organizations into paying customers; the timing and success of new features, integrations, capabilities and enhancements by us, or by competitors to their products, or any other changes in the competitive landscape of our market; the amount and timing of operating expenses that we may incur to maintain and expand our business and operations to remain competitive; the sufficiency of our cash, cash equivalents and investments to meet our liquidity needs; our ability to meet the Nasdaq continued listing requirements for minimum bid price or other Nasdaq listing requirements and the potential delisting of our common stock; our ability to make required payments under and to comply with the various requirements of our current and future indebtedness; our cash flows, the prevailing stock prices, general economic and market conditions and other considerations that could affect the specific timing, price and size of repurchases under our stock repurchase program or our ability to fund any stock repurchases; geopolitical tensions, including the war in Ukraine and the conflict in the Middle East; our ability to effectively manage our exposure to fluctuations in foreign currency exchange rates; the size of our addressable markets, market share and market trends; anticipated trends, developments and challenges in our industry, business and the highly competitive markets in which we operate; any adverse impact on our business operations as a result of using artificial intelligence or other machine learning technologies in our services; our expectations regarding our income tax liabilities and the adequacy of our reserves; our ability to effectively manage our growth and expand our infrastructure and maintain our corporate culture; our ability to identify, recruit and retain skilled personnel, including key members of senior management; the safety, affordability and convenience of our platform and our offerings; our ability to successfully defend litigation brought against us; our ability to successfully identify, manage and integrate any existing and potential acquisitions of businesses, talent, technologies or intellectual property; general economic conditions in either domestic or international markets, including geopolitical uncertainty and instability, and their effects on software spending; our ability to protect against security incidents, technical difficulties, or interruptions to our platform; our ability to maintain, protect and enhance our intellectual property; the impact of tariffs and global trade disruptions on us, our customers and our vendors, including the impact on inflation, supply chains and consumer sentiment; and other risks discussed in our filings with the SEC. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements set forth above. We caution you not to place undue reliance on any forward-looking statements, which are made only as of the date of this press release. We do not undertake or assume any obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable law. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements. About Expensify Expensify is the easiest way to do your expenses, travel, and corporate cards. Built for businesses of all sizes and trusted by 15 million members worldwide, Expensify is a top-rated app across G2, TrustRadius, Capterra, and more. Learn more at use.expensify.com. View source version on businesswire.com: https://www.businesswire.com/news/home/20260806600402/en/ Contacts Investor Relations Contact Nick [email protected] Press Contact James [email protected]

The Company accepted for purchase 6,053,023 shares of common stock at $1.20 per share, which will result in an approximate 6.8% reduction in Class A common stock outstanding. SAN FRANCISCO, June 12, 2026--(BUSINESS WIRE)--Expensify, Inc. (Nasdaq: EXFY) (the "Company"), the easiest way to manage expenses, corporate cards, and travel, today announced the final results of its modified "Dutch auction" tender offer (the "Tender Offer") to purchase for cash up to $25,000,000 of its outstanding shares of Class A common stock, par value $0.0001 per share ("Class A common stock" or the "shares"), at a price per share not less than $0.98 and not more than $1.20, less any applicable withholding taxes and without interest, which expired at 12:00 midnight, New York City time, at the end of the day on June 10, 2026. The Company accepted 6,053,023 shares of Class A common stock for purchase at the purchase price of $1.20 per share, for a total cost of $7,263,627.60, excluding fees and expenses related to the Tender Offer. The total number of shares accepted for payment represents approximately 6.8% of the Company’s total outstanding shares of Class A common stock as of June 10, 2026. Based on the final count by the depositary for the Tender Offer, a total of 6,053,023 shares of Class A common stock were validly tendered and not validly withdrawn at or below the price of $1.20 per share. Accordingly, the Company will purchase approximately 100% of the shares of stockholders who submitted auction tenders at a price of $1.20 or less per share and purchase price tenders (other than "odd lot" holders, whose shares will be purchased on a priority basis). The depositary for the Tender Offer will promptly pay for the shares accepted for purchase pursuant to the Tender Offer. Payment for shares purchased will be made in cash, without interest, but subject to applicable withholding taxes. The Company will fund the purchase of shares in the Tender Offer with cash on hand. Citizens JMP Securities, LLC, is acting as dealer manager for the Tender Offer. The information agent for the Tender Offer is Georgeson LLC, and the depositary is Computershare Trust Company, N.A. FORWARD-LOOKING STATEMENTS Certain statements made in this press release constitute forward-looking statements, including with respect to the Company’s expectations regarding payment for the shares of Class A common stock purchased in the Tender Offer and the source of financing for those purchases. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding the Tender Offer. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause Expensify’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including the risks discussed in Expensify’s filings with the SEC, including Expensify’s Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. Expensify undertakes no obligation to update publicly any forward-looking statements, whether as a result of future events, new information or otherwise, except as required by law. About Expensify. Inc. Expensify, Inc. (Nasdaq: EXFY) is the easiest way to do your expenses, travel, and corporate cards. Built for businesses of all sizes and trusted by 15 million members worldwide, Expensify is a top-rated app across G2, TrustRadius, Capterra, and more. View source version on businesswire.com: https://www.businesswire.com/news/home/20260612678284/en/ Contacts Nick Tooker – Head of Investor Relations – [email protected]

The Company expects to purchase 6,140,642 shares of common stock at $1.20 per share, resulting in an expected approximate 6.9% reduction in Class A common stock outstanding. SAN FRANCISCO, June 11, 2026--(BUSINESS WIRE)--Expensify, Inc. (Nasdaq: EXFY) (the "Company"), the easiest way to manage expenses, corporate cards, and travel, today announced the preliminary results of its modified "Dutch auction" tender offer (the "Tender Offer") to purchase for cash up to $25,000,000 of its outstanding shares of Class A common stock, par value $0.0001 per share ("Class A common stock" or the "shares"), at a price per share not less than $0.98 and not more than $1.20, less any applicable withholding taxes and without interest, which expired at 12:00 midnight, New York City time, at the end of the day on June 10, 2026. In accordance with the terms and conditions of the Tender Offer and based on the preliminary count by the depositary, the Company expects to repurchase a total of 6,140,642 shares of Class A common stock through the Tender Offer at a price of $1.20 per share, for a total cost of $7,368,770.40, excluding fees and expenses. Based on the preliminary count by the depositary for the Tender Offer, a total of 6,140,642 shares of Class A common stock were validly tendered and not validly withdrawn at or below the price of $1.20 per share, including 717,389 shares that were tendered through notice of guaranteed delivery. The total of 6,140,642 shares that the Company expects to accept for repurchase would result in a reduction of the Company’s total outstanding shares of Class A common stock as of June 10, 2026 of approximately 6.9%. As previously disclosed, the Company expects to fund the purchase of shares in the Tender Offer with cash on hand. "We launched this tender offer because we believed, and continue to believe, Expensify is meaningfully undervalued, and because it gave shareholders flexibility. Shareholders who wanted liquidity had the opportunity to take it, while those who remained invested increased their ownership percentage in the company," said David Barrett, CEO of Expensify. "We remain confident in Expensify’s product, brand, customer base, and long-term opportunity, and we believe repurchasing shares at these levels is an attractive use of capital." "The tender offer was substantially undersubscribed, with $7.4 million of shares tendered against our stated goal to repurchase up to $25.0 million," said Ryan Schaffer, CFO of Expensify. "Shareholders had a clear opportunity to sell, and the vast majority chose to stay. We view that as a strong signal that many shareholders share our belief that there is upside to Expensify’s current valuation, and we will continue to look for disciplined ways to return excess capital to shareholders over time." The number of shares expected to be purchased in the Tender Offer, the purchase price per share are preliminary and subject to change. The preliminary information contained in this press release is subject to confirmation by the depositary and is based on the assumption that all shares tendered through notice of guaranteed delivery will be delivered within the required one business day period. The final number of shares to be purchased in the Tender Offer, the final purchase price per share will be announced following the expiration of the guaranteed delivery period and the completion by the depositary of the confirmation process. Payment for the shares accepted for purchase pursuant to the Tender Offer, and the return of all other shares tendered and not purchased, will occur promptly following the completion of the confirmation process. Citizens JMP Securities, LLC, is acting as dealer manager for the Tender Offer. The information agent for the Tender Offer is Georgeson LLC, and the depositary is Computershare Trust Company, N.A. FORWARD-LOOKING STATEMENTS Certain statements made in this press release constitute forward-looking statements, including with respect to the Company’s expectations regarding its purchase of shares of Class A Common Stock in the Tender Offer and the Company’s strategy, future financial condition, future operations, and prospects. All statements contained in this press release that do not relate to matters of historical fact should be considered forward-looking statements, including, without limitation, statements regarding the Tender Offer. These forward-looking statements are based on management’s current expectations. These statements are neither promises nor guarantees, but involve known and unknown risks, uncertainties and other important factors that may cause Expensify’s actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements, including the risks discussed in Expensify’s filings with the SEC, including Expensify’s Annual Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q. Expensify undertakes no obligation to update publicly any forward-looking statements, whether as a result of future events, new information or otherwise, except as required by law. About Expensify. Inc. Expensify, Inc. (Nasdaq: EXFY) is the easiest way to do your expenses, travel, and corporate cards. Built for businesses of all sizes and trusted by 15 million members worldwide, Expensify is a top-rated app across G2, TrustRadius, Capterra, and more. View source version on businesswire.com: https://www.businesswire.com/news/home/20260611393939/en/ Contacts Nick Tooker – Head of Investor Relations – [email protected]

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Management attributes the 6% year-over-year revenue decline to ongoing top-line pressure, countered by a strategic focus on business fundamentals and profitability. The 'Bring Your Own Card' (BYOC) strategy was accelerated to remove adoption barriers, allowing customers to automate expenses without switching corporate card providers. Interchange revenue grew 10% year-over-year to $5.5 million, demonstrating the continued performance and scaling of the Expensify Card ecosystem. Product velocity increased with over 30 improvements in Q1, focusing on practical finance workflows, spend visibility, and automated approval routing. Strategic partnerships were expanded through renewals with ANZ and Kiwibank, alongside new ERP integrations with Campfire and Rillet to embed Expensify into existing business systems. The company is transitioning from a traditional expense management tool to a collaborative, AI-focused platform to capture a perceived massive market opportunity. Management anticipates a potential inflection point driven by product momentum, BYOC expansion, and major AI capabilities scheduled for launch in June. Full-year 2026 free cash flow guidance is maintained at $6 million to $9 million, reflecting a conservative outlook despite positive early-quarter trends. April 2026 paid active members rose to 641,000, which management views as an encouraging sign for Q2 performance relative to the Q1 average. Engineering resources are shifting from large capital projects toward hardening performance and rapidly integrating features based on direct customer feedback. The long-term strategy relies on migrating the remaining customer base to 'New Expensify' to leverage modern collaborative and AI features. Free cash flow of $2.5 million was impacted by a one-time $2.6 million legal payment related to a settled class action lawsuit. Operating cash flow of $0.1 million was significantly influenced by the specific timing of customer payments during the quarter. Management identified performance lag for larger customers on the new platform as a current friction point that engineering is actively addressing. The migration process remains a 'carrot-based' approach, avoiding forced transitions to ensure a high-quality user experience for legacy customers. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. CEO David Barrett noted that the 'New Expensify' platform is reaching the end of a long investment cycle, with positive anecdotal evidence from migrating customers. The inflection is supported by 'new native' customers who adopt the modern platform immediately, validating design decisions around AI and collaboration. Approximately 60% of the classic customer base has migrated to the new platform so far. Management is intentionally pacing the migration to ensure performance meets the needs of larger customers before they move over. Management intends to continue using incentives ('carrots') rather than mandates ('sticks') to move the remaining 40% of users. The primary challenge is currently managing high enthusiasm for new features against the need for better platform performance for large-scale enterprises.

Interchange revenue derived from the Expensify Card grew to $5.5 million, an increase of 10% as compared to the same period last year. SAN FRANCISCO, May 07, 2026--(BUSINESS WIRE)--Expensify, Inc. (Nasdaq: EXFY), the easiest way to manage expenses, corporate cards, and travel, today released a letter to shareholders from Founder and CEO David Barrett alongside results for its quarter ended March 31, 2026. A Message From Our Founder In Q1 2026, Expensify continued to advance its growth strategy by expanding distribution partnerships, strengthening its product ecosystem, and accelerating development of New Expensify. The company made progress on its Bring Your Own Card strategy, enabling customers to connect existing corporate and personal cards through integrations with more than 10,000 banks, while adding or renewing strategic relationships with the Institute of Commercial Payments, ANZ Bank, and Kiwibank. Expensify also expanded its commercial ecosystem through new agreements with Campfire ERP and Rillet ERP and a new travel integration with American Airlines. Product development remained strong, with more than 30 improvements shipped during the quarter across Home, Insights, Concierge, card controls, expense automation, reporting, and mobile receipt management, including merchant rules, GPS mileage tracking, enhanced analytics, virtual card controls, and expanded accountant workflows. Together with continued Expensify Card interchange growth, positive free cash flow, and an increase in April 2026 paid active users relative to the Q1 2026 average, these initiatives reflect continued progress toward improving adoption, increasing automation, and positioning the business for future growth. -david Founder and CEO of Expensify Financial First Quarter 2026 Highlights Revenue, net was $34.0 million, a decrease of 6% compared to the same period last year. Generated $0.1 million of cash from operating activities. Free cash flow was $2.5 million, which includes a $2.6 million one time payment related to settling the shareholder class action lawsuit. Net loss was $2.3 million, compared to $3.2 million for the same period last year. Non-GAAP net income was $3.6 million. Adjusted EBITDA was $6.2 million. Interchange revenue derived from the Expensify Card grew to $5.5 million, an increase of 10% compared to the same period last year. See Financial Outlook section for Free Cash Flow guidance for fiscal year ending December 31, 2026. Business First Quarter 2026 Highlights Paid members - Paid members were 632,000, a decrease of 4% from the same period last year. Partnerships - The company launched integrations with Campfire ERP, Rillet ERP, and American Airlines; the company announced strategic partnerships with Xero, ANZ Bank, Kiwi Bank, and the Institute of Commercial Payments. Product improvements - The company released over 30 product improvements in Q1, highlighted by merchant level rules, an action driven homepage, and powerful new insights. Financial Outlook Expensify's outlook statements are based on current estimates, expectations and assumptions and are not a guarantee of future performance. The following statements are forward-looking and actual results could differ materially depending on market conditions and the factors set forth under "Forward-Looking Statements" below. There can be no assurance that the Company will achieve the results expressed by this guidance. Free Cash Flow Expensify estimates Free Cash Flow of $6.0 million - $9.0 million for the fiscal year ending December 31, 2026. The Company does not provide a reconciliation for free cash flow estimates on a forward-looking basis because it is unable, without making unreasonable efforts, to provide a meaningful or reasonably accurate calculation or estimation of net cash provided by operating activities and certain reconciling items on a forward-looking basis, which could be significant to the Company's results. Stock Based Compensation An estimate of expected stock-based compensation for the next four fiscal quarters is as follows, which is driven primarily by the pre-IPO grant of RSUs issued to all employees (which vest quarterly over eight years with approximately three years remaining). Est. stock-based compensation (millions) Availability of Information on Expensify’s Website Investors and others should note that Expensify routinely announces material information to investors and the marketplace using SEC filings, press releases, public conference calls, webcasts and the Expensify Investor Relations website at https://ir.expensify.com. While not all of the information that the Company posts to its Investor Relations website is of a material nature, some information could be deemed to be material. Accordingly, the Company encourages investors, the media and others interested in Expensify to review the information that it shares on its Investor Relations website. Conference Call Expensify will host a video call to discuss the financial results and business highlights at 2:00 p.m. Pacific Time today. An investor presentation and the video call information is available on Expensify’s Investor Relations website at https://ir.expensify.com. A replay of the call will be available on the site for three months. Non-GAAP Financial Measures In addition to financial measures prepared in accordance with U.S. generally accepted accounting principles ("GAAP"), we provide certain non-GAAP financial measures, including adjusted EBITDA, non-GAAP net (loss) income, and free cash flow. We believe our non-GAAP financial measures are useful in evaluating our business, measuring our performance, identifying trends affecting our business, formulating business plans and making strategic decisions. Accordingly, we believe that these non-GAAP financial measures provide useful information to investors and others in understanding and evaluating our results of operations in the same manner as our management team. These non-GAAP financial measures are presented for supplemental informational purposes only, should not be considered a substitute for financial information presented in accordance with GAAP, and may be different from similarly titled metrics or measures presented by other companies. Non-GAAP financial measures have limitations as analytical tools and should not be considered in isolation or as substitutes for financial information presented under GAAP. There are a number of limitations related to the use of non-GAAP financial measures versus comparable financial measures determined under GAAP. For example, other companies in our industry may calculate these non-GAAP financial measures differently or may use other measures to evaluate their performance. All of these limitations could reduce the usefulness of these non-GAAP financial measures as analytical tools. Investors are encouraged to review the related GAAP financial measures and the reconciliations of these non-GAAP financial measures to their most directly comparable GAAP financial measures and to not rely on any single financial measure to evaluate our business. A reconciliation of each non-GAAP financial measure to the most directly comparable financial measure stated in accordance with GAAP is at the end of this press release. Adjusted EBITDA. We define adjusted EBITDA as net loss excluding provision for income taxes, other income, net, depreciation and amortization, and stock-based compensation expense. Non-GAAP net income. We define non-GAAP net income as net loss excluding stock-based compensation expense. Free cash flow. We define free cash flow as net cash provided by operating activities excluding changes in settlement assets, net and settlement liabilities, reduced by the purchases of property and equipment and software development costs. The tables at the end of the Condensed Consolidated Financial Statements provide reconciliations to the most directly comparable GAAP financial measure to each of these non-GAAP financial measures. Forward-Looking Statements Forward-looking statements in this press release, or made during the earnings call, which are not historical facts, are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1955. These statements include statements regarding our strategy, future financial condition, future operations, future cash flow, projected costs, prospects, plans, objectives of management and expected market growth, product developments and their potential impact and our stock-based compensation estimates and involve known and unknown risks that are difficult to predict. As a result, our actual results, performance or achievements may differ materially from those expressed or implied by these forward-looking statements. In some cases, you can identify forward-looking statements because they contain words such as "may," "will," "shall," "should," "expects," "plans," "anticipates," "could," "intends," "target," "projects," "contemplates," "believes," "estimates," "predicts," "potential," "goal," "ambition," "objective," "seeks," "outlook," or "continue" or the negative of these words or other similar terms or expressions that concern our expectations, strategy, plans, or intentions. Such forward-looking statements are necessarily based upon estimates and assumptions that, while considered reasonable by us and our management, are inherently uncertain. Factors that may cause actual results to differ materially from current expectations include, but are not limited to: the impact on inflation on us and our members; our borrowing costs, which have and may continue to increase as a result of increases in interest rates; our expectations regarding our financial performance and future operating performance; our ability to attract and retain members, expand usage of our platform, sell subscriptions to our platform and convert individuals and organizations into paying customers; the timing and success of new features, integrations, capabilities and enhancements by us, or by competitors to their products, or any other changes in the competitive landscape of our market; the amount and timing of operating expenses and capital expenditures that we may incur to maintain and expand our business and operations to remain competitive; the sufficiency of our cash, cash equivalents and investments to meet our liquidity needs; our ability to make required payments under and to comply with the various requirements of our current and future indebtedness; our cash flows, the prevailing stock prices, general economic and market conditions and other considerations that could affect the specific timing, price and size of repurchases under our stock repurchase program or our ability to fund any stock repurchases; geopolitical tensions, including the war in Ukraine and the conflict in Israel, Gaza and surrounding areas; our ability to effectively manage our exposure to fluctuations in foreign currency exchange rates; the size of our addressable markets, market share and market trends; anticipated trends, developments and challenges in our industry, business and the highly competitive markets in which we operate; any adverse impact on our business operations as a result of using artificial intelligence or other machine learning technologies in our services; our expectations regarding our income tax liabilities and the adequacy of our reserves; our ability to effectively manage our growth and expand our infrastructure and maintain our corporate culture; our ability to identify, recruit and retain skilled personnel, including key members of senior management; the safety, affordability and convenience of our platform and our offerings; our ability to successfully defend litigation brought against us; our ability to successfully identify, manage and integrate any existing and potential acquisitions of businesses, talent, technologies or intellectual property; general economic conditions in either domestic or international markets, including geopolitical uncertainty and instability, and their effects on software spending; our ability to protect against security incidents, technical difficulties, or interruptions to our platform; our ability to maintain, protect and enhance our intellectual property; the impact of tariffs and global trade disruptions on us, our customers and our vendors, including the impact on inflation, supply chains and consumer sentiment; and other risks discussed in our filings with the SEC. All forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements set forth above. We caution you not to place undue reliance on any forward-looking statements, which are made only as of the date of this press release. We do not undertake or assume any obligation to update publicly any of these forward-looking statements to reflect actual results, new information or future events, changes in assumptions or changes in other factors affecting forward-looking statements, except to the extent required by applicable law. If we update one or more forward-looking statements, no inference should be drawn that we will make additional updates with respect to those or other forward-looking statements. About Expensify Expensify is the easiest way to do your expenses, travel, and corporate cards. Built for businesses of all sizes and trusted by 15 million members worldwide, Expensify is a top-rated app across G2, TrustRadius, Capterra, and more. Learn more at use.expensify.com. View source version on businesswire.com: https://www.businesswire.com/news/home/20260507810102/en/ Contacts Investor Relations Contact Nick Tooker [email protected] Press Contact James Dean [email protected]