Greetings, and welcome to Dave Fourth Quarter 2021 Earnings Call. At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded. This afternoon, Dave issued a press release announcing results for the fourth quarter and the fiscal year that ended on December 31, 2021, which can be found on investors.dave.com. We would like to remind you that during this conference call management will be making forward-looking statements, including statements regarding expectations related to financial guidance, outlook for the sector and company, and the expected investment in growth initiative. Please note these forward-looking statements are based on current expectations and assumptions, which are subject to risks and uncertainties. These statements reflect the company's views only as of today, should not be relied upon as representative of view as of any subsequent date, and Dave undertakes no obligation to revise or publicly release the results of any revision to these forward-looking statements in light of new information or future events. These statements are subject to a variety of risks and uncertainties that could cause actual results to differ materially from expectations. For a further discussion of the material risks and other important factors that could affect our financial results, please refer to the company's filings with the SEC, including its Form 8-K filed with the SEC on January 11, 2022. In addition, during today's call, the company will discuss non-GAAP financial measures which they believe are useful as a supplement measure of Dave's performance. These non-GAAP measures should be considered in addition to, and not as a substitute for or in isolation from GAAP results. You will find additional disclosures regarding the non-GAAP financial measures discussed on today's call in Dave's press release, issued this afternoon, and its filings with the SEC, each of which is posted on the Dave Web site. The webcast of this call will also be available on the Investor Relations section of the company Web site. It is now my pleasure to introduce your host, Mr. Jason Wilk, CEO, President, and Chairman of the Board. Thank you, Mr. Wilk. You may begin.

Thank you, Operator. I would like to add my own welcome to our first earnings call as a public company. Our public market listing, in January, was a significant milestone as we continue on our mission to build products that level the financial playing field for millions of Americans. I want to thank all my colleagues and shareholders for making this dream a reality. I am so proud of everything we've accomplished so far, and even more excited to take this next step on our journey together. For today's call, I would like to begin by providing a brief overview of Dave for those who are not as familiar with our story. I will then briefly share some highlights on the quarter, recap our growth strategy to create long-term shareholder value, and then turn it to our CFO, Kyle Beilman, who will discuss our fourth quarter results as well as our guidance for 2022. First and foremost, Dave is a technology company building financial solutions to serve everyday Americans who are struggling with some or all aspects of their financial lives. We have built one of the largest digital banking platforms in the world with over six million members in the U.S. We're serving a massive market with an estimated 150 million people who still need our help in the U.S. alone. We think of our market across two key groups, the financially vulnerable and financially coping. By our estimates, there are 35 million people that are financially vulnerable, struggling with every aspect of their financial life. Those are customers who overdraft 10 to 20 times per year, and are reliant on single-pay credit, and those who need help building credit and finding new work opportunities. There is an estimated 135 million people that are financially coping, struggling with some…

Thank you, Jason. Even this is our first earnings call. I wanted to briefly discuss our financial model before I review our 2021 results and share our outlook for the full year 2022. We have two main revenue streams, first service base revenue, which primarily consists of optional tips and optional express processing fees associated with our ExtraCash product and subscriptions charged to members for budgeting and personal financial management service. It also includes revenue derived from lead generation fees from our Side Hustle partners, as well as fees earned related to a rewards product for members who make debit card spending transactions at participating merchants. Currently, the majority of service-based revenue is driven by engagement with ExtraCash. As our origination volume increases, we tend to see increases to both optional tips and optional processing fees. Our transaction-based revenue is associated with our Dave Banking product. We generate interchange on card and spend transactions, an ATM fee revenue when members go outside of our network of free ATMs to withdraw their cash. This revenue line item is driven by funding and spending engagement. The strategic evolution that Jason discussed previously should lead to considerable mix shift toward this revenue stream over time. With that background, let's take a closer look at our results. As Jason mentioned, we are proud of the team's performance during the quarter and the year when we showed that we can deliver growth despite the macro backdrop that he talked about. As of December 31, 2021, we have over 6 million Dave members and over 1.5 million average monthly transacting members in the fourth quarter. We're also able to make considerable progress in terms of member transaction frequency throughout the year. In Q4, our average transacting members completed an average of four-and-a-half transactions per month, an…

Thank you. We will now be conducting a question-and-answer session. [Operator Instructions] Thank you. Our first question comes from John Hecht with Jefferies. Please proceed with your question.

Good afternoon, guys. Thanks for taking my questions. The first one, you know, I appreciate all the customer count and transaction count that you gave in the quarter, I'm wondering though like when you look at the customer trends, what are you talking about, the types of product usage or the tip levels or so forth? Are you seeing any kind of changes as you guys bring on more customers?

Specifically related to tips, John…

Well, no, just the way -- the frequency of usage, the types of products that are engaging with, indoor things like tip levels, has it been pretty consistent or you're seeing any migration?

I would say it's been pretty consistent over the last several years. I think that there was some adverse selection going out of the stimulus as many customers didn't need realignments or services much, with all the government benefits, all the government benefits, but nonetheless, we did see consistency from the active user base that use the product.

Okay. And then, when it comes to the FTX partnership, how quickly will you be able to start kind of re-offering some of those crypto services across your platform as cross-selling opportunity?

We'll follow-up on that, but we think we can get something in markets, at least one product in 2022.

Okay. And then, last question is, again you did mention acquisition might be an attractive way for you to deploy capital, given all the ExtraCash, what types of things are you looking at?

So, we'll look at two different types of deals, one that could really add significant ARPU potential to the business or one that can drive a lot more further engagement. The FTX deal for us is something that would look to be a lot [decent] [Ph] driver for the business. So, more things are acquiring in that potential lane or in areas where there's again significant ARPU potential there in industries that historically have high customer acquisition costs.

Great, thank you guys very much.

Why that's important, John, is our cross-sell as proven by Dave Banking is so strong with the business, and we think we can start to roll our products that otherwise are tough to get adoption, but similar to banking where we can get attached.

Yes. Thanks, guys.

[Operator Instructions] Our next question comes from Sean Horgan with Rosenblatt. Please proceed with your question.

Hey, guys. Yes, thanks for taking my question. I just had one; I wanted to get your thoughts on the latest moves from banks moving towards reducing or completely eliminating overdraft fees. Are you seeing now or do you anticipate any pressure on this front?

If you look at the history of sort of neobanks that have been out in market for significant amount of time, their approach to overdraft has always been to not allow it. Yes, they had a hard time getting traction because as I said at the top of the call, most of our customers are relying on overdraft as a form of expensive short-term credit. So, as the banks are rolling out products that either eradicate overdraft, which we think is net negative to consumers and will push more people towards Dave, the ones that are trying to offer a customer-friendly solution, still require the customer to go negative on their account, literally going fully broke before they can access what we believe is still an unreliable experience. What we love about the Dave products is that we can use our transaction-based underwriting to get money in people's pockets the same day, as the amount of money they know they can count on, that they can use access through an ATM, through sending to friends and family. It also just gives them access to a consistent liquidity. We find that the big banks are still pretty far from coming up with a solution that's competitive today then ultimately one where we think there's a lot of defensibility around the way we monetize it with tips, knowing whatever tips are one of these major institutions.

Got it, thanks. And then, I appreciate the color on CAC, I just wanted to dig in a little bit on that one. And as, I guess specifically, what you're seeing in terms of pressures from data privacy and the traditional channels, and what percentage of your budget is allocated towards traditional performance-based marketing channels as opposed to brand marketing, influencer marketing, some of the other alternatives that we've been seeing?

I would say our mix is still largely around digital channels. And so, brands sort of outdoor television is still a pretty nascent channel for us. We've done some late testing there, but still less than 20% of our overall budget. As stated, about 30% of our customers today are coming to us completely via word-of-mouth, which we love to see. As far as the data privacy piece around your first question is that does make it harder to track how effective advertising is doing, but for all intents and purposes, we're seeing still strong performance on our direct response advertising, and we're looking forward to expanding that level of spend from there now.

Appreciate it. Thanks, guys.

Thanks.

Thank you. There are no further questions at this time. This does conclude today's conference. You may disconnect your lines at this time. Thank you for your participation.