Chime raises annual revenue forecast on robust demand

Nov 4 (Reuters) - Fintech ‌firm Chime ​raised ​its forecast for full-year revenue growth above Wall Street estimates on Wednesday, ‌betting on sustained demand for its digital ⁠banking products.

Here are more details:

• Consumer spending remained resilient, ‌supporting growth in the ‌sector as households and businesses continued to spend despite higher oil prices and inflationary pressures ​stemming from the US war with Iran.

• "While consumers are expressing concern about affordability, the ⁠reality is they're actually remaining very resilient and confident in ​how they spend," Mark Troughton, interim CFO, told Reuters, adding that the company ​was seeing "a very strong and ‌resilient consumer."

• The San Francisco-based fintech firm now expects revenue growth of ⁠28% in 2026, compared with an expectation of 26.6%, according to estimates compiled by LSEG.

• It ⁠forecast fourth-quarter revenue between $757 million and $767 million, above analysts' ​estimates of $745.6 million.

• The company reported revenue of $718 million for the third quarter, up 32% over last year.

• ‌Chime's purchase volume, including outbound instant transfer, increased 22% year-over-year to $40 billion ‌in the quarter, while active members grew 20% ⁠to 10.9 million.

• ‌Average revenue per ​active member (ARPAM) increased 10% to $270.

(Reporting by Prakhar Srivastava in Bengaluru; Editing by Shailesh ‌Kuber)

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