Expensify said the "growth engine" of its New Expensify offering is picking up even as overall revenue and paid member count in the third quarter continued a trend of decline from the previous quarter.
The company reported net revenue of $33 million in the third quarter, down 6 percent year over year, and paid members declined 2 percent year over year to 630,000. Looking solely at the mobile- and chat-focused New Expensify showed revenue growth of 30 percent in the third quarter compared with the second quarter and of 212 percent year over year, founder and CEO David Barrett said in an earnings call. Those figures include only new customers on the New Expensify and do not include customers on the Classic offering that have migrated over, he added.
He and Expensify CFO Ryan Schaffer said at the current pace, the "break-even point," when revenue growth from New Expensify customers exceeds attrition from those on the Classic platform, is on track to happen next year.
"The real challenge is that we are sort of balancing two largely unrelated systems that seem to be counteracting each other," Barrett said. "We have this quickly growing New Expensify platform, and then we have this large but slowly declining legacy Classic customer base."
Expensify also reported an acceleration in its Expensify Travel offering in the third quarter, with trips booked up 40 percent year over year and 13 percent compared with the second quarter. The company recently launched consolidated travel billing, allowing customers to pay for all business travel on a single invoice.
Schaffer said the travel offering has made Expensify better able to compete with companies like Navan that offer consolidated travel and expense platforms.
"We're very competitive in that space, and with our new consolidated travel billing…we've gotten very competitive on price as well," he said. "The travel product continues to improve, is getting more competitive and will continue to be even more competitive."
Expensify's interchange revenue for its Expensify Card offering, across both New and Classic customers, increased 8 percent year over year to $5.8 million, Schaffer said. The company in July announced an expansion of its commercial card to 13 markets outside the U.S.
The company reported a net loss of $3.3 million for the quarter, compared with a loss of $2.3 million in the third quarter of 2025.
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