Happen, Inc.
For the period ended Jun 30, 2026. Filed Jul 30, 2026.
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A company's report for each of its first three quarters. The financial statements are not audited. It shows how the business has moved since the last annual report, and what management says changed.
Jun 30, 2026 · Filed Jul 30, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
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Non-Interest Expense
Non-interest expense primarily consists of (i) compensation and benefits, which include salaries and wages, benefits and stock-based compensation expense, (ii) marketing, which includes costs attributable to borrower and deposit customer acquisition efforts and building general brand awareness, (iii) equipment and software, (iv) depreciation and amortization, (v) professional services, which primarily consist of consulting fees, and (vi) occupancy, which includes rent expense and all other costs related to occupying our office spaces.
| Three Months Ended · Change (%) | |||||
|---|---|---|---|---|---|
| June 30,2026 | March 31,2026 | June 30,2025 | Q2 2026 vs Q1 2026 | Q2 2026vs Q2 2025 | |
| Non-interest expense: | |||||
| Compensation and benefits | $68,221 | $65,514 | $61,989 | 4% | 10% |
| Marketing | 62,580 | 55,415 | 33,580 | 13% | 86% |
| Equipment and software | 15,846 | 15,293 | 14,495 | 4% | 9% |
| Depreciation and amortization | 18,152 | 15,819 | 15,460 | 15% | 17% |
| Professional services | 11,989 | 11,767 | 10,300 | 2% | 16% |
| Occupancy | 4,982 | 6,391 | 4,787 | (22)% | 4% |
| Other non-interest expense | 16,345 | 14,334 | 14,107 | 14% | 16% |
| Total non-interest expense | $198,115 | $184,533 | $154,718 | 7% | 28% |
| Six Months EndedJune 30, | |||
|---|---|---|---|
| 2026 | 2025 | Change (%) | |
| Non-interest expense: | |||
| Compensation and benefits | $133,735 | $120,378 | 11% |
| Marketing | 117,995 | 62,819 | 88% |
| Equipment and software | 31,139 | 29,139 | 7% |
| Depreciation and amortization | 33,971 | 29,369 | 16% |
| Professional services | 23,756 | 20,064 | 18% |
| Occupancy | 11,373 | 9,132 | 25% |
| Other non-interest expense | 30,679 | 27,684 | 11% |
| Total non-interest expense | $382,648 | $298,585 | 28% |
Compensation and Benefits
Sequential: Compensation and benefits expense increased $2.7 million, or 4%, for the second quarter of 2026 compared to the first quarter of 2026. The increase in compensation and benefits expense was primarily due to an increase in variable compensation expense.
Year Over Year: Compensation and benefits expense increased $6.2 million, or 10%, for the second quarter of 2026 compared to the same period in 2025. The increase was primarily due to an increase in headcount.
Six Months Over Six Months: Compensation and benefits expense increased $13.4 million, or 11%, for the first half of 2026 compared to the same period in 2025. The increase in compensation and benefits expense was primarily due to an increase in headcount.
Marketing
As a result of our fair value option election, marketing expenses associated with newly originated HFI loans are now recognized in current period earnings at the time of origination, rather than being deferred and recognized over time under amortized cost accounting. Accordingly, marketing expense for the first half of 2026 includes costs associated with the origination of both HFI and HFS loans, whereas prior periods reflect only marketing expenses related to the origination of HFS loans.
Sequential: Marketing expense increased $7.2 million, or 13%, for the second quarter of 2026 compared to the first quarter of 2026.
Year Over Year: Marketing expense increased $29.0 million, or 86%, for the second quarter of 2026 compared to the same period in 2025.
Six Months Over Six Months: Marketing expense increased $55.2 million, or 88%, for the first half of 2026 compared to the same period in 2025.
The increases in marketing expense were primarily due to an increase in variable marketing expenses based on higher origination volume. In addition, marketing expense for 2026 includes the immediate recognition of marketing costs for newly originated HFI loans under the fair value option.
Equipment and Software
Sequential: Equipment and software expense remained relatively flat for the second quarter of 2026 compared to the first quarter of 2026.
Year Over Year: Equipment and software expense increased $1.4 million, or 9%, for the second quarter of 2026 compared to the same period in 2025.
Six Months Over Six Months: Equipment and software expense increased $2.0 million, or 7%, for the first half of 2026 compared to the same period in 2025.
The increases in equipment and software expense were primarily due to an increase in software license expense and cloud services.
Depreciation and Amortization
Sequential: Depreciation and amortization expense increased $2.3 million, or 15%, for the second quarter of 2026 compared to the first quarter of 2026.
Year Over Year: Depreciation and amortization expense increased $2.7 million, or 17%, for the second quarter of 2026 compared to the same period in 2025.
Six Months Over Six Months: Depreciation and amortization expense increased $4.6 million, or 16%, for the first half of 2026 compared to the same period in 2025.
The increases in depreciation and amortization expense were primarily due to impairment of internally-developed software recognized in the second quarter of 2026 and an increase in the amortization of internally-developed software placed into service.
Professional Services
Sequential: Professional services remained relatively flat for the second quarter of 2026 compared to the first quarter of 2026.
Year Over Year: Professional services increased $1.7 million, or 16%, for the second quarter of 2026 compared to the same period in 2025.
Six Months Over Six Months: Professional services increased $3.7 million, or 18%, for the first half of 2026 compared to the same period in 2025.
The increases in professional services expense were primarily due to an increase in business consulting services.
Occupancy
Sequential: Occupancy expense decreased $1.4 million, or 22%, for the second quarter of 2026 compared to the first quarter of 2026.
Year Over Year: Occupancy expense remained relatively flat for the second quarter of 2026 compared to the same period in 2025.
Six Months Over Six Months: Occupancy expense increased $2.2 million, or 25%, for the first half of 2026 compared to the same period in 2025.
The changes in occupancy expense were primarily due to costs incurred in the first quarter of 2026 in connection with the relocation of our headquarters, partially offset by the expiration of our former headquarters’ lease in April 2026.
Other non-interest expense
Sequential: Other non-interest expense increased $2.0 million, or 14%, for the second quarter of 2026 compared to the first quarter of 2026.
Year Over Year: Other non-interest expense increased $2.2 million, or 16%, for the second quarter of 2026 compared to the same period in 2025.
Six Months Over Six Months: Other non-interest expense increased $3.0 million, or 11%, for the first half of 2026 compared to the same period in 2025.
The changes in other non-interest expense were primarily due to changes in miscellaneous operating expenses.
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.