Overview
- Affirm reported revenue of about $1.17 billion to $1.2 billion, gross merchandise volume of roughly $14.1 billion and GAAP EPS of $4.62 in its quarterly report released this week, with the EPS figure including an approximately $1.45 billion tax benefit.
- Management raised near-term guidance, forecasting fiscal first-quarter revenue of $1.19 billion to $1.22 billion and projecting fiscal 2027 GMV of more than $64 billion, and said this was the 11th consecutive quarter of GMV growth above 30 percent.
- Affirm and Shopify expanded their partnership to launch Shop Pay Installments in Australia, a merchant-driven distribution move the company said will help it enter new markets without heavy customer-acquisition spend.
- Investors pushed the stock up roughly 9 to 12 percent in early trading and several analysts raised price targets, with Citi, Susquehanna and J.P. Morgan among firms increasing valuations or reiterating Buy ratings.
- Company leaders flagged a roughly 2.5 percent 30-day delinquency rate excluding certain loan products and cited higher gas prices as a factor shaping consumer behavior, leaving credit trends and the sustainability of growth as the main items to watch going forward.