Home screen of the Affirm Holdings Inc. website on a laptop in a concerted photograph taken in Little Falls, New Jersey, USA, on Wednesday, December 9, 2020.
Gabby Jones | Bloomberg | Getty Images
Affirm reported better-than-expected fiscal quarter-quarter fiscal results after Thursday’s bell, including strong guidance and 71% revenue growth.
Following the report, shares soared more than 18% in expanded operations.
Here’s how the company did it:
- Income: According to a Refinitiv survey of analysts, $ 261.8 million was expected, compared to $ 225 million
- Loss per share: 48 cents per share, which is not comparable to the estimates
Affirm is one of the leading players in growing buying now, pays back space and allows people to split their purchases into installments. Founded in 2013 by PayPal co-founder Max Levchin, Affirm debuted in the stock market in January, with shares starting to trade at $ 90.90 per share, after trading at $ 49 per piece.
Affirm gave optimistic guidance for the current quarter. It expects revenue for the first fiscal quarter of 2022 to reach between $ 240 million and $ 250 million, which surpassed analysts ’estimates of $ 233.9 million.
The company had 7.1 million active customers in the fourth quarter, up from 5.4 million in the previous period.
The box office earnings report comes after Affirm announced last month that it is partnering with Amazon to launch the ecommerce giant’s first partnership with a pay-as-you-go player. The partnership allows Amazon customers in the U.S. to split purchases of $ 50 or more into smaller monthly fees.
In the earnings report, Affirm said its full-year and first-quarter fiscal guidelines do not take into account any potential contribution to revenue or gross volume of goods from the partnership with Amazon, which is currently ‘is testing select customers, before deploying more broadly in the coming months.
– Kate Rooney of CNBC contributed to this report.