Get 40% Off
💰 Buffett reveals a $6.7B stake in Chubb. Copy the full portfolio for FREE with InvestingPro’s Stock Ideas toolCopy Portfolio

Affirm's lifts FY gross merchandise volume outlook, still misses consensus

Published 2024-02-08, 04:26 p/m
© Reuters.
AFRM
-

Affirm Holdings (NASDAQ:AFRM) raised its gross merchandise volume (GMV) forecast for the full year, however the outlook still trailed analysts' consensus.

Shares fell 4.7% in after-hours trade.

The buy-now-pay-later (BNPL) company is anticipating its FY GMV to exceed $25.25 billion, up from the previous projection of over $24.25 billion. However, analysts were expecting a raise to $25.45 billion.

For the third quarter, Affirm anticipates revenue in the range of $530 million to $550 million, surpassing the estimate of $491.6 million. GMV for the quarter is forecasted to be between $5.8 billion and $6 billion, in line with the consensus.

In the second quarter, Affirm reported a loss per share of 54 cents, better than the expected loss per share of 73 cents. Revenue for the quarter reached $591 million, marking a significant 48% year-on-year increase and beating estimates of $519.2 million.

“This time last year, we reiterated our commitment to building operating leverage without sacrificing credit performance, volume growth, or innovation. The market wasn’t exactly convinced then, but 12 months later, we have done exactly what we said we would,” said Max Levchin, founder and CEO of Affirm.

The company's GMV for the quarter hit $7.5 billion, exceeding the estimated $6.95 billion.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.