Affirm Holdings (NASDAQ:AFRM) stock is trading lower after the company reported third-quarter financials on Thursday after market close.
Here are the highlights.
• Affirm Holdings shares are trending lower. What’s pushing AFRM stock down?
Affirm Holdings Q3 Financials
Affirm reported third-quarter revenue of $1.04 billion, up 33% year-over-year. The revenue total beat a Street consensus estimate of $993.63 million, according to data from Benzinga Pro.
The company reported earnings per share of 30 cents in the third quarter, beating a Street consensus estimate of 19 cents per share.
Gross merchandise volume was $11.6 billion in the quarter, up 35% year-over-year. This marked the 10th consecutive quarter of gross merchandise volume growth of 30% or more.
Direct-to-Consumer GMV was up 48% year-over-year to $3.7 billion in the third quarter, helped by growth of the Affirm Card.
The Affirm Card had 4.4 million active cardholders in the third quarter, with $2.1 billion in gross merchandise volume.
Total transactions were up 45% year-over-year to 45 million in the third quarter.
Affirm ended the third quarter with 26.8 million active customers, up 22% year-over-year and 515,000 active merchants, up 47% year-over-year.
“The Affirm consumer remains financially healthy,” Affirm CEO Max Levchin said. “We see neither a change in demand nor in our consumers’ ability to repay.”
The CEO said delinquencies were in line with expectations.
What’s Next For Affirm
The company highlighted several new merchants added in the third quarter, including Nordstrom, Urban Outfitters parent URBN and Sleep Number.
Affirm also announced its next “Big Nothing” event, which will be held May 13 through May 15. The event will offer 0% APR from thousands of merchant partners.
The company raised fourth-quarter revenue guidance to a new range of $1.08 billion to $1.11 billion, up from a prior range of $1.06 billion to $1.09 billion. The Street consensus estimate is $1.085 billion for fourth-quarter revenue.
Affirm also raised its full-year revenue guidance to a new range of $4.175 billion to $4.205 billion, up from a prior range of $4.086 billion to $4.146 billion. The Street consensus estimate is $4.139 billion.
Affirm Stock Price Action
Affirm stock is down 0.21% to $67.50 in after-hours trading on Thursday, versus a 52-week trading range of $42.10 to $100.
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