Affirm

AFRM Q4 2025 Earnings

Reported Aug 28, 2025 at 4:06 PM ET · SEC Source

Q4 25 EPS

$0.20

BEAT +62.87%

Est. $0.12

Q4 25 Revenue

$876.4M

vs S&P Since Q4 25

-39.4%

TRAILING MARKET

AFRM -27.6% vs S&P +11.7%

Full Year 2025 Results

FY 25 EPS

$0.15

MISS 92.47%

Est. $1.99

FY 25 Revenue

$3.22B

BEAT +1.28%

Est. $3.18B

Market Reaction

Did AFRM Beat Earnings? Q4 2025 Results

Affirm closed fiscal Q4 2025 with a landmark quarter, delivering earnings per share of $0.20 against a consensus estimate of $0.12, a 62.87% beat, while revenue climbed 33.0% year-over-year to $876.42 million, ahead of the $835.68 million the Street … Read more Affirm closed fiscal Q4 2025 with a landmark quarter, delivering earnings per share of $0.20 against a consensus estimate of $0.12, a 62.87% beat, while revenue climbed 33.0% year-over-year to $876.42 million, ahead of the $835.68 million the Street had expected. The headline story, however, was the company's first-ever GAAP operating profit, a $58.06 million gain that represented a $132 million swing from the prior year's loss and fulfilled a commitment CEO Max Levchin made twelve months ago. The catalyst behind the profitability inflection was a $116 million increase in Revenue Less Transaction Costs, aided by declining enterprise warrant expenses. Gross Merchandise Volume surged 43% to $10.40 billion, with the Affirm Card emerging as a particular standout, Card GMV more than doubled to $1.20 billion as active cardholders reached 2.3 million. Shares rallied on the results, reflecting investor confidence in full-year FY26 guidance targeting more than $46 billion in GMV and an adjusted operating margin above 26.1%.

Key Takeaways

  • GMV grew 43% to $10.4 billion driven by strength with largest merchant partners, 0% APR monthly installment loans, and direct-to-consumer business
  • 0% APR monthly installment GMV grew 93% with merchants funding these offers more than doubling to over 25,000
  • Affirm Card GMV grew 132% to $1.2 billion with active cardholders nearly doubling to 2.3 million
  • Direct-to-consumer GMV grew 61% to $3.1 billion
  • In-store Card spend grew 187%
  • Average annualized cost of funds declined approximately 90 basis points year-over-year to 6.8%
  • Revenue per employee reached approximately $1.5 million in FY'25
  • 30+ day delinquencies ex-Peloton declined 15 basis points quarter-over-quarter and 18 basis points year-over-year
  • Transactions per active consumer increased to 5.8 from 4.9
  • Top five merchant and platform partners collectively grew GMV 41%
24/7 Wall St

AFRM YoY Financials

Q4 2025 vs Q4 2024, source: SEC Filings

24/7 Wall St

AFRM Revenue by Segment

With YoY comparisons, source: SEC Filings

Q2 23 Q2 26

“Only a few moments ago it was a matter of some debate (outside our walls, of course) whether Affirm would so much as survive the rising Fed funds rate, let alone turn a profit. And a few before that, whether it was possible to make money in consumer lending without the profit pools afforded by late fees and compounding interest.”

— Max Levchin, Q4 2025 Earnings Press Release