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Affirm Holdings (AFRM) Reports Q1 Earnings: What Key Metrics Have to Say

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Affirm Holdings (AFRM - Free Report) reported $698.48 million in revenue for the quarter ended September 2024, representing a year-over-year increase of 40.7%. EPS of -$0.31 for the same period compares to $0.00 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $661.39 million, representing a surprise of +5.61%. The company delivered an EPS surprise of +13.89%, with the consensus EPS estimate being -$0.36.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Affirm Holdings performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Gross Merchandise Volume (GMV): $7,600 billion versus $7,276.79 billion estimated by four analysts on average.
  • Active Consumers: 20 versus 19 estimated by two analysts on average.
  • Revenue- Merchant network: $184.34 million versus $194.18 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +26.3% change.
  • Revenue- Card network: $47.48 million compared to the $42.92 million average estimate based on four analysts. The reported number represents a change of +41.8% year over year.
  • Revenue- Interest income: $377.06 million versus $348.04 million estimated by four analysts on average. Compared to the year-ago quarter, this number represents a +43.6% change.
  • Revenue- Servicing income: $25.98 million compared to the $29.31 million average estimate based on four analysts. The reported number represents a change of +28.9% year over year.
  • Revenue- Gain on sales of loans: $63.61 million versus the four-analyst average estimate of $55.56 million. The reported number represents a year-over-year change of +85.5%.
View all Key Company Metrics for Affirm Holdings here>>>

Shares of Affirm Holdings have returned +15.6% over the past month versus the Zacks S&P 500 composite's +3.2% change. The stock currently has a Zacks Rank #1 (Strong Buy), indicating that it could outperform the broader market in the near term.

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