Affirm Forecasts 29% Growth, Partners with Lowe’s for 0% APR Plans
Affirm partners with Lowe’s to offer 0% APR home renovation financing and lists Lowe’s on its marketplace, expanding its merchant network to 478,000. The company forecasts fiscal 2026 revenue growth of 29% with adjusted operating margins up to 28%, holds $2.3B cash vs. $1.1B convertible debt and surging free cash flow.
1. Lowe’s Partnership and 0% APR Financing
Affirm has integrated its installment plans into Lowe’s digital checkout, allowing eligible customers to split home renovation purchases into biweekly or monthly payments at 0% APR. The deal also features Lowe’s on Affirm’s marketplace, broadening its reach to shoppers across a network of 478,000 merchants.
2. Fiscal 2026 Revenue and Margin Guidance
Management projects fiscal 2026 revenue will increase by 29% year-over-year, with adjusted operating margins potentially reaching 28% as profitability continues to improve. This guidance reflects confidence in sustained demand for buy-now-pay-later solutions despite signs of decelerating volume growth.
3. Balance Sheet and Cash Flow Strength
Affirm holds $2.3 billion in cash against $1.1 billion in convertible debt, supporting strategic investments and growth initiatives. Recent financials show a sharp jump in free cash flow, underscoring the company’s ability to fund operations and pursue merchant partnerships without diluting shareholders.