Affirm Q2 EPS Jumps 61%, Revenue Surges 30% to $1.1B
Affirm posted fiscal Q2 EPS of $0.37, a 60.9% increase, beating estimates by 32.1% on 30% revenue growth to $1.1B. Active merchants rose 42% to 478,000 and GMV jumped 36% to $13.8B, while adjusted operating margin expanded 300 basis points to 30%.
1. Q2 Financial Highlights
Affirm reported fiscal second-quarter EPS of $0.37, up 60.9% year over year, beating consensus by 32.1%. Net revenues reached $1.1 billion, a 30% increase that exceeded the company’s $1.03–1.06 billion guidance range.
2. Top-Line and Merchant Growth
Active merchant count climbed 42% to 478,000 while gross merchandise value grew 36% to $13.8 billion, outpacing the $13–13.3 billion forecast. Total transactions rose 44% to 54.9 million, driven by repeat customer engagement and expanded point-of-sale integrations.
3. Margin Expansion and Expenses
Adjusted operating income rose 41.7% to $337 million, lifting the adjusted operating margin by 300 basis points to 30%. Operating expenses increased 15.5% due to higher provisions for credit losses and funding costs, offset by a 27.4% reduction in sales and marketing spend.
4. Outlook and Guidance
For Q3, Affirm forecasts GMV of $11–11.25 billion, revenue between $0.97–1.0 billion and an adjusted margin of 24.5–25.5%. Fiscal 2026 guidance calls for GMV of $48.3–48.85 billion, revenue of $4.086–4.146 billion and a 27.4–28.1% adjusted operating margin.