$AFRM · Affirm Holdings, Inc.
Affirm Holdings filed its 10-Q for the quarter ended September 30, 2026 (Q1 FY2027). Total revenue, net grew 35% YoY to $1.262B from $933.3M, driven by 45% growth in interest income to $658.1M and 39% growth in card network revenue. Net income more than doubled to $164.2M ($0.47 diluted EPS) from $80.7M a year earlier, with operating income up 194% to $187.1M. Provision for credit losses rose 59% to $259.4M.
- Revenue grew 35% YoY to $1.262B.
- Net income doubled to $164.2M ($0.47 diluted EPS).
- Operating income rose 194% to $187.1M.
- Provision for credit losses jumped 59% to $259.4M.
- Transactions per active consumer rose 19% to 7.3.
Extended-hours last trade $63.14, down 9.36% vs the $69.66 regular close, despite the strong headline beat — suggesting investors are focused on the 59% jump in credit-loss provisions.
Affirm delivered a strong top-and-bottom-line beat yet sold off ~9% after hours as investors weigh a 59% surge in credit-loss provisions against accelerating growth.
Affirm's 35% revenue growth and swing to sustained profitability outpace many BNPL and fintech peers, but rising credit costs echo sector-wide concerns about consumer credit quality.
Provision for credit losses rose 59% YoY to $259.4M, signaling deteriorating loan performance. Funding costs rose 22% to $134.4M amid an elevated interest-rate environment.