AFFIRM HOLDINGS INC (NASDAQ:AFRM) Q1 2026 Earnings Beat Estimates, Stock Surges

AFFIRM HOLDINGS INC (NASDAQ:AFRM) Reports Strong Q1 2026 Results, Surpassing Analyst Expectations

Earnings Overview

Affirm Holdings Inc. has released its financial results for the first quarter of fiscal year 2026, ended September 30, 2025. The company's performance notably exceeded the projections set by Wall Street analysts, leading to a significant positive reaction in after-hours trading. The core financial metrics for the quarter demonstrate robust growth and operational execution.

• Reported Revenue: $933.3 million
• Analyst Revenue Estimate: $900.8 million
• Reported Non-GAAP EPS: $0.23
• Analyst EPS Estimate: $0.11

The company surpassed revenue expectations by approximately 3.6% and, more strikingly, delivered earnings per share that were more than double what analysts had forecasted. This substantial beat on the bottom line highlights stronger-than-anticipated profitability.

Market Reaction

The market's immediate response to the earnings report has been decisively positive. Following the announcement, Affirm's stock surged over 10% in after-market trading. This sharp upward move indicates investor approval of the company's quarterly performance and suggests a potential reversal of recent negative trends.

• After-Market Performance: +10.98%
• Recent Performance Context:
  • Last Week: -4.27%
  • Last Two Weeks: -12.68%
  • Last Month: -14.85%

The strong after-hours gain appears to be a direct rebound from the stock's performance over the preceding weeks, effectively erasing a significant portion of the recent losses in a single session based on the encouraging earnings data.

Press Release Summary

The company's press release served as a formal announcement of the Q1 FY2026 results. The key elements from the release include the confirmation that the detailed results have been published in a shareholder letter and filed with the SEC on Form 8-K. Affirm also announced it would host a conference call, led by Founder and CEO Max Levchin, COO Michael Linford, and CFO Rob O’Hare, to discuss these results with the investment community. The release reiterated the company's mission and its focus on providing financial products without late or hidden fees, though it did not provide a specific financial outlook for the coming quarters.

Looking Ahead

While the press release did not include an official company outlook, analyst estimates for Affirm's future performance provide a benchmark for investor expectations. The strong Q1 beat may lead analysts to revise these estimates upward.

• Analyst Estimates for Q2 2026:
  • Revenue: $1.07 billion
  • EPS: $0.23
• Analyst Estimates for Full Year 2026:
  • Revenue: $4.07 billion
  • EPS: $0.86

The Q2 EPS estimate of $0.23 is now level with the actual EPS just delivered in Q1, setting a high bar for the company to maintain this new level of profitability in the subsequent quarter.

For a detailed breakdown of historical earnings, future estimates, and analyst revisions, you can review the data here.

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Disclaimer: This article provides a summary of recently reported financial data and market reactions for informational purposes only. It does not constitute financial advice, an endorsement, or a recommendation to buy or sell any security. Investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.