Affirm Q4 2026 earnings beat: revenue and GMV top estimates

Affirm Q4 2026 earnings beat: revenue and GMV top estimates

Fri, August 28, 2026 at 8:37 PM GMT+3 2 min read

• AFRM +3.68%

Affirm Holdings reported fiscal fourth-quarter results Thursday that topped Wall Street expectations on revenue and transaction volume, sending Affirm stock up roughly 7% on Friday.

Revenue rose 33% to $1.17 billion in the three months ended June 30. Analysts had expected $1.11 billion, according to CNBC. Gross merchandise volume — the total dollar value of transactions processed on Affirm's platform — climbed 36% to $14.1 billion. That topped the $13.39 billion analyst estimate, according to CNBC.

Adjusted operating income reached $353 million in the quarter, representing an adjusted operating margin of 30%. GAAP operating income was $147 million, giving the company a GAAP operating margin of 12.6%, up six percentage points from a year earlier.

For the full fiscal year ended June 30, gross merchandise volume reached $50.2 billion, up from $36.7 billion a year earlier. Annual revenue came in at $4.26 billion.

Active consumers grew 21% to 27.8 million, while transactions per active consumer increased 20% to 7.0. The company's Affirm Card business drew 5.2 million active consumers, up 125% from the prior year.

On credit quality, the 30-day delinquency rate on monthly installment loans, excluding Peloton and Pay in X loans, came in at 2.5% — an improvement from the 2.7% to 2.8% range that had prevailed in each of the previous three quarters.

The company also said it would team up with Shopify to bring Shop Pay Installments to Australia, according to Barron's.

For fiscal first-quarter 2027, the company said it expects revenue of $1.19 billion to $1.22 billion and GMV of $13.7 billion to $14.0 billion. For the full fiscal year 2027, Affirm said it expects GMV to exceed $64 billion and an adjusted operating margin above 30.5%.

Chief Executive Officer Max Levchin said that rising gas prices are putting pressure on consumers while simultaneously pushing more of them toward Affirm's service. "In times of inflation, we see more demand because folks are budgeting," Levchin said. "They're more thoughtful about how they want to use the money, and we're there to help."

Company President Michael Linford, who was appointed to the role Thursday, told Barron's that the latest results marked eleven straight quarters in which GMV expanded by more than 30%. "These are really healthy numbers, and then we drew a ton of operating leverage," Linford said.