Sezzle (SEZL) Q4 2025 Earnings
How Did SEZL Stock React to Q4 2025 Earnings?
S&P 500 over the same 30 days: −8.32%.
Did SEZL Beat Earnings? Q4 2025 Results
Yes. Sezzle reported Q4 2025 earnings of $1.21 a share on Feb 25, 2026, beating the $0.96 consensus estimate by 26.0%. Revenue was $129.9M against a $127.6M estimate.
Sezzle closed out fiscal 2025 with a blowout fourth quarter, posting diluted EPS of $1.21 against a consensus estimate of $0.96, a beat of 26.04%, as revenue climbed 32.2% year-over-year to $129.87 million, edging past the $127.58 million Wall Street had expected. The standout driver was a powerful combination of operating leverage and accelerating consumer engagement, with operating expenses growing just 10.8% against that 32.2% revenue gain, pushing Q4 operating margin to 42.5%, while Gross Merchandise Volume hit a quarterly record of $1.20 billion, up 35.3% year-over-year, fueled by peak holiday demand and rising subscription adoption. Transaction frequency reached 6.6 times per quarter, up from 5.5 times a year ago, reflecting the company's ongoing pivot from a pure buy-now-pay-later provider toward a broader financial ecosystem. B.Riley raised its price target on the stock to $99, citing the strength of the quarter. Looking ahead, management lifted FY2026 adjusted EPS guidance to $4.70 from $4.35, projecting total revenue growth of 25% to 30% and adjusted net income of approximately $170 million.
- Expansion of subscription offerings (Premium and Anywhere) driving MODS to 918,000
- Consumer transaction frequency increased to 6.6x per quarter from 5.5x YoY
- App sessions surged 51% YoY by December
- Favorable repayment performance and conservative holiday underwriting reduced provision for credit losses to 2.0% of GMV
- Operating leverage with expenses growing 10.8% vs revenue growth of 32.2%
- Payment processing enhancements and greater ACH adoption for repayments
“Our tenth year as a company was our most transformative yet, as we achieved new highs in our top and bottom-line results while advancing our shopping ecosystem. By prioritizing higher LTV subscribers and scaling our proprietary shopping features, we have created a platform that delivers daily utility to our consumers. This momentum is clear in our performance: Monthly On-Demand and Subscribers reached a record 918,000 and app sessions surged 51% year-over-year by December. As we enter 2026, we are positioned to sustain this quality of earnings, guiding to Adjusted Net Income of $170 million, representing a 31% year-over-year increase in Adjusted Net Income per Diluted Share.”
Sezzle CEO, on the earnings call
What Was Sezzle's Outlook in Q4 2025?
Sezzle raised FY2026 adjusted net income per diluted share guidance to $4.70 from $4.35, introduced total revenue growth guidance of 25% to 30%, and set FY2026 adjusted net income guidance at $170.0 million, representing a 31% YoY increase in adjusted net income per diluted share. The company plans key product launches in FY2026 including Agentic Commerce (AI-powered shopping assistant), Sezzle Mobile wireless service starting at $29.99/month on the AT&T network, enhanced long-term lending with higher credit limits and flexible monthly payments, and user community and receipt scanning & rewards features.
SEZL YoY Financials
| Metric | Q4 2025 | Q4 2024 | Year over year |
|---|---|---|---|
| Revenue | $129.9M | $98.2M | +32.2% |
| Operating Income | $55.2M | $30.9M | +79.0% |
| Net Income | $42.7M | $25.4M | +68.3% |
Figures from SEC filings and company reports. Not investment advice.