Block, Inc
Q3 2025 Earnings
Market Reaction
S&P 500 over the same 30 days: +2.47%.
Did XYZ Beat Earnings? Q3 2025 Results
Block fell short of Wall Street expectations in Q3 2025, posting adjusted diluted EPS of $0.54 against a consensus estimate of $0.66, a miss of 18.18%, while revenue of $6.11 billion trailed the $6.31 billion estimate by 3.12% and grew just 2.3% year over year. The headline numbers, however, obscured a more nuanced picture beneath the surface: the shortfall in adjusted EPS reflected Block's revised methodology now incorporating share-based compensation, a change that weighed on the reported figure even as gross profit surged 18% year over year to $2.66 billion. Cash App was the standout engine, with gross profit accelerating 24% year over year and monthly transacting actives reaching 58 million in September, while Square GPV posted its strongest growth since Q2 2023 at 12% year over year. Institutional interest in the stock has continued to build, with new positions being initiated by major financial firms. Looking ahead, Block raised its full-year 2025 gross profit outlook to $10.24 billion, reflecting over 15% growth, with Q4 guidance pointing to 19% gross profit expansion.
- Cash App gross profit growth accelerated to 24% YoY driven by Cash App Borrow, BNPL, and Cash App Card
- Square GPV growth accelerated to 12% YoY, strongest since Q2 2023
- Food and beverage GPV growth accelerated to 17% from 10% a year ago
- Cash App Borrow originations grew 134% YoY with 24% annualized net margins
- Post-purchase BNPL on Cash App Card crossed $3 billion in annualized originations
- Gross profit per transacting active reached $94, up 25% YoY
- Inflows per transacting active growth accelerated to 10% YoY
- Primary banking actives reached 8.3 million, up 18% YoY
Forward Guidance & Outlook
Block raised its full-year 2025 guidance. The company now expects gross profit of $10.243 billion, reflecting over 15% YoY growth. Full-year Adjusted Operating Income is expected to be $2.056 billion, growing nearly 28% YoY, at a 20% margin. For Q4 2025, Block expects gross profit of $2.755 billion (19% YoY growth) and Adjusted Operating Income of $560 million (20% margin). The company expects to continue accelerating gross profit growth in Q4, exiting 2025 with over 19% YoY growth, and delivering over 39% Adjusted Operating Income growth. Sales-led NVA for Square is expected to grow over 40% for the full year. Self-onboard growth is expected to more than double in Q4 vs. Q1.
XYZ YoY Financials
XYZ Revenue by Segment
Figures from SEC filings and company reports. Not investment advice.