Financial Data and Key Metrics Changes - Gross profit grew 18% year over year to $2.66 billion, accelerating from 14% growth last quarter [8] - Adjusted operating income was $480 million, with adjusted operating income margins at 18% for the quarter [15][16] - Adjusted EBITDA was $833 million, reflecting strong profitability despite investments for long-term growth [15] Business Line Data and Key Metrics Changes - Cash-up's gross profit grew 24% year over year, with primary banking actives increasing 18% to 8.3 million [9][10] - Square's gross profit grew 9% year over year, with GPV growing 12% [10] - Cash-up borrow origination volume increased 134% year over year, reaching nearly $22 billion on an annualized basis [43] Market Data and Key Metrics Changes - GPV from sellers above half a million dollars grew 20% year over year, indicating strong performance in larger seller segments [13] - International markets saw GPV growth of 26% year over year, particularly strong in the telesales channel [13] Company Strategy and Development Direction - The company is focused on connecting sellers and consumers at scale, leveraging AI tools for operational efficiency, and enhancing software solutions for sellers [11][12] - The strategy includes expanding Cash-up's capabilities and integrating new products to drive engagement and growth [10][12] - The company aims to enhance its market position by offering a comprehensive ecosystem that includes payment processing, banking, and lending products [50] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate macroeconomic conditions, with strong performance indicators observed in Q3 and October [58][59] - The company anticipates continued growth in gross profit and adjusted operating income for Q4, with expectations of approaching Rule of 40 by 2026 [16][17] - Management highlighted the importance of ongoing investments in marketing and product development to sustain growth momentum [15][59] Other Important Information - The company repurchased approximately $1.5 billion of stock this year and plans to continue returning capital to shareholders [15] - The upcoming Investor Day on November 19 will provide further insights into long-term financial performance and strategic priorities [18] Q&A Session Summary Question: Update on Cash-up active growth and network density - Management reported strong progress with 58 million monthly actives in September, with continued acceleration in growth [22] Question: Field sales team productivity and GPV contributions - The field sales team has scaled to over 100 reps, with strong paybacks and expected growth in NVA [32][33] Question: Concerns about credit quality of borrow products - Management emphasized the importance of AI-driven underwriting, with borrow performance showing strong metrics and healthy risk loss rates [41][44] Question: Insights on Square's competitive momentum - Management noted strong growth from both new and returning sellers, with a focus on simplifying pricing structures to enhance competitiveness [72][76] Question: Unique opportunities with Afterpay - Management highlighted significant growth in post-purchase Afterpay, with adoption trending ahead of expectations [80]

Financial Data and Key Metrics Changes - Gross profit grew 18% year over year to $2,660 million, accelerating from 14% growth in the previous quarter [9] - Adjusted operating income was $480 million, showing strong profitability despite increased investments for long-term growth [9] - Adjusted EBITDA was $833 million, with adjusted operating income margins at 18% for the quarter [19] Business Line Data and Key Metrics Changes - Cash App's gross profit grew 24% year over year, up from 16% in the second quarter, with 58 million monthly active users [10] - Square's gross profit grew 9% year over year, with GPV growing 12% [12] - Cash App Borrow saw a 134% year-over-year growth in originations, reaching $22 billion annualized [52] Market Data and Key Metrics Changes - International markets saw GPV grow 26% year over year, particularly strong in the telesales channel [17] - GPV from sellers above $5 million in volume grew 20% year over year, marking the strongest growth rate since Q1 2023 [16] Company Strategy and Development Direction - The company is focused on three key opportunities: connecting sellers and consumers, delivering AI tools to sellers, and simplifying selling with software solutions [13][14] - The strategy includes leveraging the Cash App's network to enhance seller visibility and engagement through features like Neighborhoods [13] - The company aims to expand its field sales team and improve marketing effectiveness to drive growth [16][76] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate the macroeconomic environment, citing strong performance metrics and healthy returns on investments [72] - The company raised its full-year guidance, expecting gross profit growth of over 19% year over year for 2025 [21] - Management highlighted the importance of ongoing investments in product development and marketing to sustain growth momentum [76] Other Important Information - The company repurchased approximately $1.5 billion of stock this year and plans to continue returning capital to shareholders [20] - The company is excited about the upcoming Investor Day, where it will provide deeper insights into its long-term financial performance [23] Q&A Session Summary Question: Update on Cash App Actives Growth - Management reported strong progress with 58 million monthly active users and continued acceleration in year-over-year growth [28] Question: Field Sales Team Productivity - The field sales teams are performing well, with a year-to-date sales-driven NVA growth of 28% [40] Question: Concerns about Borrow Product Credit Quality - Management emphasized the importance of the borrow product in expanding credit access and reported strong performance metrics, including a 134% year-over-year growth in originations [52] Question: Square Bitcoin Integration - The company is excited about launching Bitcoin payments for sellers, with positive feedback from beta merchants [84] Question: Competitive Momentum on Square Side - Management noted strong win rates against both legacy point-of-sale systems and direct competitors, with a focus on expanding market share [95]

Financial Data and Key Metrics Changes - Gross profit grew 18% year over year to $2.66 billion, accelerating from 14% growth last quarter [6] - Adjusted operating income was $480 million, with adjusted operating income margins at 18% [13][15] - Adjusted EBITDA was $833 million in the third quarter [13] - Full-year guidance for gross profit is set at $10.243 billion, reflecting over 15% year-over-year growth [15] Business Line Data and Key Metrics Changes - Cash-up's gross profit grew 24% year over year, with primary banking actives increasing 18% to 8.3 million [7][8] - Square's gross profit grew 9% year over year, with GPV growing 12% [8] - Cash-up's gross profit per monthly transacting active grew 25% year over year to $94 [7] - New products like post-purchase buy now, pay later reached $3 billion in annualized originations [7] Market Data and Key Metrics Changes - GPV from sellers above half a million dollars in volume grew 20% year over year [11] - International markets saw GPV growth of 26% year over year [11] - Cash-up's inflows per active grew 10% year over year [23] Company Strategy and Development Direction - The company is focused on connecting sellers and consumers at scale, delivering AI tools to sellers, and making selling easier with integrated solutions [9][10] - The strategy includes leveraging Cash-up's network to enhance seller visibility and engagement [9] - The company aims to expand its lending products while maintaining healthy risk loss rates [39] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to navigate macroeconomic conditions, with strong performance indicators observed in Q3 and October [55] - The company expects to deliver its strongest NVA performance ever in 2025 through expanding field sales and targeted marketing [11] - Management highlighted the importance of product innovation and customer engagement in driving future growth [40] Other Important Information - The company repurchased approximately $1.5 billion of stock this year and intends to continue returning capital to shareholders [14] - The Bitcoin mining business, Proto, generated its first revenue, indicating potential for future growth [12] Q&A Session Summary Question: Progress on Cash-up active growth and network density - Management reported strong progress with 58 million monthly actives in September, with continued acceleration in growth [20] Question: Field sales team productivity and GPV contributions - The field sales teams have shown strong paybacks and are expected to continue scaling, contributing to GPV growth [28][30] Question: Concerns about credit quality of borrow products - Management emphasized the importance of AI and ML in underwriting, maintaining healthy risk loss rates while expanding borrow [39][41] Question: Growth drivers for Cash-up beyond borrow - Management highlighted the ecosystem approach, with diverse products driving durable growth [46][48] Question: Competitive momentum and pricing environment - Management noted strong performance against competitors, with no significant pricing changes impacting the business [66][70] Question: Unique opportunities with Afterpay - Management discussed strong growth in Afterpay, particularly with post-purchase offerings, and plans for further expansion [75]

The payments company behind Cash App and Square said revenue rose to $6.11 billion, short of the $6.3 billion projected by analysts. ...

Q3 2025 Block Investor Presentation investors.block.xyz Block Investor Presentation 2 Forward-looking statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements can be identified by words such as "anticipate,ˮ "believe,ˮ estimate,ˮ "expect,ˮ "goal,ˮ "intend,ˮ "likely,ˮ "may,ˮ "plan,ˮ "project,ˮ "seek,ˮ "should,ˮ "strategy,ˮ "will,ˮ ...

Financial Performance - Block's adjusted EPS missed estimates, coming in at $0.54 versus the expected $0.67 [1] - Revenue also missed estimates, reported as $61.1 billion versus the expected $63.1 billion [1] - Adjusted EBITDA was light at $833 million, compared to the street estimate of $840 million [2] Company Performance & Guidance - Block has reported a double miss for the fourth consecutive quarter [1] - Block has missed on revenue for the sixth straight quarter [1] - Gross profit is a bright spot, with back-to-back quarters of double-digit growth [2] - The company is now guiding to $102 billion in gross profit [2]

Block has freshened up its product offerings enough to drive its best growth in over two years on a key metric, but that wasn't enough to lift its stock in Thursday's extended session. ...

Core Insights - Block reported a miss on both top and bottom lines, with shares down more than 8% following the announcement [1] - Adjusted EPS was 54 cents, falling short of the 67 cent estimate, while revenue was $6.11 billion compared to the expected $6.31 billion [1] - This marks the fourth consecutive quarter of double misses and the sixth straight quarter of revenue misses [1] Financial Performance - Adjusted EBITDA was reported at $833 million, below the street estimate of $840 million [2] - The CFO highlighted gross profit as a positive aspect, noting back-to-back quarters of double-digit growth [2] - The company is guiding for $10.2 billion in gross profit for the upcoming period [2]

Financial Performance - In Q3 2025, the company generated gross profit of $2.7 billion, an 18% increase year over year, with Cash App contributing $1.6 billion (up 24%) and Square contributing $1.0 billion (up 9%) to this growth[139]. - Total net revenue for Q3 2025 was $6.1 billion, a 2% increase from Q3 2024, while revenue for the nine months ended September 30, 2025, decreased by 1% to $17.9 billion compared to the same period in 2024[145][146]. - The company recorded operating income of $409.4 million in Q3 2025, compared to $323.0 million in Q3 2024, and Adjusted Operating Income increased to $480.2 million from $443.5 million[140]. - Net income attributable to common stockholders for Q3 2025 was $461.5 million, a 62.7% increase from $283.8 million in Q3 2024[180]. - Adjusted Net Income for Q3 2025 was $336.6 million, compared to $337.0 million in Q3 2024, reflecting a slight decrease of 0.1%[180]. Revenue Breakdown - Bitcoin revenue decreased by $462.2 million (19%) in Q3 2025 and $1.4 billion (17%) for the nine months ended September 30, 2025, primarily due to a decrease in trading volume[149]. - Subscription and services-based revenue increased by $407.0 million (23%) in Q3 2025 and $880.3 million (17%) for the nine months ended September 30, 2025, driven by growth in Cash App's financial services[148]. - Transaction-based revenue increased by $161.1 million (9%) in Q3 2025, with Gross Payment Volume (GPV) growing by 11%[147]. - Square segment net revenue increased by $239.1 million, or 12%, to $2.24 billion for the three months ended September 30, 2025, and by $548.0 million, or 10%, to $6.26 billion for the nine months[162]. - Cash App segment net revenue decreased by $130.1 million, or 3%, for the three months ended September 30, 2025, compared to the same period in 2024[166]. Expenses and Costs - Total cost of revenue for Q3 2025 decreased by $272.7 million (7%) compared to Q3 2024, primarily due to a $469.3 million (20%) decrease in bitcoin costs[150][146]. - Sales and marketing expenses rose by $87.6 million, or 17%, for the three months ended September 30, 2025, and by $190.3 million, or 13%, for the nine months, driven by higher marketing costs of $91.4 million and $205.7 million, respectively[155]. - General and administrative expenses increased by $68.1 million, or 14%, for the three months ended September 30, 2025, and by $64.3 million, or 5%, for the nine months, primarily due to higher personnel costs of $92.9 million and $79.5 million, respectively[156]. - Product development expenses for the three months ended September 30, 2025, were $711.2 million, relatively flat compared to $711.0 million for the same period in 2024, while for the nine months, expenses increased by $52.5 million, or 2%, to $2.2 billion from $2.1 billion[154]. Cash and Liquidity - The company ended Q3 2025 with $10.5 billion in available liquidity, including $9.7 billion in cash and cash equivalents, a decrease of $234.2 million from December 31, 2024[143]. - Cash and cash equivalents increased to $8.3 billion as of September 30, 2025, up from $8.1 billion at the end of 2024[183]. - The company reported a net increase in cash, cash equivalents, restricted cash, and customer funds of $714.5 million for the nine months ended September 30, 2025[196]. - The company has $775.0 million available under its revolving credit facility, maturing in June 2028[189]. Investments and Debt - The company held $7.4 billion in aggregate principal amount of debt as of September 30, 2025, including $1.0 billion in senior unsecured notes maturing in June 2026[187]. - Cash used in investing activities for the nine months ended September 30, 2025, was $671.8 million, primarily due to net outflows of $2.0 billion related to Cash App Borrow loans[200]. - Cash used in financing activities for the nine months ended September 30, 2025, was $652.9 million, primarily due to $1.5 billion in share repurchases and a $1.0 billion cash payment for the settlement of convertible notes[202]. Asset Valuation - The fair value of the company's bitcoin investment was $1.0 billion as of September 30, 2025, with gains of $59.6 million recognized in Q3 2025 from remeasurement[185]. - As of September 30, 2025, the fair value of the company's bitcoin investment was $1.0 billion, with recognized gains of $178.4 million for the nine months ended September 30, 2025[207]. Employee and Operational Efficiency - The company implemented a cap of 12,000 employees in 2023 and continued to focus on cost efficiency, recording $10.0 million in severance expenses in Q3 2025[142]. - Transaction, loan, and consumer receivable losses surged by $171.4 million, or 89%, for the three months ended September 30, 2025, and by $277.6 million, or 51%, for the nine months, attributed to increased loan losses of $158.8 million and $238.1 million, respectively[157].

Exhibit 99.1 Q3 2025 Shareholder Letter investors.block.xyz To Our Shareholders Continued momentum We had another strong quarter delivering for our customers with high quality and high velocity. Square GPV growth accelerated to 12% and we gained profitable market share through product innovation and expanded distribution. Cash App gross profit growth accelerated to 24%, and in September we hit 58 million Cash App monthly actives.1 Proto generated its first revenue, seeding what we believe will become our ne ...