sezzle The Responsible Way to Pay Second Quarter 2025 Earnings Presentation August 7, 2025 Disclaimer Cautionary Note Regarding Forward-Looking Statements This presentation (the "Pesentation") contrine suman information about the editive of Separation. The ritornation in the ritornation intile Peserbation is of a seperations Presentation remairs subject to change without no is e. No. the informison in the Presentatic struktur to other telefon dould not be release or presid sharelodes. This Pre financela si ...

Core Insights - Affirm Holdings Inc. (AFRM) has raised its full-year guidance for fiscal 2025 following a strong performance in Q3, indicating confidence in its growth strategies and fundamentals [1][10] - The company expects significant growth in Gross Merchandise Value (GMV) and transaction volumes, driven by repeat customers and increased card network revenues [1][4] Financial Performance - For fiscal 2025, AFRM forecasts revenues between $3.163 billion and $3.193 billion, an increase from the previous guidance of $3.13 billion to $3.19 billion [2] - The adjusted operating margin for fiscal 2025 has been raised to a range of 23% to 23.6%, up from 22.5% to 23.5% [2] - The revenue guidance for Q4 fiscal 2025 is now projected to be between $815 million and $845 million [2] Growth Metrics - In fiscal 2023, GMV was $20.2 billion, with a year-over-year growth of approximately 32% in fiscal 2024, followed by a 36% increase in the first nine months of fiscal 2025 [3] - AFRM anticipates GMV for fiscal 2025 to be between $35.7 billion and $36 billion, an increase from the previous forecast of $34.74 billion to $35.34 billion [3][10] - The growth in GMV is attributed to partnerships with major merchants, wallet partners, and direct-to-consumer offerings [4] Competitive Landscape - Competitors such as PayPal Holdings, Inc. (PYPL) and Sezzle Inc. (SEZL) are also showing growth, with PayPal's net revenues increasing 1% year-over-year to $7.8 billion in Q1 2025 and Sezzle's GMV rising 64.1% year-over-year to $808.7 million in the same period [5][6] Stock Performance and Valuation - Over the past year, AFRM's shares have increased by 96.2%, outperforming the industry growth of 37.1% [7] - AFRM trades at a forward price-to-sales ratio of 4.94, which is below the industry average of 5.68 [8] Earnings Estimates - The Zacks Consensus Estimate for Affirm's 2025 earnings implies a growth of 100.6% from the previous year, with five upward estimate revisions in the past 60 days [12]