SAN FRANCISCO, August 27, 2026, 17:38 (EDT) – Shares of Affirm climbed 8.6% in after-hours trading as the company’s gross merchandise volume rose to $14.1 billion.
- Affirm stock was at $84.13 as of 17:30 EDT, rising 8.57% in after-hours trading.
- Gross merchandise volume for the quarter climbed 36% to $14.1 billion, while revenue was up 33% at $1.166 billion.
- Guidance for fiscal 2027 projects GMV exceeding $64 billion and an adjusted operating margin over 30.5%.
Shares of Affirm Holdings, Inc. NASDAQ: AFRM rose 8.57% in after-hours trade on Thursday, as the buy-now-pay-later firm reported record quarterly volume alongside increased operating profits.
The outcome provides investors with a clearer measure than headline earnings. Affirm is broadening its transaction economics as its rapidly expanding card offering takes the company further past online checkout.
Gross merchandise volume for the fiscal fourth quarter climbed 36% to $14.1 billion. Revenue advanced 33% to $1.166 billion. Revenue less transaction expenses grew 38.6% to $589.1 million Affirm earnings supplement.
| Fiscal Q4 metric | 2025 | 2026 | Change |
|---|---|---|---|
| GMV | $10.4B | $14.1B | +36% |
| Revenue | $876.4M | $1.166B | +33% |
| Revenue less transaction costs | $425.1M | $589.1M | +38.6% |
| GAAP operating income | $58.1M | $147.3M | +153.6% |
| Adjusted operating income | $237M | $353M | +48.9% |
Customer engagement improved. The number of active consumers increased by 21% to 27.8 million. The average transactions per active consumer went up 20% to 7.0.
The Affirm Card led growth, with Card GMV rising 124% to reach $2.842 billion. The number of active card users increased by more than twofold to 5.2 million, resulting in a 19% attach rate.
The range of loan types stayed diverse. Interest-bearing offerings accounted for 72% of GMV for the quarter. Monthly 0% loans made up 13%, and short-term Pay in X products comprised 15%.
Credit costs remain noteworthy. The allowance for credit losses climbed 42.5% to $223.2 million, exceeding the pace of revenue growth. In contrast, overall transaction costs grew at a slower rate of 27.8%.
GAAP operating income surged to $147.3 million, more than twice the previous amount. Adjusted operating margin improved to 30%, up from 27% in the prior year. Quarterly net income was $1.617 billion, with results reflecting a $1.448 billion tax benefit, which made the statutory profit less comparable year-on-year.
The company projects fiscal first-quarter GMV between $13.7 billion and $14.0 billion, with revenue anticipated in the range of $1.19 billion to $1.22 billion. For the full year, management forecasts GMV to exceed $64 billion and an adjusted operating margin over 30.5%.
The stock ended regular trading at $77.49 and climbed to $84.13 by 17:30 EDT. After-hours trading saw a range from $75.19 to $86.51 Public market data. The surge increased market value by about $2.2 billion, based on the share count reported by Google Finance.
Wall Street sentiment ahead of the release was upbeat. According to Google Finance, 17 out of 22 analysts rated the stock a Buy and five gave it a Hold. The consensus price target was $93.28, which is roughly 10.9% higher than the 17:30 after-hours price.
Risks: Prices in extended-hours sessions may shift amid lower liquidity. Affirm faces exposure to funding availability, merchant reliance, and the precision of its credit assessments. Rapid provision expansion might compress transaction margins if consumer defaults increase.
The report continues to move the focus to execution. Transaction volume is increasing, card adoption is expanding, and signs of operating leverage are apparent. The coming challenge will be to see if these improvements hold through a complete credit cycle.
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