Affirm Holdings, Inc. (AFRM) stock soared 27.33% in the after-hours trading session at the price of $170.03 after announcing its financial results for the first quarter of fiscal 2022.
AFRM is on a mission to provide financial products and services to improve the lives of people. It has established a payment network based on transparency, honesty, and reliability. The company enables millions of customers to spend, save and invest responsibly and gives thousands of companies the best tools to boost growth.
AFRM First Quarter Fiscal 2022 Financial Results
On 10th November 2021, AFRM published financial results for its first quarter of fiscal 2022 ended 30th September 2021.
AFRM Financial Highlights
AFRM reported revenue of $269.4 million for the first fiscal quarter ended 30th September 2021. It represents a gain of 55% from the same quarter of fiscal 2021. It was driven by higher interest income from loans for investment, profits on sales of loans, and network revenue. For the first quarter of fiscal 2022, the company reported $112.1 million in revenue less transaction costs. During the quarter, provision for credit losses grew by $34.7 million compared to the first fiscal quarter ended on 30th September 2020.
AFRM calculated an operating loss of $166.1 million for the first fiscal quarter ended 30th September 2021. For the same quarter ended 30th September 2020, the operating loss totaled $33.3 million. For the first quarter of fiscal 2022, the adjusted operating loss was $45.1 million. Adjusted operating loss totaled $7.9 million in the first fiscal quarter ended on 30th September 2020. Net loss totaled $306.6 million for the first fiscal quarter ended 30th September 2021. For the first quarter of fiscal 2021, the net loss was $3.9 million.
Management Comments
Chief Executive Officer of AFRM, Max Levchin, remarked that their first-quarter results confirm the continued momentum across Affirm as more people adopt the flexibility, transparency, and value of their solutions. Their industry-leading talent, unrivaled technology, and investments are producing substantial results. They have extended their network by raising the number of active merchants to 100,000 and doubling the number of active users. The company is growing both sides of the network by presenting more solutions and services to the people, he added.
