Affirm delivered a tour-de-force quarter with accelerating GMV growth.
Revenue saw a significant increase of 33% to $876 million.
Gross Merchandise Volume (GMV) grew by 43% to $10.4 billion.
Net Income rose by $114 million, marking a 27% increase.
Operating Income showed positive growth, with a 18 percentage point increase as a percent of revenue.
Operating Income Profitability
Affirm achieved operating income profitability in Q4'25 as committed a year ago.
Productivity Growth
Revenue per employee reached ~$1.5 million in FY'25, with a focus on productivity and AI tool adoption.
AI Integration
Affirm utilizes AI across various aspects, achieving positive impacts on GMV and underwriting models.
- Affirm's strategic focus on building a first-class merchant network resulted in a 24% increase in active merchants.
- Direct-to-consumer products increased transaction frequency by 20% in FY'25.
- Maintaining excellent credit performance with a RLTC of 4.0% contributed to strong unit economics.
- The deployment of AI technologies, including AdaptAI, led to a 5% average increase in GMV among adopting merchants.
Affirm's performance in Q4'25 reflects its commitment to growth, profitability, and innovation in the fintech industry.