SoFi have a good Q2

SoFi $SoFi Technologies Inc.(SOFI)$reported Q2 2022 earnings on August 2nd, 2022. The following shows a quick summary of the results:

* Revenue grew 57% y/y to about $362.5 million.

* Adjusted EBITDA grew 81% y/y to about $20 million.

* Net new members grew 69% y/y or about 450,000 new members for the quarter to about 4.3 million members.

* The total product grew 79% y/y or about 702,000 products for the quarter to about 6.6 million products.

The company showed strength in all aspects. Product growth drew member growth, which ultimately led to revenue growth.

The second quarter marked the first full quarter after the bank charter approval, and as anticipated, the approval had a positive result on SoFi's operation. The deposit grew to $2.7 billion during the quarter, allowing SoFi to lower its cost of funding loans. As the revenue and the loan originations increased, the margin expanded as well.

Finally, SoFi laid out strong guidance hinting a strong growth throughout 2022. For the second half of 2022, SoFi is expecting an average of about 49-50% year-over-year revenue growth with an average adjusted EBITDA of about $75-80 million, which equates to about a 9-10% margin on average. Since Q2 2022 had an adjusted EBITDA margin of 6%, the rapidly growing margin suggests that SoFi has finally scaled to a point where profitability may be possible in the coming quarters.

@TigerStars