Shares of SoFi Technologies were trading sharply higher Monday after the fintech posted its first quarterly profit and issued long-term guidance.
SoFi posted fourth-quarter earnings of 2 cents a share, beating Wall Street’s call for a break-even quarter. In the year-ago quarter, it posted a loss of five cents, according to FactSet.
Adjusted net revenue of $594.25 million beat the $572 million analysts’ had forecast. A year ago, revenue was were $443.42 million.
“Record revenue at the company level was driven by record revenue across all three of our business segments, with a record contribution of 40% of adjusted net revenue generated by our non-Lending segments (Technology Platform and Financial Services segments),” CEO Anthony Noto said in a statement.
For its first fiscal quarter, the company expects to post adjusted net revenue between $550 million and $560 million, adjusted Ebitda between $110 million and $120 million and net income of $10 million to $20 million.
For full-year 2024, SoFi expects earnings per share between 7 cents and 8 cents. Analysts had been forecasting 5 cents.
And beyond 2024, the company forecasts 20% to 25% compound revenue growth between 2023 and 2026, with earnings per share expected at between 55 cents and 80 cents a share in 2026.
SoFi stock was rising 9.5% to $8.34 in premarket trading Monday. Over the last 12 months, shares have gained 14%.
