Companies · AFRM
Affirm
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Latest analysis
Updated Aug 27, 2026
Affirm posts record profitable quarter in Q4 FY2026, with FY revenue rising 32.2% YoY to $4.26B as network effects, Affirm Card attach, and Pay-in-X momentum compound.
Affirm's Q4 FY2026 was its most profitable quarter in company history — even excluding the deferred tax asset release — driven by broad GMV growth across direct-to-consumer (80%+ interest-bearing mix), an accelerating services vertical, and sustained execution in debt capital markets that positioned revenue less transaction costs above the 3.25%-4.00% midterm guide at 4.16% for FY2027. Management signaled the network flywheel is strengthening: transactions per user continues to rise organically, merchant onboarding velocity has compressed from months to days, and Affirm Card attach sits at 19% of actives with room to expand. The UK launch is generating early merchant and consumer enthusiasm with no meaningful competitive response from incumbents, and Affirm Edge — a B2B banking infrastructure product — is in active regulatory clearance with multiple bank partners, setting up a potential new revenue stream in FY2028.
Tone: bullishRevenue
$4.3B
AFRM 10-K · FY 2026
Employees
2,358
Revenue FY2025
$3.2B
Founded
2012
Profile
AFRM 10-K Item 1 · Aug 27, 2026Affirm is a fintech company that operates a buy now, pay later payment network connecting consumers and merchants across the United States, Canada, the United Kingdom, and Australia. The platform underwrites individual transactions using proprietary machine learning models trained on data from over 553 million loans, offering Pay-in-X, 0% APR installment, and interest-bearing installment loan products. Revenue is earned from merchant fees, consumer interest income, gain on loan sales, and interchange-sharing on the Affirm Card.
Read filing description ↓ Collapse description ↑
We are building the next generation payment network. We believe that by using modern technology, strong engineering talent, and a mission-driven approach, we can reinvent payments and commerce. Our solutions, which are built on trust and transparency, are designed to make it easier for consumers to spend and save responsibly and with confidence, easier for merchants and commerce platforms to convert sales and grow, and easier for commerce to thrive. Our company is predicated on the principles of simplicity, transparency, and putting people first. Since our founding, we have charged $0 in late fees for missed payments. We do not profit from consumers' mistakes, and we are transparent in our product offerings. We believe that our technology, underwriting, and risk management are key competitive advantages. Our proprietary technology's ability to price and assess risk at a transaction level provides a unique advantage compared to legacy payment and credit systems. Our models have been built on extensive data points, including data from approximately 553 million loans to date. For merchants, Affirm's commerce solutions help drive growth by enhancing demand generation and consumer acquisition. As of June 30, 2026, we had approximately 571 thousand active merchants, ranging from small businesses to large enterprises, direct-to-consumer brands, brick-and-mortar stores, and companies with an omni-channel presence. We have three main loan product offerings: Pay-in-X, 0% annual percentage rate ('APR') monthly installment loans and interest-bearing monthly installment loans. For the fiscal year ended June 30, 2026, we have facilitated consumer purchases of $50.2 billion in GMV. Our platform is broadly available to merchants and eligible consumers in the United States, Canada and the United Kingdom. Additionally, we began a limited launch of our platform in Australia in the first quarter of fiscal year 2027.
Primary products
- Pay-in-X
- 0% APR monthly installment loans
- Interest-bearing monthly installment loans
- Affirm Card
- Virtual cards
- Affirm Money Account
End markets
Geographies
Named customers
We rely on a small number of commercial partners, and the loss of any of these significant relationships would adversely affect our business, results of operations, financial condition, and future prospects.
Named competitors
“We believe that our competitive advantages position us favorably to succeed in the market. However, many of our competitors are substantially larger than we are, which may give those competitors advantages we do not have at present, such as a more diversified product offering, a larger consumer and merchant base, the ability to reach more consumers and potential consumers, operational efficiencies, the ability to cross-subsidize their offerings through their other business lines, more versatile technology platforms, broad-based local distribution capabilities, and lower-cost funding.” Competitive position, as stated in the filing
Revenue commentary · FY 2026
Total revenue, net increased by $1,036.7 million, or 32%, for the fiscal year ended June 30, 2026 compared to the fiscal year ended June 30, 2025, driven by growth across all revenue lines including merchant network revenue, interest income, gain on sales of loans, and servicing income.
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Analysis, signals, diligence answers, M&A activity and every quote, each citing the filing it came from.