Financial services company SoFi Technologies Inc SOFI reported second-quarter financial results after market close Tuesday. Here are the key highlights.
What Happened: SoFi reported adjusted net revenue of $356.09 million for the second quarter, up 50% year-over-year. The total came in ahead of a Street estimate of $346.48 million according to data from Benzinga Pro.
The company reported adjusted earnings per share of a loss of 12 cents in the second quarter beating a Street estimate of a loss of 13 cents per share.
SoFi added more than 450,000 new members in the second quarter to hit a total of over 4.3 million members, up 69% year-over-year. Total products ended the quarter at 6.6 million, up 79% year-over-year.
“We delivered another quarter of great results with robust growth in members, products, and cross-buy. We generated record adjusted net revenue, which was up 50% year-over-year, and our eighth consecutive quarter of positive adjusted EBITDA, which doubled sequentially,” SoFi CEO Anthony Noto said.
Noto cited strength across all three business segments of lending, technology platform and financial services in the quarter as reasons for the record revenue and performance targets being exceeded.
Deposits grew 135% in the second quarter to $2.7 billion and have increased since the company raised its maximum APY from 1.5% to 1.8%, Noto said.
SoFi Bank had $25 million of positive GAAP net income in the quarter.
“Our bank charter is enabling new flexibility that has proven even more valuable in light of the current macro environment, and the economic benefits are already starting to materialize.”
What’s Next: SoFi raised its full-year fiscal year revenue target from a range of $1.505 billion to $1.51 billion to a new range of $1.508 billion to $1.513 billion. Analysts are expecting full-year revenue of $1.48 billion according to data from Benzinga Pro.
Full-year adjusted EBITDA is expected to hit a range of $104 million to $109 million, increasing from a previous guidance range of $100 million to $105 million.
SOFI Price Action: SoFi shares are up 8.42% to $6.41 in after-hours trading Tuesday.
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