Block Shares Sink After Mixed Q3 Results: EPS Beat, Revenues Miss

Block, Inc. SQ reported its third-quarter results after Thursday's closing bell. Here's a look at the details from the report. 

The Details: Block reported quarterly earnings of 88 cents per share, which beat the analyst consensus estimate of 87 cents. Quarterly revenue came in at $5.97 billion which missed the analyst consensus estimate of $6.24 billion and is an increase over sales of $5.617 billion from the same period last year.

• Square generated a gross profit of $932 million, up 16% year-over-year.
• Cash App generated a gross profit of $1.31 billion, up 21% year-over-year.

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“We outperformed our gross profit and profitability guidance in the third quarter of 2024. Gross profit grew 19% year over
year to $2.25 billion. Cash App continued its strong performance with gross profit growth of 21% year over year, driven primarily by growth in inflows per active and an increase in monetization rate,” Block wrote in a letter to shareholders.

“There was strong performance across Cash App Card, Cash App Borrow and our BNPL platform. Square gross profit grew 16% year over year in the third quarter, in line with our expectations, behind strength in our software and integrated payments and banking products,” the company added.

SQ Price Action: According to Benzinga Pro, Block shares are down 7.69% after-hours at $69.25 at the time of publication Thursday.

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