XYZ

Block (XYZ) could see stronger earnings growth as Cash App Borrow drives higher monetization, engage

Now is a great time for an executive to blame AI disruption for a bad quarter and a poor outlook. Everyone seems to be doing the same. Quick insight: If there has been one constant on earnings calls this year, it's talk of AI disrupting the way companies do business. The Deutsche Bank team found that mentions of AI disruptions during earnings calls jumped to a record 780 in the first half of 2026, a 310% surge from the second half of 2025. In the first half of the year alone, there were more mentions of AI disruptions than in the previous three years combined. The reality: The growing impact of AI can be seen in Big Tech layoffs. Billionaire Jack Dorsey's Block (XYZ) slashed 40% of its staff. With billionaire founder Larry Ellison still pulling the strings, Oracle (ORCL) reportedly laid off up to 30,000 workers across the US, Mexico, and other countries on April 1. Amazon (AMZN) has reportedly slashed 16,000 workers this year as part of its AI efficiency push. Coinbase (COIN) announced a 14% reduction in force in May. Cloudflare (NET) recently cut bait with 20% of its workforce, while Meta (META) cut 10% of its employee count. "I think once we realized it was something we had to do, we made the decision it was the kindest thing that we could do for the team to do as early as possible," Cloudflare co-founder and CEO Matthew Prince told Yahoo Finance. Bottom line: Expect to hear more AI disruption talk when second quarter earnings season begins shortly. Execs won't be able to escape it! Brian Sozzi is Yahoo Finance's Executive Editor, host of the 'Power Players With Brian Sozzi' podcast and a member of Yahoo Finance's editorial leadership team. Follow Sozzi on X @BrianSozzi, Instagram, and LinkedIn. Tips on stories? Email [email protected]. Click here for in-depth analysis of the latest stock market news and events moving stock prices Read the latest financial and business news from Yahoo Finance

DISTRIBUTED-WORK-MODEL/OAKLAND, Calif., July 02, 2026--(BUSINESS WIRE)--Block, Inc. (NYSE: XYZ) will release financial results for the second quarter of 2026 on Wednesday, August 5, 2026, after market close. Block will also host a conference call and earnings webcast at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time on the same day to discuss these results. To register to participate in the conference call, or to listen to the live audio webcast, please visit the Events & Presentations section of Block’s Investor Relations website at investors.block.xyz. A replay will be available at the same website following the call. About Block Block, Inc. (NYSE: XYZ) builds technology to increase access to the global economy. Each of our brands unlocks different aspects of the economy for more people. Square makes commerce and financial services accessible to sellers. Cash App is the easy way to spend, send, and store money. Afterpay is transforming the way customers manage their spending over time. TIDAL is a music platform that empowers artists to thrive as entrepreneurs. Bitkey is a simple self-custody wallet built for bitcoin. Proto is a suite of bitcoin mining products and services. Together, we’re helping build a financial system that is open to everyone. Block.xyz View source version on businesswire.com: https://www.businesswire.com/news/home/20260702798401/en/ Contacts Media Contact [email protected] Relations Contact [email protected]

Intuit Inc. INTU delivered third-quarter fiscal 2026 non-GAAP earnings per share (EPS) of $12.80, topping the Zacks Consensus Estimate of $12.48 by 2.56%. The bottom line jumped from $11.65 a year ago. Revenues totaled $8.56 billion, rising 10.4% year over year, and surpassing the Zacks Consensus Estimate of $8.52 billion. The quarter reflected continued momentum across the platform. A notable highlight was QuickBooks Online Accounting revenues, which grew 22% in the quarter, supported by higher effective prices, customer growth and mix shift. INTU’s third-quarter revenues underscore its ability to compound growth across both consumer and small-business ecosystems. Service revenues remained the primary contributor at $7.76 billion, rising 11.3% year over year, while product and other revenues totaled $799 million, up $16 million. Profitability also moved higher in dollars, even as margins tightened modestly. Non-GAAP operating income rose 8% year over year to $4.68 billion. The mix of higher operating spending alongside expanding revenues framed the quarter’s earnings profile. Intuit’s Consumer segment generated $5.27 billion of revenues, up 7.5% year over year, reflecting strength across core tax and adjacent money offerings. TurboTax revenues increased 7% to $4.36 billion, while Credit Karma revenue climbed 14.9% to $631 million. ProTax revenues were $278 million, flat year over year. Drivers within the quarter were mixed but constructive. TurboTax benefited from growth in assisted tax and consumer money offerings, partially offset by lower revenues tied to fewer TurboTax federal units. Credit Karma’s growth was supported by higher revenues in its personal loan, credit card and insurance verticals. Segment operating income increased 6% to $4.26 billion. INTU’s Global Business Solutions segment posted $3.29 billion of revenues, up 15.3% year over year, reflecting broad-based demand across its small- and mid-market offerings. Within the segment, Online Ecosystem revenues totaled $2.50 billion compared with $2.10 billion a year ago. The Desktop Ecosystem contributed $788 million compared with $746 million in the prior-year quarter. The revenue mix continued to favor services. Segment service revenues increased 16.9% to $2.76 billion and product and other revenues grew 7.6% to $524 million. Operating income for Global Business Solutions rose to $2.52 billion f...

Block's Amrita Ahuja joins Kristen on NYSE Live to discuss their latest financial results

Block (NYSE:XYZ) cut 4,000+ employees in February 2026 and posted Q1 2026 adjusted diluted EPS growth of 51.8%, with guidance calling for 62% year-over-year full-year EPS growth. 100% of employees use AI tools, and production code changes per engineer increased 2.5x. Cloudflare (NYSE:NET) announced a 20% workforce cut citing an agentic AI-first operating model, and Coinbase (NASDAQ:COIN) cut 14% of staff (700 people) alongside reporting a GAAP loss of $1.49 per share. The analyst who called NVIDIA in 2010 just named his top 10 stocks and Block wasn't one of them. Get them here FREE. Jason Calacanis used Block (NYSE:XYZ) as a case study on a recent This Week in Startups episode to argue that AI-driven productivity gains have become a prisoner's dilemma for every public company CEO. Block cut over 4,000 people in February 2026, taking headcount from over 10,000 to under 6,000. Three months later, the company posted Q1 2026 adjusted diluted EPS growth of 51.8% ($0.85 against $0.56 in the prior-year quarter), and raised full-year 2026 adjusted EPS guidance from $3.66 to $3.85, a 62% year-over-year growth target. The stock closed at $74.85 on May 8, up 6.72% on the day and up 19.13% over the prior month. The point is, companies are increasingly seeing that reducing headcount increases profits. Even if they don't want to slash jobs, their hand can eventually be forced because they'll otherwise lose to a competitor with a better cost structure. Calacanis framed the structural argument bluntly: "If there is a gain to be had, you have no choice but to take it. That's capitalism. Because if you don't take it, your competitor takes it. Their earnings go up. They can attract the best talent. You can't." As of early April, 100% of Block employees are using AI tools to do their work, and production code changes per engineer are up more than 2.5x since the start of the year. Builderbot, Block's internal AI agent, is reviewing more than 90% of production code change requests. CEO Jack Dorsey told analysts, "a significantly smaller team, using the tools we are building, can do more and do it better." The analyst who called NVIDIA in 2010 just named his top 10 stocks and Block wasn't one of them. Get them here FREE. The same week brought parallel moves across the sector. Cloudflare (NYSE:NET) announced a 20% workforce cut, with CEO Matthew Prince citing an "agentic AI-first o...

Last Thursday, Block XYZ, which offers financial and marketing services through its commerce ecosystem to sellers and consumers, reported impressive first-quarter 2026 results. The fintech stock reported better-than-expected adjusted earnings per share (EPS) in the quarter. Management also raised its full-year outlook following the strong start to 2026. Given the solid results and increased outlook, we intentionally waited before publishing our review to gauge whether price movements might reveal deeper sentiment trends. XYZ stock has outpaced its peers, such as PayPal Holdings, Inc. PYPL and StoneCo Ltd. STNE, while it underperformed the S&P 500 composite in the year-to-date period. PayPal and StoneCo shares have declined 22.5% and 30.7%, respectively, over the same time frame. Image Source: Zacks Investment Research Let’s delve deeper and find out. On paper, Block reported strong growth in the first quarter of 2026. The company’s net revenues came in at $6.06 billion, rising 4.9% year over year. Adjusted EPS were 85 cents, reflecting a 51.8% year-over-year increase. Adjusted operating income surged 56.2% to $728 million, translating to a 25% margin. In the quarter, gross profit increased 27.1% year over year to $2.91 billion. Cash App, the crown jewel of Block’s ecosystem, posted $1.91 billion in gross profit, up 38.3% year over year, driven by growth across Cash App Borrow and Commerce Enablement (including Cash App Card and BNPL). The company highlighted that Cash App’s growth in the first quarter is being driven by deeper engagement, new features like Afterpay pre-purchase, Cash App Score, and Moneybot, plus broader lending integration across the platform. Moreover, Square reported a 9.4% gross profit increase to $982 million, driven primarily by Financial Solutions, most notably Square Loans. Block reported total gross payment volume (GPV) of $63.11 billion, up 11.1% year over year. Square GPV was $61.21 billion, up 13.2% year over year, while Cash App GPV was $1.90 billion, down from $2.70 billion in the year-ago quarter. The company continues to expect to accelerate GPV growth in 2026 compared to last year. In the first quarter of 2025, Cash App monthly actives came in at 59 million, remaining unchanged from the prior quarter. The company continues to expect low single-digit actives growth for the remainder of 2026. Bitcoin remains a meaningful part...

The S&P 500 Index ($SPX) (SPY) on Friday closed up +0.84%, the Dow Jones Industrial Average ($DOWI) (DIA) closed up +0.02%, and the Nasdaq 100 Index ($IUXX) (QQQ) closed up +2.35%. June E-mini S&P futures (ESM26) rose +0.79%, and June E-mini Nasdaq futures (NQM26) rose +2.37%. Stock indexes settled higher on Friday, with the S&P 500 and Nasdaq 100 posting new record highs. Chipmaker and AI-infrastructure stocks led the overall market higher on Friday, offsetting concerns about the Iran war. Stronger-than-expected corporate earnings are pushing stocks higher. Weakness in software stocks on Friday weighed on the Dow Jones Industrial Average. As CPUs Steal the Show, AMD Stock Just Got a New Street-High Price Target How Intel Stock Could Be the Biggest Winner from AMD’s Explosive Earnings Win Cathie Wood Dumps More AMD Shares Despite Its Massive 108% Rally. Here's Why. Markets move fast. Keep up by reading our FREE midday Barchart Brief newsletter for exclusive charts, analysis, and headlines. Stock indexes also found support today on signs of resiliency in the US labor market after April nonfarm payrolls rose more than expected and March nonfarm payrolls were revised upward. Stocks rallied on Friday despite a larger-than-expected decline in US consumer sentiment to a record low. US Apr nonfarm payrolls rose by +115,000, stronger than expectations of +65,000, and Mar nonfarm payrolls were revised upward to +185,000 from the previously reported +178,000. The Apr unemployment rate was unchanged at 4.3%, right on expectations. US Apr average hourly earnings rose +0.2% m/m and +3.6% y/y, weaker than expectations of +0.3% m/m and +3.8% y/y. The University of Michigan’s US May consumer sentiment index fell -1.6 to a record low of 48.2 (data from 1978), weaker than expectations of 49.5. The University of Michigan US May 1-year inflation expectations rate unexpectedly eased to +4.5% from +4.7% in Apr, weaker than expectations of an increase to 4.8%. The May 5-10 year inflation expectations rate unexpectedly eased to +3.4%, weaker than expectations of no change at +3.5%. In the latest developments in the Middle East, Iran's semi-official Tasnim news agency said Iran seized an oil tanker on Friday in the Strait of Hormuz for "attempting to disrupt oil exports and the interests of the Iranian nation." Also, US forces targeted missile and drone launch sites and other milita...

Image source: The Motley Fool. May 7, 2026, 5 p.m. ET Chief Executive Officer — Jack Dorsey Chief Financial Officer — Amrita Ahuja Business Lead — Owen Jennings Sales and Marketing Lead — Nicholas Molnar Head of Investor Relations — Matthew Ross Need a quote from a Motley Fool analyst? Email [email protected] Matthew Ross: Hi, everyone. Thanks for joining our first quarter 2026 earnings call. We have Jack and Amrita with us today, along with Owen Jennings, our business lead; and Nick Molnar, Sales and Marketing Lead for Block. We will begin this call with some short remarks before opening the call directly to your questions. During Q&A, we will take questions from conference call participants. We would also like to remind everyone that we will be making forward-looking statements on this call. All statements other than statements of historical fact could be considered to be forward-looking. These forward-looking statements include discussions of our outlook, strategy and guidance as well as our long-term targets and goals. These statements are subject to risks and uncertainties, including changes in macroeconomic conditions. Actual results could differ materially from those contemplated by our forward-looking statements. Reported results should not be considered an indication of future performance. Please take a look at our filings with the SEC for a discussion of the factors that could cause our results to differ. Also note that the forward-looking statements, including earnings guidance for 2026 discussed on this call are based on information available to us and assumptions we believe are reasonable as of today's date. We disclaim any obligation to update any forward-looking statements, except as required by law. Further, any discussion during this call of our lending and banking products refer to products that are offered through Square Financial Services or our bank partners. Within these remarks, we will also discuss metrics related to our investment framework, including Rule of 40. With Rule of 40, we are evaluating the sum of our gross profit growth and adjusted operating income margin. Also, we will discuss certain non-GAAP financial measures during this call. Reconciliations to the most directly comparable GAAP financial measures are provided in the shareholder letter. These non-GAAP measures are not intended to be a substitute for our GAAP results. Final...

Block (NYSE: XYZ) recently reported its first-quarter earnings, and the numbers were quite strong across the board. Gross profit grew 27% year-over-year, including 38% growth on the Cash App side of the business. The company posted a 25% adjusted operating margin, and customer engagement metrics were extremely strong. In addition, Block raised its full-year guidance to "reflect the strength we are seeing across our business." Management now expects adjusted EPS to grow by an impressive 62% year-over-year, fueled by a combination of strong gross profit growth and improving margins. Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue » To be clear, all of the key numbers looked great. But the most important part of the story is beyond the headline numbers. In a nutshell, Block doesn't just see AI as a productivity tool or a feature that could improve its products -- management considers AI the backbone of the company, both internally and in its products. You may recall that in February, Block announced that it was reducing its workforce by nearly half -- one of the most dramatic downsizings of the AI era so far. CEO Jack Dorsey had said at the time that AI "fundamentally changes what it means to build and run a company." Well, in his first quarter letter to shareholders, Dorsey wrote that "As of mid-April, production code changes per engineer are up over 2.5x compared to January." He went on to say that incident rates after a production code change were down by more than 70% compared to the first quarter of 2025. In short, Block's engineers are not only more productive, but they can do their work better thanks to AI tools. That's some context from the internal side of the AI implementation. But Block is doing a great job of using customer-facing AI products as well. And they go way beyond chatbots and the AI assistants every other fintech company has. As Dorsey said in the shareholder letter, "We think the next step is AI that is proactive." Block is rolling out two extremely promising examples of proactive AI products. On the Cash App side, the company's Moneybot tool finds patterns like forgotten subscriptions or spending drift and helps customers to identify them and take action. On the Square...

Block (XYZ) came out with quarterly earnings of $0.85 per share, beating the Zacks Consensus Estimate of $0.68 per share. This compares to earnings of $0.56 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +25.68%. A quarter ago, it was expected that this mobile payments services provider would post earnings of $0.65 per share when it actually produced earnings of $0.65, delivering no surprise. Over the last four quarters, the company has surpassed consensus EPS estimates two times. Block, which belongs to the Zacks Internet - Software industry, posted revenues of $6.06 billion for the quarter ended March 2026, missing the Zacks Consensus Estimate by 0.81%. This compares to year-ago revenues of $5.77 billion. The company has not been able to beat consensus revenue estimates over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Block shares have added about 8.8% since the beginning of the year versus the S&P 500's gain of 7.6%. While Block has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Block was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will...

Block, Inc. XYZ reported first-quarter 2026 adjusted earnings per share (EPS) of 85 cents, beating the Zacks Consensus Estimate of 68 cents by 25%. The metric was up 51.8% from the year-ago quarter. Net revenues of $6.06 billion narrowly missed the consensus mark of $6.11 billion but increased 4.9% year over year. Block’s quarter was defined by strong ecosystem monetization, especially Cash App lending and commerce, driving outsized gross profit and adjusted earnings growth, even as reported revenue and GPV trends were mixed. Cash App Primary Banking Actives rose 18% year over year to 9.7 million in March, highlighting continued engagement gains. Commerce enablement revenues totaled $2.94 billion, up 14.5%, reflecting continued scale across seller and consumer commerce flows. Financial solutions revenues came in at $1.32 billion, up 51.1%, supported by lending-related contributions and other financial products. Bitcoin ecosystem revenues were $1.80 billion, down 29%, given trading-related dynamics. Gross profit increased 27.1% to $2.91 billion from a year ago. Square generated gross profit of $982 million, up 9.4% year over year, while Cash App generated $1.91 billion, up 38.3% year over year. Management attributed Square’s gross profit gain primarily to Financial Solutions, “most notably Square Loans,” and cited Cash App growth as being driven by Cash App Borrow and Commerce Enablement (including Cash App Card and BNPL). On payment volume, Block reported total GPV of $63.11 billion, up 11.1% year over year. Square GPV was $61.21 billion, up 13.2% year over year, while Cash App GPV was $1.90 billion, down from $2.70 billion in the year-ago quarter. Within Square, U.S. GPV growth was 8.2% year over year, and international GPV growth was 35% year over year (reported), with 11.5% growth on a constant-currency basis cited for Square overall. The company also highlighted seller vertical strength, noting food and beverage GPV up 21%, retail up 11%, and services up 7% year over year. Consumer Lending origination volume climbed 82% year over year to $17.6 billion, driven by strength in Cash App Borrow. The quarter also showed expanding monetization in the ecosystem as more customers adopted credit products alongside broader engagement features. Cash App Commerce Enablement volume grew 18% year over year to $55.0 billion, with performance supported by Cash App Card a...