Affirm reported QQ1 2025 revenue of $698.5 million, up 40.7% year over year and 5.96% quarter over quarter, supported by a robust gross margin of 67.2% and ongoing monetization of the platform’s unit economics. Despite top-line strength, the quarter produced a GAAP operating loss of $132.6 million and a net loss of $100.2 million (EPS -$0.31), driven by higher operating expenses and other costs. Management highlighted strong underlying unit economics, with improvements in pricing initiatives, gain on sale, and merchant services contributing to margin uplift, even as the company continues to reinvest in growth via 0% APR promotions and deeper merchant/consumer engagement. The company signaled a clear near-term profitability trajectory, guiding adjusted operating income margin above 20% for the current quarter, with Q2 guidance of 21%–23%, and reiterated a longer-term aspiration to grow margins from current levels while maintaining a 3%–4% RLTC framework.