Fintech company SoFi's results beat expectations: shares jump 17%
Strong revenue growth and margin expansion drives SoFi Technologies stock after reporting quarterly earnings. Shares of SoFi Technologies surged 17% on Monday after announcing its results for the latest quarter. SoFi, one of the leading players in the financial technology sector, saw significant growth in revenue and earnings, a testament to the company's strength.
During the fourth quarter of 2023, the company achieved SoFi significant growth in both net income compared to the prior period. Total net revenue exceeded $615 million, an increase of 35% over the prior year. Earnings per share reached 2 cents, alsobeating expectations.
One of the key factors in SoFi $SOFI-3.2%'s success was the achievement of record EBITDA of $181 million, underscoring the efficiency and success of the company's operations. The focus on expanding its margins contributed to these remarkable financial results.
Customer growth was another driver of SoFi's success during the most recent quarter. Acquisition of nearly 585,000 new customers brought the total number of customers to more than 7.5 million, representing an increase of 44% compared to the previous year. This growth is an important indicator of the growth of the entire company and the attractiveness of its products and services of SoFi.
"We are proud of another record quarter of financial results and our successful extension of our streak of record adjusted net income."
Anthony Noto, CEO of SoFi Technologies
Looking ahead, SoFi Technologies is focused on Maintaining growth and profitability. For the first quarter of 2024, the company expects net revenue of USD 550 to 560 million and an EBITDA margin of 20%. The company expects revenue growth of 20% to 25% from 2023 to 2026.
Investors see the recent SoFi's recent diversification into other key areas as a positive sign. The company's growing ability to sell additional financial products to its customers points to its strategic vision and ability to grow in a competitive environment.
This makes SoFi Technologies one of the leading players in the fintech industry and its strong results over the last quarters point to the company's robust and stable future in the financial technology industry.