Block Raises Annual Gross Profit Outlook as Cash App Stands Out
Block said resilient consumer spending and strong Cash App growth lifted quarterly gross profit 27% and prompted a higher 2026 outlook.
- On Thursday, Oakland, California-based Block reported first-quarter adjusted profit of 85 cents per share, beating analyst expectations, and raised its 2026 gross profit growth outlook to 19%.
- Resilient consumer spending and strong growth in core businesses drove a 27% surge in gross profit, with Cash App registering a 38% profit increase in the quarter.
- CEO Jack Dorsey highlighted AI's central role in operations as Block worked through a broader overhaul that included cutting over 4,000 jobs earlier this year; quarterly revenue reached $6.057 billion, missing the $6.061 billion estimate.
- Shares of the company jumped 10.4% in extended trading following the report, capping a strong reporting season for the payments sector where card giants Mastercard and Visa also posted robust earnings.
- The firm expects adjusted diluted EPS to grow 62% in 2026 amid margin expansion, though Block incurred $852 million in restructuring and other charges during the first quarter.
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Block raises annual gross profit outlook on consumer spending strength
May 7 : Jack Dorsey-led Block raised its full-year outlook on Thursday as the payments firm benefited from resilient consumer spending and strong growth in its core businesses.The Oakland, California-based company now expects annual gross profit to be $12.33 billion in 2026, compared with its previous forecas
Eye on POS: Square Counts 140 ISO Partners; Toast Locations Increase 22%
Competition among point-of-sale system providers shows no signs of weakening among two top companies. Square, the acquiring arm of Block Inc., reported a 13% increase in its payment volume for the first quarter, while competitor Toast Inc. says its gross payment volume rose 22% year-over-year. Square’s first-quarter performance comes on an overall 8.2% increase in gross payment volume. Block cited independent sales organizations as a contributor…
Why QBE, Block and Macquarie shares are grabbing headlines on Friday
QBE Insurance Group Ltd (ASX: QBE), Block (ASX: XYZ), and Macquarie Group Ltd (ASX: MQG) shares are stirring up investor interest today. Two of the blue-chip ASX shares are outpacing the 1.6% losses posted by the S&P/ASX 200 Index (ASX: XJO) as we head into the Friday lunch hour, while one is trailing that performance. Here's what's happening. Macquarie shares slide following Thursday's record close After notching a new all-time closing high ye…
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