Block (NYSE:SQ) reported third-quarter earnings that met expectations, but revenue fell wanting analyst estimates, sending shares down 10% in after-hours trading.

The financial technology company, formerly often called Square, reported adjusted earnings per share of $0.88, in keeping with analyst projections. Nevertheless, revenue for the quarter got here in at $5.98 billion, missing the consensus estimate of $6.24 billion.

Despite the revenue shortfall, Block saw strong growth in its key business segments. Gross profit grew 19% YoY to $2.25 billion, with Money App generating $1.31 billion in gross profit, up 21% YoY, and Square contributing $932 million, a 16% YoY increase.

“We outperformed our gross profit and profitability guidance within the third quarter of 2024,” said CEO Jack Dorsey. “Money App continued its strong performance, driven primarily by growth in inflows per lively and a rise in monetization rate.”

Block reported operating income of $323 million and adjusted operating income of $444 million for the quarter. The corporate’s adjusted operating income margin expanded to twenty%, reflecting strong growth and disciplined expense management.

For the total yr, Block maintained its gross profit guidance of not less than $8.89 billion, representing 18% YoY growth. The corporate raised its full-year outlook for adjusted operating income to not less than $1.56 billion, or an 18% margin.

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