Square (NYSE:SQ) news for Friday includes results from the company’s Q3 2020 earnings report boosting SQ stock higher. This comes from its adjusted earnings per share of 34 cents, which easily beat Wall Street’s estimate of 16 cents. The company’s revenue of $3.03 billion also comes in above analysts’ estimate of $2.04 billion.
Here’s what SQ investors need to know about Square’s most recent earnings news.
- Adjusted per-share earnings are up 36% from 25 cents during the same time last year.
- Revenue for the quarter comes in 138.6% higher than the $1.27 billion reported in the third quarter of 2019.
- Operating income of $49.34 million is a 53.8% increase year-over-year from $32.09 million.
- The Square earnings report also has net income coming in at $36.52 million.
- That’s a 24.2% jump from the company’s net income of $29.4 million reported in the same period of the year prior.
Square CEO Jack Dorsey and CFO Amrita Ahuja said the following in a letter to investors.
“Our Cash App ecosystem delivered strong gross profit growth of 212% year over year. We remain focused on increasing daily utility for our Cash App customers to products beyond peer-to-peer payments, which helps drive higher engagement and monetization.”
The Square earnings report also includes limited guidance news. The company is expecting product development, sales and marketing, and general and administrative expenses to increase by $30 million in total from Q3 2020. It cites an increase in sales and marketing investments for the reason behind this.
SQ stock was up 10.3% as of Friday morning.
On the date of publication, William White did not have (either directly or indirectly) any positions in the securities mentioned in this article.
