Quarterly ResultMay 7, 2026, 04:33 PM
Block Q1 Gross Profit +27% to $2.91B; Raises FY26 Outlook
AI Summary
Block, Inc. reported strong first-quarter 2026 financial results, with gross profit increasing 27% year-over-year to $2.91 billion and Adjusted Diluted EPS growing 52% to $0.85. The company exceeded its guidance and subsequently raised its full-year 2026 outlook, now expecting 19% gross profit growth and 62% Adjusted Diluted EPS growth. Key drivers included robust performance in Cash App, particularly in consumer lending and commerce enablement, and continued expansion of Square's GPV. Block also highlighted significant progress in AI integration across its operations and customer products, alongside the scaling of its Neighborhoods loyalty program and the launch of Cash App managed accounts for kids.
Key Highlights
- Q1 2026 Gross Profit increased 27% year-over-year to $2.91 billion.
- Q1 2026 Adjusted Operating Income grew 56% year-over-year to $728 million, with a 25% margin.
- Q1 2026 Adjusted Diluted EPS rose 52% year-over-year to $0.85.
- Full-year 2026 gross profit guidance raised to $12.33 billion, up 19% year-over-year.
- Full-year 2026 Adjusted Diluted EPS guidance raised to $3.85, up 62% year-over-year.
- Cash App Gross Profit increased 38% year-over-year to $1.91 billion.
- Square Gross Profit increased 9% year-over-year to $982 million.
- Repurchased 10.7 million shares for $636 million in Q1, with $4.7 billion remaining authorization.