Block Shares Surge 8% on Strong Cash App Performance and Raised Profit Outlook

Block Inc. saw its shares jump 8% in after-hours trading following an upward revision of its 2025 gross profit forecast, now pegged at $9.96 billion. The rally was fueled by better-than-expected results from Cash App, the company's peer-to-peer payment platform, which posted $1.50 billion in gross profit for the quarter—a 16% year-over-year increase that surpassed analyst estimates of $1.42 billion.

Key drivers included Borrow, Cash App's short-term lending service, which outperformed expectations, alongside robust card spending supporting buy-now-pay-later features. Despite flat monthly active users at 57 million, CFO Amrita Ahuja emphasized revenue acceleration in the second half won't hinge on user growth.

Square, Block's merchant services division, reinforced its role as a growth engine with a 10% annual rise in gross payment volume to $64.25 billion, slightly below Wall Street's $66.33 billion forecast but resilient amid macroeconomic headwinds.