Posted 2/23/2024, 5:13:10 PM
Block Shares Soar as Cash App Growth Drives Strong Q4 Earnings Beat
- Block (SQ) shares jump after beating revenue expectations, posting $5.77B in Q4 revenue and $2.03B in gross profit, up 22% YoY
- Demand for Cash App driving results; Cash App is a digital banking platform seeing strong growth
- Block raised 2024 adjusted EBITDA guidance, showing confidence in unlocking earnings potential
- Merchant/seller business (Square) has slowed, partly due to competition; management addressing with new sales strategy and product mix
- Block focusing less on unprofitable areas like international expansion to improve profitability; sold Tidal music platform