The fintech firm raised its full-year gross profit outlook to $12.51 billion after adjusted EPS topped estimates at $1.02.
Block raised its 2026 guidance after second-quarter gross profit surged 25% year-over-year to $3.17 billion, exceeding prior forecasts. Adjusted operating income reached $855 million, while earnings per share hit $1.02, surpassing Wall Street’s 87-cent estimate.
The company attributed the beat to strong performance from Cash App and Square, alongside cost efficiencies from AI-driven restructuring. Block’s updated outlook now projects $12.51 billion in gross profit and $3.47 billion in adjusted operating income for the year.
Shares reacted positively in after-hours trading as the results underscored momentum in consumer and merchant segments. Block also highlighted AI’s expanding role in software development, with code changes per engineer up 150% since January.