Shares of SoFi Technologies (NASDAQ: SOFI) gained in pre-market trading at the time of writing on Monday after the fintech company’s losses halved in the second quarter to $0.06 per share as compared to a loss of $0.12 in the same period last year and better than analysts’ estimates of a loss of $0.07 per share.
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SoFi generated adjusted net revenues of $488.82 million, up by 37% year-over-year in Q2, beating analysts’ expectations of $473.94 million. In the second quarter, SOFI added 584,000 new members and ended the quarter with 6.2 Million, up by 44% year-over-year. New product additions were nearly 847,000 in Q2, bringing total products to over 9.4 million at quarter end.
Looking forward, management now expects adjusted net revenues in the range of $1.025 billion to $1.085 billion in the second half of this year while adjusted EBITA is likely to be between $180 million and $190 million. For FY23, adjusted net revenue is forecasted to be in the range of $1.974 billion to $2.034 billion, up from its prior projection of $1.955 billion to $2.02 billion while adjusted EBITDA is likely to be between $333 million and $343 million.
The company stated in its press release, “As the company moves toward expected GAAP net income profitability in the fourth quarter, management expects share-based compensation and depreciation and amortization expenses to be slightly higher than reported second quarter 2023 levels in both the third and fourth quarters of the year.”
Overall, Wall Street analysts are sidelined about SOFI stock with a Hold consensus rating based on seven Buys, eight Holds, and three Sells.
