Key Takeaways
- First-quarter revenue reached $1.1 billion, representing a 42.8% year-over-year increase
- Earnings per share on an adjusted basis hit $0.12, meeting Wall Street forecasts
- Fiscal 2026 revenue projection of $4.655 billion marginally exceeded consensus, failing to impress the market
- Second-quarter outlook for both revenue expansion and EBITDA margin fell short of analyst targets
- Shares declined approximately 8.5% during pre-market hours after the earnings release
SoFi Technologies delivered first-quarter results that surpassed revenue targets for the 2026 period, yet shares tumbled considerably. While the quarterly performance impressed, the company’s forward-looking statements failed to meet investor expectations.
The fintech platform reported quarterly revenue of $1.1 billion, marking a 42.8% climb from the same period last year and exceeding the Street’s $1.05 billion estimate by 4.7%. Adjusted earnings per share landed at $0.12, perfectly aligned with projections. Adjusted EBITDA reached an all-time high of $340 million, surging 62% with margins expanding to 31%.
The platform welcomed a record 1.1 million new members during the three-month period. Membership totals climbed to 14.7 million, reflecting 35% annual growth. Product count expanded to 22.2 million, marking a 39% year-over-year increase.
Loan production delivered exceptional results. Combined originations reached an unprecedented $12.2 billion, jumping 68% from the prior-year quarter. Personal loan originations dominated at $8.3 billion, while student loan volume hit $2.6 billion and home loan originations totaled $1.2 billion.
Chief Executive Anthony Noto described the period as “an excellent Q1,” highlighting sustainable expansion and impressive profitability metrics. He emphasized that 43% of new product adoption came from the existing customer base, demonstrating increased cross-platform utilization.
Forward Projections Disappointed Markets
Notwithstanding the impressive quarterly showing, management’s outlook triggered the stock’s decline. The company’s full-year 2026 revenue forecast of $4.655 billion edged out the analyst consensus of $4.651 billion by the slimmest of margins. This minimal outperformance failed to generate investor enthusiasm.
For the second quarter, SoFi projected adjusted net revenue growth near 30% alongside an adjusted EBITDA margin of roughly 30%. Both metrics undershot analyst expectations, catalyzing the subsequent sell-off.
Shares plummeted 8.45% in pre-market activity, sliding to $16.83.
Annual Objectives Remain Unchanged
Looking at the complete fiscal 2026 picture, SoFi reaffirmed its previously established goals. The executive team anticipates adjusted EBITDA near $1.6 billion alongside adjusted net income approaching $825 million. This translates to projected adjusted earnings per share of approximately $0.60.
First-quarter pre-tax profit registered $199.6 million, equating to an 18.1% margin.
Analyzing the five-year trajectory, SoFi has expanded revenue at a 39.2% compound annual growth rate. The two-year annualized growth velocity stands at 33.7%, modestly trailing the longer-term pattern while maintaining robust momentum.
Shares traded at $16.83 following the earnings announcement, down from the pre-report level of $18.36.
