Block Q3 Earnings Lift Full-Year Guidance

Block, Inc. (XYZ) reported third-quarter 2026 earnings on Nov. 3, 2026, showing stronger-than-expected gross-profit growth that led the company to raise its full-year guidance. Management cited momentum across Cash App and Square despite rising credit losses.

Q3 Results and Outlook

Block’s investor-relations release reported revenue of $6.72 billion for the quarter ended Sept. 30, 2026. The company filed its Form 10-Q for the same period on Nov. 3, which showed transaction, loan, and consumer-receivable losses of $601.7 million, up 65.6% year over year.

The shareholder letter disclosed adjusted diluted earnings per share (EPS) of $1.13, gross profit of about $3.24 billion, up 22% year over year, and adjusted operating income of $923 million, up 92%. Cash App gross profit rose 27% to $2.07 billion, while Square gross profit increased 14% to $1.16 billion. Bitcoin Ecosystem gross profit declined 50% to $52 million, mainly due to lower fees on certain Cash App bitcoin transactions. Consumer lending origination volume grew 40% to $19.0 billion.

Block raised its 2026 full-year gross-profit outlook to $12.6 billion and adjusted operating income guidance to $3.5 billion. It set full-year adjusted diluted EPS guidance at $4.15. For the fourth quarter, the company projected gross profit of about $3.3 billion, adjusted operating income of $1.0 billion with a 30% margin, and adjusted diluted EPS of $1.15. The preliminary 2027 outlook targets at least 15% gross-profit growth and roughly 30% growth in adjusted operating income to about $4.6 billion.

The shareholder letter stated, "We are raising our full-year guidance to reflect the momentum we are seeing across Block." This outlook reflects management’s confidence that profit momentum will continue despite the decline in Bitcoin-related gross profit and the rise in credit losses.