Key Takeaways
- Q1 revenue reached $1.1 billion, representing a 42.8% year-over-year increase
- Earnings per share of $0.12 on an adjusted basis met Wall Street projections
- 2026 full-year revenue outlook of $4.655 billion marginally exceeded consensus estimates, failing to impress markets
- Second-quarter projections for both revenue expansion and EBITDA margin fell short of analyst forecasts
- Shares declined approximately 8.5% during pre-market hours after the earnings release
SoFi Technologies delivered better-than-expected first-quarter revenue results for 2026, yet shares tumbled significantly in early trading. While the quarterly performance impressed, forward-looking projections left investors wanting more.
The fintech platform reported quarterly revenue of $1.1 billion, reflecting a robust 42.8% climb from the prior year and surpassing the Street’s $1.05 billion estimate by 4.7%. On an adjusted basis, earnings per share reached $0.12, matching analyst predictions perfectly. Adjusted EBITDA climbed to an all-time high of $340 million, representing a 62% surge with margins hitting 31%.
Membership growth remained a bright spot, with SoFi welcoming a record 1.1 million new members during the three-month period. The platform’s total membership base expanded to 14.7 million, marking a 35% year-over-year jump. Overall product count climbed to 22.2 million, up 39%.
Lending activity particularly shined during the quarter. Loan originations surged to a record $12.2 billion, up 68% compared to the same period last year. Personal loan originations dominated at $8.3 billion, with student loans contributing $2.6 billion and residential mortgages adding $1.2 billion.
Chief Executive Anthony Noto described the quarter as “excellent,” emphasizing sustainable expansion and attractive returns. He highlighted that 43% of new products sold went to current members, demonstrating increased cross-platform utilization.
Forward Outlook Disappoints
Despite the solid quarterly results, management’s guidance triggered the share price decline. The company’s full-year 2026 revenue projection of $4.655 billion came in only slightly above the consensus estimate of $4.651 billion. This minimal outperformance failed to generate investor enthusiasm.
For the second quarter, SoFi projected adjusted net revenue growth of approximately 30% alongside an adjusted EBITDA margin near 30%. Both metrics landed below analyst expectations, triggering the morning sell-off.
Shares plummeted 8.45% in pre-market activity, settling at $16.83.
Annual Projections Remain Unchanged
Looking at the complete fiscal 2026 outlook, SoFi reaffirmed its previously stated objectives. The company anticipates adjusted EBITDA reaching approximately $1.6 billion alongside adjusted net income of around $825 million. This translates to adjusted earnings per share of roughly $0.60.
First-quarter pre-tax profit totaled $199.6 million, yielding an 18.1% margin.
Over a five-year horizon, SoFi has expanded revenue at a compound annual growth rate of 39.2%. The two-year annualized expansion rate stands at 33.7%, slightly trailing the longer-term trajectory while still demonstrating healthy momentum.
Following the earnings announcement, shares traded at $16.83, down from the previous close of $18.36.
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