The only pillar that declined was the Be Well segment, which gave up 2.5%. Peloton shares lost more than 9%. Peloton Interactive’s latest results indicated year-over-year growth in running workouts (5%) and walking workouts (11%) engagement. Paid Connected Fitness subscriptions ended the quarter at 2.88 million, a 6% decline year over year. However, subscription churn improved to 1.2% in Q3, down from 1.4% in Q2, according to the company’s shareholder letter. Net Paid Connected Fitness subscriptions saw slight growth quarter over quarter
And in shifting to the firms that were in the green, with stock increases, Porch Group shares leaped 61.6%, driving the Live segment higher by 8.4%. Investors were cheered by the company’s first quarter details, which disclosed that the company has grown its gross margins by double digits, where revenues of $105 million were higher than expectations and it increased its revenue guidance for the current year.
Sezzle shares jumped more than 56.3%, leading the Pay and Be Paid group 6% higher.
In its latest earnings report, gross merchandise volume (GMV) surged 64.1% year over year to $808.7 million, fueled by increased subscriber and on-demand user engagement. Total revenue climbed 123.3% to $104.9 million, marking a new quarterly high, while net income more than quadrupled to $36.2 million, or $1.00 per diluted share.
Operating efficiency improved, with total operating expenses dropping to 52.4% of revenue — an 18.2-point improvement from the prior year. Consumer purchase frequency rose sharply to 6.1 times per year, up from 4.5. CEO Charlie Youakim addressed the company’s On Demand product, reporting “monthly sequential growth right now, which tells you we’ve got a really a winner of a product on that.”
Affirm Slips on Guidance
Affirm’s stock slid 11.3% The company said 1.8 million new consumers transacted within the platform’s growing ecosystem. But guidance that implies at least some deceleration from lofty transaction growth of 36% gains in GMV, and revenues were up a commensurate 36% to $783 million.
CEO Max Levchin noted in the letter that 80% of the monthly 0% loan volume in Q3 2025 came from prime and super-prime borrowers, “compared to roughly 50% we typically see in interest-bearing products,” he wrote in the latest shareholder letter.
As for the Affirm Card, the $807 million in GMV was up 115% year over year, with 2 million active cardholders. Guidance for the current quarter looks for $815 million to $845 million in top line, which implies $830 million at the midpoint, and which missed the Street’s consensus at about $840 million (revenue growth year over year as measured in the fiscal fourth quarter last year was 48%).
Mastercard said this week that it teamed with British FinTech Cardstream to promote open banking payments. The partnership will allow Cardstream to bolster its payment-facilitation-as-a-service (PFaaS) platform and allow customers to offer open banking payments to merchants and retailers throughout the U.K., the companies said in a Wednesday announcement.
“There’s strong demand for open banking payments as a secure and convenient way to pay alongside cards,” Adam Sharpe, CEO of Cardstream, said in the announcement. Mastercard shares gathered 1.6%.
In the Shop segment, which was up 1.6%, most names were higher, but the impact was blunted by Shopify’s 7.5% decline.
PYMNTS reported that Shopify’s first-quarter earnings results showed double-digit growth in GMV and a continued movement toward streamlined checkout online and further inroads made in offline commerce. But “It’s still early to assess the full impact of the current trade environment,” Shopify President Harley Finkelstein said on the conference call with analysts.
He added, “We’re, of course, monitoring for potential slowdowns, but our data through April shows little evidence of that.” The company’s earnings results noted that revenues were up 27% to $2.4 billion; GMV surged 22% to $74.8 billion. Shop Pay, the rapid checkout feature, saw 57% growth year over year, processing $22 billion in GMV in the quarter.
