Highlights

  • Gross profit increased 18% year-on-year to AUD 2.66 billion in recent quarter, with Cash App and Square both contributing to growth.
  • Net income reached AUD 462 million in 3QFY25, while Adjusted EBITDA rose to AUD 833 million.
  • Full-year 2025 guidance raised, with gross profit expected to reach AUD 10.24 billion and adjusted operating income forecast at AUD 2.06 billion.

Block, Inc. (ASX:XYZ) reported its third quarter for fiscal 2025, driven by continued growth across its Cash App and Square ecosystems. The company recorded an 18% year-on-year increase in gross profit to AUD 2.66 billion, while also raising its full-year guidance for 2025. Despite the improved outlook, Block’s shares were trading 14% lower at AUD 97.15 during the session on 7 November 2025.

Cash App and Square Drive Double-Digit Gains

Block, Inc. delivered another quarter of expansion across its major operating units. Cash App gross profit grew 24% year-on-year to AUD 1.62 billion, highlighting sustained user engagement and growth in transaction volumes. The Square segment, which serves merchants and small businesses, reported AUD 1.02 billion in gross profit, up 9% from the prior year.

The company said both ecosystems benefited from higher payment volumes and increased adoption of its financial tools by consumers and businesses alike.

Operating and Net Income Improve

For the quarter, operating income reached AUD 409 million, representing a 15% margin, while adjusted operating income stood at AUD 480 million, an 18% margin.

Net income for the period came in at AUD 462 million, and Adjusted EBITDA totaled AUD 833 million.

Guidance Raised for Fiscal 2025

Block updated its full-year 2025 outlook following stronger-than-expected third-quarter results. The company now expects gross profit of AUD 10.243 billion, reflecting 15% year-on-year growth. Adjusted operating income is projected to reach AUD 2.056 billion, implying nearly 28% growth over the previous year.

Management stated that the revised guidance factors in better-than-anticipated third-quarter performance and improved expectations for the fourth quarter. Block plans to continue investing in sales, marketing, and the expansion of its Borrow and other lending products to drive long-term growth.

The company’s “Rule of X” metric—a performance measure combining growth and profit margins—stood at 35.3% for the year.

Market Reaction

Despite the positive financial results and upgraded outlook, Block’s shares fell 14% to AUD 97.15 during the trading session on 7 November 2025.