Block Inc. reported third‑quarter 2025 results on November 6, 2025, with revenue of $6.11 billion—slightly below the consensus estimate of $6.33 billion—and earnings per share of $0.54, missing the $0.63 consensus by $0.09. The miss reflects a combination of weaker demand in the Square payments segment and a shift toward lower‑margin Bitcoin revenue, which fell 19% year‑over‑year to $1.97 billion. Net income rose to $461.5 million, or $0.74 per diluted share, a 64% increase from the $284 million reported in Q3 2024, driven largely by higher gross profit and disciplined operating costs.
Gross profit climbed 18% year‑over‑year to $2.66 billion, the largest growth rate among Block’s core businesses. Cash App’s gross profit grew 24% to $2.02 billion, while Square’s gross profit increased 9% to $1.04 billion. The stronger Cash App performance offset the decline in Bitcoin revenue and helped maintain overall gross margin expansion. Adjusted operating margin for the quarter was 18%, matching consensus expectations and reflecting effective cost management amid the mix shift toward higher‑margin Cash App activity.
Block’s management raised full‑year guidance, projecting gross profit of $10.243 billion and adjusted operating income of $2.056 billion, implying a 20% operating margin for 2025. The guidance increase follows a prior outlook of $10.1 billion in gross profit and $2.00 billion in adjusted operating income, indicating confidence in continued product and market expansion. The company highlighted the launch of its Bitcoin mining unit, Proto, which generated its first revenue in Q3 2025, and emphasized ongoing investment in AI‑driven fraud detection and blockchain tools.
CFO Amrita Ahuja noted that Proto’s hardware sales are “seeding what has the potential to become our next major ecosystem,” while Business Lead Owen Jennings highlighted the growth of Cash App teen accounts, reporting 5 million monthly active teen users and 58 million total monthly active users in September. CEO Jack Dorsey underscored the acceleration of Square GPV growth to 12% and Cash App gross profit growth to 24%, framing the quarter as a return to “offense” in product innovation.
The results illustrate a deceleration in top‑line momentum—evidenced by the revenue miss—yet demonstrate resilience in core segments, particularly Cash App. The guidance lift signals management’s belief that the company can sustain growth and margin expansion through continued product development and strategic investments, despite the headwinds from declining Bitcoin revenue and competitive pressure in the payments space.
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