Affirm Holdings Chairman Max Levchin Talks Q2 Results
Feb 9, 2024
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Max Levchin, Affirm Holdings Chairman/CEO/Founder, discusses the impact of evolving pop culture on our lives, highlights their strong performance and growth in various products, and addresses concerns about potential slowdown and commitment to results and guidance strategy.
Affirm Holdings saw strong growth in active cardholders, increasing from 400,000 to 700,000, attributed to the success of their diverse range of products and the strength of their policy.
Despite concerns about the economy, Affirm Holdings observed increased share wallets across multiple partners, their ability to engage with consumers, and maintain a low delinquency rate, showcasing their confidence in attracting and retaining a strong consumer base.
Deep dives
Positive Financial Performance and Growth
The firm CEO, Max Leifshan, discussed the company's strong financial performance. Despite the slight miss in transaction volume estimates, the firm exceeded expectations and showcased strong growth across the board. Leifshan emphasized the significant growth in active cardholders, with numbers increasing from 400,000 to 700,000. He attributed the company's overall growth to various factors, including the success of their diverse range of products and the strength of their policy. Leifshan expressed confidence in the company's future performance and reassured investors by emphasizing their commitment to continue delivering positive results.
Consumer Spending and Robust Performance
Leifshan discussed the US consumer's determination to spend, which remains strong despite concerns about the economy. Although consumers may feel apprehensive, Leifshan noted that the firm has observed an increase in share wallets across multiple partners. He highlighted the firm's ability to engage with consumers and maintain a low delinquency rate. Leifshan addressed concerns about the impact of credit card trends on the company, stating that their borrowers perform well based on historical data. He affirmed the firm's confidence in their segment and their ability to attract and retain a strong consumer base.
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The Impact of Evolving Pop Culture and A Firm's Strong Performance
Affirm Holdings Chairman/CEO/Founder Max Levchin discusses the results of the "buy now/pay later" company's last quarter with Bloomberg's Ed Ludlow and Caroline Hyde.