Sezzle Reports Q2 Revenue of $98.7M, Up from $94.9M Estimate

Sezzle reported Q2 adjusted earnings of $0.69 per share, beating FactSet's estimate of $0.58. The company's revenue increased to $98.7M, surpassing the estimated $94.9M. Sezzle also unveiled new shopping tools to meet rising consumer expectations.

Sezzle Inc. (NASDAQ: SEZL) reported its second-quarter 2025 earnings, with adjusted earnings per share (EPS) of $0.69, surpassing FactSet's estimate of $0.58. The company's total revenue reached $98.7 million, exceeding the estimated $94.9 million. Additionally, Sezzle unveiled new shopping tools to meet rising consumer expectations.

Charlie Youakim, Sezzle's Executive Chairman and CEO, noted that the company is scaling with intention, focusing on both growth and strategic investments. The gross merchandise volume (GMV) hit a new company high of $927.0 million, up 74.2% year-over-year (YoY), driven by higher engagement from both subscriber and on-demand users. The average number of purchases per consumer increased to 6.1 from 4.8 in the same period last year.

The new suite of app enhancements and features, such as the Earn Tab, On-Demand, Pay-in-5, Express Checkout, and others, have broadened engagement and enriched the consumer experience. This is reflected in a healthy Net Promoter Score (NPS) of 75.

Sezzle's total revenue as a percentage of GMV reached 10.6%, and the company's monthly on-demand and subscriber (MODS) count reached 748,000, up from 658,000 last quarter. Total operating expenses grew to $62.6 million, up 59.5% YoY, but represented a smaller portion of total revenue—down 6.8 points to 63.4%.

The company's operating income reached $36.1 million in 2Q25, up 116.1% YoY, with an operating margin expanding by 6.8 points YoY to 36.6% of total revenue and 80 basis points YoY to 3.9% of GMV. Sezzle achieved net income of $27.6 million in 2Q25, representing 28.0% of total revenue. Adjusted net income rose 91.8% YoY to $24.4 million, or 24.7% of total revenue.

During the quarter, Sezzle spent $23.5 million to acquire 678,529 shares under its $50 million common stock repurchase plan. The company's cash and cash equivalents stood at $120.0 million, with $31.0 million restricted.

Sezzle's forward-looking guidance for FY2025 includes total revenue growth of 60-65%, with total revenue less transaction-related costs as a percentage of total revenue at 60%-65%. The company anticipates adjusted net income of $120.0 million and adjusted net income per diluted share of $3.25.

Sezzle continues to introduce new features to enhance the consumer experience and has been recognized for its responsible, consumer-aligned platform. The company will participate in upcoming investor conferences and host its second-quarter earnings conference call on August 7, 2025.

References:
[1] https://www.marketscreener.com/news/sezzle-q2-adjusted-earnings-revenue-increase-ce7c5edcdb88f12c
[2] https://www.morningstar.com/news/globe-newswire/9508673/sezzle-reports-second-quarter-2025-results