Slide 1: Block Investor Presentation Q4 2024
Block Investor Presentation investors.block.xyz Q4 2024
Slide 2: Forward-looking statements
Forward-looking Statements Investor Presentation Forward-looking statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statement
Slide 3: Block Financial Objectives
Financial Objectives Investor Presentation Block Financial Objectives ● Drive consistent growth while ensuring profitability: pursuing balance between delivering consistent growth without sacrificing profitability, setting the foundation for long-term success ● Maximize gross profit: committed to de
Slide 4: Strong growth at scale in 2024
Growth Investor Presentation Strong growth at Gross Profit scale in 2024 Corporate & Other Cash App Square Strong year-over-year gross profit growth and 36% 5-year CAGR $8.89B $7.50B $5.99B $5.24B $4.32B $4.42B $3.25B $2.73B $2.07B $1.23B $3.13B $3.60B $2.71B $2.32B $1.51B 2020 2021 2022 2023 2024 Y
Slide 5: Significant growth in profitability in 2024
Improving Profitability Investor Presentation Significant growth in profitability in 2024 Net Income Loss Adjusted EBITDA *attributable to common stockholders 34% margin 69% YoY Growth $3,029M $2,897M $1,792M $1,014M $991M $474M $213M $166M $10M $541M 2020 2021 2022 2023 2024 2020 2021 2022 202
Slide 6: Significant growth in profitability in 2024
Improving Profitability Investor Presentation Significant growth in profitability in 2024 Operating Income Loss Adjusted Operating Income Loss 5x YoY Growth 18% margin $1,609M $892M $306M $351M $161M $4M $19M $279M ($145M) $625M 2020 2021 2022 2023 2024 2020 2021 2022 2023 2024 Margins ab
Slide 7: Q4 Key Messages
Q4 Key Messages Investor Presentation Q4 Key Messages ● Strong Q4 results as we delivered gross profit growth in line with our guidance at 14%, sustaining strong growth at scale to end 2024 while outperforming our profitability guidance ● GPV growth accelerated in Q4 to 10% on a global basis and 6.9
Slide 8: Q4 Gross Profit
Growth Investor Presentation Q4 Gross Profit Gross Profit Strong year-over-year gross Corporate & Other Cash App Square profit growth $2.31B $2.23B $2.25B $2.09B $2.03B $1.30B $1.31B $1.38B $1.18B $1.26B $820M $923M $932M $924M $828M Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 YoY Growth 22% 22% 20% 19%
Slide 9: Q4 Profitability
Improving Profitability Investor Presentation Q4 Profitability Net Income Loss Adjusted EBITDA *attributable to common stockholders 33% margin 35% YoY Growth $807M $1,946M $759M $757M $705M $562M $472M $284M $195M $102M Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 20
Slide 10: Q4 Profitability
Improving Profitability Investor Presentation Q4 Profitability Operating Income Loss Adjusted Operating Income Loss 2x YoY Growth 17% margin $444M $399M $402M $364M $185M $307M $323M $250M $13M ($131M) Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Margins above
Slide 11: Cash App
Cash App Investor Presentation Cash App 11
Slide 12: Bank our Base strategy
Cash App Investor Presentation Bank our Base strategy Cash App aims to become one of the top providers of financial services to households in the U.S. which earn up to $150k per year ● Expand access by launching best-in-class financial Increase gross profit per active services and commerce products
Slide 13: Continued strong growth at scale
Cash App Investor Presentation CASH APP Cash App Gross Profit Continued strong growth at scale $1.38B Gross profit growth of 16% year over year driven by strong performance across Cash App Card, BNPL, and $1.30B $1.31B Cash App Borrow $1.26B $1.18B Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 YoY 25% 25%
Slide 14: Driving greater engagement and monetization
Cash App Investor Presentation CASH APP Cash App Gross Profit per Monthly Transacting Active Growth Driving greater engagement and monetization $76 $76 $75 Gross profit per monthly transacting $74 active growth of 13% year over year in Q4 $68 $65 $65 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q
Slide 15: Driving greater engagement and monetization
Cash App Investor Presentation CASH APP Cash App Inflows per Active Driving greater engagement $1,255 and monetization $1,137 Inflows per transacting active growth $1,048 $1,010 of 10% year over year in Q4 $909 Q4 2020 Q4 2021 Q4 2022 Q4 2023 Q4 2024 YoY Growth 41% 11% 4% 9% 10% Please see the Appen
Slide 16: Cash App Card actives growth
Cash App Investor Presentation CASH APP Cash App Card Monthly Actives Cash App Card actives growth 55M 56M 57M 57M 57M 57M 54M 53M Cash App Card monthly actives have grown as a % of overall Cash App actives over time 24M 24M 24M 25M 22M 23M 20M 21M Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Q2 2024 Q3
Slide 17: Total inflows increased 14% year over year in 2024
Cash App Investor Presentation CASH APP Cash App Inflows Total inflows increased 14% year $283B over year in 2024 $248B $203B $179B $116B 2020 2021 2022 2023 2024 YoY 123% 54% 13% 22% 14% Growth 17
Slide 18: Strong gross profit retention has led to recurring revenue
Cash App Investor Presentation CASH APP Cash App Gross Profit by Cohort Strong gross profit retention has led to recurring revenue streams Our Cash App ecosystem has achieved positive annual gross profit retention in aggregate and for each annual cohort 2024 Cohort 2023 Cohort 2022 Cohort 2021 Cohor
Slide 19: Actives scale across Cash App product areas
Cash App Investor Presentation CASH APP Actives scale across Cash App product areas 2.5M Paycheck Deposit 6M Cash App Pay 5M Cash App Borrow 25M Cash App Card Monthly Actives Monthly Actives Monthly Actives Monthly Actives Data as of December 2024. Please see Appendix for a definition of Cash App ac
Slide 20: Cash App customer quotes
Cash App Investor Presentation “Love cash app just wished I would have signed up earlier instead of a couple of months ago - my daughter is the one who turned me on to itˮ Delana Jeffries | Facebook “I fell in love with my card plus it came with stickers to put on the card - good stickers at that.
Slide 21: Healthy consumer behavior and repeat engagement on Afterpay
Afterpay Investor Presentation AFTERPAY We focused on driving healthy consumer behavior and repeat engagement 1 95 96 98 % % % % < > risk loss on Afterpay of Afterpay GMV comes of all installments of all purchases consumer receivables from returning customers were paid on time incurred no late fees
Slide 22: Square
Square Investor Presentation Square 22
Slide 23: Strategic priorities
Square Investor Presentation Strategic priorities Improve Square GPV growth through new product launches and go-to-market initiatives Drive acquisition of new sellers ● Building a rock solid and flexible platform ● Providing a local experience to sellers of all sizes ● Growing with artificial intell
Slide 24: Continued strong growth at scale
Square Investor Presentation SQUARE z Square Gross Profit Continued strong growth at scale $923M $932M $924M Gross profit growth of 12% year over year driven by strength in our $828M $820M software and integrated payments and banking products Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 YoY 18% 19% 15% 1
Slide 25: Showing growth and diversity of geographies
Square Investor Presentation SQUARE z Square GPV by Geography Showing growth U.S. GPV International GPV and diversity $58.4B $59.9B $58.9B of geographies $53.5B 18% $50.5B 17% 19% 17% 17% 83% 82% 83% 81% 83% Q4 2023 Q1 2024 Q2 2024 Q3 2024 Q4 2024 Overall* 10% 9.2% 7.8% 7.5% 10% * Percentages show Y
Slide 26: Square sellers represent a diverse range of industries
Square Investor Presentation SQUARE z Square sellers represent a diverse range of industries 8% 12% Home & Repair Other % of Square Gross Payment Volume GPV) by industry in 2024 33% Food & Drink 9% Healthcare & Fitness 10% 17% Beauty & Retail Personal Care 10% Professional Services 26
Slide 27: Positive dollar-based retention has led to recurring revenue
Square Investor Presentation SQUARE z Square Gross Profit by Cohort Positive dollar-based retention has led to recurring revenue streams Similar to prior years, Square gross profit retention remained over 100% in 2024 2024 Cohort 2023 Cohort 2022 Cohort 2021 Cohort 2020 and Prior Cohort 2020 2021 20
Slide 28: Upmarket progress
Square Investor Presentation SQUARE z GPV by seller size Upmarket progress $58.9B $53.5B $24.8B $48.6B $21.4B $18.9B $500K 42 $16.6B % $14.0B $15.3B $125K$500K $16.9B $17.6B $15.9B $125K GPV from mid-market sellers in Q4 2024 Q4 2022 Q4 2023 Q4 2024 % mid-market sellers 39% 40% 42% We determine s
Slide 29: Square seller testimonial
Square Investor Presentation “If you donʼt have everything in one place, you have to hire multiple companies. Itʼs more expensive. Itʼs more time-consuming. And then everythingʼs separate. What I like as a business owner is that everythingʼs in Square... Before we started using Square, our first y
Slide 30: 2025 Full Year Guidance
Full Year Guidance Investor Presentation 2025 Full Year Guidance For the full year, we expect at least 15% gross profit growth year over year, consistent with the initial outlook we shared in our third quarter shareholder letter, and despite an additional 50 basis points of FX headwinds since that i
Slide 31: Q1 2025 Guidance
Q1 2025 Guidance Investor Presentation Q1 2025 Guidance In the first quarter of 2025 we expect to deliver $2.32 billion of gross profit and $430 million of Adjusted Operating Income. Q1 2025 Gross Profit $2.32B YoY Growth 11% Adjusted Operating Income $430M % Margin 19% Rule of X 29.3% We have not p
Slide 32: Appendix
Appendix Investor Presentation Appendix 32
Slide 33: Appendix
Appendix Investor Presentation Appendix Slide 4 Slide 15 Corporate & Other includes primarily emerging initiatives and intersegment eliminations. In the Inflows per transacting active refers to total inflows in the quarter divided by monthly actives fourth quarter of 2023, we began reporting the fin
Slide 34: Appendix
Appendix Investor Presentation Appendix Slide 25 Square GPV is defined as the total dollar amount of all card and bank payments processed by sellers using Square, net of refunds. Slide 27 Square gross profit retention rate is calculated as the year-over-year gross profit growth of all existing quart
Slide 35: Reconciliations (unaudited)
Reconciliations (unaudited) Investor Presentation Reconciliations (unaudited) Adjusted Operating Income (in thousands, except for percentages) THREE MONTHS ENDED Dec. 31, 2024 Dec. 31, 2023 Mar. 31, 2024 June 30, 2024 Sept. 30, 2024 Operating income (loss) $ 13,013 $ 130,652 $ 249,743 $ 306,562 $
Slide 36: Reconciliations (unaudited)
Reconciliations (unaudited) Investor Presentation Reconciliations (unaudited) Adjusted Operating Income (in thousands, except for percentages) TWELVE MONTHS ENDED Dec. 31, 2024 Dec. 31, 2023 Dec. 31, 2022 Dec. 31, 2021 Dec. 31, 2020 Operating income (loss) $ 892,327 $ 278,839 $ 624,532 $ 161,112
Slide 37: Reconciliations (unaudited)
Reconciliations (unaudited) Investor Presentation Reconciliations (unaudited) Adjusted EBITDA (in thousands, except for percentages) THREE MONTHS ENDED Dec. 31, 2024 Dec. 31, 2023 Mar. 31, 2024 June 30, 2024 Sept. 30, 2024 Net income attributable to common stockholders $ 1,946,020 $ 102,236 $ 472,00
Slide 38: Reconciliations (unaudited)
Reconciliations (unaudited) Investor Presentation Reconciliations (unaudited) Adjusted EBITDA (in thousands, except for percentages) TWELVE MONTHS ENDED Dec. 31, 2024 Dec. 31, 2023 Dec. 31, 2022 Dec. 31, 2021 Dec. 31, 2020 Net income (loss) attributable to common stockholders $ 2,897,047 $ 9,772 $