SoFi Technologies on Tuesday reported second quarter earnings that topped Wall Street targets. The financial technology company raised its full year 2025 revenue outlook for SoFi stock, which popped in early trading.
In the June quarter, San Francisco-based SoFi said it earned 8 cents with net adjusted revenue up 44% to $858 million. Analysts had predicted earnings of 6 cents on revenue of $804 million. A year earlier the company had 1 cent profit using generally accepted accounting principles, or GAAP. It was another quarter of accelerating growth on the top and bottom line.
In addition, for full year 2025, management raised guidance for adjusted net revenue to $3.375 billion, up $65 million from the top end of prior guidance. In addition, SoFi guidance calls for 30% annual growth.
SoFi Membership Expands
But with a strong first half of 2025, SoFi's outlook could be cautious, said Truist Securities analyst Matthew Coad in a report.
"Management's updated guidance calls for a pretty meaningful deceleration in year-over-year adjusted net revenue growth," he said. "This is partially due to a tougher comparison in the back-half of the year, but we believe the main topic of debate will center on how conservative management's revenue guidance is as the revenue guide calls for second half adjusted net revenues to be 7% above first-half levels which is well-below the growth SoFi has delivered historically."
SoFi added a record 850,00 members in the quarter. With the gain, membership reached 11.7 million. Also, SoFi said it expects to add 3 million members overall in 2025, up from its earlier outlook of 2.8 million.
"Member growth was robust again this quarter at SoFi, with total members at 11.7 million," added Coad. "On our estimates, total SoFi members now account for 4.4% of the 18-plus population in the U.S., while SoFi Money customers account for 2.2% of the 18-plus population. A key debate centers around how quickly SoFi can continue to grow members, and SoFi Money and SoFi Invest members in particular, as this growth combined with meaningful ARPU expansion is what is driving the robust revenue growth."
Loan Platform Business Booms
Sofi's loan platform business was a Q2 bright spot, said TD Cowen analyst Moshe Orenbuch in a report.
In addition to originating loans for their own book, SoFi is now originating them for partners who purchase them. They started in the third quarter of last year, and they announced today that they started originating loans outside of their own credit criteria – expanding the market opportunity further
"The beat was driven by higher non-interest income ($337million versus $296 million estimated), primarily from LPB fees," he said.
Orenbuch added : "Total originations were at $8.8 billion, higher than our estimate of $8.1billion driven by LBP origination growth. Total personal loan origination was at $7 billion, up 26% quarter-over-quarter. Overall LBP revenue was at $131 million, up from $96 million, last quarter."
SoFi Stock: Expanding Product Portfolio
On the stock market today, SoFi stock gained 6.6% to close at 22.40. The stock popped over 10% in intraday trading, hitting an all-time high of 25.11 at one point.
Founded in 2011, the financial services company was initially known for its student loan refinancing business. But now the company has expanded its product offerings to include personal loans, credit cards, mortgages, investment accounts, banking services and financial planning. SoFi also holds a banking license.
It's expanding into new areas, such as offering investors access to more private market funds. Also, SoFi recently launched a co-branded debit card program.
Jefferies analyst John Hecht is upbeat.
"We believe SoFi is well-positioned through new and expanding product opportunities across credit card, private markets to stablecoin and crypto, supporting its focus on building a one-stop platform to achieve 20% to 30% return-on-equity target, with a similar growth trajectory," he said in a report.
Heading into the SoFi earnings report, shares had advanced 48% in 2025.
"It is our opinion that the Street is only now beginning to appreciate the extent and speed of SoFi's disruptive digital banking offerings," said William Blair analyst Andrew Jeffrey in a report. "Traditional banks will not be able to compete and will rapidly lose share to SoFi as the company brings to bear the widest selection of savings, spending, lending, investing, and advice offerings. We also anticipate meaningful multiple expansion as investors appreciate rising high-quality fee revenue contribution and steady credit performance."
SoFi stock owns a Composite Rating of 97 out of a best-possible 99. The score combines five separate proprietary ratings into one rating. The best growth stocks have a Composite Rating of 90 or better.
Follow Reinhardt Krause on X, formerly Twitter, @reinhardtk_tech for updates on artificial intelligence, cybersecurity and cloud computing.
