Cash App drove a 22% jump in gross profit, while Bitcoin gross profit fell by half

Tue 3 Nov 2026 · 16:36 EST · 2 min read

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Block, the fintech company co-founded by Jack Dorsey, posted third-quarter results that beat Wall Street on both earnings and revenue. Then it raised its full-year adjusted earnings guidance above what analysts had pencilled in.

Beating estimates is nice. Raising guidance tells you management expects that strength to last. In this report, Cash App did most of the heavy lifting. Its Bitcoin business went the other way.

The numbers behind the beat

Block (NYSE: XYZ) reported its results for the third quarter of 2026 on November 3. Adjusted diluted earnings per share came in at $1.13, ahead of analyst estimates of $1.02.

On a GAAP basis, the company booked net income of $565.6 million, or $0.92 per share.

Revenue reached $6.72 billion for the quarter. The consensus estimate was $6.62 billion, so Block cleared the bar by a comfortable margin.

Gross profit is the metric Block emphasizes most, and it rose 22% year over year to $3.24 billion.

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The split between Block’s two main businesses was lopsided. Cash App generated $2.07 billion in gross profit, up 27% from a year earlier. Square, the merchant side, contributed $1.16 billion, up 14%.

Cash App’s engagement and lending push

Cash App’s monthly active users reached 60 million in the quarter.

The standout figure may be consumer lending. Origination volume climbed 40% year over year to $19.0 billion.

Bitcoin gross profit falls by half

Block’s Bitcoin segment was the clear weak spot. Gross profit from its Bitcoin ecosystem dropped 50% year over year to $52 million.

The company attributed the decline largely to lower transaction fees on specific Cash App Bitcoin services.

Guidance moves higher

Block raised its outlook for full-year 2026. It now projects adjusted diluted EPS of $4.15, which came in above estimates.

The company also expects full-year gross profit of $12.626 billion, representing 22% growth. For the fourth quarter specifically, Block anticipates gross profit of $3.32 billion.

Disclosure: This article was edited by Vivian Nguyen. For more information on how we create and review content, see our Editorial Policy.

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