Affirm Holdings reported first-quarter revenue of $1.26bn, above the $1.23bn expected and above the $1.19bn to $1.22bn range the company had given for the quarter. It cleared its own bar as well as the market's.

The larger change is the full-year outlook, which is management's own forecast. Affirm now expects fiscal 2027 gross merchandise volume (GMV), the total value of purchases made with Affirm, of more than $65.25bn. Its earlier forecast was more than $64bn.

The margin target has moved up too, though by less. Affirm expects an operating margin of more than 14.75% for the year, from more than 14.5% before. It also expects an adjusted operating margin of more than 30.75%, and revenue similar to fiscal 2026 as a percentage of GMV. That last point suggests the higher volume forecast is not being bought with thinner revenue per dollar.

For the fiscal second quarter, Affirm expects GMV of $17.9bn to $18.2bn and revenue of $1,435m to $1,465m. It guides to revenue less transaction costs of $705m to $720m, an operating margin of 11.50% to 13.50% and an adjusted operating margin of 29.50% to 31.50%. The second-quarter GMV range is the next check on whether the higher full-year figure holds.

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