SoFi stock gains after company gives upbeat 2023 earnings forecast
Shares of SoFi Technologies Inc.
were rising 7% in premarket trading Monday after the digital financial services company delivered an upbeat earnings forecast for the full year ahead. The company posted a fourth-quarter net loss of $40.0 million, or 5 cents a share, compared with a loss of $111 million, or 15 cents a share, in the year-earlier period. Analysts tracked by FactSet were expecting a 9-cent per-share loss. On an adjusted basis, SoFi reported earnings before interest, taxes, depreciation, and amortization (Ebitda) of $70.1 million, compared with $4.6 million a year and ahead of the $43 million FactSet consensus. Total net revenue rose to $456.7 million from $285.6 million, while analysts had been projecting $423 million. Total deposits at SoFi Bank rose 46% on a sequential basis. For the first quarter, SoFi anticipates $40 million to $45 million in adjusted Ebitda, and for the full year, the company expects to see $260 million to $280 million. The FactSet consensus was for $50 million in first-quarter adjusted Ebitda as well as $246 million for the full year. SoFi expects that it could generate positive GAAP net income in the fourth quarter of 2023.