Zip Co Ltd’s shares advanced 18.8% to A$3.07 on Tuesday, outpacing the ASX 200 index’s 0.2% gain after the buy-now, pay-later provider reported record annual cash EBITDA and raised its earnings guidance.
The company posted cash EBITDA of A$268.9 million for the year ended June 30, a 57.9% increase from the prior period and exceeding its upgraded guidance of at least A$260 million. Statutory net profit after tax rose 45.7% to A$116.4 million, while total revenue climbed 24.7% to A$1.34 billion.
U.S. operations contributed A$903.1 million in revenue, up 37.3% year-on-year and accounting for the majority of the group’s total revenue. The company also forecast approximately 26% earnings growth for the fiscal year ending June 2027, signaling continued momentum in its core markets.
