Figure Technology Solutions Surges on Strong Fourth-Quarter Performance
Shares of Figure Technology Solutions saw a remarkable 6% increase, reaching $36.10 during early Friday trading. This surge followed the release of the company’s preliminary fourth-quarter results, which surpassed analyst expectations.
The company anticipates revenue for the quarter to fall between $158 million and $162 million, exceeding the consensus estimate of $154 million. Adjusted EBITDA is also expected to be between $80 million and $83 million, aligning well with market forecasts.
Notably, consumer loan originations on Figure’s marketplace experienced a substantial 131% surge compared to the previous year, underscoring the strength of its core on-chain credit platform, which serves as the primary revenue driver.
Accompanying the positive financial results is the announcement of a secondary share offering, allowing existing shareholders to sell up to 4.23 million shares. Additionally, Figure Technology Solutions intends to repurchase up to $30 million worth of stock from underwriters.
Investors are closely monitoring Figure’s continued expansion of its blockchain-based lending infrastructure, with a focus on initiatives like the OPEN network for on-chain equity issuance. The company is also exploring the transition of stock lending to blockchain technology to reduce dependence on conventional prime brokers.
Anticipation is high for the upcoming formal earnings release and guidance update, scheduled for later this month.
Be the first to comment