Square delivered better-than-expected third-quarter earnings Tuesday after the bell.
The mobile payments service run by Twitter CEO Jack Dorsey reported a Q3 net loss of $32 million, or 9 cents a share. Revenue was $439 million, up 32 percent over the same quarter last year.
Wall Street was bracing for a loss of 11 cents a share on revenue of $431 million.
Square's gross payment volume (GPV), a key metric for the payments company, ticked up to $13.2 billion, an increase of 39 percent from the same period a year ago. GPV from larger sellers, defined by Square as merchants generating more than $125,000 in annualized revenue, grew 55 percent year over year, attributing 43 percent of GPV for the quarter.
Square also said it processed more than 35,000 business loans as part of Square Capital for a total of $208 million, which was up about 70 percent compared to the third quarter last year.
Square is once again raising its guidance for the fiscal year. The company now expects adjusted revenue to be in the range of $677 million to $680 million, up from the previous range of $655 million to $670 million.
For the current quarter, Square expects net revenue between $438 million to $443 million.
Square's stock price climbed nearly 6 percent after market trading.
Looking at the rest of Square's balance sheet, the company's transactional revenue came in at $388 million. Revenue from its software and data products, including Square Capital, climbed to $35 million, up 140 percent compared to the year-ago period. The company's hardware revenue dropped to $8 million, marking its third quarter-over-quarter decline, but a 94-percent increase from the year-ago period.