Block, Inc. (XYZ) shares plunged 7.49% intraday on Thursday as the payment firm's fourth-quarter profit fell short of estimates due to lackluster holiday spending and gains from bitcoin trading.
The company reported a profit of $0.71 per share, excluding one-time costs, missing analysts' expectations of $0.87 per share. Its transaction-based revenue of $1.68 billion and bitcoin revenue of $2.43 billion also fell short of estimates.
While a robust labor market and steady wage growth supported consumer spending during the holiday season, uncertainty surrounding trade policy under a new administration and the Federal Reserve's rate cuts kept sentiment in check, impacting Block's performance.
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