SoFi Technologies (SOFI -6.00%) smashed expectations in the 2025 second quarter with accelerated adjusted net revenue growth and skyrocketing profits. All of the segments for this online bank are growing, and lower interest rates are boosting its lending segment.
Sofi stock is already up 36% this year. Should you still buy it today? Yes, and here's why.
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Put SoFi stock on your list
There are many reasons to buy SoFi stock, but one I want to point out today is its accelerating growth. As companies get bigger, growth rates tend to slow down. SoFi's adjusted net revenue increased 44% year over year in the second quarter to $854.9 million, above guidance of 31% to 35% growth and above Wall Street's expectations of $804.36 million. It's the company's highest quarterly growth rate in two years.
Earnings per share (EPS) were $0.08, above the expected $0.06, and up 700% from $0.01 last year. CEO Anthony Noto attributed the breakout performance to the company's investments in its platform, driving another quarter of record member growth. It added 850,000 members in the quarter to 11.7 million, a 34% increase over last year.
The company's main growth driver is its financial services segment, which was responsible for 89% of total product growth. These are largely low-cost, fee-based products that are also building the bottom line. Financial services revenue increased 106% to $362.5 million, while contribution profit was up 241%.
It also enjoyed accelerating growth in the lending segment, which was up 30% year over year, maintaining its place as the largest of SoFi's segments with $443.5 million in revenue.
Based on these results, management raised its full-year guidance from 24% to 27% growth to 30%, and EPS from $0.27 or $0.28 to $0.31. The company's understanding of its target clientele and upgrades to the platform are working, and SoFi still has a long growth runway.
