Description

Affirm’s Shopify Engine Keeps Building — Here’s Why Pay In X Matters!

Affirm Holdings, Inc. reported its third quarter fiscal 2026 results highlighting continued momentum across multiple dimensions of its business. The company emphasized a stable credit environment, with no significant deterioration in loan performance among its targeted consumers. Affirm’s underwriting approach focuses on select consumers, contributing to stable delinquency rates. On the funding side, the company described an exceptionally constructive capital market environment, with oversubscribed deals and tightening spreads driving a reduction in funding costs by approximately 125 basis points year-over-year. Affirm attributes this strength partly to the short duration of its asset base and its ability to attract a broad investor base. The company’s fastest-growing segment is the Pay in X product, led by ongoing partnerships primarily with Shopify and one large merchant transitioning to a permanent 0% Pay in 4 offering, which management anticipates will continue to drive volume growth into the coming quarter.