SoFi shares dropped 8% in premarket trading on Wednesday after the company issued unchanged full-year revenue guidance, disappointing investors following a record first quarter.
The company reaffirmed its 2026 revenue target of $4.66 billion and earnings of 60 cents per share, matching Wall Street’s expectations. This cautious guidance followed a record first-quarter adjusted revenue of $1.1 billion, up 41% from last year, and reflects management’s response to economic uncertainty, high oil prices from Middle East tensions, and ongoing high interest rates.
SoFi’s first-quarter results were strong. Total loan originations reached $12.2 billion, driven by growth in personal, student, and home loans. Net interest income rose 39% to $693 million, and fee-based revenues increased 23% to $386.8 million. Earnings per share doubled to 12 cents. Membership grew 35% to 14.7 million, highlighting SoFi’s progress in competing with traditional banks.
CEO Anthony Noto said consumer credit remains healthy, citing record first-quarter loan growth and continued strong demand for the second quarter. Point-of-sale debit spending and credit performance met expectations.
SoFi is taking on traditional financial institutions, which Noto said are held back by outdated and fragmented technology. The company’s mobile-first approach, offering personal loans, credit cards, IPO investing, and savings, appeals to younger, digital-focused consumers. Fintech platforms are targeting this group as traditional banks fall behind in modernization.
