Block, Inc.'s stock surged 7.31% in after-hours trading, following the release of its first-quarter financial results.

The fintech company reported adjusted earnings per share of $0.85 for the quarter, significantly exceeding the analyst consensus estimate of $0.68. Adjusted EBITDA also beat expectations. Furthermore, Block raised its full-year outlook, now expecting adjusted diluted EPS of $3.85, an uplift from its previous target.

The strong performance was driven by resilient consumer spending and double-digit gross profit growth in its core businesses. Cash App gross profit surged 38%, supported by an 82% jump in consumer lending origination volume, while the Square segment saw 9% growth. The company highlighted that AI integration has improved operational efficiency and customer engagement, contributing to the positive results.