Chime Financial (CHYM) Surges 18% on Upbeat Outlook

We recently published 10 Stocks Soaring Past Expectations. Chime Financial Inc. (NASDAQ:CHYM) is one of the big names that led last week’s charge.

Chime Financial rallied by 18.46 percent week-on-week, as investors took heart from a higher financial growth outlook for the full-year period despite a mixed earnings performance in the past quarter.

In an updated report, Chime Financial Inc. (NASDAQ:CHYM) said it now expects full-year revenues to be in the range of $2.163 billion to $2.173 billion, versus $2.135 billion and $2.155 billion previously, marking a higher growth of 29 to 30 percent versus 28 to 29 percent prior.

Adjusted EBITDA outlook was also markedly raised to $113 million to $118 million from $84 million and $94 million previously.

For the fourth quarter alone, Chime Financial Inc. (NASDAQ:CHYM) projects revenues to settle between $572 million and $582 million, or a year-on-year growth of 20 to 23 percent. Adjusted EBITDA is targeted at $$43 million to $48 million.

Last quarter, Chime Financial Inc. (NASDAQ:CHYM) expanded its net loss by 149 percent to $54.7 million from $22 million in the same period last year amid a 111 percent jump in operating loss to $64.7 million from $30.6 million year-on-year.

Revenues, however, were higher by 28.7 percent to $543 million from $422 million in the same comparable period, primarily driven by a 16-percent increase in payments revenue of $363 million.

During the period, the company also grew its active members by 21 percent to 9.1 million.

“We delivered another outstanding quarter, exceeding guidance, expanding margins, and raising our full-year outlook. Our 29 percent year-over-year revenue growth and 21 percent year-over-year Active Members growth reflect the strength of our model and the trust we’ve built with our members,” said Chime Financial Inc. (NASDAQ:CHYM) CEO Chris Britt.

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Disclosure: None. This article is originally published at Insider Monkey.