Feb 19 (Reuters) – Zip Co missed estimates for first-half operating earnings on Thursday, causing shares of the Australian buy-now, pay-later services provider to plunge nearly 40% in their weakest intraday session in more than nine years. The company reported cash operating earnings of A$124.3 million ($87.61 million) for the six-month period ended December 31, […]
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Australia’s Zip misses first-half earnings estimate, shares dive nearly 40%
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Feb 19 (Reuters) – Zip Co missed estimates for first-half operating earnings on Thursday, causing shares of the Australian buy-now, pay-later services provider to plunge nearly 40% in their weakest intraday session in more than nine years.
The company reported cash operating earnings of A$124.3 million ($87.61 million) for the six-month period ended December 31, below the Visible Alpha consensus of A$128.4 million.
Shares dropped as much as 38.2% to A$1.743, as of 0124 GMT, their weakest point since early May 2025. Stock marked its biggest intraday percentage loss since mid-November 2014.
The company also projected that second-half group cash earnings would generally align with the results posted in the first six months of the year.
This outlook implies a full-year cash operating earnings of around A$248 million, falling short of the Visible Alpha estimate of A$260.6 million, said Citi.
Meanwhile, Zip Co told the market it will monitor conditions and consider a dual listing on a U.S. stock exchange only when it aligns with shareholders’ best interests.
($1 = 1.4188 Australian dollars)
(Reporting by Sneha Kumar in Bengaluru; Editing by Subhranshu Sahu and Sherry Jacob-Phillips)