01—Abstract
Summary
Summary of the 10-K filed February 24, 2025. Cited figures are marked; the original filing is the authoritative source.
Block, Inc. (XYZ) reported total net revenue of $24.12 billiona for 2024, up 10% from $21.92 billion in 2023, with gross profit of $8.89 billion, up 18% year over year.
Cash App segment gross profit was $5.2 billionb, up 21%, and Square segment gross profit was $3.6 billion, up 15%. Operating income was $892.3 million compared with an operating loss of $278.8 million in 2023. Net income attributable to common stockholders was $2.9 billion, compared with $9.8 million in 2023, and that result includes a $420.9 million bitcoin remeasurement gain and one-time income tax benefits of $1.9 billion from releasing valuation allowances and recognizing deferred tax assets.
Adjusted EBITDA was $3.03 billionc, up from $1.79 billion. The company ended 2024 with $10.7 billion in total available liquidity, including $2.0 billion of net proceeds from the 2032 Senior Notes issued in May 2024. It repurchased $1.2 billion of Class A common stock in 2024 and had $2.7 billion remaining under its share repurchase authorization at year end.
Total debt principal was $6.2 billiond as of December 31, 2024, and the company received non-investment grade ratings from S&P, Fitch and Moody's during 2024. The filing also discloses significant regulatory matters. In January 2025, Block agreed to a CFPB consent order with a $55 million civil penalty and $75 million to $120 million in restitution, and entered into a $80 million settlement with state money transmission regulators.
Negotiations with NYDFS and state Attorneys General are ongoing, and SEC and DOJ inquiries continue. The company also paid $71.4 million to San Francisco's Tax Collector and disputes the assessment. Cash App's 57 million monthly transacting actives and Square GPV of $228 billion are key operating metrics cited.
02—Key points
Key Highlights
- Total net revenue of $24.12 billion in 2024, up 10% from $21.92 billion in 2023; excluding bitcoin revenue, total net revenue increased 12%.
- Gross profit of $8.89 billion, up 18% year over year; Cash App gross profit rose 21% to $5.2 billion and Square gross profit rose 15% to $3.6 billion.
- Operating income of $892.3 million versus an operating loss of $278.8 million in 2023; Adjusted Operating Income was $1.6 billion.
- Net income attributable to common stockholders of $2.9 billion, including a $420.9 million bitcoin remeasurement gain and $1.9 billion of one-time tax benefits from valuation allowance release.
- Available liquidity of $10.7 billion at year end, with a $2.0 billion 2032 Senior Notes issuance in the second quarter of 2024 and $1.2 billion of share repurchases.
- Regulatory and legal costs rose, including a January 2025 CFPB consent order ($55 million penalty plus $75 million to $120 million restitution) and an $80 million state money transmitter settlement.
- Cash App had 57 million monthly transacting actives in December 2024, and Square processed $228 billion of Square GPV in 2024.
03—One dollar
Follow one dollar
Of each $1.00 of revenue in FY2024, Block kept $0.12.
- Revenue$24.12B100.0%
- Cost of revenue−$15.23B63.1%
- Gross profit$8.89B36.9%
- Operating costs−$8.00B33.2%
- Operating income$892.3M3.7%
- Interest, other & tax$1.97B8.2%
- Net income$2.87B11.9%
Where FY2024 revenue went
$24.12B- Cost of revenue: $15.23B, 63% of revenue
- Other operating costs: $5.08B, 21% of revenue
- R&D: $2.91B, 12% of revenue
- Operating income: $892.3M, 3.7% of revenue
Kept 3.7% as operating incomeOperating income $892.3M · 3.7%
Full revenue history →04—Financials
Financial Highlights
Figures from 10-KFY2024filed February 24, 2025Financial Statements
FY2024 against FY2023
| Line item | FY2024FY2023 | Change |
|---|---|---|
| Revenue | $24.12B$21.92B | +10.1% |
| Cost of Revenue | $15.23B$14.41B | +5.7% |
| Gross Profit | $8.89B$7.50B | +18.4% |
| R&D Expenses | $2.91B$2.72B | +7.1% |
| Operating Expenses | $8.00B$7.78B | +2.7% |
| Operating Income | $892.33M-$278.84M | +420.0% |
| Interest Expense | $165.50M$0 | — |
| Net Income | $2.87B$9.77M | +29233.8% |
| EPS (Basic) | $4.70$0.02 | +23400.0% |
| EPS (Diluted) | $4.56$0.02 | +22700.0% |
| Shares Outstanding (Basic) | 616.99M608.86M | +1.3% |
| Shares Outstanding (Diluted) | 636.39M614.02M | +3.6% |
05—Questions
Frequently Asked Questions
How did Block's profitability change in 2024?
Block moved from an operating loss of $278.8 million in 2023 to operating income of $892.3 million in 2024. Net income attributable to common stockholders rose to $2.9 billion from $9.8 million, though this included a $420.9 million bitcoin remeasurement gain and $1.9 billion of one-time income tax benefits.
What drove the large 2024 income tax benefit?
The benefit of $1.5 billion reflected one-time benefits of $1.9 billion from releasing the valuation allowance on certain federal and state deferred tax assets and recognizing deferred tax assets from internal legal entity restructuring in the fourth quarter of 2024, partially offset by $487.7 million of current and deferred tax provisions for 2024 activity.
What regulatory matters could affect Block's future results?
The filing describes a January 2025 CFPB consent order, an $80 million settlement with state money transmission regulators, ongoing negotiations with NYDFS and state Attorneys General, and continuing SEC and DOJ inquiries. It also notes a San Francisco gross receipts tax assessment that Block disputes, with potential losses of approximately $0 to $97 million for fiscal years 2020 through 2024.
How much capital has Block returned to shareholders?
Block repurchased $1.2 billion of Class A common stock in 2024 under a total authorization of $4 billion, leaving $2.7 billion available at December 31, 2024. The company has never declared or paid cash dividends on its capital stock.
06—Continue