‘The US consumer is alive and well’: Affirm CEO says market turmoil has no impact on business

Affirm Holdings Chairman and CEO Max Levchin told CNBC that despite the market’s poor performance this year, American consumers — and Affirm clients — are spending healthily.

“The US consumer is alive and well. They’re buying, they’re buying, they’re paying off their loans, at least to Affirm pretty well. Generally speaking, things are going according to plan, the turmoil in the stock markets doesn’t seem have a real impact on our underlying business, which is doing very, very well,” Levchin said in an interview Thursday night on “Mad Money.”

Affirm shares rose more than 20% to around $22.50 on Friday, the day after the buy-now-pay-later lender’s last quarterly earnings report, which posted a smaller-than-expected loss. Affirm also beat blue chip estimates and said it is expanding its partnership with Shopify.

“We’ve been the partner of choice, if you will, for all these really great companies that are driving American e-commerce and we’ve done well there. That’s where all of our growth comes from, that being said, also having a fantastic growth program… a commercial drive-thru,” Levchin said, noting that Affirm also has partnerships with Walmart and Amazon.

Affirm opened Friday near $25 a share. But that’s still 85% down from its all-time high of $176.65 in November.

Affirm has not yet released its full outlook for fiscal 2023 or guidance for the full year. He plans to provide those numbers in the company’s next earnings report.

Still, Levchin, the founder of Affirm, seemed optimistic about the company’s growth prospects.

“Some of our competitors recently released their 15% annual growth rates, some of them aren’t public so I don’t really know. You can see from my numbers that we’re doing well and we’re doing it with lots and lots of revenue from high quality, very good unit economy,” he said. “Everyone should switch to buy now, pay later.”

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