SO

SoFi Technologies, Inc. stock research

Sep 30, 2025

FY2025 Q3

SoFi Technologies (SOFI) Gross Margin — Quarter Ended Sep 30, 2025

Revenue increased compared to both the prior quarter and the same quarter last year, while gross profit turned negative and cost of revenue rose more than proportionally. Gross margin weakened from positive to negative versus the prior quarter and declined sharply from a year ago.

Gross margin takeaway

Quarter ended Sep 30, 2025 · FY2025 Q3

Revenue increased compared to both the prior quarter and the same quarter last year, while gross profit turned negative and cost of revenue rose more than proportionally. Gross margin weakened from positive to negative versus the prior quarter and declined sharply from a year ago.

  • The most observable driver is the relationship between cost of revenue and revenue: cost of revenue grew faster than revenue, compressing gross profit and flipping gross margin negative.
  • Compared to the prior quarter, gross profit moved from positive to negative and gross margin weakened. Compared to the same quarter last year, gross profit was lower and gross margin declined.

Gross margin snapshot

The selected quarter's reported revenue, gross profit, direct costs, and margin comparisons.

Gross margin

-3.0%

Gross profit

-$4.6M

Revenue

$156.8M

Cost of revenue

$161.4M

Quarter-over-quarter change

-3.9 pts

Year-over-year change

-8.7 pts

Quarterly gross margin trend

A four-quarter view of the revenue and direct-cost bridge behind gross margin.

PeriodRevenueGross profitCost of revenueGross margin
Dec 31, 2024$135.5M$7.4M$128.2M5.4%
Mar 31, 2025$140.4M$4.9M$135.5M3.5%
Jun 30, 2025$151.9M$1.5M$150.4M1.0%
Sep 30, 2025$156.8M-$4.6M$161.4M-3.0%

Quarterly comparisons

Compare the selected margin with the preceding quarter and the same fiscal quarter one year earlier.

Previous-quarter change

Jun 30, 2025

-3.9 pts

Year-over-year change

Sep 30, 2024

-8.7 pts

What the margin says

Filing-constrained interpretation of margin direction, comparisons, and what to monitor next.

The most observable driver is the relationship between cost of revenue and revenue: cost of revenue grew faster than revenue, compressing gross profit and flipping gross margin negative.

Compared to the prior quarter, gross profit moved from positive to negative and gross margin weakened. Compared to the same quarter last year, gross profit was lower and gross margin declined.

Monitor the trajectory of cost of revenue relative to revenue, as its faster growth drove the negative gross margin this quarter.