Block Announces $5B Buyback and 30% Annual Growth Goal in Bold Three-Year Strategy
Block unveiled a three-year strategy targeting $15.8B gross profit by 2028, backed by a $5B share repurchase program.Summary
Block, Inc. announced an ambitious three-year strategy at its 2025 Investor Day, projecting $15.8 billion in gross profit by 2028, alongside a significant $5 billion share repurchase authorization, signaling strong confidence despite recent stock declines.
The company aims for mid-teens annual gross profit growth, with adjusted operating income and EPS projected to grow over 30% yearly, reaching $4.6 billion and $5.50, respectively, by 2028. Block intends to achieve the "Rule of 40" benchmark in 2026 and sustain it, focusing on efficiency, scale, and product innovation across its ecosystem, which includes Square, Cash App, and Bitcoin infrastructure.
This strategic shift moves Block beyond its core point-of-sale business toward consumer services and AI tools. Recent Q3 results showed strong growth in Cash App, though Bitcoin revenue declined. The expanded buyback signals management's belief in future cash generation as the company diversifies its offerings, including the recent launch of Square Bitcoin payments for US merchants.
(Source：BeInCrypto)