The news: Sezzle’s gross merchandise volume (GMV) broke a quarterly record, hitting $1.2 billion for Q4 2025, per earnings documents.

Total revenues spiked 32.2% YoY to $129.9 million, and total net income increased 32.9% YoY to $42.7 million.

Sezzle’s guidance for 2026 anticipates total revenue growth in a range of 25% to 30%, with adjusted net income climbing 32.4% YoY to $170 million. 

The company outperformed its revenue projections for fiscal 2025 by one percentage point at 66% YoY growth.

Inside the growth: Strategic investment, subscription models, and holiday demand helped push volume up for Sezzle, the company noted. 

• Consumers transacted on average 6.6 times during Q4 2025, up from 5.5 times in Q4 2024.
• Its number of transactions increased 34.2% YoY, approaching 10.5 million.
• Sezzle added 134,000 new monthly on-demand and subscribers (MODS) in the quarter, reaching a total of nearly 918,000.
• And active consumers rose 11.9% YoY to over 3 million.

CEO Charlie Youakim emphasized that Sezzle’s strategy is to drive “daily utility” to its higher LTV consumers, dovetailing with the broader fintech push toward a super app model with the launch of Sezzle Mobile. 

Sezzle also made investments into AI-driven efficiency. The company already has a chargeback AI chatbot and AI-powered marketing tools and is preparing to launch an AI shopping assistant and a support chatbot to get an early start at agentic commerce. 

Implications for BNPL competitors: Sezzle still remains the underdog in the US BNPL landscape with its revenues dwarfed by Affirm and Klarna, which we forecast to capture $40.41 and $35.75 billion in payment volume this year. 

However, if Sezzle can create a stickier environment for its consumers between phone offers and its bullish AI and agentic commerce integrations, it could continue to outperform expectations.