Block Inc., the financial technology giant formerly known as Square, has unveiled an ambitious three-year financial outlook that projects significant growth amid a rapidly evolving payments landscape. During its 2025 Investor Day, the company forecasted gross profit to reach approximately $15.8 billion by 2028, driven by mid-teens annual growth rates. This projection comes as Block, led by co-founder Jack Dorsey, seeks to integrate its core platforms—Cash App for consumers and Square for merchants—more seamlessly to fuel expansion.

The outlook includes expectations for adjusted operating income to grow about 30% annually, reaching $4.6 billion by 2028, while adjusted earnings per share are slated to increase in the low 30% range to $5.50. For 2026 specifically, Block anticipates 17% year-over-year gross profit growth to $11.98 billion, with adjusted operating income climbing over 30% to $2.70 billion and adjusted EPS to $3.20. These targets reflect the company’s confidence in accelerating product launches and operational efficiencies, as reported by CNBC.

Growth Drivers and Strategic Shifts

Block’s strategy hinges on deeper integration between Cash App and Square, aiming to create a more unified ecosystem for users. The company plans to double down on efforts to cross-sell services, such as enabling merchants to access consumer data from Cash App to enhance marketing and loyalty programs. This integration is expected to drive higher engagement and revenue, with Block highlighting faster product development as a key enabler, according to details shared in a Bloomberg report.

In addition to integration, Block introduced a new financial metric called ‘non-GAAP Cash Flow,’ which will help track operational performance more transparently. The company also announced a $5 billion increase to its stock repurchase program, signaling strong belief in its undervalued shares. Current trading at around $57.71 with a market capitalization of $35.07 billion, Block has generated $23.97 billion in trailing twelve-month revenue, per data from Investing.com.

Historical Context and Market Challenges

Block’s projections build on recent performance, including a third-quarter 2025 report where revenue hit $6.11 billion and net income reached $461.54 million, both up from the prior year. The company has been repurchasing shares actively, with 5.34 million shares bought back for $403.03 million in that quarter, as noted by Simply Wall St. However, this optimism contrasts with earlier setbacks, such as a May 2025 profit forecast cut that led to a 22% share drop, the largest in five years, according to Reuters.

Past criticisms, including a 2023 report from Hindenburg Research questioning Block’s user growth amid alleged fraudulent accounts, have lingered. Hindenburg projected a 65% to 75% downside, citing GAAP losses and revenue declines in 2022. Despite this, Block rebounded with strong quarters, like Q2 2023 where gross profit rose 27% to $1.87 billion, with $2.4 billion in revenue from Bitcoin-related activities, as posted on X by Bitcoin News.

Bitcoin’s Role and Revenue Streams

Bitcoin remains a significant revenue driver for Block, which reported $5.5 billion in Q2 2023 total net revenue, nearly half from Bitcoin, according to X posts from Gabor Gurbacs. The company’s pivot toward Bitcoin integration has been praised, with Block’s Q2 2025 earnings showing reaccelerated growth, as shared by Block Investor Relations on X. This includes shipping products faster across Cash App and Square, leading to raised full-year guidance.

Looking ahead, Block’s outlook emphasizes profitable growth and operating leverage. The company plans to outline metrics for non-GAAP cash flow in future reports, providing investors with better visibility. Street Insider reported that Block expects gross profit to grow in the mid-teens annually through 2028, aligning with its focus on critical sectors like financial services and digital payments.

Investor Sentiment and Market Reactions

Immediate market reactions on X were positive, with posts from CNBC Tech and Bloomberg Breaking News highlighting the mid-teens gross profit growth and 30% annual adjusted operating income increase to $4.6 billion. Users like CHItrader and FSMN echoed these figures, noting the projected $15.8 billion gross profit and $5.50 adjusted EPS by 2028.

Analysts view this as a signal of Block entering a new growth phase, especially with the $5 billion buyback expansion detailed in a StockTitan report. However, challenges persist, including competition from fintech peers and regulatory scrutiny in payments and crypto. Block’s ability to execute on integration and innovation will be key, as emphasized in MarketScreener Canada’s coverage of the Investor Day.

Broader Industry Implications

The fintech sector is watching Block closely, as its targets could set benchmarks for growth in a post-pandemic economy. With projections outpacing earlier forecasts, Block’s strategy may influence competitors like PayPal and Stripe. The emphasis on adjusted metrics and cash flow introduces new ways to evaluate performance, potentially standardizing reporting in the industry.

Jack Dorsey’s vision for Block, including Bitcoin’s role, positions the company at the intersection of traditional finance and blockchain. As one X post from PampaPro Official recalled, Block’s Q2 2022 profits soared 29% despite Bitcoin slumps, showcasing resilience. This historical adaptability underpins the current outlook’s credibility.

Future Risks and Opportunities

While optimistic, Block’s path to 2028 involves navigating economic uncertainties, such as interest rate fluctuations and consumer spending trends. The company’s focus on mid-teens growth assumes stable market conditions, but external factors like regulatory changes in crypto could impact Bitcoin revenue streams.

Opportunities lie in expanding internationally and leveraging AI for personalized financial services. Block’s Investor Day presentations, as covered by multiple sources, underscore a commitment to innovation, with plans to accelerate product rollouts. This could solidify Block’s position as a leader in fintech, driving long-term value for shareholders.