Block Inc.

Good day, ladies and gentlemen, and welcome to the block first quarter 2022 earnings conference call. I would now like to turn the call over to your host, Nikhil Dixit, head of investor relations. Please go ahead, sir.

Hi, everyone. Thanks for joining our first quarter 2022 earnings call. We have Jack and Amrita with us today. We will begin this call with some short remarks before opening the call directly to your questions. During Q&A, we will take questions from our customers in addition to questions from conference call participants. We would also like to remind everyone that we will be making forward-looking statements on this call. Actual results could differ materially from those contemplated by our forward-looking statements. Reported results should not be considered as an indication of future performance. Please take a look at our filings with the SEC for a discussion of the factors that could cause our results to differ. Also note that the forward-looking statements on this call are based on information available to us as of today's date. We disclaim any obligation to update any forward-looking statements except as required by law. During this call, we will provide preliminary gross profit growth results for the month of April. These represent our current estimate for April performance as we have not yet closed our accounting financials for the month of April and our monthly results are not subject to interim review by our auditors. As a result, actual April results may differ from these estimates. Also, we will discuss certain non-GAAP financial measures during this call. Reconciliations to the most directly comparable GAAP financial measures are provided in the shareholder letter of our investor relations website. These non-GAAP measures are not intended to be a substitute for our GAAP results. Finally, this call in its entirety is being audio webcast on our investor relations website. An audio replay of this call will be available on our website shortly. And with that, I would like to turn it over to Jack.

Thank you all for joining us. We're looking forward to spending time with you all at our Investor Day on May 18th, where we'll be able to share everything we're doing across block and how it all connects together. I'm going to start with a few highlights across our business from the quarter. Cash App made a lot of progress in four areas this quarter. Cash App for Families, Trust, Afterpay, and Bitcoin. We continue to make it easier for customers to bring their families into the Cash App ecosystem with simple and safe controls. Introducing FDIC insurance in April on all accounts with the Cash App card builds trust and encourages people to maintain a balance and fulfills a long-standing customer request. And we're just getting started integrating Afterpay into Cash App. where we've already seen Cash App Active drive more than 35,000 leads to after-pay sellers during the first quarter. We continue to make Bitcoin more accessible through Cash App. More than 10 million accounts have bought Bitcoin since we've started offering the service. And last month, we announced the ability to send and receive Bitcoin through the Lightning Network. Transactions on the Bitcoin blockchain can take as long as 10 minutes to settle, making it unusable for everyday small transactions. Lightning fixes that, making transactions instant and free through the Cash App. The Cash App team built this functionality using the Lightning development kit built by Spiral, the open source initiative we fund to help build the Bitcoin ecosystem. The team evaluated all of their options available and ultimately chose Spiral's LDK since it reduced years of work into just a few months to get the future to our customers. We also announced that anyone with an active Cash App card can automatically invest a percentage of their paychecks into Bitcoin with no transaction fees. We believe steps like these increase the usability of Bitcoin all towards an open global monetary transmission network the world can trust. For us, we believe it increases the probability and velocity of serving a more global customer base. Turning to our original ecosystem, Square, We continue to build tools and services to help sellers make more sales. In April, we introduced a new Square Stand across all of our markets, updated with modernized hardware, integrated payments with no need for a separate card reader, and a redesigned checkout flow that provides sellers and their customers with a more intuitive and streamlined experience. Since we introduced the first Square Stand in 2009, it's helped sellers large and small run their entire business from a single place. from in-person payments to managing online sales, deliveries, and in-store orders. With the new Square stand, we're offering sellers our most affordable countertop product to date and a commerce experience that has been updated from the ground up to reflect how sellers do business today. Another way we are strengthening the Square ecosystem is with Afterpay's Buy Now, Pay Later service. This quarter, we integrated this feature to help online sellers of all sizes better compete. In the months since introducing Buy Now, Pay Later online, thousands of Square sellers have used and processed sales with Afterpay. This integration grew Afterpay seller base by an additional 10% in the quarter, and as of today, more than 20,000 Square sellers have processed an Afterpay transaction. We plan to make Buy Now, Pay Later available for in-person payments soon as well. As we've talked with you all in the past calls, we believe the connections between our ecosystems like Square and Cash App are what set us apart and makes us so valuable to our customers. Afterpay is a great example of this, and we have many more to come. We'll share more about this at our investor day. With that, here's Emerita.