SAN FRANCISCO—Square is advancing in the mobile payments space, moving away from just serving small shops and food trucks and into larger retailers.
Square last week reported a 41.5% jump in revenue and diminishing losses.
"We are finally at a place where our tools scale to any size of seller," Chief Executive Jack Dorsey, said on a call with investors. "We are seeing more and more appetite from the larger sellers" as well as chain retailers with multiple locations.
Square stock was up more than 14% to about $12 in after-hours trading following the second-quarter earnings call. The price at closing bell was $10.44, Reuters reported.
Square's revenue reached $438.5 million, up 41.5% from its earnings of $310.0 million a year earlier. It processed $12.5 billion in payments, up 42% from a year ago, mostly due to new and larger retailers using Square, Reuters said.
About 42% of Square’s total payments is coming from larger retailers, signaling a dramatic transition for the company, Reuters noted. Square started seven years ago as a card reader that turns a mobile phone into a payment terminal, and was sold primarily to pop-up stores, coffee shops, food trucks and other small merchants that couldn't afford elaborate payment systems.