Sezzle Inc. (NASDAQ: SEZL) was added to the S&P SmallCap 600 index effective after market close on Friday, December 12, 2025. The move places the buy‑now‑pay‑later (BNPL) platform among the 600 smallest U.S. public companies tracked by Standard & Poor’s, a milestone that signals the company’s continued growth and market presence.
The inclusion follows a period of strong financial performance. In Q3 2025, Sezzle reported revenue of $116.8 million, up 67% year‑over‑year, and a first‑quarter GMV of $1 billion. Net income rose 72.7% YoY to $26.7 million, while the net‑income margin expanded to 22.8% of revenue. Adjusted EBITDA grew 74.6% YoY to $39.6 million, reflecting a 33.9% margin that underscores the company’s improving profitability.
Growth was driven by a mix of subscription‑based products and consumer‑acquisition initiatives. The company’s subscription segment saw a 121% increase in U.S. commercial revenue, while on‑demand usage grew 74.2% YoY, supported by app enhancements and new features that improved engagement and retention. These initiatives helped offset headwinds in legacy product lines and contributed to the overall revenue acceleration.
Charlie Youakim, Sezzle’s Executive Chairman and CEO, said the index inclusion “highlights the progress Sezzle has made and sets the stage for our next phase of growth.” He added that the company’s focus on product innovation and customer experience is driving stronger engagement and broader adoption, positioning Sezzle for continued expansion.
The addition is expected to increase Sezzle’s visibility to index‑tracking funds and institutional investors, creating buying pressure that can improve liquidity and broaden the investor base. The S&P SmallCap 600 has strict eligibility criteria, including positive earnings in the most recent quarter and a sum of trailing‑four‑quarter earnings, confirming Sezzle’s financial viability.
The BNPL industry is poised for a strong holiday season, with analysts forecasting increased consumer spending on subscription products. Sezzle’s robust growth trajectory and expanding product mix place it well to capture a larger share of the market, reinforcing the strategic significance of the index inclusion.
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