Company: AFRM
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001820953-25-000052
Chunk: 58

Company: Affirm Holdings, Inc.
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 1
Chunk 58
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 period$413 $607 $413 $607 The following tables present quantitative information about the significant unobservable inputs used for our Level 3 fair value measurement of the risk sharing arrangements as of March 31, 2025:March 31, 2025Unobservable InputMinimumMaximumWeighted Average (1)Risk sharing assetsDiscount rate20.00%20.00%20.00%Loss rate3.31%4.81%4.06%Prepayment rate20.38%24.98%22.85%Risk sharing liabilitiesDiscount rate20.00%20.00%20.00%Loss rate 3.46%5.14%4.37%June 30, 2024Unobservable InputMinimumMaximumWeighted Average (1)Risk sharing assetsDiscount rate20.00%20.00%20.00%Loss rate3.00%4.69%3.66%Prepayment rate23.36%33.29%28.48%Risk sharing liabilitiesDiscount rate20.00%20.00%20.00%Loss rate3.25%5.29%4.28%(1)Unobservable inputs were weighted by principal balance of loans sold under each cohort

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The following table summarizes the effect that adverse changes in estimates would have on the fair value of the risk sharing assets and liabilities given hypothetical changes in significant unobservable inputs (in thousands):March 31, 2025June 30, 2024Risk sharing assets (1)Prepayment rate assumption:Prepayment rate increase of 25%$1,463 $572 Prepayment rate increase of 50%$2,837 $1,131 Loss rate assumption:Loss rate increase of 25%$(12,917)$(7,315)Loss rate increase of 50%$(25,791)$(14,528)Discount rate assumption:Discount rate increase of 25%$(1,038)$(1,211)Discount rate increase of 50%$(2,001)$(2,323)Risk sharing liabilities (1)Loss rate assumption:Loss rate increase of 25%$21,671 $22,333 Loss rate increase of 50%$30,243 $41,677 Discount rate assumption:Discount rate increase of 25%$(2)$(19)Discount rate increase of 50%$(3)$(37)Financial Assets and Liabilities Not Recorded at