(Reuters) -Affirm shares jumped 22.8% on Friday, as a strong holiday shopping season helped the buy now, pay later lender post a surprise quarterly profit and forecast upbeat annual revenue. More consumers used its BNPL services to take advantage of heavy discounts by retailers on everything from apparel to electronics to lure budget-conscious shoppers during the holiday season.

Affirm stock is sizzling Friday after the BNPL firm handily beat earnings and revenue estimates in its most recent quarter. Here's what you need to know.

Key Takeaways Affirm Holdings posted an unexpected quarterly profit as the provider of buy now, pay later loans saw a jump in its customer base.Revenue, active customer base, and gross merchandise volume all came in higher than forecasts.

Affirm shares jumped 16% in premarket trading on Friday, after the buy now, pay later lender posted a surprise quarterly profit on the back of a strong holiday shopping season and forecast an upbeat annual revenue.