Affirm (AFRM) shares are soaring after the buy now, pay later company beat its fiscal fourth quarter revenue expectations, also narrowing its expected losses per share in the quarter.

Affirm CFO Michael Linford joins Asking for a Trend to discuss what the company is seeing about consumer behavior.

Linford explains that Affirm saw "real signs of strength" in the consumer over the last quarter, especially in categories like electronics. He notes that electronics have seen headwinds over the last year and a half, and is finally starting to recover.

"I think that's a reflection of that consumer being very engaged. I don't think it's unique to us. I think there's pockets of that elsewhere in the economy. And for us, it doesn't matter as much where the consumer is engaged as long as they're engaged somewhere," he explains.

As the buy now, pay later market expands, Linford notes that it is "part of this secular shift where consumers have decided that they'd like to move away from credit cards and find alternate ways to pay for things over time." He believes that this market has more room to grow and that the company is not constrained within these parameters.

"There's $1 trillion of credit card debt out there, and we're just a small drop in the bucket compared to that. So we have a lot of runway," he concludes.

Affirm CEO Max Levchin referred to Affirm's positive revenue results as a "killer quarter" in the company's earnings call.

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This post was written by Melanie Riehl