• by Ben Frederick  @mp_benfred, May 6, 2016

Mobile payments company Square, Twitter CEO Jack Dorsey’s other CEO job, announced its Q1 earnings this week. Revenue increased 51% annually to $379 million. Gross payment volume also jumped 45% to $10.3 billion.

However, the company nearly doubled their losses from last year, with a net loss of $96.7 million, up from $47.98 million. Square also extended $153 million in loans and advances to businesses through its Square Capital program, an increase of only 4% from the previous quarter.

Despite the fact that Square’s revenue gains exceeded the expectations of Wall Street analysts, the company’s losses and loan risk spooked investors, and the company’s stock price fell drastically in after-hours trading.

Investors have high hopes for the payments company’s lending arm, and the fact that the company cited “challenging credit market conditions” on the call didn’t help to buoy those expectations.

The bulk of Square’s earnings came from payment transactions, which brought in $300 million. Other revenue sources include software and data products through Square Capital, which netted $24 million, and hardware revenue, which increased 634% over last year to $16 million.

Square’s deal with Starbucks is coming to a close soon. The partnership has been a millstone around the fledgling company’s neck for a long time, though after renegotiation the price of processing, the coffee company brought in $39 million for a net profit of $2 million.

Square also recently opened up their Build with Square program, which allows developers to integrate with the company’s API’s and orient their businesses towards payments with Square.