So we continue to push. Going international has to be more deliberate and therefore a little bit slower. We’ve learned a lot as we go into every market and each market that we open, we can move much faster and ideally grow faster as well.
Amrita Ahuja: And I’d just add, Ken, that as you noted, this is a big opportunity for us. We believe that in these markets outside the US that we’re in, we’re less than 1% penetrated in the opportunity with a long runway for growth. So, as I noted, our gross profit growth for Square excluding the BNPL platform in our markets outside the US was 35% year-over-year in the second quarter, now at about 11% of Square’s total gross profit ex-BNPL with GPV up 26% year-over-year and 32% on a constant currency basis, and that really encompasses, as Jack was saying, the rollout of additional products across the full suite, whether it’s payments, software, hardware, as well as banking products now more recently, where we’re seeing strong traction and where we’ve got our work to continue to build upon this momentum.
Ken Suchoski: Great. Thank you, both.
Operator: We take our next question is from Bryan Keane with Deutsche Bank. Q – Bryan Keane Hi, guys, thanks for taking the question. We were excited to see the 1 million Cash App Pay Active use base, just curious on the timeline for merchant distribution and acquirer expansion for Cash App Pay. And then maybe you can just go over the revenue model for Cash App Pay in particular? Thank you.
Jack Dorsey: Yes. So with Cash App Pay, our goal is to provide a lot more flexibility for customers. And as I mentioned in my opening remarks, we have expanded our distribution recently with partnerships with Stripe, Adyen, and PayNearMe, which allows us to reach a much broader range of merchants and also industries. We launched some additional Afterpay merchants in Q2, including Steve Madden and Fenty Beauty, and we still see significant room to grow the adoption of Cash App Pay, and we’re actively pursuing a pipeline of new merchants, Afterpay certainly helps with that. During the second quarter, nearly $500 million in annualized volume was processed through Cash App Pay, and nearly 1 million Cash App Pay monthly actives as of June.
So it allows us to reach customers beyond those that the Cash App Card is serving. We’ve seen really strong adoption amongst our younger audience, gen-z demographic. So, we’ve seen promising results and we’re still looking for opportunities to make sure that we continue to see those and push it.
Amrita Ahuja: And I’ll just add, Bryan, that we see merchants eager to onboard with Cash App Pay because of the access to the very attractive customer base that we have, 54 million monthly transacting actives as of June, who are highly engaged on our platform and inflows over $1,100 during the second quarter, and so with Cash App Pay being present as a payment device on their platform, they get access to these customers who don’t even necessarily have to have been signed-up by a Cash App Card, and that’s really the proposition that we’re selling into these merchants — these large merchants, who are finding real product fit here with Cash App Pay.
Bryan Keane: Great. Thank you.
Operator: We’ll take our next question from Harshita Rawat with Bernstein.
Harshita Rawat: Hi, good afternoon. Can you expand upon your comments around headcount growth in the business? It’s been very strong over these past few years. How are you seeing potential for efficiencies, for example, in your engineering teams with AI? And Amrita, I know you talked about the headcount growth for this year, but how should we think about headcount growth trajectory over the medium-term? Thank you.
Jack Dorsey: Yes, I think the biggest change has been our investment framework and making all teams and leaders and managers aware of the true cost of the business and taking into account stock-based compensation, so we have slowed hiring and we have targeted more — we’ve been more targeted in our hiring to get much stronger talent and looking deeply at performance management as well. Of course, there’s always efficiencies to bring to the table, but we just want to make sure that we’re looking at each ecosystem and really putting the decisions in the hands of the folks running those teams and really running the company with everyone having the investment model in their head to make sure that we are achieving the growth that we want to see at the cost that we want to minimize. So it is early as we just rolled out this investment framework, but it does seem to be working and this is something that’s in the consciousness of the organization.
Harshita Rawat: Great. Thank you.
Operator: We’ll take our next question from Rayna Kumar with UBS.
Rayna Kumar: Good evening. Thanks for taking my question. Could you talk a little bit about the next steps in the Afterpay integration and could you discuss more broadly, what are the next thing to look out as you integrate Afterpay?
Jack Dorsey: Yes, as I said, this is where a lot of my focus is right now. I’m meeting the team members on a daily basis to make sure that we come up with a compelling and differentiated experience. A lot of the work is going to be found within Cash App and the Cash App Discover tab, it’s a little magnifying glass in your interface. We want to build a compelling experience that people want to go back to daily to find offers, to find deals, to find items, to find merchants around them, and that would be a place that also continues to push on our ecosystem of ecosystem model so that we’re benefiting — the Square ecosystem and the Square ecosystem benefits Cash App. So that will probably be where you’ll see the highest velocity changes.
A lot of it has to do with our ability to rank this items and merchants and deals and offers on a relevant basis, and obviously, we will be applying machine learning and deep learning to do that based on all the signals we get. But that’s where the ecosystems really come together in our highest impact way, we believe, and it leads to many other opportunities down the line, so that’s where I would look.
