Square, Inc.

Square (SQ - Get Report)  turned higher Thursday, rising 2% to $80.90 after the digital payments company posted better-than-expected fourth-quarter results but issued a disappointing outlook.

Square, led by Twitter CEO Jack Dorsey, reported a loss of 7 cents a share in the period on adjusted revenue of $464 million. Adjusted earnings in the period were 14 cents a share, 1 cent ahead of estimates. Revenue from subscriptions and services in the quarter was $194 million, an increase of 144% from a year earlier.

In a statement, Square said it is "driving innovation and adoption of new services by reinvesting in our ecosystem: In the fourth quarter of 2018, revenue from products launched in the last five years was 37% of total net revenue and 51% of adjusted revenue, up from 22% and 36%, respectively, in the prior year period." 

The company said it expects first-quarter adjusted revenue of $472 to $482 million vs. analysts' estimates of $474 million. Square said it expects adjusted earnings of 6 cents to 8 cents a share, below Wall Street forecasts of 12 cents.

Square expects adjusted earnings of 74 cents to 78 cents a share for the year on adjusted revenue of $2.22 billion to $2.25 billion. Analysts expect earnings of 70 cents on revenue of $2.25 billion.