On Wednesday, Square posted earnings that once again beat analyst estimates.

Discussing the quarter’s results in its shareholder letter, the company highlighted the ways the integration of its software with its payments processing results in benefits for its sellers.

The company develops customer profiles by capturing detailed data about a seller’s interactions with customers, it said.

Then, in turn, “we leverage this deep understanding of the customer to build CRM tools that enable sellers to immediately respond to feedback from customers, and run marketing, loyalty, and gifting programs that are easy to use, measurable, and effective,” the letter said.

It gave an example of a seller who uses Square’s CRM tools, including automated marketing campaigns, which it says “fuel a virtuous cycle of growth” between the two companies.

Square again increased its gross payments volume, which is up 32% year over year. This quarter’s loss of $16 million remained a significant improvement over the same time last year, when Square reported a $27 million loss.

The company’s payments volume from larger sellers continues to grow as a percentage of its gross payments volume. Sellers that generate more than $125,000 in volume annually grew 45% over last year, and those who generate more than $500,000 grew 61% to account for 19% of the company’s gross payments volume.

Square continues to expand its Square Capital program. It said more than 49,000 business loans totaling $318 million went through the program this quarter, an increase of 68% over last year. The company said that, in a recent survey, 84% of respondents agreed that Square Capital helped them grow their business.

The company’s subscription and services-based revenue, which includes Square Capital, was $59 million – an increase of 99% over last year.