Visa reported earnings that beat analysts’ expectations Thursday after the bell.
Here’s how the company did compared to what Wall Street expected:
- EPS: 86 cents vs. 81 cents, according to Thomson Reuters
- Revenue: $4.57 billion vs. $4.36 billion, according to Thomson Reuters
Last year, Visa reported earnings per share of 17 cents on $3.63 billion in revenue. This year’s revenue figure represents a 26 percent year-over-year increase.
The company attributed the increase to the inclusion of Europe, growth in payments volume, cross-border volume and processed transactions
Payments volume growth increased to 38 percent to $1.9 trillion from the year-earlier quarter.
Visa reaffirmed its financial outlook for the year.
“Our results and growth are a reflection of our strategy to pursue the conversion of cash and checks to electronic payments in partnership with our clients around the world,” CEO Alfred F. Kelly, Jr. said in a statement.
Visa’s stock was up more than 1 percent after-hours following the announcement.
On Tuesday, Visa announced it would expand its PayPal partnership to Europe. The two companies already collaborate in the U.S. and Asia Pacific.
The PayPal announcement represents Visa’s latest push into Europe. Visa decided last month to invest in Klarna, a Swedish online payment company. Last quarter, Visa said the closing of its acquisition of Visa Europe continued to drive strong revenue growth.
Visa shares hit an intraday all-time high on Wednesday, trading at levels not seen since its initial public offering in March of 2008. The company’s stock has gained more than 25 percent this year, outperforming the Dow Jones industrial average’s 9 percent gains.
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