Visa Inc. (V) reported robust financial results for the fiscal third quarter of 2024, showcasing significant growth across key metrics.
Visa’s net revenue rose 10% from last year to $8.9 billion, thanks to higher payment volumes and a 14% jump in cross-border transactions.
Revenue and Earnings Surge Amid Stable Business Drivers
Visa CEO Ryan McInerney praised the company’s strong results, highlighting growth across all key revenue areas.
GAAP net income rose to $4.9 billion, up 17% from the prior year, while GAAP earnings per share (EPS) reached $2.40, a 20% increase.
Excluding specific items, Visa’s non-GAAP EPS grew 12% to $2.42 per share, underscoring stable progress in its core business segments.
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Cross-Border Volume and Processed Transactions Fuel Growth
Visa’s cross-border volume, excluding intra-Europe transactions, surged by 14%, reflecting the robust demand for international transactions.
Total processed transactions for the quarter reached 59.3 billion, marking a 10% year-over-year rise.
The steady growth in cross-border transactions and processed payments shows Visa’s expanding reach in global digital payments.
Operating Expenses and Strategic Spending
The company’s GAAP operating expenses decreased by 4% to $3 billion, largely due to reduced litigation provisions.
However, on a non-GAAP basis, operating expenses saw a 14% increase, driven by heightened general and administrative, personnel, and marketing expenses.
Visa’s third-quarter capital expenditures reached $13 billion, supporting initiatives aimed at enhancing payment infrastructure and innovation.
Shareholder Returns and Strategic Initiatives
In Q3, Visa returned approximately $5.8 billion to shareholders through dividends and share repurchases, underscoring its commitment to enhancing shareholder value.
Visa’s board declared a $0.52 per share dividend, payable September 3, 2024, to shareholders on record by August 9.
Outlook and Future Growth Initiatives
Looking ahead, Visa continues to focus on expanding its partnerships and advancing payment solutions globally.
The company anticipates further capital expenditures in fiscal 2025, aligning with ongoing growth strategies and a commitment to bolstering its capabilities in digital payments.
With strong Q3 results, Visa is well-positioned to meet rising global demand for digital payments and pursue long-term growth.
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