{"id":23388,"date":"2023-04-25T22:38:46","date_gmt":"2023-04-25T22:38:46","guid":{"rendered":"http:\/\/lynettelockhart.com\/client\/visa-posts-jump-in\/"},"modified":"2023-04-25T22:45:54","modified_gmt":"2023-04-25T22:45:54","slug":"visas-payments-business-helps","status":"publish","type":"post","link":"http:\/\/lynettelockhart.com\/client\/visas-payments-business-helps\/","title":{"rendered":"Visa&#8217;s payments business helps profit exceed Wall Street estimates"},"content":{"rendered":"<p>By Mehnaz Yasmin<\/p>\n<p>(Reuters) -Visa Inc reported a better-than-expected second-quarter profit on Tuesday and bet on sustained growth at its payments business, as consumers brace for a milder recession than was once feared.<\/p>\n<p>The San Francisco-based payments processor&#8217;s shares, up 11% so far this year, rose another 2.4% in after-hours trading.<\/p>\n<p>Card companies escaped the economic downturn of last year unscathed on the back of a strong dollar and a rebound in travel, particularly in China, with executives having downplayed the turmoil in the economy for several quarters.<\/p>\n<p>&#8220;Consumer payments remains a massive opportunity for Visa,&#8221; Chief Executive Officer Ryan McInerney said on a post-earnings call. <\/p>\n<p>&#8220;There is a very long runway for growth in this business,&#8221; he added.  <\/p>\n<p>Payment volumes for the three months ended March rose 10%, while cross-border volume excluding Europe, a measure of Visa&#8217;s revenue from international transactions, increased 32%.<\/p>\n<p>That is a decline from a 17% jump in payment volumes and 47% growth in cross-border volume, excluding Europe, from a year ago.<\/p>\n<p>&#8220;While the current environment still feels uncertain, we have contingency plans ready and are prepared to take action as needed,&#8221; McInerney said.<\/p>\n<p>Financial conditions have tightened in the wake of the banking crisis, with analysts worrying that households and small businesses could be impacted even though labor market and jobs remain tight.<\/p>\n<p>Transactions processed rose 12% in the quarter, below 19% growth a year before. That prompted an 11% increase in net revenue, the slowest in eight quarters.<\/p>\n<p>Visa&#8217;s results follow peer American Express Inc, which stockpiled $1.1 billion to cover potential defaults and spent more on promotions, missing Wall Street estimates on Thursday.<\/p>\n<p>On an adjusted basis, Visa earned $2.09 per share in the quarter ended March, exceeding analysts&#8217; estimates of $1.99, according to data from Refinitiv IBES.<\/p>\n<p> (Reporting by Mehnaz Yasmin in Bengaluru; Editing by Maju Samuel)<\/p>\n<p><a href=\"http:\/\/lynettelockhart.com\/client\/visa-quarterly-profit-beats\/file-photo-illustration-of-visa-credit-and-debit-cards\/\"><img decoding=\"async\" src=\"http:\/\/lynettelockhart.com\/client\/wp-content\/uploads\/Reuters_Direct_Media\/USOnlineReportBusinessNews\/tagreuters.com2023binary_LYNXMPEJ3O0VA-VIEWIMAGE.jpg\" alt=\"tagreuters.com2023binary_LYNXMPEJ3O0VA-VIEWIMAGE\"><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Mehnaz Yasmin (Reuters) -Visa Inc reported a better-than-expected second-quarter profit on Tuesday and bet on sustained growth at its payments business, as consumers brace for a milder recession than was once feared. The San Francisco-based payments processor&#8217;s shares, up 11% so far this year, rose another 2.4% in after-hours trading. Card companies escaped the [&hellip;]<\/p>\n","protected":false},"author":8,"featured_media":23389,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":""},"categories":[1213],"tags":[1223],"class_list":["post-23388","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-u-s-business","tag-updated"],"jetpack_featured_media_url":"http:\/\/lynettelockhart.com\/client\/wp-content\/uploads\/Reuters_Direct_Media\/USOnlineReportBusinessNews\/tagreuters.com2023binary_LYNXMPEJ3O0VA-VIEWIMAGE.jpg","_links":{"self":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts\/23388","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/users\/8"}],"replies":[{"embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/comments?post=23388"}],"version-history":[{"count":4,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts\/23388\/revisions"}],"predecessor-version":[{"id":23583,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/posts\/23388\/revisions\/23583"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/media\/23389"}],"wp:attachment":[{"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/media?parent=23388"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/categories?post=23388"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/lynettelockhart.com\/client\/wp-json\/wp\/v2\/tags?post=23388"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}