Visa beats quarterly profit estimates on resilient consumer spending
Visa reported better-than-expected quarterly profits, driven by strong consumer spending and increased payment volumes. The company's adjusted net income rose significantly compared to the previous year, and it announced a new share repurchase program. Despite global economic uncertainties, Visa's business model remains resilient due to its reliance on transaction volumes rather than credit risk.
- ▪Visa's adjusted net income increased to $6.3 billion for the quarter ending March 31.
- ▪Payment volumes on Visa's network jumped 9% in the second quarter.
- ▪The company authorized a new $20 billion multi-year share repurchase program.
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ShareSave for laterPlease log in to bookmark this story.Log InCreate Free AccountVisa (V-N) beat estimates for Wall Street profit on Tuesday as the world’s largest payment processor benefited from a steady rise in payment volumes despite ongoing macroeconomic uncertainty, sending its shares up about 4% in extended trading.U.S. consumer spending rose more than expected in March as the U.S.-Israeli war with Iran boosted gasoline prices and receipts at service stations, while tax refunds supported spending elsewhere.Payments volume, a gauge of overall consumer and business spending on Visa’s network, jumped 9% in the second quarter.“Consumer spending remained resilient, and our strategy and innovations fueled strong performance in consumer payments, commercial and money movement…
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