Visa Inc has posted its first quarterly results
as a public company, with net income rising to $314 million
compared to $246 million in the year-ago period, and operating
revenue rising to $1.45 billion from $1.19 billion. However,
operating income fell during the quarter to $349 million from a pro
forma $394 million in the year-ago period, due to higher
advertising and marketing expenses and increased reserves for
litigation.
as a public company, with net income rising to $314 million
compared to $246 million in the year-ago period, and operating
revenue rising to $1.45 billion from $1.19 billion. However,
operating income fell during the quarter to $349 million from a pro
forma $394 million in the year-ago period, due to higher
advertising and marketing expenses and increased reserves for
litigation.
Payment volumes grew 19 percent from the
year-ago period to reach $681 billion, while total volume,
inclusive of cash volume, reached $1.1 trillion, a 21 percent
increase. Cards carrying the Visa brand rose by 16 percent to 1.6
billion worldwide, while total processed transactions numbered 8.8
billion, a 15 percent increase.
year-ago period to reach $681 billion, while total volume,
inclusive of cash volume, reached $1.1 trillion, a 21 percent
increase. Cards carrying the Visa brand rose by 16 percent to 1.6
billion worldwide, while total processed transactions numbered 8.8
billion, a 15 percent increase.
The bulk of payment volume growth continues to
come from international markets outside of the US. Total volume of
Visa credit programmes in the US grew by 8.8 percent over the year
to $253 billion, whereas the rest of the world recorded an increase
of 26.7 percent to $272 billion. Total volume of debit programmes
in the US rose by 13.9 percent to $261 billion, whereas the rest of
the world rose by 39.1 percent to $281 billion. As of the end of
December 2007, there were 365 million Visa credit cards in the US,
and 321 million debit cards.
come from international markets outside of the US. Total volume of
Visa credit programmes in the US grew by 8.8 percent over the year
to $253 billion, whereas the rest of the world recorded an increase
of 26.7 percent to $272 billion. Total volume of debit programmes
in the US rose by 13.9 percent to $261 billion, whereas the rest of
the world rose by 39.1 percent to $281 billion. As of the end of
December 2007, there were 365 million Visa credit cards in the US,
and 321 million debit cards.
Meanwhile, MasterCard reported net income of
$398 million, excluding a special item related to a $49 million
after-tax gain from the termination of a customer business
agreement. Net revenue for the first quarter of 2008 was $1.2
billion, a 29.2 percent increase versus the same period in 2007.
Currency fluctuations contributed 5.1 percent of the increase in
net revenue for the quarter.
$398 million, excluding a special item related to a $49 million
after-tax gain from the termination of a customer business
agreement. Net revenue for the first quarter of 2008 was $1.2
billion, a 29.2 percent increase versus the same period in 2007.
Currency fluctuations contributed 5.1 percent of the increase in
net revenue for the quarter.
Driving net revenue were growth in MasterCard’s
gross dollar volume, which increased 14.1 percent, on a local
currency basis, to $611 billion, a 15.7 percent increase in the
number of transactions processed to 4.9 billion, and an increase in
cross-border volumes of 23.6 percent. As of 31 March 2008,
MasterCard issuers had issued 935 million cards worldwide, an
increase of 12.1 percent from the year-ago period.
gross dollar volume, which increased 14.1 percent, on a local
currency basis, to $611 billion, a 15.7 percent increase in the
number of transactions processed to 4.9 billion, and an increase in
cross-border volumes of 23.6 percent. As of 31 March 2008,
MasterCard issuers had issued 935 million cards worldwide, an
increase of 12.1 percent from the year-ago period.
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