Credit card boom
Visa increases profits and revenues strongly
The credit card giant Visa continues to make excellent earnings despite high inflation and fears of a recession. In the first fiscal quarter (ending December), revenues increased 12 percent year-on-year to $7.9 billion.
The credit card giant Visa continues to make excellent earnings despite high inflation and fears of a recession. In the first fiscal quarter (ending December), revenues increased 12 percent year-on-year to $7.9 billion. (archive image)
This was announced by Visa on Thursday after the US stock market closed. Net income climbed 6 percent to $4.2 billion.
Visa’s quarterly results exceeded the average expectations of Wall Street pundits. The stock initially rose by around 1.5 percent in after-hours trading. Visa’s international business in particular posted strong growth as tourism and international travel recovered from the coronavirus pandemic. For example, hotel and flight bookings are often paid for by credit card.
Rival Mastercard had already presented its quarterly results on Thursday morning (local time). In the three months to the end of December, the financial group earned $2.5 billion, six percent more than a year ago. Revenue rose 12 percent to $5.8 billion. However, the growth forecast for this quarter disappointed investors. (SDA)