Visa earnings top estimates as spending on network stays strong

The company also says at the investor day that it expects its value-added services to account for more than half of total revenue in coming years

Published Wed, Apr 30, 2025 · 06:58 AM

Visa’s fiscal second-quarter earnings beat analysts’ estimates as spending on its payment network remained resilient despite macroeconomic uncertainties.

Net income rose 6 per cent to US$5.44 billion, while adjusted earnings per share totalled US$2.76, beating expectations of US$2.68 for the three months to March. Payments volume came in at US$3.34 trillion, less than the expected US$3.42 trillion.

“Consumer spending remained resilient, even with macroeconomic uncertainty,” chief executive officer Ryan McInerney said on Tuesday (Apr 29).

Results for the San Francisco-based firm reiterated what other financial companies have said about the fiscal health of US consumers: they are continuing to spend for now, but economic challenges loom amid US President Donald Trump’s tariff war, muddying future expectations.

Also on Tuesday, Visa said its board authorised a new US$30 billion multiyear share-repurchase programme.

Visa shares climbed 2.3 per cent at 4.17 pm in late New York trading.

Visa is also positioning itself to take advantage of a larger portion of all transactions, with the methods individuals and businesses use for payments continue to evolve. For example, McInerney said at Visa’s investor day in February that stablecoin transactions increased by 40 per cent in the past two years.

The company also said at the investor day that it expects its value-added services – those that are not the traditional offerings one might associate with the firm, such as anti-fraud technologies – to account for more than half of total revenue in coming years.

Visa maintained its guidance for earnings per share for the fiscal year to grow by a percentage in the low teens, and net revenue to increase by a percentage in the low double digits. BLOOMBERG

Share with us your feedback on BT's products and services