Key facts
- Visa reported a higher third-quarter profit, exceeding analyst expectations.
- Adjusted net income rose to $6.29 billion ($3.32 per share) from $5.83 billion ($2.98 per share) a year prior.
- Payment volumes increased 9% in the second quarter, supported by resilient consumer spending.
- Cross-border volume grew 12% on a constant-dollar basis.
- Data processing revenue increased 18% to $5.54 billion.
- Visa's board authorized a new $20 billion share repurchase program.
Visa reported a higher third-quarter profit on Tuesday, exceeding Wall Street estimates, as resilient consumer spending boosted transaction volumes across its network. The world's largest payment processor saw its adjusted net income climb to $6.29 billion, or $3.32 per share, for the three months ended June 30, up from $5.83 billion, or $2.98 per share, in the same period last year.
Payment volume, a key indicator of spending on Visa's network, rose 9% in the second quarter. Cross-border volume also saw a significant increase of 12% on a constant-dollar basis. Data processing revenue grew 18% year-over-year to $5.54 billion. CEO Ryan McInerney attributed the strong performance to robust consumer spending and the company's innovations in consumer payments and money movement solutions.
Visa's business model, which relies on transaction volumes rather than credit risk, positions it favorably to navigate economic uncertainties. The company's board authorized a new $20 billion multi-year share repurchase program, and Visa raised its full-year 2026 earnings per share guidance to low-teens. Additionally, the company is expanding its stablecoin settlement volume, which has a current annual run rate of $7 billion and is growing rapidly.