PayPal reported solid, diversified growth in 2025, with increases in revenue, transaction margin dollars, and earnings per share. However, the company acknowledges execution challenges, particularly in branded checkout, leading to a CEO transition and a focus on strengthening the foundation and accelerating growth initiatives.
Full year 2025 GAAP net revenues increased 4% to $33.2 billion, with 4% growth on a currency-neutral basis.
positiveFull year 2025 GAAP EPS increased 35% to $5.41.
positiveFull year 2025 GAAP operating margin expanded 154 basis points to 18.3%.
positiveReturned $6.0 billion to stockholders by repurchasing approximately 86 million shares of common stock on a trailing 12-month basis.
positivePayment transactions per active account on a trailing 12-month basis decreased 5% to 57.7. Excluding PSP transactions, TPA increased 5%.
attentionFull year 2025 cash flow from operations decreased 14% to $6.4 billion, and free cash flow decreased 18% to $5.6 billion.
negativeNon-GAAP operating margin contracted 9 basis points to 17.9% in Q4 2025, despite revenue growth.
attentionGuidance for 2026 indicates a mid-single digit decline in both GAAP and non-GAAP EPS for Q1 and FY26, reflecting anticipated lower interest rates and investments.
negativeActive accounts increased only 1.1% year-over-year to 439 million, with sequential growth of 0.3% in Q4.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
| Segment | Current | Prior Yr | YoY | % Total |
|---|---|---|---|---|
Net Revenues by Geography | N/A | — | — | — |
U.S. net revenues | N/A | — | — | — |
Current quarter vs prior quarter | N/A | — | — | — |
Current quarter vs prior year quarter | N/A | — | — | — |
International net revenues | N/A | — | — | — |
Current quarter vs prior quarter | N/A | — | — | — |
Current quarter vs prior year quarter | N/A | — | — | — |
(FXN) Current quarter vs prior year quarter | N/A | — | — | — |
Current quarter vs prior quarter | N/A | — | — | — |
Current quarter vs prior year quarter | N/A | — | — | — |
(FXN) Current quarter vs prior year quarter | N/A | — | — | — |
| Total Revenue | $0.00M | — | — | 100.0% |
Segment performance shows business unit health and growth drivers.
Forward-looking guidance is subject to change and does not constitute a guarantee. Actual results may differ materially from these estimates.
In 2025, PayPal delivered solid performance across multiple areas of the business. We grew revenue, transaction margin dollars, and earnings per share, underscoring the strength of our increasingly diversified platform.
At the same time, our execution has not been where it needs to be, particularly in branded checkout.
As announced today, the Board’s appointment of Enrique Lores as PayPal’s next President and CEO reflects a clear commitment to strengthening execution, innovation, and results.
Commentary excerpts from earnings call transcripts provide management's perspective on performance, strategy, and outlook. Always review full transcripts for complete context.
Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.