Visa reported a strong fiscal first quarter with robust net revenue growth driven by resilient consumer spending and strong performance in key payment metrics. The company highlighted continued investments in its payment infrastructure and services, positioning it for future growth.
Net revenue increased 15% year-over-year to $10.9 billion, or 13% on a constant-dollar basis.
positiveGAAP EPS increased 17% to $3.03, and non-GAAP EPS increased 15% to $3.17.
positiveStrong growth in key business drivers: Payments volume up 8%, Cross-border volume excluding intra-Europe up 11%, and Processed transactions up 9% (all constant dollar).
positiveVisa repurchased approximately 11 million shares for $3.8 billion and declared a quarterly dividend of $0.670 per share.
positiveGAAP operating expenses increased 27% year-over-year to $4.2 billion, primarily driven by a litigation provision.
attentionClient incentives increased 12% year-over-year to $4.3 billion, impacting net revenue.
attentionService revenue, recognized based on prior quarter payments volume, increased 13% to $4.8 billion, while current quarter activity revenue categories showed varied growth (Data processing +17%, International transaction +6%, Other +33%).
attentionThe litigation provision for the interchange multidistrict litigation (MDL) case was $707 million in the current quarter, a significant increase from $27 million in the prior year.
attentionMargin expansion indicates improving profitability and operational efficiency. Measured in basis points (bps): 100 bps = 1.0%.
Special items are non-recurring events that may distort period-over-period comparisons. Analysts typically adjust for these when calculating normalized earnings.
Visa delivered a very strong fiscal first quarter with net revenue up 15% year-over-year, GAAP EPS up 17% and non-GAAP EPS up 15%, driven by resilient consumer spending and a strong holiday season, as well as continued strength in value-added services and commercial and money movement solutions.
Our purposeful investments in our Visa as a Service stack continue to position us as a payments hyperscaler to deliver technology and infrastructure that redefine what's possible in payments.
Net revenue increased 13% on a constant-dollar basis.
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Operational metrics provide insight into business drivers and customer engagement beyond traditional financial measures.