Visa(US:V)2025-01-30 23:06Financial Performance - For the three months ended December 31, 2024, net revenue increased by 10% to $9,510 million compared to $8,634 million in the prior year[91]. - Net income for the period was $5,119 million, reflecting a 5% increase from $4,890 million in the previous year[91]. - Non-GAAP net income increased by 11% to $5,463 million, with non-GAAP diluted earnings per share rising by 14% to $2.75[91]. - Service revenue rose by 8% to $4,208 million, driven by a 6% growth in nominal payments volume[106]. - Data processing revenue increased by 9% to $4,745 million, supported by an 11% growth in processed transactions[107]. - Cash provided by operating activities increased to $5,396 million, up from $3,614 million in the previous year[112]. Operating Expenses - Operating expenses rose by 22% to $3,276 million, primarily due to higher personnel and general administrative expenses[93]. - Non-GAAP operating expenses increased by 11% to $2,917 million, driven by similar factors as GAAP operating expenses[94]. - Operating expenses totaled $3,276 million, reflecting a 22% increase from $2,680 million in the prior year[108]. Shareholder Actions - The company repurchased 13 million shares of class A common stock for $3.9 billion, with remaining authorized funds for repurchase at $9.1 billion[97]. - The company repurchased $3.9 billion of its class A common stock during the three months ended December 31, 2024[116]. - A quarterly cash dividend of $1.2 billion was declared and paid to common and preferred stockholders[117]. Acquisitions - The company acquired Featurespace Limited for $946 million, enhancing its capabilities in real-time AI payments protection technology[95]. - The company acquired Featurespace for $946 million in December 2024[118]. Taxation - The effective income tax rate for the period was 17.4%, with a total income tax provision of $1,081 million[101]. - The effective income tax rate decreased to 17% from 19% year-over-year[110]. Market and Regulatory Changes - The Financial Accounting Standards Board (FASB) issued ASU 2023-07 in November 2023, enhancing reportable segment disclosure requirements, effective for annual periods beginning October 1, 2024[119]. - ASU 2023-09, issued in December 2023, improves income tax disclosures, effective for annual periods beginning October 1, 2025[120]. - ASU 2024-03, issued in November 2024, requires additional disclosure about specific expense categories, effective for annual periods beginning October 1, 2027[121]. - There have been no significant changes to market risks since September 30, 2024[122]. Transaction Volume - For the three months ended December 31, 2024, processed transactions and nominal payments volume contributed to revenue growth, while exchange rate movements had no material impact[92]. - Total nominal payments volume increased by 5% year-over-year to $1,649 billion in the U.S. and $1,760 billion internationally[104].