Visa wins big in international markets
Visa reported its second quarter earnings for the year earlier this month, demonstrating big increases in revenue and profit, driven by the acquisition of Visa Europe and some major new business wins in the U.S. Year-on-year, the company’s revenue rose by 23%, its adjusted net income was up by 27%, and its adjusted earnings per share also increased by 27%.
Visa’s share price is up by 18% so far this year
SOURCE: Yahoo Finance
Visa has been able to expand its business across all of its primary operating segments over the last three months. In Europe, that’s come from the successful integration of Visa Europe, which it agreed to acquire at the end of 2015. In America, it’s come primarily from new business gains.
In the first three months of the year, payment volumes rose by 37% to $1.7 trillion, with most of the outperformance coming from international markets. In a quarter that chief financial officer Vasant Prabhu said was typified by “robust payment volume growth continued across the globe,” international payment volumes rose by a staggering 68%!
Alfred Kelly, Visa’s CEO, said in a statement:
"In the face of geo-political uncertainty, Visa continues to execute well against our operating plan and strategic priorities, delivering sustained growth across nearly every part of our business. Looking ahead, we are continuing our efforts across the globe to electronify commerce and digitize economies to the benefit of consumers and societies alike."
Dominion holds Visa in its Global Trends Ecommerce Fund.
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