Visa profit beats; authorizes $1.75 billion buyback

Thu Feb 7, 2013 3:53am IST

Visa credit cards are displayed in Washington October 27, 2009. REUTERS/Jason Reed/Files

Visa credit cards are displayed in Washington October 27, 2009.

Credit: Reuters/Jason Reed/Files

Related Topics

Stocks

   

REUTERS - Visa Inc's (V.N) quarterly profit beat analysts' estimates for the ninth quarter in a row as payment volume growth accelerated at the largest credit- and debit-card network.

The company's profit rose to $1.3 billion, or $1.93 per Class A share, from $1.0 billion, or $1.49 per Class A share, a year earlier.

Visa reported an adjusted profit of $1.82 per share, topping analysts' average estimate of $1.79 per share, according to Thomson Reuters I/B/E/S.

Total operating revenue rose 12 percent to $2.80 billion.

The Foster City, California-based company also authorized a new $1.75 billion share buyback program, raising total outstanding authorization to $2.9 billion.

Payment volumes grew 9 percent to $1.1 trillion, while processed transactions grew 4 percent.

"Visa again delivered a strong quarter of revenue and earnings driven by success across our global franchise," Chief Executive Charlie Scharf said in a statement.

Scharf, a former head of JPMorgan Chase & Co's (JPM.N) retail financial services division, took over as chief executive in November.

Smaller rival MasterCard Inc (MA.N) reported better-than expected results last week. MasterCard also doubled its quarterly cash dividend on Tuesday and said it would buy back up to $2 billion of its Class A shares.

Visa said it expects annual net revenue growth in the low double-digits and adjusted Class A earnings per share growth in the high-teens for 2013.

The company expects annual operating margin of about 60 percent.

Shares of the company closed at $160.82 on the New York Stock Exchange on Wednesday.

(Reporting by Jochelle Mendonca; Editing by Sriraj Kalluvila)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

India-WTO Row

REUTERS SHOWCASE

Market Eye

Market Eye

Nifty falls most in nearly 3-1/2 weeks; Sensex down over 400 points  Full Article 

Factory Activity

Factory Activity

Factories post fastest growth for 17 months in July  Full Article 

Paying for Bail

Paying for Bail

Jailed Subrata Roy gets office to negotiate hotel sales.  Full Article 

Rupee Dips

Rupee Dips

Rupee posts biggest weekly loss since record lows in August.  Full Article 

Reviving Infosys

Reviving Infosys

CEO Sikka says to improve business with new growth avenues  Full Article 

Outlook Slashed

Outlook Slashed

ArcelorMittal cuts outlook as ore prices hit mining  Full Article 

Re-gaining Momentum

Re-gaining Momentum

China, Asian factory growth gathers pace; Europe falters  Full Article 

Factory Lockout

Factory Lockout

Pfizer says threats to managers force staff lockout at Mumbai factory .  Full Article 

Gold Smuggling

Gold Smuggling

In cat-and-mouse game, India uncovers new gold smuggling route.  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage