Visa Reports Strong Q3 Profits Amid Global Surge in Credit and Debit Card Usage: Visa Inc. made a lot of money in the third quarter because more people worldwide used credit and debit cards instead of cash.
Visa made $4.2 billion in its fiscal third quarter, or $2 per share. Last year’s profit was $3.4 billion, $1.60 per share. This year’s numbers included $456 million in court costs from last year. Visa’s adjusted profit rose 7% despite this one-time expense.
Its network trades more money and does well. Visa processed 10% more transactions and 9% more funds than last year. Visa’s payment network costs merchants more. Visa cards still outsell other cards and cash, indicating a healthy global economy.
Central and Eastern Europe, the Middle East, and Latin America had strong third-quarter growth. Visa handled $3.799 trillion. Visa’s US transfers increased 4.9%, accounting for over half of its global payments.
Visa may have succeeded because few people use cash and many use digital payments. Today’s most popular payment method is credit and debit cards.
Visa’s global presence and payment network boost profits. Visa is famous for making international money transfers easy and secure.
Visa’s payment systems have grown quickly, especially in developing nations. Digital payments have simplified and accelerated money use. Credit and debit cards are easy to use, so these areas have grown.
Visa works with banks and new companies, increasing its market share. Visa works with many partners to reach new markets and meet their payment needs.
Visa may succeed by investing in new payment methods. Cashless payments and mobile funds have pleased tech-savvy and comfortable customers.
Visa anticipates better internet payments. Visa will benefit from cashless businesses and consumers.
Visa faces P2P and digital wallets in the growing digital payments market. New products, customer service, and smart partnerships drive company success.
Finally, Visa’s third-quarter success shows how important digital payments are. As more people use credit and debit cards because they’re safe and easy, Visa’s role in global transactions will continue.