Visa announced last week that it brought in $1.6 billion in net income during the second quarter—a 26 percent year-over-year increase—as a result of strong payments volume during the period.
“Our underlying business drivers remained strong during the fiscal second quarter with payments volume continuing to grow at solid levels,” Visa CEO Charlie Scharf said. “As expected, softer net revenue growth was impacted by a strengthening U.S. dollar and difficult year-over-year comparisons due to non-recurring items. We expect this impact to be slightly more pronounced next quarter before rebounding in our fiscal fourth quarter, which will be more reflective of the fundamental strength of the business model.”
Payments volume growth for the fiscal second quarter ending March 31 rose 12 percent year-over-year to reach $1.1 trillion. Fiscal second quarter service revenues, which are based on payments volume in the previous quarter, totaled $1.5 billion—a seven percent increase over the year prior.