Visa posts strong earnings despite pulling out of Russia
In its recent quarterly report, Visa confirmed a loss of $35 million after suspending its operations in Russia. Apart from that, the payment processing giant is doing really well. Thus, Visa’s net income for the second fiscal quarter of this year amounted to $3.65 billion or $1.70 per class A share compared to $3.03 billion or $1.38 per share in the same period of 2021. The company’s revenue jumped to $7.19 billion from $5.73 billion a year earlier. In the first three months of the year, the number of processed transactions rose by 19% to 44.8 billion compared to the same reporting period of the last fiscal year. Visa’s payments volume increased by 17% on a constant-dollar basis. Total cross-border volume without changes in exchange rates surged by 38%. Excluding transactions within Europe, cross-border volume soared by 47%. For the fiscal Q2 of 2022, Visa repurchased 13.8 million shares of class A at an average price of $210.19 per share for a total of $2.9 billion. The company declared a quarterly cash dividend of $0.375 per share of class A that will be paid on June 1 to all holders of record as of May 13, 2022. Visa’s stock was up by 4.1% in extended trading in New York following the earnings report. However, the company’s market cap has decreased by 7.2% to $440.2 billion since the start of the year.