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Visa shares climbed in after-hours trading on Thursday after the credit-card processing network unveiled a bigger-than-expected rise in quarterly profits.
The California-based company logged earnings of $2.1bn, or 86 cents a share, in the three-month period ending on December 31 — an increase of 7 per cent from the previous year for both metrics. The EPS topped Wall Street expectations of 78 cents.
Operating revenue climbed by 25 per cent on the same basis to $4.5bn, also exceeding forecasts of $4.3bn.
The upbeat results in Visa’s fiscal first quarter propelled the stock higher by more than 2 per cent in extended trading. That would add to an advance of 5.5 per cent for 2017 as of the close of trading on Thursday.
“Visa’s fiscal 2017 is off to a terrific start with a strong first quarter of revenue and earnings growth driven by accelerating growth in payments volume, cross-border commerce and processed transactions in virtually all regions around the world,” said Alfred Kelly, chief executive.