By Angela Chen
Visa Inc. on Thursday said revenue rose 8% in its fiscal second
quarter as payment volumes increased 11%.
Shares of the company were up less than 1% in after-market
trading.
Based in Foster City, Calif., Visa is the largest U.S. payments
network. Visa and competitor MasterCard Inc. don't issue cards or
set interest rates, but they charge fees to financial institutions
for transactions that travel over their networks.
The company's digital efforts have included the launch of Visa
Digital Solutions, an initiative geared toward secure payments
using mobile devices. Visa said in September it planned to create
2,000 full-time technology roles and open a new technology center
in India. Visa and others have supported Apple Inc.'s Apple Pay
service.
Last month, Costco Wholesale Corp. said Visa, along with
Citigroup Inc., won the sought-after contract for its credit-card
business, replacing American Express Co., in a move that will
significantly expand the kind of plastic that is accepted at the
warehouse giant. Starting on April 1, 2016, Visa will be the only
brand accepted at Costco.
For the period ended in March, Visa reported a profit of $1.55
billion, or 63 cents a share, compared with $1.6 billion, or 63
cents a share, in the same period a year earlier. Revenue rose 8%
$3.41 billion.
Analysts polled by Thomson Reuters projected earnings of 62
cents a share on revenue of $3.34 billion.
Payment volume grew 11% to $1.2 trillion in constant currency.
Total transactions also grew 11%, to $17 billion. Data processing
revenue grew 9%, and international revenue grew 11%.
Write to Angela Chen at angela.chen@dowjones.com
Access Investor Kit for American Express Co.
Visit
http://www.companyspotlight.com/partner?cp_code=P479&isin=US0258161092
Access Investor Kit for Apple, Inc.
Visit
http://www.companyspotlight.com/partner?cp_code=P479&isin=US0378331005
Access Investor Kit for Citigroup, Inc.
Visit
http://www.companyspotlight.com/partner?cp_code=P479&isin=US1729674242
Access Investor Kit for Costco Wholesale Corp.
Visit
http://www.companyspotlight.com/partner?cp_code=P479&isin=US22160K1051
Access Investor Kit for MasterCard, Inc.
Visit
http://www.companyspotlight.com/partner?cp_code=P479&isin=US57636Q1040
Access Investor Kit for Visa, Inc.
Visit
http://www.companyspotlight.com/partner?cp_code=P479&isin=US92826C8394
Subscribe to WSJ: http://online.wsj.com?mod=djnwires