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Jun 30, 2020

Visa Q3 2020 Earnings Report

Visa's Q3 2020 earnings were impacted by COVID-19, with revenue decreasing by 17% but showing improvements throughout the quarter.

Key Takeaways

Visa Inc. reported a decrease in net revenues by 17% to $4.8 billion due to declines in payments volume, cross-border volume and processed transactions, driven by the impact of COVID-19. GAAP net income was $2.4 billion, or $1.07 per share, a decrease of 23% and non-GAAP net income was $2.3 billion, or $1.06 per share, a decrease of 24%.

Net revenues decreased by 17% to $4.8 billion.

GAAP net income was $2.4 billion or $1.07 per share, a decrease of 23% and 22%, respectively.

Non-GAAP net income was $2.3 billion or $1.06 per share, a decrease of 24% and 23%, respectively.

Payments volume, cross-border volume and processed transactions declined year-over-year due to COVID-19, but improved each month throughout the quarter.

Total Revenue
$4.84B
Previous year: $5.84B
-17.2%
EPS
$1.06
Previous year: $1.37
-22.6%
Processed transactions
30.68B
Previous year: 35.43B
-13.4%
Cross-border volume growth
-37%
Previous year: 7%
-628.6%
Cash and Equivalents
$13.9B

Visa

Visa

Visa Revenue by Segment

Forward Guidance

The worldwide spread of COVID-19 has created significant uncertainty in the global economy and the extent to which COVID-19 will continue to impact the Company’s future results is difficult to reasonably estimate at this time; therefore we are not providing a fiscal full-year 2020 outlook.