Visa saw overseas spending on the firm’s cards unexpectedly accelerate in the first three months of the year, as the payments giant benefited from an increase in global travel.
Cross-border volume jumped 24% in the fiscal second quarter, topping the 20% average of analyst estimates compiled by Bloomberg. Overall volume on the firm’s cards rose 9% to $3.6 trillion, which was in line with what analysts estimated.
“I have never been more excited about the opportunities in front of us,” Chief Executive Officer Ryan McInerney said in a statement announcing the results. “While there is macroeconomic uncertainty, I feel confident in Visa’s ability to manage through changing environments.”
Cross-border spending on Visa’s cards is a key metric for investors because such transactions are more lucrative than domestic payments. Visa has benefitted as consumers around the world, freed from pandemic-era lockdowns, travel more.
Visa has said it has seen a pickup in activity in Asia, which was slower to reopen than the rest of the world.
Overall revenue in the quarter ended March 31 climbed 11% to $8 billion. Net income for the period climbed 17% to $4.3 billion. Adjusting for the company’s withdrawal from Russia, earnings per share were $2.09, topping the $1.99 average of analyst estimates compiled by Bloomberg.
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