Visa announced Thursday its earnings for the first quarter ending December 31, 2021 of $3.9 billion, or $1.81 per share, up 25% from last year, on revenue of $7.1 billion.
The company narrowly surpassed EPS estimates, with analysts expecting earnings per share to come in at $1.70. The reported non-GAAP EPS of $1.81 is a 27% increase from the previous year.
Visa reported a net revenue for the first quarter of $7.1 billion, up 24%. Visa also reported a 20% increase in payment volume, a 40% increase in total cross-border volume and a 21% increase in processed transactions.
Coupled with both Mastercard and American Express’ earning reports, it’s a good indication that consumer travel and spending are making a comeback.
“Visa delivered very strong results with revenue, net income and EPS all growing at 24% or higher. The strength of our network, the growth in eCommerce, better than expected progress in the return of cross-border travel and a continuation of the recovery all contributed to an excellent quarter,” said Visa CEO Alfred F. Kelly, Jr. in the press release.
The company’s total processed transactions for the quarter were 47.6 billion. Non-GAAP operating expenses for the company were up 16% to $2.1 billion, with a 36% increase in marketing spending over the previous year.
Kelly indicated he doesn’t expect the recent surge in Omicron cases to impact the company’s future growth, and is optimistic that travel and commerce will continue to recover. “We remain confident that we are well-positioned, via our multi-pronged growth strategy, to deliver strong results well into the future,” he said in the press release.
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