Mastercard third-quarter revenue rises 14 percent and beats estimates

Mastercard reported third-quarter net revenue of $9.8 billion on October 29, up 14 percent from a year earlier both as reported and on a currency-neutral basis, according to the company’s earnings release. Net income was $4.6 billion, or $5.28 per diluted share, and adjusted net income was $4.7 billion, or $5.31 per share, up 21 percent. Adjusted earnings topped the $5.16 consensus and revenue topped the $9.65 billion expected, according to Investing.com.

Gross dollar volume rose 7 percent and purchase volume rose 9 percent on a local currency basis, the release said. Payment network net revenue rose 11 percent, while value-added services and solutions net revenue rose 19 percent, according to a transcript of the earnings call published by The Motley Fool. Adjusted operating income rose 15 percent to $5.9 billion, with the adjusted operating margin at 60.5 percent, up 70 basis points, Investing.com reported. Management said some services projects and payment network deals moved from the fourth quarter into the third, according to Investing.com.

For the first nine months of the year, net revenue was $27.5 billion, up 15 percent, and adjusted earnings were $14.94 per share, up 22 percent, according to the release. Mastercard repurchased $3 billion of stock in the quarter and a further $648 million through October 26, according to the call transcript. Shares rose toward their 52-week high after the report, according to Investing.com.

Chief executive Michael Miebach pointed in the company’s statement to agentic commerce and a new Global Money Platform built through the acquisition of BVNK. The results follow Visa’s by two days: Visa reported fiscal fourth-quarter net revenue of $12.1 billion, up 13 percent, on October 27. Mastercard reported second-quarter net revenue of $9.28 billion on July 30.