Visa Inc. Posts Strong Fiscal First Quarter 2011 Earnings Results
2/02/2011
SAN FRANCISCO, Feb. 2, 2011 /PRNewswire via COMTEX/ --
- GAAP quarterly net income of $884 million or $1.23 per diluted class A common share
- Company effectively repurchases approximately 15.3 million shares at a total cost of $1.1 billion
Visa Inc. (NYSE: V) today announced financial results for the Company's fiscal first quarter 2011 ended December 31, 2010. GAAP net income for the quarter was $884 million, or $1.23 per diluted class A common share. The weighted average number of diluted class A common shares outstanding was approximately 719 million.
GAAP net operating revenue in the fiscal first quarter of 2011 was $2.2 billion, an increase of 14% over the prior year and driven by strong double-digit growth in service revenues, data processing revenues and international transaction revenues. Currency fluctuations contributed a positive 1% towards quarterly net operating revenues.
"Visa's first quarter was a great start to our fiscal 2011 as evidenced by strong earnings fueled by continued growth in payments volume, cross border volume and processed transactions globally - our core business," said Joseph Saunders, Chairman and Chief Executive Officer of Visa Inc.
"Visa is in a strong position to continue to accelerate the migration to electronic payments, particularly in economies where cash and check remain predominant. We are intensely focused on growing Visa's revenue globally, working alongside our financial institution, merchant, technology and government partners. In parallel, we are aggressively investing to expand Visa payment services through new technology platforms, like mobile, eCommerce and money transfer, to extend the reach and value of our global network."
Fiscal First Quarter 2011 Financial Highlights:
Payments volume growth, on a constant dollar basis, for the three months ended September 30, 2010, on which fiscal first quarter service revenue is recognized, was a positive 14% over the prior year at $829 billion.
Payments volume growth, on a constant dollar basis, for the three months ended December 31, 2010, was a positive 15% over the prior year at $897 billion.
Cross border volume growth, on a constant dollar basis, was a positive 15% for the three months ended December 31, 2010.
Total processed transactions, which represent transactions processed by VisaNet, for the three months ended December 31, 2010, were 13 billion, a positive 15% increase over the prior year.
For the fiscal first quarter 2011, service revenues were $1.0 billion, an increase of 22% versus the prior year, and are recognized based on payments volume in the prior quarter. All other revenue categories are recognized based on current quarter activity. Data processing revenues rose 10% over the prior year to $844 million. International transaction revenues, which are principally driven by cross border payments volume, grew 14% over the prior year to $630 million. Other revenues, which include the Visa Europe licensing fee, were $161 million, a 15% decrease over the prior year. Client incentives, which are a contra revenue item, were $405 million and represents 15% of gross revenues.
Total operating expenses on a GAAP basis were $872 million for the quarter, a 17% increase over the prior year.
Cash, cash equivalents, restricted cash, and available-for-sale investment securities were $6.5 billion at December 31, 2010.
Visa's GAAP effective tax rate was 36% for quarter ended December 31, 2010.
Notable Events:
During the three months ended December31, 2010, the Company effectively repurchased approximately 15.3million shares at an average price of $72.08 per share, for a total cost of $1.1 billion. Of the $1.1 billion, $800 million of shares were effectively repurchased through the October funding of the litigation escrow account previously established under the Company's retrospective responsibility plan. On an as-converted basis, 11million shares of class A common stock were effectively repurchased at $72.74 per share. The balance of the repurchase, $306 million of class A common stock, was executed in the open market and totaled 4.3million shares at an average price of $70.40 per share. These purchases were made under the previously announced $1.0 billion share repurchase plan, as authorized by the Company's board of directors. At December31, 2010, the share repurchase plan had remaining authorized funds of $694 million.
As previously announced, on January 26, 2011, the Company's wholly-owned subsidiary, Visa International, sold its 10 percent stake in Visa Vale issuer CBSS to Banco do Brasil and Bradesco. CBSS will continue to issue Visa Vale prepaid cards in Brazil and Visa expects no disruption to cardholder service as a result of this transaction. Visa's proceeds from the sale were $103 million. The sale is subject to regulatory approval by Brazil's Conselho Administrativo de Defesa Economica.
On January 27, 2011, the Company held its 2011 annual meeting of stockholders. Among other proposals, stockholders approved the immediate declassification of the Board of Directors, approved implementation of a majority vote standard in uncontested elections of directors (effective at the 2012 annual meeting), approved compensation of the Company's named executive officers as described in the Company's proxy statement (on an advisory basis) and selected an annual advisory vote on executive compensation (on an advisory basis).
In addition, the Company announced that its Board of Directors had approved a class C share release program, in which all remaining 55 million class C shares will become eligible for sale on February 7, 2011.Class C shares sold in the public market upon release will automatically convert to class A common stock. The release of the class C shares will not increase the number of outstanding shares on an as-converted basis of the Company's common stock, and there will be no dilutive effect to the outstanding class A common stock share count on an as-converted basis. Also, the Board of Directors declared a quarterly dividend in the aggregate amount of $0.15 per share of class A common stock (determined in the case of class B and class C common stock on an as-converted basis) payable on March 1, 2011, to all holders of record of the Company's class A, class B and class C common stock as of February 11, 2011.
Financial Outlook:
Visa Inc. affirms its financial outlook for the following metrics through 2011:
- Annual net revenue growth: 11% to 15% range;
- Client incentives as a percent of gross revenues: 16% to 16.5% range;
- Marketing expenses: Less than $900 million;
- Annual operating margin: About 60%;
- GAAP tax rate: 36.5% to 37% range;
- Annual diluted class A common stock earnings per share growth of greater than 20%;
- Capital expenditures: Between $250-$275 million; and
- Annual free cash flow in excess of $3 billion.
Fiscal First Quarter 2011 Earnings Results Conference Call Details:
Visa's executive management team will host a live audio webcast beginning at 5:00 p.m. Eastern time (2:00 p.m. Pacific time) today to discuss the financial results and business highlights All interested parties are invited to listen to the live webcast at https://investor.visa.com. A replay of the webcast will be available on the Visa Investor Relations website for 30 days. Investor information, including supplemental financial information, is available on Visa Inc.'s Investor Relations website at https://investor.visa.com.
About Visa
Visa is a global payments technology company that connects consumers, businesses, financial institutions and governments in more than 200 countries and territories to fast, secure and reliable digital currency. Underpinning digital currency is one of the world's most advanced processing networks--VisaNet--that is capable of handling more than 20,000 transaction messages a second, with fraud protection for consumers and guaranteed payment for merchants. Visa is not a bank and does not issue cards, extend credit or set rates and fees for consumers.Visa's innovations, however, enable its financial institution customers to offer consumers more choices: pay now with debit, ahead of time with prepaid or later with credit products. For more information, visit www.corporate.visa.com.
Forward Looking Statements:
This press release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These statements can be identified by the terms "expect," "will," "continue" and similar references to the future. Examples of such forward-looking statements include, but are not limited to, statements we make about the disposition of Visa Vale, gross and net revenue, incentive payments, expenses, operating margin, tax rate, earnings per share, capital expenditures, free cash flow and the growth of those items.
By their nature, forward-looking statements: (i)speak only as of the date they are made, (ii)are neither statements of historical fact nor guarantees of future performance and (iii)are subject to risks, uncertainties, assumptions and changes in circumstances that are difficult to predict or quantify. Therefore, actual results could differ materially and adversely from those forward-looking statements because of a variety of factors, including the following:
- the impact of new laws, regulations and marketplace barriers, particularly the Wall Street Reform and Consumer Protection Act, including those affecting:
- issuers' and retailers' choice among debit payment networks;
- debit interchange rates;
- the spread of regulation of debit payments to credit and other product categories;
- the spread of U.S. regulations to other countries;
- consumer privacy and data use and security; and
- designation as a systemically important payment system;
- developments in current or future disputes and our ability to absorb their impact, including: interchange; currency conversion; and tax;
- macroeconomic factors such as:
- global economic, political, health environmental and other conditions;
- cross-border activity and currency exchange rates; and
- material changes in our clients' performance compared to our estimates;
- industry and systemic developments, such as:
- competitive pressure on client pricing and in the payments industry generally;
- bank and merchant consolidation and their increased focus on payment card costs;
- disintermediation from the payments value stream through government actions or bilateral agreements;
- adverse changes in our relationships and reputation;
- our clients' failure to fund settlement obligations we have guaranteed;
- disruption of our transaction processing systems or the inability to process transactions efficiently;
- rapid technological developments;
- account data breaches and increased fraudulent and other illegal activity involving our cards; and
- issues arising at Visa Europe, including failure to maintain interoperability between our systems;
- costs arising if Visa Europe were to exercise its right to require us to acquire all of its outstanding stock;
- loss of organizational effectiveness or key employees;
- failure to integrate successfully CyberSource or other acquisitions;
- changes in accounting principles or treatment; and
the other factors discussed in our most recent Annual Report on Form 10--K and our most recent Quarterly Reports on Form 10--Q filed with the U.S. Securities and Exchange Commission. You should not place undue reliance on such statements. Unless required to do so by law, we do not intend to update or revise any forward-looking statement, because of new information or future developments or otherwise.
|
Contacts: |
|
|
Investor Relations: Jack Carsky or Victoria Hyde-Dunn, 415-932-2213, [email protected] |
|
|
Media Relations: Will Valentine, 415-932-2564, [email protected] |
|
|
VISA INC. |
||||||
|
SELECTED CONSOLIDATED STATEMENTS OF OPERATIONS |
||||||
|
(UNAUDITED) |
||||||
|
Three Months Ended |
||||||
|
2010 |
2009 |
|||||
|
(in millions, except per share data) |
||||||
|
Operating Revenues |
||||||
|
Service revenues |
$ 1,008 |
$ 827 |
||||
|
Data processing revenues |
844 |
765 |
||||
|
International transaction revenues |
630 |
552 |
||||
|
Other revenues |
161 |
190 |
||||
|
Client Incentives |
(405) |
(374) |
||||
|
Total operating revenues |
2,238 |
1,960 |
||||
|
Operating Expenses |
||||||
|
Personnel |
357 |
274 |
||||
|
Network and processing |
80 |
105 |
||||
|
Marketing |
197 |
216 |
||||
|
Professional fees |
61 |
51 |
||||
|
Depreciation and amortization |
67 |
62 |
||||
|
General and administrative |
110 |
78 |
||||
|
Litigation provision |
- |
(43) |
||||
|
Total operating expenses |
872 |
743 |
||||
|
Operating income |
1,366 |
1,217 |
||||
|
Other Income (Expense) |
||||||
|
Interest income (expense) |
4 |
(16) |
||||
|
Investment income, net |
10 |
5 |
||||
|
Other |
2 |
2 |
||||
|
Total other income (expense) |
16 |
(9) |
||||
|
Income before income taxes |
1,382 |
1,208 |
||||
|
Income tax provision |
498 |
445 |
||||
|
Net income attributable to Visa Inc. |
$ 884 |
$ 763 |
||||
|
Basic earnings per share |
||||||
|
Class A common stock |
$ 1.23 |
$ 1.03 |
||||
|
Class B common stock |
$ 0.63 |
$ 0.60 |
||||
|
Class C common stock |
$ 1.23 |
$ 1.03 |
||||
|
Basic weighted average shares outstanding |
||||||
|
Class A common stock |
494 |
468 |
||||
|
Class B common stock |
245 |
245 |
||||
|
Class C common stock |
94 |
129 |
||||
|
Diluted earnings per share |
||||||
|
Class A common stock |
$ 1.23 |
$ 1.02 |
||||
|
Class B common stock |
$ 0.63 |
$ 0.60 |
||||
|
Class C common stock |
$ 1.23 |
$ 1.02 |
||||
|
Diluted weighted average shares outstanding |
||||||
|
Class A common stock |
719 |
745 |
||||
|
Class B common stock |
245 |
245 |
||||
|
Class C common stock |
94 |
129 |
||||
|
VISA INC. |
||||
|
SELECTED CONSOLIDATED BALANCE SHEETS |
||||
|
(UNAUDITED) |
||||
|
December 31, |
September 30, |
|||
|
2010 |
2010 |
|||
|
(in millions, except par value data) |
||||
|
Assets |
||||
|
Cash and cash equivalents |
$ 3,684 |
$ 3,867 |
||
|
Restricted cash - litigation escrow |
2,666 |
1,866 |
||
|
Investment securities |
||||
|
Trading |
69 |
60 |
||
|
Available-for-sale |
132 |
124 |
||
|
Settlement receivable |
506 |
402 |
||
|
Accounts receivable |
527 |
476 |
||
|
Customer collateral |
883 |
899 |
||
|
Current portion of client incentives |
164 |
175 |
||
|
Current portion of deferred tax assets |
545 |
623 |
||
|
Prepaid expenses and other current assets |
179 |
242 |
||
|
Total current assets |
9,355 |
8,734 |
||
|
Restricted cash - litigation escrow |
- |
70 |
||
|
Investment securities, available-for-sale |
13 |
24 |
||
|
Client incentives |
114 |
101 |
||
|
Property, equipment and technology, net |
1,380 |
1,357 |
||
|
Deferred tax assets |
||||
|
Other assets |
217 |
197 |
||
|
Intangible assets, net |
11,463 |
11,478 |
||
|
Goodwill |
11,447 |
11,447 |
||
|
Total assets |
$ 33,989 |
$ 33,408 |
||
|
Liabilities |
||||
|
Accounts payable |
$ 95 |
$ 137 |
||
|
Settlement payable |
430 |
406 |
||
|
Customer collateral |
883 |
899 |
||
|
Accrued compensation and benefits |
241 |
370 |
||
|
Client incentives |
468 |
418 |
||
|
Accrued liabilities |
920 |
625 |
||
|
Current portion of long-term debt |
12 |
12 |
||
|
Current portion of accrued litigation |
630 |
631 |
||
|
Total current liabilities |
3,679 |
3,498 |
||
|
Long-term debt |
29 |
32 |
||
|
Accrued litigation |
- |
66 |
||
|
Deferred tax liabilities |
4,186 |
4,181 |
||
|
Other liabilities |
551 |
617 |
||
|
Total liabilities |
8,445 |
8,394 |
||
|
Equity |
||||
|
Preferred stock, $0.0001 par value, 25 shares authorized and none issued |
$ - |
$ - |
||
|
Class A common stock, $0.0001 par value, 2,001,622 shares authorized, 495 and 493 shares issued and outstanding at December 31, 2010, and September 30, 2010, respectively |
- |
- |
||
|
Class B common stock, $0.0001 par value, 622 shares authorized, 245 shares issued and outstanding at December 31, 2010, and September 30, 2010 |
- |
- |
||
|
Class C common stock, $0.0001 par value, 1,097 shares authorized, 93 and 97 shares issued and outstanding at December 31, 2010, and September 30, 2010, respectively |
- |
- |
||
|
Additional paid-in capital |
20,668 |
20,794 |
||
|
Accumulated income |
5,023 |
4,368 |
||
|
Accumulated other comprehensive loss, net |
||||
|
Investment securities, available-for-sale |
2 |
3 |
||
|
Defined benefit pension and other postretirement plans |
(114) |
(115) |
||
|
Derivative instruments classified as cash flow hedges |
(44) |
(40) |
||
|
Foreign currency translation gain |
6 |
1 |
||
|
Total accumulated other comprehensive loss, net |
(150) |
(151) |
||
|
Total Visa Inc. stockholders' equity |
25,541 |
25,011 |
||
|
Non-controlling interest |
3 |
3 |
||
|
Total equity |
25,544 |
25,014 |
||
|
Total liabilities and equity |
$ 33,989 |
$ 33,408 |
||
|
VISA INC. |
||||||
|
CONSOLIDATED STATEMENTS OF CASH FLOWS |
||||||
|
(UNAUDITED) |
||||||
|
Three Months Ended December 31, |
||||||
|
2010 |
2009 |
|||||
|
(in millions) |
||||||
|
Operating Activities |
||||||
|
Net income including non-controlling interest |
$ 884 |
$ 763 |
||||
|
Adjustments to reconcile net income including non-controlling interest to net cash provided by (used in) operating activities: |
||||||
|
Amortization of client incentives |
405 |
374 |
||||
|
Share-based compensation |
48 |
32 |
||||
|
Excess tax benefit for share-based compensation |
(7) |
(5) |
||||
|
Depreciation and amortization of property, equipment and technology and intangible assets |
67 |
62 |
||||
|
Litigation provision and accretion |
4 |
(33) |
||||
|
Net recognized gain on investment securities, including other-than-temporary impairment |
- |
(1) |
||||
|
Net recognized (gain) loss on other investments, including other-than-temporary impairment |
(1) |
1 |
||||
|
Deferred income taxes |
82 |
102 |
||||
|
Other |
(21) |
(12) |
||||
|
Change in operating assets and liabilities: |
||||||
|
Trading securities |
(9) |
(9) |
||||
|
Settlement receivable |
(104) |
(131) |
||||
|
Accounts receivable |
(51) |
(92) |
||||
|
Client incentives |
(357) |
(378) |
||||
|
Other assets |
57 |
137 |
||||
|
Accounts payable |
(42) |
(69) |
||||
|
Settlement payable |
24 |
(5) |
||||
|
Accrued compensation and benefits |
(129) |
(168) |
||||
|
Accrued and other liabilities |
227 |
158 |
||||
|
Accrued litigation |
(71) |
(755) |
||||
|
Net cash provided by (used in) operating activities |
1,006 |
(29) |
||||
|
Investing Activities |
||||||
|
Purchases of property, equipment and technology |
(75) |
(37) |
||||
|
Distributions from money market investment |
- |
19 |
||||
|
Investment securities, available-for-sale: |
||||||
|
Proceeds from sales and maturities |
- |
41 |
||||
|
Purchases of / contributions to other investments |
- |
(1) |
||||
|
Proceeds / distributions from other investments |
2 |
- |
||||
|
Net cash (used in) provided by investing activities |
(73) |
22 |
||||
|
Financing Activities |
||||||
|
Repurchase of class A common stock |
(306) |
(432) |
||||
|
Dividends paid |
(108) |
(93) |
||||
|
Funding of litigation escrow account - Retrospective Responsibility Plan |
(800) |
- |
||||
|
Payment from litigation escrow account - Retrospective Responsibility Plan |
70 |
70 |
||||
|
Cash proceeds from exercise of stock options |
26 |
8 |
||||
|
Excess tax benefit for share-based compensation |
7 |
5 |
||||
|
Principal payments on debt |
(3) |
(3) |
||||
|
Principal payments on capital lease obligations |
(7) |
(7) |
||||
|
Net cash used in financing activities |
(1,121) |
(452) |
||||
|
Effect of exchange rate changes on cash and cash equivalents |
5 |
2 |
||||
|
Decrease in cash and cash equivalents |
(183) |
(457) |
||||
|
Cash and cash equivalents at beginning of year |
3,867 |
4,617 |
||||
|
Cash and cash equivalents at end of period |
$ 3,684 |
$ 4,160 |
||||
|
Supplemental Disclosure of Cash Flow Information |
||||||
|
Income taxes paid, net of refunds |
$ 29 |
$ 25 |
||||
|
Amounts included in accounts payable and accrued and other liabilities related to purchases of property, equipment and technology |
$ 17 |
$ 6 |
||||
|
Interest payments on debt |
$ 1 |
$ 1 |
||||
|
Fiscal 2010 and 2011 Quarterly Results of Operations |
||||||||||||
|
US$ in millions |
||||||||||||
|
(unaudited) |
||||||||||||
|
Fiscal 2010 Quarter Ended |
Fiscal 2011 |
|||||||||||
|
December 31, |
March 31, |
June 30, |
September 30, |
December 31, |
||||||||
|
Operating Revenues |
||||||||||||
|
Service revenues |
$ 827 |
$ 885 |
$ 873 |
$ 912 |
$ 1,008 |
|||||||
|
Data processing revenues (1) |
765 |
728 |
792 |
840 |
844 |
|||||||
|
International transaction revenues |
552 |
545 |
574 |
619 |
630 |
|||||||
|
Other revenues (2) |
190 |
173 |
183 |
167 |
161 |
|||||||
|
Client incentives |
(374) |
(372) |
(393) |
(421) |
(405) |
|||||||
|
Total operating revenues |
1,960 |
1,959 |
2,029 |
2,117 |
2,238 |
|||||||
|
Operating Expenses |
||||||||||||
|
Personnel |
274 |
310 |
285 |
353 |
357 |
|||||||
|
Network and processing (1) |
105 |
98 |
103 |
119 |
80 |
|||||||
|
Marketing (2) |
216 |
238 |
277 |
233 |
197 |
|||||||
|
Professional fees |
51 |
50 |
77 |
108 |
61 |
|||||||
|
Depreciation and amortization |
62 |
62 |
63 |
78 |
67 |
|||||||
|
General and administrative |
78 |
77 |
87 |
117 |
110 |
|||||||
|
Litigation provision |
(43) |
2 |
- |
(4) |
- |
|||||||
|
Total operating expenses |
743 |
837 |
892 |
1,004 |
872 |
|||||||
|
Operating income (1) (2) |
1,217 |
1,122 |
1,137 |
1,113 |
1,366 |
|||||||
|
Other Income (Expense) |
||||||||||||
|
Interest income (expense) |
(16) |
(28) |
(13) |
(15) |
4 |
|||||||
|
Investment income, net |
5 |
23 |
1 |
20 |
10 |
|||||||
|
Other |
2 |
(4) |
(3) |
77 |
2 |
|||||||
|
Total other income (expense) |
(9) |
(9) |
(15) |
82 |
16 |
|||||||
|
Income before income taxes |
1,208 |
1,113 |
1,122 |
1,195 |
1,382 |
|||||||
|
Income tax provision |
445 |
401 |
406 |
422 |
498 |
|||||||
|
Net income including non-controlling interest |
763 |
712 |
716 |
773 |
884 |
|||||||
|
Loss attributable to non-controlling interest |
- |
1 |
- |
1 |
- |
|||||||
|
Net income attributable to Visa Inc. (1) (2) |
$ 763 |
$ 713 |
$ 716 |
$ 774 |
$ 884 |
|||||||
|
(1) |
As previously announced, beginning in the first quarter of fiscal 2011, the Company changed its presentation for non-Visa transactions pass-through revenues and expenses from a gross reporting to a net reporting basis. Previously, pass-through revenues were recorded in data processing and related expenses were recorded in network and processing. This change in presentation does not impact operating income or net income attributable to Visa Inc. as revenue and expense amounts completely offset. On a quarterly basis, related fiscal 2010 revenues and expenses were $36 million in Q1, $31 million in Q2, $35 million in Q3 and $38 million in Q4. These amounts will not recur in fiscal 2011 as a result of this change in presentation. |
|||||||||||
|
(2) |
As previously announced, as a result of certain contractual changes relating to our Visa Extras rewards platform, certain fiscal 2010 revenues recorded in other revenues, and expenses recorded in marketing, will not recur in fiscal 2011. These changes do not impact operating income or net income attributable to Visa Inc. as revenue and expense amounts completely offset. On a quarterly basis, related fiscal 2010 revenues and expenses were $31 million in Q1, $24 million in Q2, $27 million in Q3 and $7 million in Q4. |
|||||||||||
Operational Performance Data
The tables below provide information regarding the available operational results for the 3 months ended December 31, 2010, as well as the prior four quarterly reporting periods and the 12 months ended December 31, 2010 and 2009, for cards carrying the Visa, Visa Electron and Interlink brands. Included is a table with information on the number of billable transactions processed on CyberSource's network. Visa Inc. completed its acquisition of CyberSource Corporation on July 21, 2010.
1. Branded Volume and Transactions
The tables present total volume, payments volume, and cash volume, and the number of payments transactions, cash transactions, accounts and cards for cards carrying the Visa, Visa Electron and Interlink brands. Card counts include PLUS proprietary cards. Nominal and constant dollar growth rates over prior years are provided for volume-based data.
|
For the 3 Months Ended December 31, 2010 |
||||||||||||
|
Total Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Transactions (millions) |
Cash Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Cash Transactions (millions) |
||
|
All Visa Credit & Debit |
||||||||||||
|
AsiaPacific |
$360 |
13.1% |
7.4% |
$239 |
21.6% |
15.0% |
2,766 |
$120 |
-0.8% |
-5.1% |
581 |
|
|
Canada |
58 |
12.3% |
7.8% |
53 |
11.3% |
6.8% |
470 |
5 |
24.4% |
19.4% |
9 |
|
|
CEMEA |
184 |
25.8% |
26.8% |
30 |
33.7% |
32.3% |
475 |
154 |
24.3% |
25.8% |
955 |
|
|
LAC |
233 |
21.7% |
19.3% |
82 |
26.9% |
26.7% |
1,898 |
151 |
19.1% |
15.6% |
920 |
|
|
US |
591 |
11.5% |
11.5% |
493 |
12.4% |
12.4% |
9,988 |
98 |
7.0% |
7.0% |
849 |
|
|
Visa Inc. |
1,426 |
15.2% |
13.2% |
897 |
16.5% |
14.5% |
15,597 |
528 |
13.0% |
11.1% |
3,314 |
|
|
Visa Credit Programs |
||||||||||||
|
US |
$226 |
5.3% |
5.3% |
$216 |
7.6% |
7.6% |
2,533 |
$10 |
-26.7% |
-26.7% |
16 |
|
|
Restof World |
381 |
20.2% |
15.3% |
334 |
19.8% |
14.7% |
4,089 |
48 |
22.9% |
18.9% |
167 |
|
|
Visa Inc. |
607 |
14.2% |
11.4% |
549 |
14.7% |
11.8% |
6,622 |
58 |
9.7% |
7.1% |
183 |
|
|
Visa Debit Programs |
||||||||||||
|
US |
$365 |
15.7% |
15.7% |
$277 |
16.5% |
16.5% |
7,454 |
$88 |
13.0% |
13.0% |
833 |
|
|
Restof World |
453 |
16.2% |
13.8% |
71 |
33.3% |
30.0% |
1,521 |
383 |
13.5% |
11.3% |
2,298 |
|
|
Visa Inc. |
818 |
16.0% |
14.6% |
348 |
19.6% |
19.0% |
8,975 |
470 |
13.4% |
11.6% |
3,131 |
|
|
For the 3 Months Ended September 30, 2010 |
||||||||||||||
|
Total Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Transactions (millions) |
Cash Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Cash Transactions (millions) |
Accounts (millions) |
Cards (millions) |
||
|
All Visa Credit & Debit |
||||||||||||||
|
AsiaPacific |
$326 |
16.2% |
11.9% |
$212 |
16.2% |
12.2% |
2,681 |
$114 |
16.2% |
11.4% |
595 |
467 |
556 |
|
|
Canada |
53 |
10.4% |
7.4% |
49 |
10.2% |
7.2% |
448 |
5 |
12.0% |
8.9% |
9 |
24 |
32 |
|
|
CEMEA |
164 |
22.1% |
23.3% |
27 |
26.4% |
27.5% |
418 |
137 |
21.3% |
22.4% |
860 |
208 |
212 |
|
|
LAC |
203 |
22.4% |
20.2% |
68 |
24.1% |
23.9% |
1,634 |
135 |
21.6% |
18.4% |
873 |
356 |
385 |
|
|
US |
574 |
12.4% |
12.4% |
473 |
13.5% |
13.5% |
9,756 |
101 |
7.8% |
7.8% |
875 |
502 |
666 |
|
|
Visa Inc. |
1,321 |
15.9% |
14.5% |
829 |
15.1% |
13.9% |
14,937 |
491 |
17.1% |
15.4% |
3,212 |
1,558 |
1,850 |
|
|
Visa Credit Programs |
||||||||||||||
|
US |
$218 |
3.6% |
3.6% |
$207 |
6.4% |
6.4% |
2,431 |
$11 |
-31.7% |
-31.7% |
17 |
209 |
269 |
|
|
Restof World |
338 |
14.6% |
11.6% |
295 |
14.5% |
11.5% |
3,835 |
43 |
15.3% |
12.5% |
157 |
439 |
501 |
|
|
Visa Inc. |
556 |
10.0% |
8.3% |
502 |
11.0% |
9.3% |
6,266 |
54 |
1.4% |
-0.4% |
174 |
648 |
770 |
|
|
Visa Debit Programs |
||||||||||||||
|
US |
$356 |
18.6% |
18.6% |
$266 |
19.6% |
19.6% |
7,325 |
$90 |
15.7% |
15.7% |
858 |
293 |
397 |
|
|
Restof World |
409 |
22.2% |
20.1% |
61 |
34.2% |
32.4% |
1,346 |
348 |
20.3% |
18.1% |
2,180 |
616 |
683 |
|
|
Visa Inc. |
765 |
20.5% |
19.4% |
327 |
22.1% |
21.8% |
8,671 |
438 |
19.3% |
17.6% |
3,038 |
910 |
1,081 |
|
|
For the 3 Months Ended June 30, 2010 |
||||||||||||||
|
Total Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Transactions (millions) |
Cash Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Cash Transactions (millions) |
Accounts (millions) |
Cards (millions) |
||
|
All Visa Credit & Debit |
||||||||||||||
|
AsiaPacific |
$309 |
19.3% |
12.5% |
$198 |
19.9% |
12.7% |
2,580 |
$111 |
18.1% |
12.3% |
581 |
458 |
545 |
|
|
Canada |
53 |
17.5% |
7.5% |
48 |
18.1% |
8.1% |
433 |
5 |
11.5% |
2.1% |
9 |
24 |
31 |
|
|
CEMEA |
154 |
27.0% |
25.6% |
24 |
30.9% |
28.6% |
394 |
130 |
26.3% |
25.1% |
852 |
203 |
204 |
|
|
LAC |
185 |
23.1% |
16.3% |
62 |
25.5% |
20.8% |
1,519 |
123 |
21.9% |
14.2% |
849 |
353 |
382 |
|
|
US |
567 |
12.1% |
12.1% |
469 |
13.8% |
13.8% |
9,512 |
97 |
4.8% |
4.8% |
855 |
497 |
675 |
|
|
Visa Inc. |
1,268 |
17.3% |
14.1% |
802 |
16.8% |
14.1% |
14,438 |
466 |
18.0% |
14.2% |
3,145 |
1,535 |
1,837 |
|
|
Visa Credit Programs |
||||||||||||||
|
US |
$214 |
2.3% |
2.3% |
$204 |
5.9% |
5.9% |
2,347 |
$10 |
-39.4% |
-39.4% |
17 |
210 |
274 |
|
|
Restof World |
320 |
18.7% |
11.7% |
277 |
18.6% |
11.6% |
3,679 |
42 |
19.3% |
12.8% |
155 |
436 |
499 |
|
|
Visa Inc. |
534 |
11.5% |
7.7% |
481 |
12.9% |
9.1% |
6,026 |
53 |
0.2% |
-3.6% |
171 |
646 |
772 |
|
|
Visa Debit Programs |
||||||||||||||
|
US |
$352 |
19.1% |
19.1% |
$266 |
20.6% |
20.6% |
7,166 |
$87 |
14.8% |
14.8% |
838 |
287 |
402 |
|
|
Restof World |
382 |
24.5% |
19.4% |
55 |
38.0% |
31.5% |
1,246 |
327 |
22.4% |
17.6% |
2,136 |
601 |
664 |
|
|
Visa Inc. |
735 |
21.8% |
19.3% |
321 |
23.3% |
22.4% |
8,412 |
414 |
20.7% |
17.0% |
2,974 |
889 |
1,065 |
|
|
For the 3 Months Ended March 31, 2010 |
||||||||||||||
|
Total Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Transactions (millions) |
Cash Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Cash Transactions (millions) |
Accounts (millions) |
Cards (millions) |
||
|
All Visa Credit & Debit |
||||||||||||||
|
AsiaPacific |
$296 |
29.5% |
12.7% |
$195 |
32.3% |
13.8% |
2,459 |
$102 |
24.5% |
10.6% |
553 |
452 |
537 |
|
|
Canada |
47 |
30.4% |
5.5% |
43 |
34.2% |
8.6% |
387 |
4 |
-0.1% |
-19.1% |
9 |
24 |
31 |
|
|
CEMEA |
140 |
31.0% |
19.3% |
23 |
36.8% |
22.6% |
357 |
118 |
30.0% |
18.7% |
771 |
196 |
199 |
|
|
LAC |
175 |
36.1% |
15.8% |
58 |
38.1% |
20.1% |
1,437 |
117 |
35.1% |
13.8% |
819 |
343 |
372 |
|
|
US |
518 |
10.7% |
10.7% |
427 |
12.8% |
12.8% |
8,569 |
91 |
2.2% |
2.2% |
755 |
509 |
685 |
|
|
Visa Inc. |
1,176 |
21.5% |
12.7% |
745 |
20.9% |
13.6% |
13,209 |
431 |
22.6% |
11.2% |
2,906 |
1,524 |
1,824 |
|
|
Visa Credit Programs |
||||||||||||||
|
US |
$194 |
-0.8% |
-0.8% |
$182 |
3.4% |
3.4% |
2,118 |
$12 |
-39.6% |
-39.6% |
16 |
217 |
280 |
|
|
Restof World |
305 |
29.3% |
10.9% |
266 |
30.8% |
12.2% |
3,459 |
39 |
19.9% |
2.9% |
138 |
431 |
493 |
|
|
Visa Inc. |
499 |
15.6% |
6.1% |
449 |
18.0% |
8.4% |
5,577 |
50 |
-2.2% |
-11.4% |
154 |
648 |
773 |
|
|
Visa Debit Programs |
||||||||||||||
|
US |
$324 |
19.0% |
19.0% |
$245 |
20.9% |
20.9% |
6,450 |
$79 |
13.6% |
13.6% |
738 |
292 |
405 |
|
|
Restof World |
353 |
33.7% |
17.3% |
51 |
53.0% |
29.7% |
1,181 |
302 |
30.9% |
15.5% |
2,013 |
584 |
646 |
|
|
Visa Inc. |
677 |
26.3% |
18.2% |
296 |
25.5% |
22.4% |
7,632 |
381 |
26.8% |
15.1% |
2,751 |
876 |
1,051 |
|
|
For the 3 Months Ended December 31, 2009 |
||||||||||||||
|
Total Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Volume ($ billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Transactions (millions) |
Cash Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Cash Transactions (millions) |
Accounts (millions) |
Cards (millions) |
||
|
All Visa Credit & Debit |
||||||||||||||
|
AsiaPacific |
$318 |
30.6% |
18.4% |
$197 |
22.1% |
10.0% |
2,541 |
$121 |
47.4% |
35.5% |
570 |
442 |
531 |
|
|
Canada |
52 |
20.5% |
2.2% |
48 |
24.0% |
5.2% |
430 |
4 |
-10.1% |
-23.8% |
9 |
24 |
31 |
|
|
CEMEA |
146 |
8.4% |
8.8% |
23 |
20.9% |
14.4% |
353 |
124 |
6.4% |
7.8% |
794 |
192 |
196 |
|
|
LAC |
191 |
33.0% |
13.1% |
64 |
37.5% |
16.8% |
1,516 |
127 |
30.9% |
11.4% |
873 |
331 |
359 |
|
|
US |
530 |
5.0% |
5.0% |
438 |
7.3% |
7.3% |
8,754 |
92 |
-4.7% |
-4.7% |
759 |
511 |
691 |
|
|
Visa Inc. |
1,238 |
15.6% |
9.8% |
770 |
14.2% |
8.8% |
13,595 |
468 |
18.0% |
11.7% |
3,004 |
1,500 |
1,808 |
|
|
Visa Credit Programs |
||||||||||||||
|
US |
$215 |
-6.9% |
-6.9% |
$201 |
-1.0% |
-1.0% |
2,373 |
$14 |
-49.7% |
-49.7% |
19 |
227 |
297 |
|
|
Restof World |
317 |
19.5% |
6.6% |
278 |
22.0% |
8.5% |
3,611 |
39 |
3.7% |
-5.3% |
141 |
425 |
488 |
|
|
Visa Inc. |
532 |
7.2% |
0.8% |
479 |
11.2% |
4.4% |
5,983 |
53 |
-19.1% |
-22.9% |
160 |
653 |
784 |
|
|
Visa Debit Programs |
||||||||||||||
|
US |
$316 |
15.0% |
15.0% |
$238 |
15.4% |
15.4% |
6,381 |
$78 |
13.5% |
13.5% |
740 |
283 |
394 |
|
|
Restof World |
390 |
30.2% |
20.3% |
53 |
43.1% |
24.6% |
1,230 |
337 |
28.4% |
19.7% |
2,104 |
564 |
630 |
|
|
Visa Inc. |
706 |
22.9% |
17.9% |
291 |
19.7% |
17.0% |
7,611 |
415 |
25.3% |
18.5% |
2,845 |
847 |
1,024 |
|
|
For the 12 Months Ended December 31, 2010 |
||||||||||||
|
Total Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Transactions (millions) |
Cash Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Cash Transactions (millions) |
||
|
All Visa Credit & Debit |
||||||||||||
|
AsiaPacific |
$1,292 |
18.8% |
10.9% |
$844 |
22.0% |
13.4% |
10,487 |
$448 |
13.2% |
6.5% |
2,309 |
|
|
Canada |
211 |
16.7% |
7.1% |
192 |
17.1% |
7.6% |
1,739 |
18 |
12.0% |
1.9% |
36 |
|
|
CEMEA |
643 |
26.2% |
23.9% |
104 |
31.7% |
28.0% |
1,644 |
538 |
25.2% |
23.1% |
3,438 |
|
|
LAC |
796 |
25.1% |
18.0% |
270 |
28.0% |
23.2% |
6,487 |
526 |
23.7% |
15.6% |
3,460 |
|
|
US |
2,250 |
11.7% |
11.7% |
1,863 |
13.1% |
13.1% |
37,824 |
387 |
5.5% |
5.5% |
3,334 |
|
|
Visa Inc. |
5,191 |
17.3% |
13.6% |
3,273 |
17.2% |
14.0% |
58,181 |
1,917 |
17.3% |
12.9% |
12,577 |
|
|
Visa Credit Programs |
||||||||||||
|
US |
$852 |
2.7% |
2.7% |
$809 |
5.9% |
5.9% |
9,429 |
$43 |
-34.9% |
-34.9% |
67 |
|
|
Restof World |
1,344 |
20.3% |
12.5% |
1,172 |
20.4% |
12.6% |
15,062 |
171 |
19.4% |
11.9% |
617 |
|
|
Visa Inc. |
2,196 |
12.8% |
8.5% |
1,982 |
14.0% |
9.8% |
24,491 |
214 |
2.3% |
-2.2% |
683 |
|
|
Visa Debit Programs |
||||||||||||
|
US |
$1,398 |
18.1% |
18.1% |
$1,053 |
19.3% |
19.3% |
28,395 |
$344 |
14.3% |
14.3% |
3,267 |
|
|
Restof World |
1,597 |
23.3% |
17.5% |
238 |
38.5% |
30.9% |
5,294 |
1,359 |
20.9% |
15.4% |
8,627 |
|
|
Visa Inc. |
2,995 |
20.8% |
17.7% |
1,292 |
22.5% |
21.3% |
33,690 |
1,703 |
19.5% |
15.2% |
11,894 |
|
|
For the 12 Months Ended December 31, 2009 |
||||||||||||||
|
Total Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Volume ($billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Payments Transactions (millions) |
Cash Volume ($ billions) |
Growth (Nominal USD) |
Growth (Constant USD) |
Cash Transactions (millions) |
Accounts (millions) |
Cards (millions) |
||
|
All Visa Credit & Debit |
||||||||||||||
|
AsiaPacific |
$1,087 |
10.0% |
12.5% |
$692 |
7.1% |
9.0% |
9,508 |
$396 |
15.5% |
19.1% |
2,189 |
442 |
531 |
|
|
Canada |
181 |
-5.0% |
-1.4% |
164 |
-2.8% |
0.8% |
1,585 |
16 |
-23.0% |
-18.9% |
35 |
24 |
31 |
|
|
CEMEA |
509 |
-2.7% |
9.8% |
79 |
3.9% |
10.3% |
1,247 |
430 |
-3.8% |
9.7% |
2,925 |
192 |
196 |
|
|
LAC |
636 |
6.0% |
13.9% |
211 |
9.1% |
16.0% |
5,468 |
425 |
4.5% |
12.9% |
3,261 |
331 |
359 |
|
|
US |
2,014 |
-1.5% |
-1.5% |
1,647 |
0.3% |
0.3% |
32,951 |
367 |
-8.9% |
-8.9% |
2,997 |
511 |
691 |
|
|
Visa Inc. |
4,427 |
1.9% |
5.2% |
2,793 |
2.5% |
3.8% |
50,758 |
1,634 |
0.8% |
7.5% |
11,407 |
1,500 |
1,808 |
|
|
Visa Credit Programs |
||||||||||||||
|
US |
$830 |
-12.9% |
-12.9% |
$764 |
-7.2% |
-7.2% |
9,040 |
$66 |
-49.3% |
-49.3% |
83 |
227 |
297 |
|
|
Rest of World |
1,117 |
2.3% |
5.8% |
974 |
4.3% |
7.1% |
13,472 |
144 |
-9.2% |
-2.4% |
549 |
425 |
488 |
|
|
Visa Inc. |
1,947 |
-4.8% |
-2.8% |
1,738 |
-1.1% |
0.5% |
22,512 |
209 |
-27.3% |
-23.6% |
632 |
653 |
784 |
|
|
Visa Debit Programs |
||||||||||||||
|
US |
$1,184 |
8.5% |
8.5% |
$883 |
7.9% |
7.9% |
23,911 |
$301 |
10.2% |
10.2% |
2,914 |
283 |
394 |
|
|
Rest of World |
1,296 |
7.1% |
16.3% |
172 |
14.4% |
21.4% |
4,335 |
1,124 |
6.0% |
15.5% |
7,860 |
564 |
630 |
|
|
Visa Inc. |
2,479 |
7.7% |
12.5% |
1,055 |
8.9% |
10.0% |
28,246 |
1,425 |
6.9% |
14.4% |
10,774 |
847 |
1,024 |
|
Footnote
The preceding tables present regional total volume, payments volume and cash volume, and the number of payments transactions, cash transactions, accounts and cards for cards carrying the Visa, Visa Electron and Interlink brands. Card counts include PLUS proprietary cards. Nominal and constant dollar growth rates over prior years are provided for volume-based data.
Payments volume represents the aggregate dollar amount of purchases made with cards carrying the Visa, Visa Electron and Interlink brands for the relevant period; and cash volume represents the aggregate dollar amount of cash disbursements obtained with these cards for the relevant period and includes the impact of balance transfers and convenience checks; but excludes proprietary PLUS volume. Total volume represents payments volume plus cash volume.
Visa payment products are comprised of credit and debit programs, and data relating to each program is included in the tables. Debit programs include Visa's signature based and Interlink (PIN) debit programs.
The data presented is reported quarterly by Visa's members on their operating certificates and is subject to verification by Visa. On occasion, members may update previously submitted information.
Visa's CEMEA region is comprised of countries in Central Europe, the Middle East and Africa. Effective with the 3 months ended September, 2009, Pakistan and Afghanistan were moved from the AP to CEMEA region. Several European Union countries in Central Europe, Israel and Turkey are not included in CEMEA. LAC is comprised of countries in Central and South America and the Caribbean. Rest of World includes Asia Pacific, Canada, CEMEA and LAC.
Information denominated in U.S. dollars is calculated by applying an established U.S. dollar/local currency exchange rate for each local currency in which Visa Inc. volumes are reported ("Nominal USD"). These exchange rates are calculated on a quarterly basis using the established exchange rate for each quarter. To eliminate the impact of foreign currency fluctuations against the U.S. dollar in measuring performance, Visa Inc. also reports year-over-year growth in total volume, payments volume and cash volume on the basis of local currency information ("Constant USD"). This presentation represents Visa's historical methodology which may be subject to review and refinement.
2. Cross Border Volume
The table below represents cross border volume growth for cards carrying the Visa, Visa Electron, Interlink and PLUS brands. Cross border volume refers to payments and cash volume where the issuing country is different from the merchant country.
|
Period |
Growth |
Growth |
|
|
3 Months Ended |
|||
|
Dec 31, 2010 |
16% |
15% |
|
|
Sep 30, 2010 |
16% |
16% |
|
|
Jun 30, 2010 |
20% |
17% |
|
|
Mar 31, 2010 |
19% |
12% |
|
|
Dec 31, 2009 |
8% |
2% |
|
|
12 Months Ended |
|||
|
Dec 31, 2010 |
18% |
15% |
|
|
Dec 31, 2009 |
(8%) |
(4%) |
|
3. Visa Processed Transactions
The table below represents transactions involving Visa, Visa Electron, Interlink and PLUS cards processed on Visa's networks. CyberSource transactions are not included in this table. CyberSource transactions are reported in the next section.
|
Period |
Processed |
Growth |
|
|
3 Months Ended |
|||
|
Dec 31, 2010 |
12,580 |
15% |
|
|
Sep 30, 2010 |
12,119 |
16% |
|
|
Jun 30, 2010 |
11,721 |
14% |
|
|
Mar 31, 2010 |
10,648 |
14% |
|
|
Dec 31, 2009 |
10,924 |
12% |
|
|
12 Months Ended |
|||
|
Dec 31, 2010 |
47,067 |
15% |
|
|
Dec 31, 2009 |
41,012 |
9% |
|
4. CyberSource Transactions
The table below represents billable transactions processed on CyberSource's network that generate revenue for CyberSource.
|
Period |
Billable |
Growth |
|
|
3 Months Ended |
|||
|
Dec 31, 2010 |
987 |
40% |
|
|
Sep 30, 2010 |
829 |
36% |
|
|
Jun 30, 2010 |
759 |
31% |
|
|
Mar 31, 2010 |
738 |
34% |
|
|
Dec 31, 2009 |
707 |
29% |
|
|
12 Months Ended |
|||
|
Dec 31, 2010 |
3,312 |
35% |
|
|
Dec 31, 2009 |
2,449 |
28% |
|
SOURCE Visa Inc.