Yahoo Finance PayPal Gains on Earnings Beat, Mobile Payment Volume Up 56%
PayPal Holdings Inc. PYPL just released its third quarter fiscal 2016 financial results, posting earnings of 29 cents per share (accounting for non-stock based compensation and before non-recurring items) and revenue of $2.667 billion. PYPL is a Zacks Rank #4 (Sell), and is up 2.89% to $41.26 per share in after-hours trading shortly after its earnings report was released.
Beat earnings estimates. The company reported earnings of 29 cents per share, surpassing the Zacks Consensus Estimate of 27 cents per share. This number excludes 2 cents from non-recurring items.
Beat revenue estimates. The company saw revenue figures of $2.667 billion, just edging past our consensus estimate of $2.651 billion and growing 18% year-over-year, or 21% on a foreign currency neutral basis.
PayPal processed nearly $26 billion in mobile payment volume, up 56%, representing 29% of its total payment volume (TPV) for the quarter. Venmo, the company's social payments platform, processed $4.9 billion of TPV, up 131%.
The company reported a total of 192 million active customer accounts, up 11% with growth of 19 million active customer accounts. 1.5 billion transactions were processed during Q3, up 24%.
PayPal expects full year 2016 revenue in the range of $10.780 billion to $10.850 billion, and for the fourth quarter, the company forecasts revenue to grow 14% - 17% at current spot rates, and non-GAAP earnings per diluted share in the range of 40 cents to 42 cents.
“We are pleased to have delivered another quarter of strong results. The opportunities for PayPal to grow and gain share have never been greater…We are further expanding the ubiquity and value of the PayPal brand and moving deliberately towards achieving our vision of becoming an everyday, essential financial service for people around the world," said Dan Schulman, President and CEO of PayPal.
Here’s a graph that looks at PayPal’s price, consensus, and EPS surprise over the past year:
PAYPAL HOLDINGS Price, Consensus and EPS Surprise
PAYPAL HOLDINGS Price, Consensus and EPS Surprise | PAYPAL HOLDINGS Quote
PayPal Holdings, Inc. is a technology platform company. The Company offers online payment solution which allows customers to pay and get paid, withdraw funds to their bank accounts and hold balances in their PayPal accounts in various currencies. It payment platform includes PayPal, PayPal Credit, Venmo and Braintree products. PayPal Holdings, Inc. is based in San Jose, California.
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