Daily Management Review

PayPal boosts Q2 net income by 10% and improves full-year forecasts


07/31/2024


PayPal Holdings, an American payment system, saw an 8% gain in sales and a 10% increase in net profit in the second quarter, both of which above market expectations.



Ivan Radic
Ivan Radic
The company released a press release stating that net income increased to $1.13 billion in the April-June period from $1.03 billion in the same period last year. Earnings per share grew from $0.92 to $1.08 per share a year ago.

FactSet surveyed analysts, and their average prediction was $0.99 per share. However, earnings after excluding one-time items came in at $1.19 per share.

In comparison to a year earlier, the company's sales for the quarter was $7.89 billion, down from $7.29 billion. Analysts expected the sum to be $7.8 billion.

The total amount of payments made on the company's systems climbed by 11% to $416.8 billion. Indicator that does not account for currency fluctuations also saw an 11% increase. The total number of transactions executed grew by 8% to reach 6.6 billion. In comparison to the previous quarter, there was a 0.4% decline in the total number of active accounts in the PayPal system.

source: bloomberg.com