Stocks

MasterCard Inc, AbbVie Inc Beats Earnings Estimates

MasterCard and AbbVie released their latest earnings reports before opening bell this morning. MasterCard reported adjusted earnings of 86 cents per share and $2.4 billion in revenue, against the consensus estimates of 85 cents and $2.38 billion.

MasterCard logo

AbbVie posted adjusted earnings of $1.15 per share, beating the consensus of $1.13 per share, on $5.96 billion in revenue, which is in line with the consensus.

MasterCard sees growth in most regions

MasterCard said the devaluation of the Venezuelan bolivar had a negative impact of 8 cents per share on earnings. The number of processed transactions rose 14% to 12.6 billion, while the payments processor saw a 13% increase in gross dollar volume in local currencies, bringing it to $1.1 trillion. Cross-border volumes increased 12%. However, higher rebates and incentives partially offset these positive impacts. As of the end of March, MasterCard’s customers had issued 2.3 billion MasterCard and Maestro-branded cards.

U.S. gross dollar volume increased 9.8%, while Latin American gross dollar volume increased 14.4% in local currencies. Gross dollar volumes in Europe increased 17.7% in local currencies, while volumes in Canada increased 8.6% in local currency. APMEA gross dollar volume climbed 13.2% in local currencies.

The company repurchased about 15 million Class A shares during the first quarter and so far in this quarter through April 21, it bought back another 3 million shares.

As of this writing, shares of MasterCard are inactive in premarket trades.

AbbVie shares fall after earnings

AbbVie’s reported earnings were 83 cents per share, compared to 63 cents per share last year. Sales of Humira climbed 19%, excluding currency impacts, or 14.9% on a reported basis. Imbruvica sales amounted to $381 million.

The drug maker also announced plans to acquire Stemcentrx for $5.8 billion. The transaction is expected to close in the second quarter. AbbVie also updated its guidance for the full year, saying now that it expects earnings to fall between $4.62 and $4.82 per share, including a charge for the Stemcetrx acquisition. The consensus estimate for the full year is $4.97 per share.

Shares of AbbVie declined 3.15% to $58.81 in premarket trading this morning.