PayPal released its latest earnings report after closing bell tonight, posting adjusted earnings of 35 cents per share on $2.67 billion in revenue. Analysts had been expecting 35 cents per share in earnings on $2.65 billion in sales for its third quarter. In last year’s third quarter, the digital payments processor reported 31 cents per share in earnings on $2.26 billion in revenue.

PayPal

PayPal reports solid growth in Q3

PayPal’s GAAP earnings rose 8% year over year to 28 cents per share. Its GAAP operating margin was 13%, while its non-GAAP operating margin was 18%.

The company had 192 million active customer accounts at the end of the quarter, representing an 11% growth rate with 19 million active accounts added. PayPal processed 1.5 billion transactions, which was a 24% increase, and had 30 payment transactions per active account on a trailing 12-month basis, which was a 13% increase. Total payment volume grew 25% to $87 billion.

“The opportunities for PayPal to grow and gain share have never been greater,” PayPal President and Chief Executive Dan Schulman said in a statement. “We are executing against our strategic plan with intensity and speed, and we are committed to seizing the opportunities in front of us by truly embracing the mantle of ‘Customer Champion.’ 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.”

PayPal provides weak guidance

Management expects fourth quarter earnings to be between 40 cents and 42 cents per share, which is light of consensus at 42 cents per share. They project revenue of $2.92 billion to $2.99 billion for the quarter, which is a bit on the light side of consensus at $2.97 billion.

For the full year, PayPal expects earnings of $1.48 to $1.50 per share, compared to the Street at $1.50 per share, and revenue of $10.78 billion to $10.85 billion, compared to the consensus of $10.82 billion.

Shares of PayPal slipped by as much as 4% in after-hours trades after closing regular trading hours down 0.37% at $40.09.