PayPal Holdings Inc Q3 2017 Earnings Send Shares Higher After Hours

0
PayPal Holdings Inc Q3 2017 Earnings Send Shares Higher After Hours
CopyrightFreePictures / Pixabay

PayPal Q3 2017 earnings were released after closing bell tonight, and the company reported non-GAAP earnings of 46 cents per share on $3.239 billion. Analysts had been looking for 43 cents per share in adjusted earnings on $3.17 billion in revenue. In the year-ago quarter, PayPal reported 35 cents per share in earnings on $2.667 billion in revenue.

On a GAAP basis, PayPal Q3 2017 earnings came in at 31 cents per share, a 17% year-over-year increase from last year’s 27 cents per share. The company’s GAAP operating margin came in at 13.1%, while its non-GAAP operating margin was 19.9%.

PayPal added 8.2 million active customer accounts as the number of net new active accounts grew 88%. The company had 218 million active customer accounts, including 17 million merchant accounts. It processed 1.9 billion payment transactions, a 26% increase from the year-ago quarter. On average, there were 32.8 transactions per active account on a trailing 12-month basis, a 9% increase.

This mining and metals fund is having a strong year so far

Cubic Corporation Chris Hohn favorite hedge fundsThe Delbrook Resources Opportunities Master Fund was up 9.2% for May, bringing its year-to-date return to 33%. Q1 2021 hedge fund letters, conferences and more Dellbrook is an equity long/ short fund that focuses exclusively on the metals and mining sector. It invests mainly in public companies focused on precious, base, energy and industrial metals Read More


Total payment volume rose 30% on a reported basis or 29% on a currency-neutral basis year over year to $114 billion. The FactSet consensus total payments volume implied only a 25% increase. PayPal said about 35% of the payments it processed were completed on a mobile device, and mobile payment volume rose 54% year over year, reaching about $40 billion.

Person-to-person volume increased 47% to $24 billion and made up about 21% of total purchase volume. Venmo processed about $30 billion in total payment volume in the last 12 months, a 106% year-over-year increase. During the third quarter, Venmo’s total payment volume grew 93% from the year-ago quarter to about $9 billion.

For the full year, PayPal projects a 20% to 21% increase on a currency-neutral basis) in revenue, which would bring it to between $12.92 billion and $12.98 billion. The company projects GAAP earnings to be between $1.34 and $1.36 per share and non-GAAP earnings to be between $1.86 and $1.88 per share for the full year. For the fourth quarter, the company looks for revenue to be between $3.57 billion and $3.63 billion, an increase of 20% to 22% on a currency-neutral basis. It looks for GAAP earnings of 37 cents to 39 cents per share and non-GAAP earnings of 50 cents to 52 cents per share.

Following the PayPal Q3 2017 earnings release, the company’s stock surged by more than 3%, rising as high as $70.30 per share before retreating slightly.

No posts to display