By Emily Bary
Visa is seeing ‘resilient’ trends in discretionary and non-discretionary spending categories
Visa Inc. saw stable growth in payment volume during the June quarter, in a sign that consumers are keeping up their spending despite macroeconomic and geopolitical concerns.
The payment-technology company booked 8% growth in payment volume for its fiscal third quarter, matching the rate seen in the fiscal second quarter. Visa (V) disclosed in Tuesday’s earnings materials that “healthy business driver trends continued through the quarter and into the first few weeks of July.”
The company’s slide presentation showed that U.S. volume growth for the first three weeks of July outpaced the growth seen in June.
“Consumer spending remains resilient, with continued strength indiscretionary and non-discretionary growth in the U.S.,” Chief Executive Ryan McInerney said in the release.
See also: American Express earnings show healthy spending – including on these fancy categories
Revenue in the fiscal third quarter came out to $10.17 billion, up 14% from a year before and ahead of the $9.85 billion consensus view. Visa’s adjusted earnings per share rose 23% to $2.98, topping the $2.85 that analysts tracked by FactSet had been expecting.
Visa’s cross-border volume was up 12% in the quarter, or 11% when excluding transactions made within Europe. Cross-border volume measures payment activity that takes place when someone with a card issued in one country transacts with a merchant based in another. It’s often seen as a proxy for travel spending, though it also includes cross-border e-commerce.
Processed transactions were up 10% in the latest quarter from a year earlier.
Visa expects net revenue growth at a high-single-digit to low-double-digit clip in the current quarter, along with high-single-digit growth in adjusted earnings per share. Analysts were expecting about 10% growth in revenue and 11% growth in adjusted EPS.
The stock was down about 2% in after-hours action Tuesday.
-Emily Bary
This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.
(END) Dow Jones Newswires
07-29-25 1629ET
Copyright (c) 2025 Dow Jones & Company, Inc.