Visa Inc. · NYSE:V
Visa — Q1 2017 Earnings Presentation
15 slides from Visa's earnings presentation, Feb 2, 2017
Slide 1: Visa Inc. Fiscal First Quarter 2017 Financial Results
Visa Inc. Fiscal First Quarter 2017 Financial Results February 2, 2017
Slide 2: Forward-Looking Statements
Fiscal First Quarter 2017 Financial Results2 This presentation contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 that relate to, among other things, our future operations, prospects, developments, strategies, business growth and finan
Slide 3: Solid Fiscal First Quarter Results
Fiscal First Quarter 2017 Financial Results3 Solid Fiscal First Quarter Results Adjusted net income and diluted EPS growth of 23% and 23%, respectively Repurchased 22.3 million shares of class A common stock in the open market at an average price of $79.77 per share, using $1.8 billion of cash on ha
Slide 4: Payments Volume - Quarter ended September
Fiscal First Quarter 2017 Financial Results4 Quarter ended September – Includes Europe Co-badge Payments Volume* Payments Volume US$ in billions, nominal, except percentages INTL 571 INTL 1,091 INTL 456 INTL 656 INTL 116 INTL 434 U.S. 693 U.S. 768 U.S. 345 U.S. 409 U.S. 349 U.S. 358 1,264 1,858 800
Slide 5: Payments Volume - Quarter ended December
Fiscal First Quarter 2017 Financial Results5 Quarter ended December – Excludes Europe Co-badge Payments Volume* Payments Volume US$ in billions, nominal, except percentages YOY Change (constant) 39% 25% 63% YOY Change (nominal) 24% 62%38% Note: Current quarter payments volume and other select metric
Slide 6: Transactions - Quarter ended December
Fiscal First Quarter 2017 Financial Results6 Quarter ended December - Excludes Europe Co-badge from Total Transactions* Transactions in millions, except percentages Note: Total transactions represent payments and cash transactions as reported by Visa clients on their operating certificates. On occas
Slide 7: Total Cards - Quarter ended September
Fiscal First Quarter 2017 Financial Results7 Quarter ended September Total Cards in millions, except percentages 2,442 877 1,565 3,121 1,094 2,027 Visa Inc. Credit Debit Note: The data presented is based on results reported quarterly by Visa clients on their operating certificates. Estimates may be
Slide 8: Revenue - Q1 2017
Fiscal First Quarter 2017 Financial Results8 4,353 (788) 3,565 5,502 (1,041) 4,461 Gross Revenues Client Incentives Net Operating Revenues Fiscal 2016 Fiscal 2017 Revenue – Q1 2017 US$ in millions, except percentages YOY Change 32% 25%26% Fiscal 2017 % of Gross Revenues 19% 81% Note: Figures may not
Slide 9: Revenue Detail - Q1 2017
Fiscal First Quarter 2017 Financial Results9 Revenue Detail – Q1 2017 US$ in millions, except percentages 1,645 1,479 1,031 198 1,918 1,892 1,489 203 Service Revenues Data Processing Revenues International Transaction Revenues Other Revenues Fiscal 2016 Fiscal 2017 YOY Change 28% 44%17% 2% Note: Fig
Slide 10: Operating Margin - Q1 2017
Fiscal First Quarter 2017 Financial Results10 Operating Margin – Q1 2017 US$ in millions, except percentages 3,565 1,169 2,396 4,461 1,361 3,100 Net Operating Revenues Operating Expenses Operating Income Fiscal 2016 Fiscal 2017 YOY Change 16% 29%25% 2 ppts 67% 69% Operating Margin Note: Operating ma
Slide 11: Operating Expenses - Q1 2017
Fiscal First Quarter 2017 Financial Results11 Operating Expenses – Q1 2017 US$ in millions, except percentages 499 194 128 72 120 156 0 571 218 145 80 146 186 15 Personnel Marketing Network & Processing Professional Fees Depreciation & Amortization General & Administrative Litigation Provision Fisca
Slide 12: Other Financial Results and Highlights
Fiscal First Quarter 2017 Financial Results12 Other Financial Results and Highlights • Cash, cash equivalents and available-for-sale investment securities of $13.2 billion at the end of the fiscal first quarter • Adjusted free cash flow of $2.3 billion for the fiscal first quarter • Capital expendit
Slide 13: Financial Outlook for Fiscal Year 2017
Fiscal First Quarter 2017 Financial Results13 Financial Outlook for Fiscal Year 2017 Annual net revenue growth 16% to 18% range on a nominal dollar basis, including 2.0 to 2.5 ppts of negative foreign currency impact Client incentives as % of gross revenues 20.5% to 21.5% range Annual operating marg
Slide 14: Appendix
Appendix VISA
Slide 15: Calculation of Adjusted Free Cash Flow
Fiscal First Quarter 2017 Financial Results15 Calculation of Adjusted Free Cash Flow US$ in millions A- Three Months Ended December 31, 2016 Net cash provided by operating activities 2,508 Less: Capital expenditures (171) Adjusted Free Cash Flow 2,337 Management believes that presentation of adjuste