Paypal Holdings, Inc. · NASDAQ:PYPL
Paypal — Q4 2025 Earnings Presentation
29 slides from Paypal's earnings presentation, Feb 3, 2026
Slide 1: PayPal 4Q & FY'25 Performance
PayPal 4Q & FY'25 Performance Financial results & company highlights February 3, 2026
Slide 2: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation contains non-GAAP measures relating to our performance. These measures may exclude certain expenses, gains and losses that may not be indicative of our core operating results and business outlook, and, in each case, may be different from the non-GAAP fin
Slide 3: Delivered diversified, profitable growth
4Q & FY’25: Second year of diversified, profitable growth: TM$ ex. interest1,2 increased 6% y/y and non-GAAP EPS1 increased 14% y/y in ’25 Delivered diversified, profitable growth Taking near-term action to restore online branded checkout momentum: scaling experiences, improving presentment, and dri
Slide 4: PayPal's growth is diversifying
PayPal’s growth is diversifying Strategic initiatives contributed to faster TM$ growth in 2025 Win Checkout1 Solid ‘25 contribution from mid-single digit TPV growth; Pay with Venmo and BNPL Revenue ex. interest on customer TM$ ex. interest on customer continue to take share balances growth (spot) ba
Slide 5: Advancing strategic growth drivers
Advancing strategic growth drivers Win Checkout Scale Omni and Grow Venmo Drive PSP Profitability Scale Next Gen Growth Vectors Branded Experiences Product innovation working, implementing new go-to-market approach to restore momentum Experience Presentment Selection Deliver a modern checkout experi
Slide 6: Advancing strategic growth drivers
Advancing strategic growth drivers Win Checkout Scale Omni and Grow Venmo Drive PSP Profitability Scale Next Gen Growth Vectors Branded Experiences 2025 Omni Highlights 2025 Venmo Highlights >$35B Global debit TPV $1.7B Venmo revenue1,2 ~60% growth ~20% growth >10M Debit first time users 100M+ Venmo
Slide 7: Advancing strategic growth drivers
Advancing strategic growth drivers Win Checkout Scale Omni and Grow Venmo Drive PSP Profitability Scale Next Gen Growth Vectors Branded Experiences PSP TPV growth accelerated to +8% FXN with Enterprise Payments1 TPV growing double digits in 4Q Enterprise Payments TPV growth inflected post-price-to-v
Slide 8: Advancing strategic growth drivers
Advancing strategic growth drivers Win Checkout Scale Omni and Grow Venmo Drive PSP Profitability Scale Next Gen Growth Vectors Branded Experiences Strategic relationships with top AI platforms Store Sync • Makes merchants' product data discoverable within AI channels PayPal Store Sync • Merchants r
Slide 9: 4Q and FY'25 snapshot
4Q and FY'25 snapshot (in millions, except % and per share data) 4Q'25 Y/Y growth FY'25 Y/Y growth Total payment volume (TPV) $475,135 9%; 6% FXN $1,793,979 7%; 6% FXN Revenue $8,676 4%; 3% FXN $33,172 4%; 4% FXN Transaction margin $ (TM$)1 $4,034 3% $15,465 6% TM$ ex. interest on customer $3,741 4%
Slide 10: Account and activity metrics
Account and activity metrics 1 (in millions, except % and TPA) 4Q'25 FY'25 Active accounts2 439 439 • Active accounts2 +1% and MAA3 +1%, largely driven by Venmo Y/Y growth 1% 1% • Number of payment transactions returned to growth +2%, with Monthly active accounts (MAA)3 231 227 12-month trailing TPA
Slide 11: TPV mix across PayPal's platform
TPV mix across PayPal’s platform 4Q'24 4Q'25 FY’24 FY'25 • Branded experience growth Prior year period Current quarter Prior year Current year supported by strong omni adoption FXN Branded experiences GROWTH 8% 4% 6% 6% • Venmo momentum continues, fifth (online & offline)1 % OF TOTAL 34% 33% 31% 32%
Slide 12: 4Q'25 key financial results
4Q'25 key financial results (in millions, except % and per share data) 4Q'25 FY'25 Total revenue $8,676 $33,172 • Transaction revenue +3%, driven by growth across the portfolio, including PSP, branded experiences, and Venmo Y/Y growth 4% 4% FXN Y/Y growth 3% 4% • Other value-added services (OVAS) re
Slide 13: Guidance
Guidance 1Q'26 FY'26 Transaction margin $ Slight decline Transaction margin $ Slight decline TM $ ex. interest on customer TM $ ex. interest on customer Roughly flat Roughly flat balances1 balances1 Non-GAAP effective tax rate 19% - 21% Non-GAAP non-transaction ~3% growth operating expenses Mid-sing
Slide 14: Transforming PayPal to shape the future of commerce
Transforming PayPal to shape the future of commerce • Reinvigorating and diversifying business to drive profitable growth across Branded Experiences, PSP, and Venmo • Investing to amplify impact of enhanced experiences, presentment, selection, and next-gen growth vectors • Strong cash flow generatio
Slide 15: PayPal is building the next-generation commerce platform
PayPal is building the next- generation commerce platform Power Pay payments everywhere Q&A Drive growth Pay your way Operate Get the smarter most value Online In-store Agentic ©2026 PayPal Holdings, Inc. 15
Slide 16: Supplemental information
Supplemental information ©2026 PayPal Holdings, Inc. 16
Slide 17: TPV, revenue, & take rate detail
TPV, revenue, & take rate detail (in millions, except %) 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 • U.S. TPV +9%, driven by PSP, Venmo, and Total payment volume $422,641 $437,836 $417,208 $443,547 $458,088 $475,135 Y/Y growth 9% 7% 3% 6% 8% 9% debit cards FXN Y/Y growth 9% 7% 4% 5% 7% 6% • International
Slide 18: Account and activity metrics detail
Account and activity metrics detail (in millions, except % and TPA) 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 • Active accounts1 +1% and MAA2 +1%, largely Active accounts 1 432 434 436 438 438 439 driven by Venmo Y/Y growth 1% 2% 2% 2% 1% 1% Monthly active accounts (MAA)2 222 228 224 226 227 231 • Number
Slide 19: Transaction margin detail
Transaction margin (TM) detail (in millions, except %) 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 • TE rate -2bps, driven by favorable product Transaction expense (TE) $3,841 $3,997 $3,704 $3,968 $4,063 $4,252 and merchant mix TE rate 0.91% 0.91% 0.89% 0.89% 0.89% 0.89% Transaction loss (TL) $264 $331 $278
Slide 20: Non-GAAP operating margin detail
Non-GAAP1 operating margin detail (in millions, except %) 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 Customer support and operations $427 $451 $398 $413 $447 $446 Y/Y growth (10%) (3%) (12%) (5%) 5% (1%) • Non-transaction opex +2%, driven by higher Sales and marketing $468 $586 $448 $542 $482 $666 marketin
Slide 21: Free cash flow and capital allocation detail
Free cash flow (FCF) and capital allocation detail (in millions, except %) 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 • Generated 4Q'25 adjusted FCF of $2.1B with Free cash flow $1,445 $2,191 $964 $692 $1,718 $2,190 —% FY'25 adjusted FCF of $6.4B Y/Y growth 31% (11%) (45%) (49%) 19% Adjusted free cash flow
Slide 22: Hedging impacts and credit reserve builds and releases
Hedging impacts and credit reserve builds and releases (in millions, except %) 3Q'24 4Q'24 1Q'25 2Q'25 3Q'25 4Q'25 Hedging Impacts (1) Favorable (unfavorable) impact to net revenues (exclusive of hedging impact) $12 $(29) $(104) $111 $134 $198 Hedging impact (12) 38 35 (70) (49) (82) Favorable (unfa
Slide 23: GAAP to non-GAAP reconciliations
GAAP to non-GAAP reconciliations ©2026 PayPal Holdings, Inc. 23
Slide 24: GAAP operating expenses to non-GAAP
Reconciliation of GAAP operating expenses to non-GAAP operating expenses Three Months Ended Year Ended December 31, December 31, September 30, June 30, March 31, December 31, September 30, June 30, March 31, December 31, September 30, (In Millions/Unaudited) Note 2025 2024 2023 2025 2025 2025 2025 2
Slide 25: GAAP operating income to non-GAAP
Reconciliation of GAAP operating income to non-GAAP operating income, Transaction margin dollars, and Transaction margin dollars ex-interest on customer balances and GAAP operating margin to non-GAAP operating margin and Transaction margin Three Months Ended Year Ended December 31, December 31, Sept
Slide 26: GAAP net income to non-GAAP
Reconciliation of GAAP net income to non-GAAP net income, GAAP diluted EPS to non- GAAP diluted EPS, and GAAP effective tax rate to non-GAAP effective tax rate Three Months Ended Year Ended December 31, (In Millions, Except Percentages and Per Share December 31, September 30, June 30, March 31, Dece
Slide 27: Operating cash flow to free cash flow
Reconciliation of operating cash flow to free cash flow and adjusted free cash flow Three Months Ended Year Ended December 31, December 31, September 30, June 30, March 31, December 31, September 30, June 30, March 31, December 31, September 30, (In Millions/Unaudited) 2025 2024 2023 2025 2025 2025
Slide 28: Definitions
Definitions (page 1 of 2) Our key metrics are calculated using internal company data based on the activity we measure on our payments platform and compiled from multiple systems, including systems that are internally developed or acquired through business combinations. While the measurement of our k
Slide 29: Definitions
Definitions (page 2 of 2) Total payment volume or “TPV” is the value of payments, net of payment reversals, successfully completed on our payments platform, or enabled by PayPal via a partner payment solution, not including gateway-exclusive transactions. Branded checkout (online) TPV comprises PayP