Visa Inc. · NYSE:V
Visa — Q2 2018 Earnings Presentation
15 slides from Visa's earnings presentation, Apr 25, 2018
Slide 1: Visa Inc. Fiscal Second Quarter 2018 Financial Results
Visa Inc. Fiscal Second Quarter 2018 Financial Results April 25, 2018
Slide 2: Forward-looking statements
Fiscal Second Quarter 2018 Financial Results2 ©2018 Visa. All rights reserved. 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, str
Slide 3: Fiscal Second Quarter 2018 Results
Fiscal Second Quarter 2018 Financial Results3 ©2018 Visa. All rights reserved. Fiscal Second Quarter 2018 Results in billions, except percentages and per share data USD ($) YoY Change (%) Net Operating Revenues $5.1 13% GAAP Net Income $2.6 505% Adjusted Net Income(1) $2.6 26% GAAP Earnings Per Shar
Slide 4: Payments Volume, Quarter ended December
Fiscal Second Quarter 2018 Financial Results4 ©2018 Visa. All rights reserved. Quarter ended December Payments Volume US$ in billions, nominal, except percentages INTL 1,003 INTL 1,152 INTL 601 INTL 678 INTL 403 INTL 474 U.S. 804 U.S. 881 U.S. 430 U.S. 479 U.S. 374 U.S. 403 1,807 2,033 1,030 1,157 7
Slide 5: Payments Volume, Quarter ended March
Fiscal Second Quarter 2018 Financial Results5 ©2018 Visa. All rights reserved. Quarter ended March Current quarter payments volume and other select metrics are provided in the operational performance data supplement in the earnings release to provide more recent operating data. Service revenues cont
Slide 6: Transactions, Quarter ended March
Fiscal Second Quarter 2018 Financial Results6 ©2018 Visa. All rights reserved. Quarter ended March Transactions in millions, except percentages Note: Total transactions represent payments and cash transactions as reported by Visa clients on their operating certificates. On occasion, previously submi
Slide 7: Total Cards, Quarter ended December
Fiscal Second Quarter 2018 Financial Results7 ©2018 Visa. All rights reserved. Quarter ended December Total Cards in millions, except percentages 3,132 1,062 2,070 3,250 1,085 2,166 Visa Inc. Credit Debit Note: The data presented is based on results reported quarterly by Visa clients on their operat
Slide 8: Revenue – Q2 2018
Fiscal Second Quarter 2018 Financial Results8 ©2018 Visa. All rights reserved. 5,508 (1,031) 4,477 6,362 (1,289) 5,073 Gross Revenues Client Incentives Net Operating Revenues Fiscal 2017 Fiscal 2018 Revenue – Q2 2018 US$ in millions, except percentages YoY Change 25% 13%16% Note: Figures may not rec
Slide 9: Revenue Detail – Q2 2018
Fiscal Second Quarter 2018 Financial Results9 ©2018 Visa. All rights reserved. Revenue Detail – Q2 2018 US$ in millions, except percentages 1,993 1,843 1,469 203 2,253 2,127 1,752 230 Service Revenues Data Processing Revenues International Transaction Revenues Other Revenues Fiscal 2017 Fiscal 2018
Slide 10: Operating Margin – Q2 2018
Fiscal Second Quarter 2018 Financial Results10 ©2018 Visa. All rights reserved. Operating Margin – Q2 2018 US$ in millions, except percentages 1,669 2,808 1,477 3,000 1,737 3,336 Reported GAAP Fiscal 2017 Adjusted non-GAAP Fiscal 2017 Reported GAAP Fiscal 2018 63% 67% 66% Note: There were no compara
Slide 11: Operating Expenses – Q2 2018
Fiscal Second Quarter 2018 Financial Results11 ©2018 Visa. All rights reserved. Operating Expenses – Q2 2018 US$ in millions, except percentages Note: There were no comparable adjustments for second quarter of fiscal 2018. Refer to the accompanying financial tables for further details and a reconcil
Slide 12: Other Financial Results and Highlights
Fiscal Second Quarter 2018 Financial Results12 ©2018 Visa. All rights reserved. Other Financial Results and Highlights • Cash, cash equivalents and available-for-sale investment securities of $14.2 billion at the end of the fiscal second quarter • Adjusted free cash flow of $2.6 billion for the fisc
Slide 13: Financial Outlook for Fiscal Full-Year 2018
Fiscal Second Quarter 2018 Financial Results13 ©2018 Visa. All rights reserved. Financial Outlook for Fiscal Full-Year 2018 Annual net revenue growth Low double-digits on a nominal dollar basis, with approximately 1 percentage point of positive foreign currency impact Client incentives as a percenta
Slide 14: Appendix
Appendix
Slide 15: Calculation of Adjusted Free Cash Flow
Fiscal Second Quarter 2018 Financial Results15 ©2018 Visa. All rights reserved. Calculation of Adjusted Free Cash Flow A- Management believes that presentation of adjusted free cash flow is useful to measure the Company’s generation of cash available to first re-invest in the business and then retur