Mastercard Incorporated · NYSE:MA
Mastercard — Q4 2015 Earnings Presentation
13 slides from Mastercard's earnings presentation, Jan 29, 2016
Slide 1: Fourth-Quarter and Full-Year 2015 Financial Results Conference Call
MasterCard Incorporated Fourth‐Quarter and Full‐Year 2015 Financial Results Conference Call January 29, 2016
Slide 2: Business Update
Business Update Financial & Operational Overview Economic Update Business Highlights 2 January 29, 2016 ©2016 MasterCard. Proprietary
Slide 3: 4th Quarter Selected Financial Performance
4th Quarter Selected Financial Performance ($ in millions, except per share data) YOY Growth As FX 4Q 15 4Q 14 Reported Adjusted Net revenue $ 2,517 $ 2,411 4% 9% Total operating expenses 1,410 1,393 1% 4% Operating income 1,107 1,018 9% 17% Operating margin 44.0% 42.2% 1.8 ppts 2.7 ppts Net income
Slide 4: 4th Quarter Gross Dollar Volume (GDV)
4th Quarter Gross Dollar Volume (GDV) ($ in billions) Worldwide United States Rest of World 12% Growth 8% Growth 14% Growth $1,174 $1,199 $1,200 $532 $562 $825 $821 $800 $350 $365 $348 $378 $400 $641 $637 $183 $197 $476 $456 $166 $181 $0 4Q 14 4Q 15 4Q 14 4Q 15 4Q 14 4Q 15 Credit Debit Notes: 1. Gro
Slide 5: Processed Transactions and Cards
4th Quarter Processed Transactions and Cards Processed Transactions Cards 12% Growth 7% Growth 15,000 12,971 2,500 2,256 Transactions (in millions) 12,500 11,562 2,106 2,000 10,000 693 Cards (in millions) 697 7,500 1,500 5,000 1,000 1,410 1,563 2,500 500 0 0 4Q 14 4Q 15 4Q 14 4Q 15 Note: Figures may
Slide 6: 4th Quarter Revenue
4th Quarter Revenue ($ in millions) $3,000 4Q 14 4Q 15 $2,411 $2,517 $2,000 $1,018 $1,067 $1,063 $1,148 $774 $844 $1,000 $495 $598 $0 ‐$1,000 ($939) ($1,140) ‐$2,000 Domestic Cross‐Border Transaction Other Revenue Rebates and Total Net Revenue Assessments Volume Fees Processing Fees Incentives Growt
Slide 7: 4th Quarter Operating Expenses
4th Quarter Operating Expenses ($ in millions) 1% $1,600 4Q 14 4Q 15 $1,393 $1,410 $1,400 3% $1,200 $972 $998 $1,000 $800 $600 (5)% $400 $337 $319 10% $200 $84 $93 $0 General & Administrative Advertising & Marketing Depreciation & Amortization Total Operating Expenses FX‐adjusted Growth Including Ac
Slide 8: Looking Ahead
Looking Ahead Business update through January 21st Long-Term Performance Objectives Thoughts for 2016 8 January 29, 2016 ©2016 MasterCard. Proprietary
Slide 9: Appendices
@® MasterCard Appendices
Slide 10: 4Q15 Operating Expenses Growth Non-GAAP Reconciliation
APPENDIX A 4Q15 Operating Expenses Growth Non‐GAAP Reconciliation Q4 2015 Growth Rate - Increase / (Decrease) Excluding All As-Reported Acquisitions1 FX2 Impacts General and administrative 3% 5% (3)% 0% Advertising and marketing (5)% —% (5)% (1)% Depreciation and amortization 10% 8% (1)% 3% Total op
Slide 11: 4th Quarter G&A Detail
APPENDIX B 4th Quarter G&A Detail ($ in millions) Dollar Percent Three Months Ended Increase Increase December 31 (Decrease) (Decrease) 2015 2014 2015 vs 2014 2015 vs 2014 Personnel $565 $618 $(53) (8)% Professional fees 111 112 (1) (1)% Data processing and telecommunications 107 77 30 39% Foreign e
Slide 12: Non-GAAP CAGR Reconciliation
APPENDIX C Non‐GAAP CAGR Reconciliation 2012-2015 3-Year CAGR Net Revenue 9.5% Acquisitions2 (1.1) Foreign Currency (EUR/BRL)3 2.0 Net Revenue Non-GAAP 10.5% 2012-2015 2012 EPS 2015 EPS 3-Year CAGR Diluted Earnings Per Share GAAP $2.19 $3.35 15.2% Special Items1 0.01 0.08 0.7 Acquisitions2 — 0.11 1.
Slide 13: FY2015 Proforma EPS
APPENDIX D FY2015 Proforma EPS1 2015 Diluted Earnings Per Share GAAP $3.35 Significant Tax Items2 (0.31) U.S. Employee Pension Plan Settlement Charge3 0.04 Provision for Litigation Settlement4 0.04 2015 Diluted Earnings Per Share Non-GAAP $3.12 1 Proforma EPS utilized to measure 3‐year EPS target pe