Visa Inc. · NYSE:V
Visa — Q4 2017 Earnings Presentation
15 slides from Visa's earnings presentation, Oct 25, 2017
Slide 1: Visa Inc. Fiscal Fourth Quarter 2017 Financial Results
Visa Inc. Fiscal Fourth Quarter 2017 Financial Results October 25, 2017 EXHIBIT 99.2
Slide 2: Forward-Looking Statements
Fiscal Fourth 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 fina
Slide 3: Strong Fiscal Fourth Quarter Results
Fiscal Fourth Quarter 2017 Financial Results3 Strong Fiscal Fourth Quarter Results Returned approximately $2.1 billion of capital to shareholders in the form of share repurchases and dividends GAAP net income of $2.1 billion or $0.90 per share Net operating revenues of $4.9 billion, an increase of 1
Slide 4: Payments Volume (Quarter ended June)
Fiscal Fourth Quarter 2017 Financial Results4 Quarter ended June – Excludes Europe Co-badge Payments Volume* Payments Volume US$ in billions, nominal, except percentages INTL 600 INTL 1,025 INTL 476 INTL 607 INTL 123 INTL 417 U.S. 749 U.S. 840 U.S. 375 U.S. 446 U.S. 374 U.S. 393 1,349 1,864 852 1,05
Slide 5: Payments Volume (Quarter ended September)
Fiscal Fourth Quarter 2017 Financial Results5 Quarter ended September – Excludes Europe Co-badge Payments Volume* 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. Servic
Slide 6: Transactions
Fiscal Fourth Quarter 2017 Financial Results6 Quarter ended September – 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 occ
Slide 7: Total Cards
Fiscal Fourth Quarter 2017 Financial Results7 Quarter ended June Total Cards in millions, except percentages 2,505 891 1,614 3,188 1,069 2,118 Visa Inc. Credit Debit Note: 2016 data does not include Visa Europe cards. The data presented is based on results reported quarterly by Visa clients on their
Slide 8: Revenue – Q4 2017
Fiscal Fourth Quarter 2017 Financial Results8 5,254 (993) 4,261 6,201 (1,346) 4,855 Gross Revenues Client Incentives Net Operating Revenues Fiscal 2016 Fiscal 2017 Revenue – Q4 2017 US$ in millions, except percentages YOY Change 36% 14%18% Note: Figures may not recalculate exactly due to rounding. P
Slide 9: Revenue Detail – Q4 2017
Fiscal Fourth Quarter 2017 Financial Results9 Revenue Detail – Q4 2017 US$ in millions, except percentages 1,768 1,779 1,489 218 2,116 2,067 1,792 226 Service Revenues Data Processing Revenues International Transaction Revenues Other Revenues Fiscal 2016 Fiscal 2017 YOY Change 16% 20%20% 3% Note: Fi
Slide 10: Operating Margin – Q4 2017
Fiscal Fourth Quarter 2017 Financial Results10 Operating Margin – Q4 2017 US$ in millions, except percentages 1,636 2,625 1,526 2,735 1,643 3,212 Reported GAAP Fiscal 2016 Adjusted non-GAAP Fiscal 2016 Reported GAAP Fiscal 2017 62% 64% 66% Note: Adjusted non-GAAP financial measures exclude the impac
Slide 11: Operating Expenses – Q4 2017
Fiscal Fourth Quarter 2017 Financial Results11 Operating Expenses – Q4 2017 US$ in millions, except percentages 690 580 655 Reported GAAP Fiscal 2016 Adjusted non-GAAP Fiscal 2016 Reported GAAP Fiscal 2017 Personnel Note: Adjusted non-GAAP financial measures exclude the impact of certain significant
Slide 12: Other Financial Results and Highlights
Fiscal Fourth Quarter 2017 Financial Results12 Other Financial Results and Highlights • Cash, cash equivalents and available-for-sale investment securities of $15.3 billion at the end of the fiscal fourth quarter • Adjusted free cash flow of $2.6 billion for the fiscal fourth quarter • Capital expen
Slide 13: Financial Outlook for Fiscal Full-Year 2018
Fiscal Fourth Quarter 2017 Financial Results13 Financial Outlook for Fiscal Full-Year 2018 Annual net revenue growth High single digits on a nominal dollar basis, with approximately 0.5 to 1 ppt of positive foreign currency impact Client incentives as a percentage of gross revenues 21.5% to 22.5% ra
Slide 14: Appendix
Appendix VISA
Slide 15: Calculation of Adjusted Free Cash Flow
Fiscal Fourth Quarter 2017 Financial Results15 Calculation of Adjusted Free Cash Flow US$ in millions 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 return excess cash to