Visa Inc. · NYSE:V
Visa — Q1 2021 Earnings Presentation
20 slides from Visa's earnings presentation, Jan 28, 2021
Slide 1: Fiscal First Quarter 2021 Financial Results
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Slide 2: Fiscal First Quarter 2021 Results
Fiscal First Quarter 2021 Results Client Incentives Diluted Class A Net as a % of Common Stock YoY Increase / (Decrease) Revenues Gross Revenue Operating Expense Effective Tax Rate Earnings Per Share GAAP Nominal-Dollar Basis (10%) 16.6% (3%) (6%)* 24.6% Non-GAAP Nominal-Dollar Basis(1) (10%) 16.6%
Slide 3: Non-GAAP and Adjusted Constant-Dollar Results Footnote
Non-GAAP and Adjusted Constant-Dollar Results Footnote We consider non-GAAP measures useful to investors because they provide greater transparency into management´s view and assessment of the Company´s ongoing operating performance by removing items management believes are not representative of our
Slide 4: Fiscal First Quarter 2021 Results
Fiscal First Quarter 2021 Results • Payments volume, cross-border volume and processed transactions growth all improved versus the prior quarter • Returned $2.5B of capital to shareholders in the form of share repurchases and dividends • The board of directors authorized a new $8.0 billion share rep
Slide 5: Operational Performance Metrics Monthly Summary: U.S. Payments Volume
Operational Performance Metrics Monthly Summary U.S. Payments Volume Results Total Credit Debit 40% 30% 20% 10% 0% (10%) (20%) (30%) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan 1-21 Total Card Present Card Not Present Card Not Present, Excluding Travel 50% 30% 10% (10%) (30%) (50%) Jan Feb M
Slide 6: Operational Performance Metrics Monthly Summary: Processed Transactions
Operational Performance Metrics Monthly Summary Processed Transactions Results 15% 5% (5%) (15%) (25%) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan 1-21 Note: Results are calculated over the comparable prior-year period. Refer to Operational Performance Data footnote for further information o
Slide 7: Operational Performance Metrics Monthly Summary: Cross-Border Volume
Operational Performance Metrics Monthly Summary Cross-Border Volume Results (Constant Dollar) Excluding Intra-Europe Total 10% 0% (10%) (20%) (30%) (40%) (50%) (60%) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan 1-21 Cross-Border Volume Excluding Intra-Europe Results (Constant Dollar) Total Ca
Slide 8: Operational Performance Metrics Weekly Summary: U.S. Payments Volume
Operational Performance Metrics Weekly Summary U.S. Payments Volume Results Total Credit Debit 40% 30% 20% 10% 0% (10%) October November December January 8 15 22 29 5 12 19 26 3 10 17 24 31 7 14 21 Week Ended Total Card Present Card Not Present Card Not Present, Excluding Travel 50% 40% 30% 20% 10%
Slide 9: Operational Performance Metrics Weekly Summary: Processed Transactions
Operational Performance Metrics Weekly Summary Processed Transactions Results 6% 5% 4% 3% 2% 1% 0% October November December January 8 15 22 29 5 12 19 26 3 10 17 24 31 7 14 21 Week Ended Note: Results are calculated over the comparable prior-year period. Refer to Operational Performance Data footno
Slide 10: Operational Performance Metrics Weekly Summary: Cross-Border Volume
Operational Performance Metrics Weekly Summary Cross-Border Volume Results (Constant Dollar) Excluding Intra-Europe Total 0% (10%) (20%) (30%) (40%) (50%) October November December January 8 15 22 29 5 12 19 26 3 10 17 24 31 7 14 21 Week Ended Cross-Border Volume Excluding Intra-Europe Results (Cons
Slide 11: Payments Volume Results Q1 FY2021
Payments Volume Results Nominal Q1 FY2021 Constant Visa Inc. Credit Debit 17% 17% 5% 5% (5%) (6%) Nominal USD (in billions) U.S. $1,140 $535 $605 International $1,333 $679 $653 Total $2,473 $1,215 $1,258 Note: The chart results are calculated over the comparable prior-year period. Refer to Operation
Slide 12: Payments Volume Results Q4 FY2020
Payments Volume Results Nominal Q4 FY2020 Constant Visa Inc. Credit Debit 20% 20% 4% 4% (10%) (9%) Nominal USD (in billions) U.S. $1,097 $493 $603 International $1,252 $628 $624 Total $2,349 $1,121 $1,227 Note: The chart results are calculated over the comparable prior-year period. Refer to Operatio
Slide 13: Transactions and Cross-Border Volume Results
Transactions and Cross-Border Volume Results Q1 FY2021 Transactions Cross-Border Total Payments Processed Constant Total Total (excluding 4% 4% (1) 2% Nominal Constant Intra-Europe) (18%) Transaction Count (in millions) (21%) Credit 18,045 17,878 Debit 37,902 33,577 (33%) Total 55,947 51,455 39,213
Slide 14: Total Cards (in millions)
Total Cards (in millions) Q4 FY2020 2019 2020 3,505 3,372 2,364 2,243 1,130 1,141 Total Visa Inc. Credit Debit 4% 1% 5% Note: The chart results are calculated over the comparable prior-year period. Refer to Operational Performance Data footnote for further information on these metrics. 13 Fiscal Fir
Slide 15: Revenue Results
Revenue Results Q1 FY2021 Reported Adjusted 6% 6% 5% 5% (3%) (6%) (7%) (28%) International Service Data Processing Transaction Other Gross Client Net Revenues Revenues Revenues Revenues Revenues Incentives Revenues Reported Nominal USD (in millions) $2,677 $3,033 $1,451 $384 $7,545 $1,858 $5,687 Cli
Slide 16: Operating Expense Results
Operating Expense Results Reported Q1 FY2021 Non-GAAP Adjusted 165% 165% 8% 8% 0% 0% (4%) (4%) (10%) (10%) (10%) (25%) (25%) (21%) (21%) (35%) (35%) Total Network & Professional Depreciation & General & Litigation Personnel Marketing Operating Processing Fees Amortization Administrative Provision Ex
Slide 17: Other Financial Results and Highlights
Other Financial Results and Highlights • Visa continues to monitor the COVID-19 impact globally. During the quarter, several countries experienced a rise in cases and implemented restrictive measures, primarily impacting card spending. While cross-border spending did improve for the quarter, it rema
Slide 18: Operational Performance Data Footnote
Operational Performance Data Footnote 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 continue to be recognized based on payments volume in the prior q
Slide 19: Free Cash Flow
Free Cash Flow We had cash, cash equivalents and investment securities of $18.2 billion as of December 31, 2020. (USD in millions) Calculation of Free Cash Flow Q1 2021 Net cash provided by operating activities $3,513 Less: capital expenditures (160) Free Cash Flow(1) $3,353 (1) Free Cash Flow is ca
Slide 20: Forward-Looking Statements
Forward-Looking Statements 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, the impact on our underlying business drivers and other volume and transaction trends as a result of CO