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
©2016 MasterCard. Proprietary Business Update Financial & Operational Overview Economic Update Business Highlights January 29, 20162
Slide 3: 4th Quarter Selected Financial Performance
©2016 MasterCard. Proprietary 4th Quarter Selected Financial Performance 4Q 15 4Q 14 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 890$ 801$ 11% 18% Diluted EPS 0.79$ 0.69$ 14%
Slide 4: 4th Quarter Gross Dollar Volume (GDV)
©2016 MasterCard. Proprietary $641 $637 $166 $181 $476 $456 $532 $562 $183 $197 $350 $365 $0 $400 $800 $1,200 4Q 14 4Q 15 4Q 14 4Q 15 4Q 14 4Q 15 Credit Debit Worldwide 12% Growth ($ in billions) 4th Quarter Gross Dollar Volume (GDV) $1,174 $1,199 $348 $378 $825 $821 United States 8% Growth Rest of
Slide 5: 4th Quarter Processed Transactions and Cards
©2016 MasterCard. Proprietary 4th Quarter Processed Transactions and Cards Cards 7% Growth 1,410 1,563 697 693 0 500 1,000 1,500 2,000 2,500 4Q 14 4Q 15 C a r d s ( i n m i l l i o n s ) MasterCard Cards Maestro Cards 2,10611,562 12,971 0 2,500 5,000 7,500 10,000 12,500 15,000 4Q 14 4Q 15 T r a n s
Slide 6: 4th Quarter Revenue
©2016 MasterCard. Proprietary 4th Quarter Revenue ($ in millions) $1,018 $774 $1,063 $495 ($939) $2,411 $1,067 $844 $1,148 $598 ($1,140) $2,517 Domestic Assessments Cross‐Border Volume Fees Transaction Processing Fees Other Revenue Rebates and Incentives Total Net Revenue ‐$2,000 ‐$1,000 $0 $1,000 $
Slide 7: 4th Quarter Operating Expenses
©2016 MasterCard. Proprietary Note: Figures may not sum due to rounding See Appendix A for Operating Expenses Growth Non‐GAAP reconciliations 4th Quarter Operating Expenses ($ in millions) $972 $337 $84 $1,393 $998 $319 $93 $1,410 General & Administrative Advertising & Marketing Depreciation & Amort
Slide 8: Looking Ahead
©2016 MasterCard. Proprietary Looking Ahead Business update through January 21st Long-Term Performance Objectives Thoughts for 2016 January 29, 20168
Slide 9: Appendices
Appendices
Slide 10: Appendix A: 4Q15 Operating Expenses Growth Non-GAAP Reconciliation
©2016 MasterCard. Proprietary 1 Impact from 2014 and 2015 acquisitions 2 Impact of foreign currency translation calculated by remeasuring the prior period’s results using the current period’s exchange rates Note: Figures may not sum due to rounding Q4 2015 Growth Rate - Increase / (Decrease) As-Repo
Slide 11: Appendix B: 4th Quarter G&A Detail
©2016 MasterCard. Proprietary Three Months Ended December 31 Dollar Increase (Decrease) Percent Increase (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 exchange activity (2)
Slide 12: Appendix C: Non-GAAP CAGR Reconciliation
©2016 MasterCard. Proprietary 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% Note: Figures may not sum due to rounding 2012 EPS 2015 EPS 2012-2015 3-Year CAGR Diluted Earnings Per Share GAA
Slide 13: Appendix D: FY2015 Proforma EPS
©2016 MasterCard. Proprietary 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 perf