Slide 1: Second Quarter 2024 Financial Results Conference Call
Mastercard Incorporated Second Quarter 2024 Financial Results Conference Call July 31, 2024
Slide 2: Business Update, Business Highlights, Financial Overview
Business Update Business Highlights Financial Overview ©2024 Mastercard July 31, 2024 2
Slide 3: 2nd Quarter Selected Financial Performance
2nd Quarter Selected Financial Performance ($ in millions, except per share data) 2Q 24 2Q 23 YOY Growth Non-GAAP Non-GAAP As adjusted Currency-neutral Net revenue $ 6,961 $ 6,269 11% 13% Adjusted operating expenses 2,828 2,592 9% 10% Adjusted operating income 4,133 3,677 12% 15% Adjusted operating
Slide 4: 2nd Quarter Gross Dollar Volume (GDV)
2nd Quarter Gross Dollar Volume (GDV) ($ in billions) Worldwide United States Rest of World 9% Growth 6% Growth 11% Growth $2,600 $2,403 $2,400 $2,264 $2,200 $2,000 $1,800 $1,547 $1,639 $1,186 $1,273 $1,600 $1,400 $1,200 $841 $903 $1,000 $717 $764 $800 $600 $1,078 $1,130 $345 $370 $400 $706 $736 $20
Slide 5: Switched Transactions and Cards
2nd Quarter Switched Transactions and Cards Switched Transactions Cards 11% Growth 7% Growth 4,000 3,421 50 3,191 367 39.4 3,000 390 Transactions (in billions) Cards (in millions) 40 35.5 30 2,000 3,054 20 2,802 1,000 10 0 0 2Q23 2Q24 2Q23 2Q24 Mastercard Cards Maestro Cards ©2024 Mastercard Note: F
Slide 6: 2nd Quarter Net Revenue
2nd Quarter Net Revenue ($ in millions) 2Q23 2Q24 $6,961 $7,000 $6,269 $6,000 $5,000 1 $4,375 1 $4,073 $4,000 $3,000 $2,586 $2,196 $2,000 $1,000 $0 Value-added Growth Payment Network Services and Solutions Total Net Revenue GAAP 7% 18% 11% Currency-neutral 9% 19% 13% 1 Payment Network is presented n
Slide 7: Key Metrics related to the Payment Network
2nd Quarter Key Metrics related to the Payment Network ($ in millions) 2Q23 2Q24 $4,000 $3,324 $2,979 $3,000 $2,596 $2,468 $2,433 $2,050 $2,000 $1,000 $270 $244 $0 Cross-Border Transaction Other Domestic Assessments Assessments Processing Assessments Network Assessments Increase/(Decrease) 5% 19% 12
Slide 8: Adjusted Operating Expenses
2nd Quarter Adjusted Operating Expenses ($ in millions) 2Q23 2Q24 $3,000 $2,828 $2,592 $2,418 $2,500 $2,200 $2,000 $1,500 $1,000 $500 $201 $184 $192 $225 $0 Growth General & Administrative Advertising & Marketing Depreciation & Amortization Adjusted Operating Expenses Non-GAAP 10% (8)% 17% 9% Curren
Slide 9: Business Update Through July 28
th Business Update Through July 28 Year-over-year growth % 2024 Q1 Apr May Jun Q2 Jul 28 MTD 1 Switched volume 12% 9% 12% 11% 10% 11% United States 7% 5% 8% 6% 6% 6% Worldwide less U.S. 15% 12% 14% 14% 14% 14% Switched transactions 13% 10% 11% 11% 11% 11% 1 Cross-border volume 18% 17% 17% 17% 17% 17
Slide 10: Looking Ahead
Looking Ahead Further thoughts for 2024 ©2024 Mastercard July 31, 2024 10
Slide 11: Appendices
Appendices
Slide 12: Non-GAAP Reconciliation
Appendix A Non-GAAP Reconciliation ($ in millions, except per share data) Three Months Ended June 30, 2024 Diluted Operating Operating Operating Other income Effective Net earnings per expenses income margin (expense) income tax rate income share Reported - GAAP $ 2,925 $ 4,036 58.0 % $ (97) 17.3 %
Slide 13: Non-GAAP Reconciliation (continued)
Appendix A (continued) Non-GAAP Reconciliation Three Months Ended June 30, 2024 as compared to the Three Months Ended June 30, 2023 Increase/(Decrease) Operating Operating Operating Effective income Net Diluted earnings expenses income margin tax rate income per share Reported - GAAP 12 % 10 % (0.4)
Slide 14: Non-GAAP Reconciliation: 2024 financial outlook
Appendix B Non-GAAP Reconciliation 2024 financial outlook Prior 2024 vs. 2023 Updated 2024 vs. 2023 Increase/(Decrease) Increase/(Decrease) Net Revenue Operating Expenses Net Revenue Operating Expenses 1 Low-end of low- High-end of high- Forecasted Growth - GAAP double-digits Mid-single-digits Low-d
Slide 15: Non-GAAP Reconciliation: Third quarter 2024 financial outlook
Appendix C Non-GAAP Reconciliation Third quarter 2024 financial outlook Q3'24 vs. Q3'23 Increase/(Decrease) Net Revenue Operating Expenses 1 High-end of Forecasted Growth - GAAP Low-double-digits high-teens 2 Litigation provisions ** ** 3 Restructuring charge ** ~(7)% Non-GAAP Growth Low-double-digi
Slide 16: Forward-Looking Statements
Forward-Looking Statements This earnings presentation contains forward-looking statements pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts may be forward-looking statements. When used in this earn