Visa Inc. · NYSE:V
Visa — Q4 FY2021 Earnings Presentation
20 slides from Visa's earnings presentation, Oct 26, 2021
Slide 1: Fiscal Fourth Quarter 2021 Financial Results
Edit Master Visa Inc. text styles FiscalTo Click Fourth Edit Master QuarterTitle 2021 Financial Results Edit Master October 26, text 2021styles
Slide 2: Fiscal Fourth Quarter 2021 Results
Fiscal Fourth Quarter 2021 Results Client Incentives Diluted Class A Net as a % of Operating Effective Income Common Stock YoY Increase / (Decrease) Revenues Gross Revenues Expenses Tax Rate Earnings Per Share GAAP Nominal-Dollar Basis 15% 16.6% 70% 29%* 26.7% Non-GAAP Nominal-Dollar Basis(1) 15% 16
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 Fourth Quarter 2021 Results
Fiscal Fourth Quarter 2021 Results • Indexed to 2019, fiscal fourth quarter payments volume, cross-border volume and processed transactions all increased from fiscal third quarter levels • Returned $3.7B of capital to shareholders in the form of share repurchases and dividends • The board of directo
Slide 5: Operational Performance Metrics Monthly Growth
Operational Performance Metrics Monthly Growth 2021 U.S. Payments Volume Growth Total Credit Debit Total Card Present Card Not Present Card Not Present, Excluding Travel 100% 100% 80% 80% 60% 60% 40% 40% 20% 20% 0% 0% (20%) (20%) Jan Feb Mar Apr May Jun Jul Aug Sep Oct Jan Feb Mar Apr May Jun Jul Au
Slide 6: Operational Performance Metrics Monthly Index vs. 2019
Operational Performance Metrics Monthly Index vs. 2019 2021 results are indexed to the corresponding period in 2019, with a baseline of 100 2021 U.S. Payments Volume Index vs. 2019 Total Credit Debit Total Card Present Card Not Present Card Not Present, Excluding Travel 160 160 150 150 140 140 130 1
Slide 7: Operational Performance Metrics Monthly Growth
Operational Performance Metrics Monthly Growth 2021 Processed Transactions Growth 55% 45% 35% 25% 15% 5% (5%) Jan Feb Mar Apr May Jun Jul Aug Sep Oct 1-21 Note: February growth rate would have been 2% in 2021 if the impact of February 29, 2020 was excluded. Results are calculated over the comparable
Slide 8: Operational Performance Metrics Monthly Index vs. 2019
Operational Performance Metrics Monthly Index vs. 2019 2021 results are indexed to the corresponding period in 2019, with a baseline of 100 2021 Processed Transactions Index vs. 2019 128 126 124 122 120 118 116 114 112 110 108 106 104 102 100 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Note: Refer to Op
Slide 9: Operational Performance Metrics Monthly Growth
Operational Performance Metrics Monthly Growth 2021 Cross-Border Volume Growth 2021 Cross-Border Volume Growth (Constant Dollar) Excluding Intra-Europe (Constant Dollar) Total Card Present + Card Not Present Travel Excluding Intra-Europe Total Card Not Present Card Not Present, Excluding Travel 130%
Slide 10: Operational Performance Metrics Monthly Index vs. 2019
Operational Performance Metrics Monthly Index vs. 2019 2021 results are indexed to the corresponding period in 2019, with a baseline of 100 2021 Cross-Border Volume Index vs. 2019 2021 Cross-Border Volume Index vs. 2019 (Constant Dollar) Excluding Intra-Europe (Constant Dollar) Total Card Present +
Slide 11: Payments Volume Results Q4 FY2021
Payments Volume Results Nominal Q4 FY2021 Constant Visa Inc. Credit Debit 18% 20% 18% 17% 17% 15% Nominal USD (in billions) U.S. $1,325 $622 $703 International $1,458 $720 $738 Total $2,783 $1,342 $1,441 Note: The chart results are calculated over the comparable prior-year period. Refer to Operation
Slide 12: Payments Volume Results Q3 FY2021
Payments Volume Results Nominal Q3 FY2021 Constant Visa Inc. Credit Debit 42% 39% 36% 37% 34% 31% Nominal USD (in billions) U.S. $1,331 $601 $730 International $1,388 $683 $704 Total $2,719 $1,284 $1,435 Note: The chart results are calculated over the comparable prior-year period. Refer to Operation
Slide 13: Transactions and Cross-Border Volume Results
Transactions and Cross-Border Volume Results Q4 FY2021 Transactions Cross-Border 46% 41% 38% 21% 17% 18% Total Payments Processed Total Total Constant Nominal Constant (excluding (1) Transaction Count (in millions) Intra-Europe) Credit 20,275 20,082 (1) Cross-border volume excluding transactions wit
Slide 14: Total Cards (in millions)
Total Cards (in millions) Q3 FY2021 2020 2021 3,713 3,471 2,556 2,336 1,135 1,157 Total Visa Inc. Credit Debit 7% 2% 9% 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 Fou
Slide 15: Revenue Results
Revenue Results Q4 FY2021 Reported Adjusted 41% 41% 40% 36% 32% 29% 28% 20% International Service Data Processing Other Gross Client Net Transaction Revenues Revenues Revenues Revenues Incentives Revenues Revenues Reported Nominal USD (in millions) $3,125 $3,436 $1,895 $490 $8,946 ($2,387) $6,559 Cl
Slide 16: Operating Expense Results
Operating Expense Results Reported Q4 FY2021 Non-GAAP Adjusted 58% 58% 25% 26% 14% 13% 15% 15% 15% 1% 1% 3% 2% (16%) (16%) (85%) (85%) Total Network & Professional Depreciation & General & Litigation Personnel Marketing Operating Processing Fees Amortization Administrative Provision Expenses Reporte
Slide 17: Other Notable Items
Other Notable Items • On July 22, 2021, Visa announced it signed a definitive agreement to acquire Currencycloud, a global platform that enables banks and fintechs to provide innovative foreign exchange solutions for cross-border payments. The transaction is subject to regulatory approvals and other
Slide 18: Data Footnote
Operational Performance Data Footnote Current quarter payments volume and other select metrics are provided in the operational performance data supplement to provide more recent operating data. Service revenues continue to be recognized based on payments volume in the prior quarter. Total transactio
Slide 19: Free Cash Flow
Free Cash Flow We had cash, cash equivalents and investment securities of $20.2 billion as of September 30, 2021. (USD in millions) Calculation of Free Cash Flow Q4 2021 QTD Q4 2021 YTD Net cash provided by operating activities $3,971 $15,227 Less: capital expenditures (208) (705) Free Cash Flow(1)
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 th