Visa Inc. · NYSE:V
Visa — Q4 2018 Earnings Presentation
15 slides from Visa's earnings presentation, Oct 24, 2018
Slide 1: Visa Inc. Fiscal Fourth Quarter 2018 Financial Results
Visa Inc. Fiscal Fourth Quarter 2018 Financial Results October 24, 2018
Slide 2: Forward-Looking Statements
Fiscal Fourth Quarter 2018 Financial Results2 ©2018 Visa. All rights reserved. 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, str
Slide 3: Fiscal Fourth Quarter 2018 Results
Fiscal Fourth Quarter 2018 Financial Results3 ©2018 Visa. All rights reserved. Fiscal Fourth Quarter 2018 Results Q4 2018 (Ending September 30, 2018) in billions, except percentages and per share data USD YoY Change Net Operating Revenues $5.4 12% GAAP Net Income $2.8 33% Adjusted Net Income(1) $2.8
Slide 4: Payments Volume
Fiscal Fourth Quarter 2018 Financial Results4 ©2018 Visa. All rights reserved. Quarter ended June Payments Volume US$ in billions, nominal, except percentages INTL 1,025 INTL 1,173 INTL 607 INTL 690 INTL 418 INTL 484 U.S. 840 U.S. 928 U.S. 446 U.S. 493 U.S. 394 U.S. 435 1,865 2,101 1,054 1,183 811 9
Slide 5: Payments Volume, Quarter ended September
Fiscal Fourth Quarter 2018 Financial Results5 ©2018 Visa. All rights reserved. Quarter ended September 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
Slide 6: Transactions
Fiscal Fourth Quarter 2018 Financial Results6 ©2018 Visa. All rights reserved. Quarter ended September Transactions in millions, except percentages Note: Total transactions represent payments and cash transactions as reported by Visa clients on their operating certificates. On occasion, previously s
Slide 7: Total Cards
Fiscal Fourth Quarter 2018 Financial Results7 ©2018 Visa. All rights reserved. Quarter ended June Total Cards in millions, except percentages 3,188 1,068 2,120 3,268 1,098 2,169 Total Visa Inc. Credit Debit Note: The data presented is based on results reported quarterly by Visa clients on their oper
Slide 8: Revenue – Q4 2018
Fiscal Fourth Quarter 2018 Financial Results8 ©2018 Visa. All rights reserved. 6,201 (1,346) 4,855 6,936 (1,502) 5,434 Gross Revenues Client Incentives Net Operating Revenues Fiscal 2017 Fiscal 2018 Revenue – Q4 2018 US$ in millions, except percentages YoY Change 12% 12%12% Note: Figures may not rec
Slide 9: Revenue Detail – Q4 2018
Fiscal Fourth Quarter 2018 Financial Results9 ©2018 Visa. All rights reserved. Revenue Detail – Q4 2018 US$ in millions, except percentages 2,116 2,067 1,792 226 2,323 2,394 1,963 256 Service Revenues Data Processing Revenues International Transaction Revenues Other Revenues Fiscal 2017 Fiscal 2018
Slide 10: Operating Margin – Q4 2018
Fiscal Fourth Quarter 2018 Financial Results10 ©2018 Visa. All rights reserved. Operating Margin – Q4 2018 US$ in millions, except percentages 1,643 3,212 2,028 3,406 1,833 3,601 Reported GAAP Fiscal 2017 Reported GAAP Fiscal 2018 Adjusted non-GAAP Fiscal 2018 66% 63% 66% Note: There were no compara
Slide 11: Operating Expenses – Q4 2018
Fiscal Fourth Quarter 2018 Financial Results11 ©2018 Visa. All rights reserved. Operating Expenses – Q4 2018 US$ in millions, except percentages Note: There were no comparable adjustments for fourth quarter of fiscal 2017. Refer to the accompanying financial tables for further details and a reconcil
Slide 12: Other Financial Results and Highlights
Fiscal Fourth Quarter 2018 Financial Results12 ©2018 Visa. All rights reserved. Other Financial Results and Highlights • Cash, cash equivalents and available-for-sale investment securities of $15.7 billion at September 30, 2018 • Adjusted free cash flow of $3.3 billion for the fiscal fourth quarter
Slide 13: Financial Outlook for Fiscal Full-Year 2019
Fiscal Fourth Quarter 2018 Financial Results13 ©2018 Visa. All rights reserved. Financial Outlook for Fiscal Full-Year 2019 Annual net revenue growth Low double-digits on a nominal basis, with approximately 1 percentage point of negative foreign currency impact and de minimus impact from the new rev
Slide 14: Appendix
Appendix
Slide 15: Calculation of Adjusted Free Cash Flow
Fiscal Fourth Quarter 2018 Financial Results15 ©2018 Visa. All rights reserved. Calculation of Adjusted Free Cash Flow 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 retur