With the surge in online payments worldwide and increased use of debit and credit cards, Visa Report Profits for the second quarter topped expectations.in the nearest Earnings Conference CallCEO Ryan McInerney announced that second-quarter net income rose 11% year-over-year.
Global quarterly payment volumes also rose 13% year-over-year, but this does not include China or Russia.
Consumer Payments is a Huge Opportunity
On the earnings call, McInerney also said that despite digitization over the past few decades, “a huge amount of cash and checks are still being spent around the world.” As such, he continued, “consumer payments remain a huge issue for Visa. opportunity. There is still a long way to go for growth in this business.”
According to McInerney, consumer payments are essentially a three-part flywheel: increasing credentials (more buyers on the network), increasing acceptance (more sellers on the network), and driving engagement (more transactions) .
With a 7% year-over-year increase in credentials, its acceptance grew to more than 100 million merchants worldwide.What’s more, 74% of face-to-face transactions outside the US now use click-to-pay
The card company continues to expand its network offering with the launch of the Visa+ network. As we mentioned before, Visa+ is their latest service to send and receive funds through various digital payment platforms.
Although the new CEO realizes that “Macroeconomic uncertainty” What he does know is that he believes in “Visa’s ability to respond to changing circumstances.”