Credit and debit card giant Visa recently exceeded revenue expectations for the first quarter of the company’s fiscal year – all companies report financial information on year-long periods starting and ending on any dates they so choose, to explain the fact that Visa’s fiscal year doesn’t match up with standard calendars.
Visa was expected to bring in $4.85 billion in revenue, expressed in terms of the United States Dollar, according to expert predictions from the financial analysts at Thomson Reuters. In actuality, Visa was able to secure revenues of $4.86 billion. Although the difference may seem negligible, the fact that Visa was able to exceed its revenue expectations by ten million dollars speaks volumes for its place in today’s shopping sphere.
Visa Takes Control Of Its Performance In The Company’s First Quarter Of Its New Fiscal Year
The first quarter of fiscal year 2017-2018 for Visa ended on December 31st. In comparison to the company’s performance one year ago, this year’s revenues rose a whopping 9 percent.
Despite the fact its quarterly financial reports were generally positive, shares of Visa fell just short of 2 percent – 1.8 percentage points – in trading that occurred after hours.
Financial Reports From Other Credit And Debit Card Issuers Are Similarly Favorable
Visa wasn’t the only business in the card network sector that posted positive financial results – Mastercard, Incorporated, was one of several giants in the field that posted positive earnings reports. The industry benefited highly from steadily strengthening economies all around planet Earth, especially that of the United States of America.
More consumers are turning to use cards to pay for retail shopping trips, as opposed to seemingly now-outdated cash, which is yet another strong reason explaining Visa’s – and its many competitors in the world of card networks – rise in revenues in its first fiscal quarter.
The United States’ Recent Tax Overhaul Will Provide Several Benefits To Visa And Company
Visa’s board of directors has already approved a common stock share repurchasing program worth a whopping $7.5 billion. The company feels confident that it will be able to remain profitable while offering such benefits to its stakeholders, as tax overhaul approved by the United States Congress just one month ago is slated to boost economic activity across the board.
The company’s quarterly cash dividend was a respectable $0.21 per common stock share.