Key Takeaways
- Mastercard reported its second-quarter revenue rose 11% year-over-year to $6.96 billion, beating analysts’ estimates.
- Payment network revenue climbed 7%, driven by a 9% increase in gross dollar volume.
- CEO Michael Miebach said the company benefitted from “continued healthy consumer spending.”
Mastercard (MA) shares gained 3% in intraday trading Wednesday after the company reported second-quarter revenue that topped analysts’ expectations, with a lift from “healthy consumer spending.”
The credit giant said its revenue for the second quarter rose 11% year-over-year to $6.96 billion, beating analysts’ estimates. Earnings per share (EPS) of $3.50, rose 16% year-over-year, roughly in line with analysts’ expectations, according to estimates compiled by Visible Alpha.
‘Healthy Consumer Spending’ Helps Drive Results
“We delivered another strong quarter across all aspects of our business with double-digit net revenue and earnings growth,” CEO Michael Miebach said, citing “healthy consumer spending” among other reasons.
Payment network revenue climbed 7%, driven by a 9% increase in gross dollar volume. Mastercard’s services division, which includes marketing and consulting, saw revenue rise 18%.
Shares of Mastercard were up 3% at $461.07 as of about noon ET Wednesday following the company’s earnings release. With Wednesday’s gains, they’ve climbed close to 8% since the start of the year.