Visa (V) 23 Apr 242024 Q2 Earnings call transcript

Welcome to Visa's Fiscal Second Quarter 2024 Earnings Conference Call. [Operator Instructions] Today's conference is being recorded. [Operator Instructions] I would now like to turn the call over to your host, Ms. Jennifer Como, Senior Vice President and Global Head of Investor Relations. Ms. begin. may you Como,

afternoon, Earnings welcome Call. Good Second Visa's Quarter XXXX everyone, Holly. to and Fiscal Thanks,

our Officer. been being Joining A XX Chief section will Chris and Financial be Executive financial today of slide Officer; call posted us are investor.visa.com. highlights IR our statistical and deck Suh, Ryan our website archived website. Visa's containing A Investor on on days. the webcast McInerney, on at Visa's This have Relations is replay Chief for site

Let future this These of me differ presentation includes statements are result remind you also that our could forward-looking not performance, results a factors. statements. guarantees actual as of materially many and

any available our the XX-Q factors information Forms website. annual can subsequent and those X-K, Additional which and section on Relations most and reports in website concerning the SEC's you on report is our recent of find Investor XX-K on Form

financial are turn our GAAP And this over information available on that, call, IR For today's on Ryan. the to materials call related and me let in release available with the disclosed related non-GAAP reconciliation the website. and measures earnings

XX%, $X.X joining in afternoon, results Thank quarter delivered net and with EPS up EPS Good strong everyone. revenue, second We us. XX% for you up non-GAAP GAAP XX%. billion up

relative excluding of volume levers, opportunity processed a on at and key lever. services. X% Cross-border year-over-year, grew payments, each flows, spend XX%. XX% transactions volume Overall For value-added growth few work our payments year-over-year drivers, performance payments tremendous grew all dollars. rose in across growth Visa's grew saw consumer XX%. our I'll payment U.S. in moments year-over-year, strategy stability. business and demonstrates we remains. business volume Furthermore, new constant grew these X% intra-Europe volume and international

opportunity consumption or more trillion, total calendar estimate Russia payments cash converting purchase PPCE The and check, trillion. our and personal China, opportunity the are public on latest XXXX Tap $XX includes consumer enormous. Let's and expenditure, other trillion. year pay how global of Visa addressable credentials; we we cash that $XX data in addressable half payments. the to that $XX example from opportunity. X was transactions is approximately Based consumer is to and start with analysis, This transactions. excluding great our small-ticket than is which about electronic the a two, of is ACH components: one, Within

are three, and pay domestic acceptance have a We examples including cards doing and in as in many the we loan run extend repayments; method primarily that this education rent, like bill Visa space, on work to categories networks.

We have and countries and a moment. There share the about I payments. growth excited converting on focused world, consumer in is long to I'll these cards runway credentials from example Europe around good future remain opportunity been Visa's very a in ahead, in domestic-based a Visa

each. continue and We credentials for payment talk solutions briefly buyers and about and I'll pay capture to e-commerce. new that to growth including issuance, secure tap by and innovative sellers, delivering

the First, we're number progress Visa of credentials. making great expanding in

clients. year-over-year a Europe, since over driven XXX from U.K. XXXX, in is by X%. at credentials We from September for rate credentials December area growth rate part in fastest focus of growth have growing added its million the strong of to One fintech with

days ago. We're the Debit particularly example In This than great a migrated. more as addition, on ran from XXXX a that networks less moment in more the for prepare in domestic to millions million the away. are process opportunity primarily credentials XXXX, Europe I being Paris with excited of we we than Visa Olympics, XX converted XXX mentioned credentials of to which is

Europe Paralympic-branded and working and activate on-site campaigns and alone, as marketing with in XX our cardholder such clients Visa prepaid suite we XXX our the relationship We and Olympic expect with have and renewed this issuance debit to Olympic- countries as commercial games. Also of as in credit million including And before have Caixa solutions engagements our and Europe, to Geral well X issued consumer we in quarter Portugal over for across globally value-added the of a risk sponsorship debit and credential to across Visa start cardholder services, clients events. credit, credentials close analytics. de Depósitos

and Alaska strength loyal top primary and the Visa X Airlines, XX is base our the usage. Another co-brand is of U.S. area pleased of benefits customer partnerships Visa of portfolio that multiyear the extension has that a cross-border successful partner a co-branded from finalized partnership our today, for with issuance. we network are in a co-brand credit high

We had momentum co-brand in significant have CEMEA. also

British First, we Kuwait. Airways, Airways, launched of and co-brand Qatar with in National Bank card partnership a new

expanded an relationship signed with first Second, we Emirates global Arab And co-brand Qatar's agreement Air with have co-branded agreement Skywards. with the a Morocco hospitality in the Qatar Marriott exclusive card also Bank. we to inaugural strong Islamic Emirates, now by agreements leading with airlines our launch marked recent United airline Royal we Across Maroc. all

in bank Visa in Now users cards X% chosen Card, million signed In with purchases. in future to credit over Hood credit brokerage a which access launched for XX affluent new important and a products. In for platform a with customers savings consumer offers we and markets. joined X into that is of transitioning U.S., Robin deal wallet millions broker and customers, new X Credit. newer savings weeks. card the launch Visa has issuance to and from spending and to depositors Debit all their has platform its growth issuers the Europe, million newly Visa Hood, for its Saudi including Philippines consumer Robin the few which people across a to the cashback Republic just are combines expanded Gold Digital in Visa Arabia, Trade XX million and Over card Maya waitlist of expanding the prepaid offer digital new has wallet mobile business fintech a bank bank payments, our of digital a equally full digital stc pay,

in people to our our our all As our I've clients new feel and our products, together expand great mentioned about our flows the past, brand partnerships around we world. coming services, and our the value-added with capabilities, deepen

As to tap Visa's of payments. are growth, drivers digitization pay think the e-commerce and about key in we

years quarter, percentage In penetration to This points last we're issuance growth. that nearing to year note, reach grew this transit pay quarter, accelerating and XX% Japan in City almost on to face-to-face XX%. the demonstrating U.S. XX%, over XX% first acceptance last York the the to tap have at New the Of up from X from the with penetration ago, U.S. its year impact excluding XX% globally, X nearly focused of and our doubled U.S., city second transactions milestone, since

e-commerce to fraud, rates potential on highly the ecosystem, authorization or space, a payments Canada, which grow the Australia, user front, an to are easier although spend. continued us several position tokenization, competitive and year-over-year capabilities therefore, security, to focus countries world, several our making for the matters the And see well. Adding Brazil, believe purchase growth cash a very India. And Visa's because payments to experience service. and On and key is brings to benefits than e-commerce, it option. faster we reducing growth same not is the improving good usually the is And for Visa's including safety, environment, many e-commerce volume this especially face-to-face in around a including and customer U.S. points true e-commerce e-commerce in reliability, we our in

in billion surpassed Europe. of tokens the and milestone globally the second quarter, have X.X have a of over As the joining we Asia and X ranks of billion tokens Pacific, U.S.

focused be addition and of across to all new areas efforts in of to seeking continue We spending. these acceptance

trillion Russia and we and Now and We money are moving to last help solutions these quarter of excluding opportunity, delivering flows. mentioned Visa's China, new we movement see to flows. digitize that $XXX commercial

geographies constant This year-over-year constant improved quarter, transactions Throughout basis, Visa of Direct cases, focused enable to XX% including example enablers. One agreement Thunes, to in expansion across revenue to the Visa new XX% new billion in wallet quarter, countries volumes expanded to overall several Direct year-over-year commercial quarter on growth, Direct can a XXX. our up areas the with the strategy push X.X we increased Visa growth which X% growing recent to dollars. XX for remained with of from dollar new number use which our and through flows and is on

Direct's to payouts capability is eligible push-to-card and made accounts. enable addition, In cards implementing Visa Visa to Thunes

with We Taishan first have Bank. also brought expanded Taiwan agreement Canada cross-border through an earned in wage have with access into Visa capability Direct and Payfare our

faster pleased Visa into Direct On acquiring that business seamlessly be front, operations their capabilities. offer JPMorgan are push integrating to we the will payments our Payments partner, enabler their clients long-time

multiyear services. and the in with we their deepen and expanded in renewed platforms. expense relationship market with In and addition, And on management receivable products enhancements Chase we to investment Bill agreement our in and continued spend our small payable, and business accounts accounts payable, with

for on flows together We business to Direct global solutions. SAP expand new a bringing electronic users. flows and payments, suppliers. One to in representing have technology provider make incorporate is a embedded Taulia's platform. strong we virtual buyers into position also streamlined immense over the and annual A capital technology that platform partnership offerings. the recent solutions government's the collaboration reached an with payments Taulia, in million accessible virtual a through Pesaflow, digital businesses government in credentials Kenya ERP where management and for of cards, example $XX our that a for to eCitizen, new a a The are this combine Visa's and partner and applications SAP with XX company, payments Kenya, payment working trillion over of we Visa where of achieved vertical with leading will agreement experience by volume solution We into signed Visa government payments finance seamless has is card many an integrates in opportunity, with potential

Growth In and gateway, signed with up in token CyberSource let services, in significant continue value-added where an dollars. in solutions. to Acceptance agreement Decision and we America in quarter for Millicom opportunity the management Solutions, Now Manager to and on second move be Latin constant revenue services broad-based. was Cellular XX% value-added International me

expanding As control expanding just Capital to data One, Dala and to years including Fiserv, we open including and MAX about acquired Tink money of on in Tink. with United our with customers have Henry data the data the signed enable such ago, several that movement also X And merchant and Jack We're and Rewards. We've relates we agreements, side, with share banking States, partnerships solutions access their as their deals opportunity it may and with so fintech in presence across are open network. Recently, the years, those their banking consumers winning been them we and to having capabilities Europe, now X open beyond financial bolster risk signed banking, X over provide our as saw expanding innovation, the the Visa announced and Tink through Adyen Revolut. we into AI data. Over Visa utility and our such continue in Protect offerings, technology, to offering. our expertise we through

Manager The Risk Visa them payments, first simplify is Advanced Authorization issuers signature for detection fraud our This Visa of a non-Visa and allows fraud to card expansion single their operations solutions, the into solution. network-agnostic. making

payments. Protect second account-to-account The for is Visa the release of

results Our new score our fraud first thus out specifically that informed number been We've models, of real-time service can digital fraud identify real-time account-to-account a be systems. these risk account-to-account of Powered strong in this solution used instant PXP for roll piloting payments. wallets, these fraud prevention globally. Bank's Central both a by transactions payments, to and built countries, AI-based far payment provides decision have and on our including detection to

U.S. e-commerce risk manage to solution It transaction is new solution world-class market model a specifically Visa deep Deep payments recurrent third of the tailored to contextual neural scoring powered network and a petabytes by better data. The Authorization. is learning

Solutions platforms. quarter, access starting to seamlessly now to initially currency and We have in our the to available as last we Cross excited help Visa Cloud, to the solutions, and AWS We our offerings also are continue Pismo. third-party clients Network Visa cloud provide Partner known through Border recently joined ServiceNow make with systems mentioned running

agreement self-service management for dispute Stripe solutions to We merchants. a their with Verifi through also for signed an distribute them platform

All our of to our these and networks. strategy efforts of offer of and our build are both Visa solutions network part for

by Class this exchange Before it to of we litigation, nearly of next to Chris, merchants, to at expire also end common I the after to that the set U.S. B-X for wanted more XX have a commenced to that I we stock agreed landmark Visa's that note wanted highlight week. I settlement is have with quarter choice let the offer provides hand years quarter, several capping share and small into more updates network interchange giving digital accept once merchants XXXX rates rules, the than thoughts injunctive on The also XX% of beyond. class closing court. and are in how payments. Last, lowering few a which settlement those credit key businesses, they to approved rates me relief

quarter our stable by results and second clients strengthened relationships across First, globe. the marked was with

Second, half value-added and as fiscal year of focus. we areas remain of services our head key and the new back flows into beyond,

consumer and enhancing new e-commerce, our networks. also see check, in building our by lies We of for and significant digitizing opportunity solutions more excited be what capabilities not in network could I cash payments for ahead.

XX,XXX Thank partners. of to is service grateful I Chris. am and you, work clients Visa you in this everything all of come the employees every Finally, over now who because and possible of that to do. for our day

Thanks, Ryan. afternoon, Good everyone.

cross-border stable across volume. and relatively with quarter volume, strong transaction, a was QX said, processed growth payments Ryan As

was In than dollars, growth, Looking was excluding lower-than-expected which XX% above drivers. EPS and slightly X% was nominal currency nominal better-than-expected net up in was at EPS processed and our volatility. year-over-year. XX% expectations, collectively grew revenue year-over-year quarter in XX% up more lower-than-expected up offset dollars. volume Cross-border revenue volume in non-GAAP our up incentives constant intra-Europe, was up due year-over-year constant value-added XX% constant dollars. Fiscal payments and and in second transactions XX% to primarily global dollars, services XX% constant that and GAAP was

like go with when of payments to payments with There growth the Global I'd comparing QX. into a in volume. So highlight growth. starting let's QX details, couple was total X%, things are to QX consistent QX volume

the payments the in in factors, When second generally payments we First, the weakness by and smaller to leap This slowing year growth see for was Asia quarter. some offset Mainland we day in adjust for global a benefit quarter. Pacific, mostly line was first growth primarily other to extra Asia quarter volume with China. macroeconomic volume due

spend saw U.S. card-not-present debit modest Reg similar and and grew on U.S. X%. from a Now relatively remained QX. X% across high grew growth. year-over-year. grew stable. normalize to has U.S. we see volume X%. volume all stable for volume in When grew relatively the Consumer low had QX in year, Card-present payments X% grew Credit X% to impact spend we as spend we leap payments II segments

Our any behavior data not indicate segments. does meaningful change consumer across

was CEMEA in Payments rates most constant payments total for volume growth with Mainland was Europe, the year for Moving ex America, the each U.K., to strong total regions, and than international volume more up international markets, where XX% in constant in XX% major volume first growth growing dollars. Normalized dollars. were quarter leap stable to and growth China, quarter. Latin weakness payments relatively in

Mainland impact amount domestic to revenue reminder, small financial drive a our very volumes is the of a As in and not significant. therefore, statements China

from for line a excluding purchases, or with the cryptocurrency mid-teens, QX to LAC, inbound up out to recover than expectations strong excluding speak we cross-border our volume to dollars continue and generally I'll ranging have XXX% stronger adjusted Europe, QX, which to the U.S. expectations. cross-border, to in out up points within Total travel of travel Cross-border versus in in continued XXX% XXXX. and XXX% Now expectations, volume CEMEA in travel was indexed see in were intra-Europe XXXX several volumes and volume levels. year, the Consistent up constant transactions. and XX% U.S., growth, card-not-present expected. travel with XX% and our growth from healthy XXXX Cross-border of our to of was volumes levels. The for

capacity the up the XXXX XXXX. drivers XXX% X volume into great below growth, continues some in total that for Asia is corridor. Altogether, the strength power, levels see generally pleased anticipated. Asia to diversification the China; to Mainland markets is Australia to was and volume our which has quarter, of We American three, we're airline currencies, our we of model. testament still than up pace weakness particularly Japan; travel X primary with a impacting North And slower one, of with points Pacific of indexed the Asia is but Pacific particularly weakness been points Asia the out from e-commerce at two, Asia. Mainland Travel in XXX% purchasing levels, this volume volume travel offsetting and consumer being: in XXXX weakness cross-border while key China and macroeconomic QX, like recover, growth and for travel

their with Service review grew let's dollar processing processed Now the in was revenue strong which volume. from dollar grew their revenue resulted starting yields respective XX% Both growth versus impacted revenue second X% to quarter with revenue X% financial the first increase revenue in processing XX% generally transaction versus year. results, constant last intra-Europe, quarter. drivers, year-over-year Data service line remaining data up components. excluding volatility relatively revenue consistent grew volume, the cross-border payments revenue and X% by currency versus in QX the the lapping growth. International XX% transaction constant in underlying

lesser reach driven revenue seen volume. XX%, engines, growth lower our payments volatility extent, to cross-border payments revenue growth lows by pricing. Client we we consulting than and volume, timing. years, primarily processed Across grew than revenue was expected stable client As and strong we transactions, in the a Other XX%, X marketing and, lower about expected. grew due incentives relatively deal to by X was that growth growth haven't services consumer performance driven and

improved grew constant increased the interoperability volume dollars. In growth, New expenses services provision constant grew revenue expense due America Commercial flows operating G&A driven Advisory year-over-year revenue headwind. to and PXP G&A dollars XX% constant to year-over-year personnel helped year-over-year expenses. XX% dollars. Solutions expenses. FX primarily XX%, apps. value-added QX, Latin by in primarily $X.X improved Pismo in an driven Visa by increases XX%, expected and point in each and GAAP as increases for represented operating billion, growth to X% X.X transactions XX% approximately litigation in rose Direct to in growth among issuing Acceptance and Non-GAAP and Services. in by

of million. net Excluding equity million, from our $XX was non-GAAP investments $XXX nonoperating losses income

was in Our non-GAAP non-GAAP exchange almost over some point resolution of GAAP of tax matters. GAAP XX.X% XX% point rate approximately drag an buyback dividends our rate distributed and rates March, was we our in remaining At was QX, stockholders. bought approximately and our to year, inclusive had last up drag non-U.S. billion over due the X.X from back we and was authorization. EPS an $X.XX, in Pismo. to billion and tax from XX% $XX.X $X end $X.X the billion X EPS of tax In $X.XX stock

let's Debit Now with payments seen March primarily grew Easter we've what was so move to to X% U.S. XXX% down up Credit Europe, grew to in in up volume far the XX% Processed grew transactions X% volume, and dollar year-over-year XXXX. transactions April year-over-year. due excluding year-over-year, excluding within X%, volume, X% XX% timing. or up XX% indexed constant from intra-Europe, Travel-related dollars. travel Constant constant year-over-year. ex card-not-present cross-border And in dollars to cross-border grew XXst. cross-border

our impacts. to on expectations. in is adjusted defined constant dollars basis acquisition as and results excluding Remember Now non-GAAP that

can these disclosures review for You in our detail. presentations more earnings

Let's year. the start full with

We are year the growth growth for teens. double in low the year and and operating full digits the for reaffirming guidance our low net expense revenue prior in adjusted EPS

digits strongly are a expected payments our from low volume excluding as small discussed. making volatility similar the we increase our volatility quarter offsetting we things for grow are to high assuming the Total further recession the assume growth impacts. Remember e-commerce cross-border progressing Accordingly, second Asia in Asia drivers, we to that quarter. are outlook generally digits. quarter mid-teens, travel. adjustment we for generally to adjusts in with continued slightly in is the to Reg weakness a double strength expected, remained to low, single except third at the no rate the in in II and the the fourth and trends up Currency drivers continue total intra-Europe, no for volume, in that or As in

on the third Now expectations. to quarter

operating to in teens, revenue marketing net be growth and grow quarter puts the in high double the Nonoperating the that growth and million, in the expected driven Olympic-related second expect primarily low generally rate. quarter to low third referenced. double $XX unchanged. the income by and third engagement adjusted quarter XX% in to expenses with Adjusted $XX the expense between between expected adjusted to in tax XX.X% in the are million adjusted is to line due digits, of strong We digits. growth Ryan is end rate QX, be EPS client full This expected low the year

non-GAAP feel into payments, flows, the between a the Pismo EPS changing to headwind operating spending EPS with revenue quarter with to value-added strong is QX across FX the to as to We is head considerations drag growth. In we and X summary, thoughtful non-GAAP have short- an third approximately drag results. we had second X point net to growth. relatively long-term approximately in non-GAAP to expected to and another solid continue and non-GAAP balance in an financial drag For approximately and revenue benefit drivers expected approximately X.X plans growth our as and operating half We environment. we quarter business underlying growth services. point momentum consumer for an expense have the point point and minimal approximately growth point good to new net stable of third context in X.X about our an the expense remain and to X.X benefit quarter,

So some now Q&A. let's Jennifer, do

Thanks, Chris. questions, And with that, take Holly. ready to we're

Sakhrani Sanjay Instructions] KBW. with is Our first [Operator caller

question. clarification a Chris,

impact that? mainly the -- the mentioned refund be into to would in adjusted the for Is then quarter in growth last You commensurate on a matter, Easter did it just trends? the was in quarter or or that with quarter-to-date timings have if And the quarter trends. later assume the affecting quarter-to-date tax any fair related rate you

the for thanks Yes, question.

of timing on of said this of X call, in which in were year. last April month the was first year the to the through than lower I March, again, as volumes, Easter, March and weeks the April March. due This So was

growth change growth the March between that in the And the change so meaningful. April into months -- factor rate not are and you rates, is once

I have an Largely, year-to-date. payments far consistent As point, really update. as at this tax this point been at don't they've

Our is caller Chiodo next with UBS. Timothy

There of and comments the think some When then card-present clearly, overall travel, so and we weakness. traditional there's the retail e-commerce, the faster strength cross-border, portions, were the card-not-present, if cross-border some you smaller right, the of are there's e-commerce. But earlier. or about the cross-border traditional it e-commerce but you other within helpful Thunes of have wondering around or offsetting travel maybe components so I become there size, growing whether be part portions some overall could those was remittances of payouts other example marketplace gave the mix? in as faster-growing aggregate, of a how large the maybe

start? don't Yes, Yes, I break out. sure. Why don't to have specifics we

we about, above It yields e-commerce and the The accretive business our continues expected. to entire what cross-border to As business we been has overall. are grow positive talked across strong. Visa

that in a And breakout the asking were for flavors you I terms cross-border, so have pieces we're happy of but don't of with further you about. all

Partners. with Maurer next Craig Our call is FT

I third that likes we year by U.S. embeds in continued saw the restaurant lower It wanted the on income the the at reducing March for the portion guidance if U.S basically of areas. in question spend weakening of what significantly to is look we've and that we know released quarter of Darden certain a both the seems Wanted debit. data weakening trend to ask to continued and degree your trends. April also February. in that since seen, U.S. debit

the there. curious commentary So about

Yes.

talked the we the stable stable and see U.S. -- quite about call, talked I for debit, we As volumes across about. normalizing that on the things credit relatively in

And stable well. addition, so about II, talked remains impact as in I as the Reg

in our U.S. volume data from stable the our indicates so And growth perspective,

TD Cowen. Our next Bergin caller is with Bryan

so recovery the there you quarter? comment nice saw last what Wanted growth. pronounced recovery to a on most Can in flows, what to ask give on a underlying growth you relative new were areas in

Yes.

fact, transactions, Visa Let and, information over volume we quarter. QX the for me growing saw we you growth, about pieces We to last saw stable X%, growth. several that QX very gave the And growth stable XX% growth strong the talk X in of terms in in QX globally, of quarters. Direct commercial

XX%, you revenue, with in which flows with at that total, of line the the year. shared we New was in growing expectations our start

I passed you're was due the was really growth were in onetime and at to because lower, that that think recovery some this QX was that point. to we've lapping nonrecurring, referencing issues which

Sachs. Our with next caller Goldman is Will Nance

A a the versus specifically, half dynamics the question year. dual-part of some course made guidance just the guess the prior first you of incentives. acceleration I second around I on of of some and over guess, bit of And half drivers

of You growth of in your that upbeat guess the the of I over help that second might to quarter? And lot first a lower half hear you question comps ticket kind and easing of kind volume as down the from talked GAAP growth some despite the rate Is most I on on course about step prices still the year sort half. Asia recent the sizes trends. the coming But commentary on trends. think well. expectation I in overall, and that you similar inflation in had a then

kind seen in of the and what's structural U.S.? kind any on just size specifically ticket more ticket versus you've there? on commentary Any of negative So the commentary sizes environmental

Yes, okay.

the with first Let of question. part incentives, start your me first

So from of in deal come as performance, number you lower quarter-to-quarter, seen, based what all growth have to is client on timing, X factors: anticipated. than caused half which incentive vary can a

higher than the year. the the rate growth be half starting of incentives in the lower For the half QX half expect the year-over-year second lap we we in saw growth still will the of to incentive year, second unchanged. our second in outlook of half lowest the the do our growth expect first that last as we year. And We expectations be quarter largely remain for

lower U.S., of ATS ticket in so was unpack ATS, that ahead slightly QX. So from -- year. in from continued we QX improved QX it sizes second, half the second previously, by between in that and the growth of slightly, we to continue saw there's impact the here, growth positive the saw To question and negative, last from U.S. outside improvement expectations Pacific, maybe will markets. to a apart higher Globally, consistent go of regions, which this we to several let's size in In to aside of turn unchanged. ticket but lot through trend half kind of moving lap detail with including inflation we your second ATS the year-over-year Asia in parts for U.S., for in is the do looking the second I'll expect bit set half let something Breaking the that and this X QX QX, still several in on year to as me a in down that QX. And a actually Internationally, the we've improve growth is international. spoken bit.

excluding half so in second expect the still And Asia, on overall, positive ATS in turn based to U.S. the improvements we the expected

that year. With the factored of Asia will the payment was global factored in, slightly into impact I and be negative, ATS for gave outlook that full revised the volume

Our with Securities. Wedbush next Moshe Katri caller is

a there pretty in there sequentially call anything to significant out Is value-added uptick growth that for seems It was services. there?

any the for you just specific talk for Thanks question. And the call-outs. a I'll I can minute, about business Moshe. then add Chris, mean,

not of We're by it, are around open a areas prepared remarks, I as the And a the them. have existing traditionally the is driving just mentioned, we're our deal product X a remarks arming That's, different having on help are my we're those that said that. But relationship markets What we're new really deepening my the products of banking we've And prepared they of our in having terms trying if around market, can prepared a terms world. the And of we you few the remarks. growth. I hadn't today, expansion. think building actually is big its teams then that we've business really then we're as the success lot are world. We're in progress studies as a in in One on existing clients. And great we market. fraud my geographic the client drive that bringing sales just risk success the well the with hitting to positive of have in strides in have. and in areas products to example driving they focused I space bringing CyberSource teams where with growing using? example how most both clients. in with CyberSource case penetration we near-term mentioned building is space. in been space. metrics deepening about think deep. our got in been using? sales client We're What we opportunity all has where I the think, of been one I CyberSource we platform AP of to of

how So just I know, of don't those the seeing call-outs, broader terms couple Moshi, of a of we're kind in are business.

Our is William Blair. next with caller Cris Kennedy

U.S. Can about Tink You in open the you the to into bringing talk relative talked about the U.S. Europe? banking opportunity

platform best over that Yes. was it in Thanks, it. years Cris. the in Listen, market of years developed had banking most that proven couple believing think open the I we've true that's own Europe a Tink We the to And ago, the is I chance world. bought Europe. X think

we've side making client the progress. been great in Europe, On

more in side describe think would account things. I been fintechs winning I payment the of mentioned prepared remarks. as information of my less in as as the I well We've Europe. things and with both and a others, merchants both as market U.S. business in share and developed traditional couple banks, side the winning

more well U.S. for and market. and much with developed the we've we've Europe products, And us the as so to losses the the success services, the it's market had of had that wins, learnings to I all take think the the clients, as bring an that opportunity in our the

excited to that. we're do So

so the I very U.S. still we're mentioned, its to of And coming hopeful we'll market. you that over the lot and stages success market is have years, share U.S. think a early with the good a I have think the in in the market. quarters for development, at a the be a us of I chance that we to As it's competitor time

Our next Perlin Dan with caller Markets. RBC is Capital

on you kind and want equalize of market I understand. Authorization ask commentary as Are Ryan, the to to there. wanted with to like means kind doing a maybe which partnered platform? you within I make market question of across for of with I And this on so this to Visa just a the Deep sure within that e-commerce not need competing kind there or rates more authorities the e-commerce acquirers individually be something like authorization specifically? is they're different just therefore,

Dan, let me back up.

think e-commerce one I in the the on it's it's hand, than most different market planet. on you a what the U.S. -- it's little were that market What developed the is describing. the found we most e-commerce

the sophisticated attack the the see On of most become hand, the and that vectors we in anywhere it's world. other place fraud

bringing an scoring attack specifically we're of seeing transaction tailored what to bringing with for we're is Authorization we U.S. the that are Deep unique built market in and platform that Visa and so is the vectors capability sets And -- e-commerce risk

I products. to and and our contextual market. another will mentioning think of Authorization some on view in And tuned increase in going want better a to be We had sequential accounts reduce was remarks, partners. And have the conversion specifically authorization help built it's what merchant to We it that's as whole prepared do we rates, of of lot rates, we the fraud So increase buyer fraud our learning a my U.S. technology for the yet experience. and tool deep Deep Visa seller is to with do that is want that. authorization make shopping goal

Tien-Tsin is Huang JPMorgan. Our next with caller

maybe. deal place to maybe something this market It if takeaway in growth going Is investing? some sounds Emirates we East a curious activity you. paying more attention like believe like I'm good Middle a is the sounded there pipeline perspective? there's for just should here. be It I a is from a new on

Thanks, Tien-Tsin.

which I good we what best, them you're do sales our to from doing drive and work we there that our our kudos obsessing is is the what important ground learning, team bringing do and propositions meet it think team, them execution helping value what's to listening, the and needs about when are great products strategies seeing and in clients, their just really on their that and then they're doing. with

Jefferies. Trevor Our next caller with is Williams

This Ryan. one is for

Just think you're be expecting impacted But downstream your go to changes within by settlement. the and interchange. between kind banks. if the of all the just merchant on directly competitive at clearly, In U.S., I'm you it kind to relationships the in the wanted what dynamics you impact guys Visa, to aren't of lower back any you curious U.S. issuing way And credit the market.

this is for of there Good This clarity part so. been out and is better years brings the XX to market. the or litigation news stability on front that's it

I great been been lot think to done a a of there's this bring work that's to resolution.

sets increases for X the remind years everyone and have U.S. flexibility the what agreement. And the And to the of in things is Mastercard. will interchange and it of Visa specifically manage that. tools no then for credit reduce give things. they in interchange second planks as for merchants that how are like the relates One really different set more to Just payments to X the of it things it surcharging both U.S. -- will market main resolution of for are, cards it is

digitization and who is we've on built I the and on, States. lets continuing to think in great this said, ecosystem I market U.S. payments the grow move that overall, collectively which in all that the it's everybody operates clarity of what Trevor, stability move United

is Rawat Harshita next with Bernstein. Our from question

base. along kind give kind I bundled value-added services evolved of a the talked you've for X these with And us think how the services story. time? about to on of services, your the sense you know client extent separate an up have clients of pricing So Such services. service? some the about over Ryan, of your pricing to you want rest Can Xx top penetration you XXX important versus of versus part these finally, on I and growth as use how follow number offer numbers what it's of your almost core types

You have memory. great a

As top value-added on about clients like just said, so moved We our services. we use about the number the average planet. is think opportunity we've when how around XXX clients of But about that's you quarter-to-quarter. the our enormous, have of don't or XX talk

are we've the value B, client, putting D client for by mentioning numbers. was A, I What for what of are we've frontline as teams kind having are that them? earlier, in you we're earned so the see or services opportunities to success of is work using? great kind client using? with and what And they they And What the not by to create our value-added C done

deep our different we're products the work approaches risk to identity trying a that's product can up the places We're from different mix have it's our different market. in for always of banking. solutions to help each span to world. all sets to advisory And for open meet to that of that into acceptance the the so pricing of In right terms of portfolio in products and issuing best the the pricing, suites different we value-added models market to pricing for and world going different pricing services around in to those clients.. we are the with competitive every bringing different best around and markets, come And and

Ramsey El-Assal is caller Barclays. next Our with

consumer issue more of question out, one a do drive What ask that the you share speed you banks up? domestic namely taking card opportunities getting on Is basically to networks. is have it of it from payment that? I side? levers to acceptance that called the the are or just cards to about your wanted more or Ryan that of How consumer

first It's Yes, thanks the question. you mentioned. for that really things the the of

Now, the to around we operate do of in great need those planet. we need capabilities course, which all market every we acceptance. types of have to and great We have things,

car able Debit value And same you their don't domestic provide the get example, becomes scheme. for them Visa it the a Debit from runs a schemes. that versus down of, they domestic sitting then to get with capabilities the into clients, is So of on that Visa then type primarily maybe helping card that understand e-commerce capabilities clients

would to of You were schemes customers Visa card domestic using opportunities those versus one their get travel that they have that a mentioned. cross-border I if

can down of kind get these us more also and that ability to higher see issue do rates, results, fraud have they'll risk for then decision our that clear They'll clients benefits are with sit you've and prevention becomes lower mentioned talk to and about all decision client tokenization. I the cards mean, them. Visa into spend, very I will the and Often, fraud again, some higher capabilities transactions to over tests. the what explain pilots and the approved You their see the And and to over heard they'll clients those see teams earlier a the some ultimately, clients satisfaction. them.

caller Jamie is next Susquehanna. Friedman with Our

color share view and market? how the you you into could I Mexico Prosa to productize far so on some the opportunity as Mexican in press if was you how wondering start is doing and

Jamie. I opportunity clients well. We couple of a Coincidentally, as team one. Prosa as there with weeks Thanks, the was view just the down a meeting meeting significant Mexican very Yes. and ago, with

our the I I don't to transactions of course services think that calls, on Mexico, of we process because as this one we're not value-added call today, able domestically lot So over to the explained I've these mentioned deliver in of a clients.

of built our first scoring to then market, things things. very and that that capabilities capabilities I the clients world-class or I opportunity risk those these mentioned the excited in and e-commerce are Prosa types majority earlier, tokenization, so foremost, a the I us or the algorithms Mexican about And having bring to mentioned have stake ownership that the we've mentioned,

Now and It's They deep have XX more do annually. been operating billion They great at than processing years asset. Mexico. have clients. Prosa base They is itself XX in scale. a for great transactions experience a of

a amount of payments really our record the our those to the combination Mexico. a these lot Mexican the it's technology, electronic can of X combined deep lot with and lot of experience combination of services clients bringing experience, market, the things confidence that significant in cash and of we digitize that check our us exist gives confidence of and in today So and footprint a our in Prosa's track market

Andrew from Citi. with is question Schmidt next Our

all back a other FX go consider to and part spread bit if cross-border with whether there. if talk or Maybe a there's to changed wanted revs I down puts or assumptions vols should cross-border is of could the about how back takes of the at growth we and volumes. Obviously, those for a between half narrowing you little the have second. coming

in do Yes, our so QX, length embedded at sure. volatility we We lows. volatility -- assumption, currency one This low remain In hard volatility level. -- spoke levels QX in volatility at in what's multiyear the that Yes, of embedded currency is have, second improves at consumer had in really again currency QX, do predict. health we across half business that saw market expectations. But our about we good as line forecast, of the year, the of view we enter feel across yes, anticipate with is our the across that That QX flows, our That's for the new slightly. generally volatility. payments, services. value-added about underlying said, guidance to I we is this

and in. to comes sort the have it And how see of is variable volatility so we'll

Jason Our next from with Bank question America. of Kupferberg comes

cross-border expectations for second VAS flows talk half Can your about growth new and growth? travel you as well as volume revenue

Sure.

revenues growth, And that international -- the from lower year a be But treasury EPS. as we anticipated us, for unpack guide QX. heard we I volatility is me volatility net to little a again, cause to full year spoke than in going fact year, the prior reaffirmed in OpEx, about bit you revenue that. our currency within our that, adjusted that full within unchanged Let

of at shared we Our expectations consistent the are for that anticipated. the with new VAS flows which we year, and ones beginning the

faster QX. full the year. Value-added second will the there is X the We half towards half the faster over quarters. flows of We're seeing grow services growth growth in with first of in of see in payments the the year, than grown that evident. in pretty XX% For XX% the year. continuing each consumer weighted anticipate good second has growth The momentum new to

cross-border around question of The total. was, your part travel second think, I volumes in

based about bit we adjustment, half a X trends. little make So you talk heard did of on me

so with this in through And one so parts a detail. of it let's couple again, go just is

than our cross-border great with expected. e-commerce with growth and about XX% that, we all, growth, really of our line I half First travel good. better in mid-teens XX% first QX, feel in performance, feel total within expectations. And

with expectations out strong actually exception I than all which about the being on ones And that, to seen continues of our of the year, pace Asia we of the so to planned again, unpacking the CEMEA, Europe, expected, offset play but expected. than is travel travel volume continues most we to as e-commerce healthy which call, a be most at which performing LAC, recovery talked cross-border the and strength the bit, again beginning in regions, in that slower business, better we've improve, by the being

and trends upped moderated these we've to to outlook continue we due the travel on our and second AP into So expect our thus, for half expectations e-commerce.

which together, all view to putting in So remain is is, frankly, mid-teens that the yields strong, relation growing both in volumes the better financial total our strong across the given cross-border our half, measure the performance, that e-comm. second overall, travel in and

from Research. question Ken The Suchoski comes Autonomous last with

A about were than in wanted lot we came the expecting. of my though, questions asked. But have been because just service ask little lighter I a they to yields, bit

declined can about year-over-year, just service in drove talk also the client but a offset lower maybe like coming bit incentives what there's that? some yield So quarter. the with you little It looks

to thoughts about So that helpful. think change how in year-over-year the any forward. Any would going there on yield detail be

aided over ], our PV. second grew As QX constant would call none dollar by a consistent I with bit XX and was I average a little revenue X.XX of data single quarters. impacted underlying revenue that's think the we that's of things, transactions, the versus that processing PV, and the the is helped which QX talked generally at bit by in with in several the From about, pricing. X% constant and thing. Data Service perspective, quarter revenue important versus a drivers. both that [ a consistent with above grew out processing X% processed yield service smaller revenue little remained as last -- line number a dollar yield thing

company seeing net across see that. quite yields stable. remained yield very And stable revenue to we're so even the pleased broadly, across the we're more business, whole And and our

please, Great. Holly. question, And last

Golding Macquarie with Paul comes Our question from Capital. last

the you talking of had opportunity were those. each about trillion, you you thought I was quantifying if check opportunity conversion cash are network in of wondering was of ACH half. where addressable to the the which for and you given think and $XX versus that Ryan, domestic capture any

great I'll X. thanks. Yes, give having all success We're examples. in

ahead Some X than parts some world But of of of are is the the different I our and of an X Europe good in the of areas. teams more example. like mentioned, others schemes enormous in as are in we've these in others, opportunity all prevalent world having success been areas, really domestic all parts and the of

And with like you to today. for joining we'd us thank that,

additional feel call Relations team. to have great please our a questions, free and Thanks you or again, e-mail day. have Investor If

this concludes today's And for participating. conference. Thank you

disconnect a this rest of day. have time, may You at and great your