Mastercard Earnings: Charges Past Wall Street Estimates

Mastercard Incorporated (NYSE:MA) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 3.88%.

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Mastercard Incorporated Earnings Cheat Sheet

Results: Net income increased 3084.21% to $605 million ($4.86 per diluted share) in the quarter versus a net gain of $19 million in the year-earlier quarter.

Revenue: Rose 9.95% to $1.9 billion from the year-earlier quarter.

Actual vs. Wall St. Expectations: Mastercard Incorporated reported adjusted net income of $4.86 per share. By that measure, the company beat the mean analyst estimate of $4.81. It beat the average revenue estimate of $1.89 billion.

Quoting Management: “We are pleased with our fourth-quarter results, which saw double-digit growth in net revenue, cross-border volume and processed transactions,” said Ajay Banga, MasterCard president and CEO…

…We are gaining traction in our U.S. credit business with some recent wins, continuing to experience momentum in our mobile initiatives around the world, and securing important business in emerging markets like Africa and Brazil.”

Key Stats:

Revenue decreased 0.94% from $1.92 billion in the previous quarter. Net income decreased 21.63% from $772 million in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $6.23 to a profit $6.79. For the current year, the average estimate has moved up from a profit of $21.92 to a profit of $22 over the last ninety days.

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(Company fundamentals provided by Xignite Financials.)