Visa Inc. (NYSE:V) today announced financial results for the Company’s fiscal fourth quarter and full-year 2015. GAAP net income in the fiscal fourth quarter of 2015 was $1.5 billion or $0.62 per share, an increase of 41% and 44% over the prior year, respectively. GAAP net income for the full-year 2015 was $6.3 billion or $2.58 per share, an increase of 16% and 20% over the prior year, respectively. All references to earnings per share assume fully-diluted class A share count unless otherwise noted.

Net income in the fiscal fourth quarter was $1.5 billion or $0.62 per share, an increase of 12% and 14% over the prior year adjusted results, respectively. Adjusted net income for the full-year 2015 was $6.4 billion or $2.62 per share, an increase of 13% and 16% over the prior year’s adjusted results, respectively. The Company’s full-year 2015 adjusted financial results excluded a non-cash, non-operating expense recorded upon the revaluation of the Visa Europe put option of $110 million. The Company’s 2015 results included a one-time tax benefit of $239 million resulting from the successful resolution of uncertain tax positions with taxing authorities during the fiscal third quarter that related to prior years. Prior year adjusted results excluded the impact of a special item related to amounts covered by the retrospective responsibility plan and related tax benefit during the fiscal fourth quarter. Prior year results also included a one-time tax benefit of $191 million related to a deduction for prior years’ U.S. domestic production activities during the fiscal second quarter.

Net operating revenue in the fiscal fourth quarter of 2015 was $3.6 billion, an increase of 11% nominally or 13% on a constant dollar basis over the prior year. The strengthening of the U.S. dollar versus the prior year quarter negatively impacted net operating revenue growth by approximately 3 percentage points.

Net operating revenue for the fiscal full-year 2015 was $13.9 billion, an increase of 9% nominally or 12% on a constant dollar basis over the prior year, driven by solid revenue growth contributions from service, data processing and international transaction revenues. The strengthening of the U.S. dollar versus the prior year negatively impacted net operating revenue growth by approximately 2.5 percentage points.

Adjusted quarterly and full-year operating expenses and net income per class A common share outstanding are non-GAAP financial measures that are reconciled to their most directly comparable GAAP measures in the accompanying financial tables.

“Visa’s fiscal fourth quarter was a strong finish to an equally strong fiscal full-year 2015 in terms of revenue and earnings per share growth in the face of a continued challenging global economic environment. The underlying growth of our franchise continued as evidenced by our strong payments volumes as well as new and renewed partnerships during the year. Most importantly, we continued to build our capabilities at the physical point-of-sale as well as in the digital space,” said Charlie Scharf, Chief Executive Officer of Visa Inc. “Although fiscal 2016 reported growth rates will be negatively impacted by a strong US dollar and an uneven global economy, we are well positioned for strong success in 2017 and well beyond.”

Fiscal Fourth Quarter 2015 Financial Highlights:

Payments volume growth, on a constant dollar basis, for the three months ended June 30, 2015, on which fiscal fourth quarter service revenue is recognized, was 11% over the prior year at $1.3 trillion.

Payments volume growth, on a constant dollar basis, for the three months ended September 30, 2015, was 12% over the prior year at $1.3 trillion.

Cross-border volume growth, on a constant dollar basis, was 5% for the three months ended September 30, 2015.

Total processed transactions, which represent transactions processed by VisaNet, for the three months ended September 30, 2015, were 18.4 billion, an 8% increase over the prior year.

Fiscal fourth quarter 2015 service revenues were $1.6 billion, an increase of 9% over the prior year, and are recognized based on payments volume in the prior quarter. All other revenue categories are recognized based on current quarter activity. Data processing revenues rose 6% over the prior year to $1.4 billion. International transaction revenues grew 16% over the prior year to $1.1 billion. Other revenues were $216 million, a 3% increase over the prior year. Client incentives, which are a contra revenue item, were $802 million and represent 18.4% of gross revenues.

Total operating expenses were $1.3 billion for fiscal fourth quarter 2015, a 5% increase over the prior year’s adjusted results, primarily related to an increase in personnel, professional, and marketing expenses, additional depreciation from our ongoing investments in technology assets, offset by lower general and administrative expenses.

GAAP effective tax rate was 33.8% for the quarter ended September 30, 2015.

The weighted-average number of diluted class A common shares outstanding in the fiscal fourth quarter was 2.4 billion.

Cash, cash equivalents, and available-for-sale investment securities were $9.3 billion at September 30, 2015.

Fiscal Full-Year 2015 Financial Highlights:

For the fiscal full-year 2015, service revenues were $6.3 billion, an increase of 9% over the prior year. Data processing revenues rose 7% over the prior year to $5.6 billion. International transaction revenues, which are driven by cross-border volume, grew 14% over the prior year to $4.1 billion. Other revenues were $823 million, a 7% increase over the prior year. Client incentives, which are a contra revenue item, were $2.9 billion and represent 17.1% of gross revenues.

Total processed transactions, which represent transactions processed by VisaNet for the twelve months ended September 30, 2015, totaled 71.0 billion, a 9% increase over the prior year.

Total operating expenses were $4.8 billion for the twelve months ended September 30, 2015, a 6% increase over last year’s adjusted results, primarily related to continued investments in personnel, infrastructure and technology, offset by a reduction in marketing and network and processing fees.

GAAP effective tax rate was 29.6% for the twelve months ended September 30, 2015.

The weighted-average number of diluted class A common shares outstanding for the full year was 2.5 billion.

Notable Events:

During the three months ended September 30, 2015, the Company did not repurchase shares of class A common stock. During the twelve months ended September 30, 2015, class A common stock was reduced by 44.1 million shares, at an average price of $65.98 per share, using $2.9 billion of cash on hand. At September 30, 2015, the Company had $2.8 billion of remaining funds, authorized by the board of directors, available for share repurchase under the current program.

As announced on October 21, 2015, the board of directors declared a quarterly dividend in the aggregate amount of $0.14 per share of class A common stock (determined in the case of class B and class C common stock on an as-converted basis) payable on December 1, 2015, to all holders of record of the Company’s class A, class B and class C common stock as of November 13, 2015.

The board of directors has authorized a new $5.0 billion class A common stock share repurchase program. The shares may be repurchased from time to time as market conditions warrant, and authorization for the program is subject to further change at the discretion of the board.

Financial Outlook:

Visa Inc. provides its financial outlook for the following metrics for fiscal full-year 2016:

  • Annual net revenue growth: High single-digit to low double-digit range on a constant dollar basis, with an expectation of about three percentage points of negative foreign currency impact;
  • Client incentives as a percent of gross revenues: 17.5% to 18.5% range;
  • Annual operating margin: Mid 60s;
  • Tax rate: Low 30s;
  • Annual adjusted diluted class A common stock earnings per share growth: Low-end of the mid-teens range on a constant dollar basis, with an expectation of about four percentage points of negative foreign currency impact; and
  • Annual free cash flow: About $7 billion.

The financial outlook for fiscal full-year 2016 does not include any impact from the Visa Europe transaction.

Fiscal Fourth Quarter 2015 Earnings Results Conference Call Details:

Visa’s executive management team will host a live audio webcast beginning at 5:00 a.m. Pacific Time (8:00 a.m. Eastern Time) today to discuss the financial results and business highlights for the quarter, as well as the Visa Europe transaction. The dial-in information for the call is 888-790-4410 (within the United States) or 773-756-0127 (international). The conference passcode is 7974435. A replay of the call will be available until December 1 and can be accessed by dialing 800-925-1967. The live call and replay, along with supporting materials, can also be accessed through the Investor Relations section of Visa’s website at www.investor.visa.com. A replay of the webcast will be available on Visa’s Investor Relations website for 30 days.

About Visa

Visa Inc. (NYSE: V) is a global payments technology company that connects consumers, businesses, financial institutions, and governments in more than 200 countries and territories to fast, secure and reliable electronic payments. We operate one of the world's most advanced processing networks — VisaNet — that is capable of handling more than 65,000 transaction messages a second, with fraud protection for consumers and assured payment for merchants. Visa is not a bank and does not issue cards, extend credit or set rates and fees for consumers. Visa's innovations, however, enable its financial institution customers to offer consumers more choices: pay now with debit, pay ahead of time with prepaid or pay later with credit products. For more information, visit usa.visa.com/about-visa, visacorporate.tumblr.com and @VisaNews.

Forward-Looking Statements:

This Press Release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are identified by words such as "estimates," "expectation," "outlook", "may," "projects," "could," "should," "will," "will continue" and other similar expressions. Examples of forward-looking statements include, but are not limited to, statements we make about our revenue, client incentives, operating margin, tax rate, earnings per share, free cash flow, and the growth of those items.

By their nature, forward-looking statements: (i) speak only as of the date they are made; (ii) are not statements of historical fact or guarantees of future performance; and (iii) are subject to risks, uncertainties, assumptions or changes in circumstances that are difficult to predict or quantify. Therefore, actual results could differ materially and adversely from our forward-looking statements due to a variety of factors, including the following:

  • the impact of laws, regulations and marketplace barriers, including:
    • increased regulation of fees, transaction routing, payment card practices or other aspects of the payments industry in the United States, including new or revised regulations issued under the Dodd-Frank Wall Street Reform and Consumer Protection Act;
    • increased regulation in jurisdictions outside of the United States;
    • increased government support of national payment networks outside the United States; and
    • increased regulation of consumer privacy, data use and security;
  • developments in litigation and government enforcement, including those affecting interchange reimbursement fees, antitrust and tax;
  • new lawsuits, investigations or proceedings, or changes to our potential exposure in connection with pending lawsuits, investigations or proceedings;
  • economic factors, such as:
    • economic fragility in the Eurozone, the United States and in other advanced and emerging markets;
    • general economic, political and social conditions in mature and emerging markets globally;
    • general stock market fluctuations which may impact consumer spending;
    • material changes in cross-border activity, foreign exchange controls and fluctuations in currency exchange rates; and
    • material changes in our financial institution clients' performance compared to our estimates;
  • industry developments, such as competitive pressure, rapid technological developments and disintermediation from our payments network;
  • system developments, such as:
    • disruption of our transaction processing systems or the inability to process transactions efficiently;
    • account data breaches or increased fraudulent or other illegal activities involving Visa-branded cards or payment products; and
    • failure to maintain systems interoperability with Visa Europe;
  • any prospective transaction with Visa Europe may not be agreed to or implemented;
  • costs arising if we become obligated to purchase all of Visa Europe’s outstanding capital stock;
  • the loss of organizational effectiveness or key employees;
  • the failure to integrate acquisitions successfully or to effectively develop new products and businesses;
  • natural disasters, terrorist attacks, military or political conflicts, and public health emergencies; and
  • various other factors, including those more fully described in our filings with the U.S. Securities and Exchange Commission, including our Annual Report on Form 10-K for the year ended September 30, 2014, and our subsequent reports on Forms 10-Q and 8-K.

You should not place undue reliance on such statements. Except as required by law, we do not intend to update or revise any forward–looking statements as a result of new information, future developments or otherwise.

 
VISA INC.
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
     
September 30, September 30,
2015 2014
(in millions, except par value data)
Assets
Cash and cash equivalents $ 3,518 $ 1,971
Restricted cash—litigation escrow 1,072 1,498
Investment securities:
Trading 66 69
Available-for-sale 2,431 1,910
Settlement receivable 408 786
Accounts receivable 847 822
Customer collateral 1,023 961
Current portion of client incentives 303 210
Deferred tax assets 871 1,028
Prepaid expenses and other current assets   353     307  
Total current assets 10,892 9,562
 
Investment securities, available-for-sale 3,384 3,015
Client incentives 110 81
Property, equipment and technology, net 1,888 1,892
Other assets 776 855
Intangible assets, net 11,361 11,411
Goodwill   11,825     11,753  
Total assets $ 40,236   $ 38,569  
 
Liabilities
Accounts payable $ 127 $ 147
Settlement payable 780 1,332
Customer collateral 1,023 961
Accrued compensation and benefits 503 450
Client incentives 1,049 1,036
Accrued liabilities 868 624
Accrued litigation   1,024     1,456  
Total current liabilities 5,374 6,006
 
Deferred tax liabilities 4,123 4,145
Other liabilities   897     1,005  
Total liabilities   10,394     11,156  
 
Equity
Preferred stock, $0.0001 par value, 25 shares authorized and none issued — —
Class A common stock, $0.0001 par value, 2,001,622 shares authorized, 1,950 and 1,978 shares issued and outstanding at September 30, 2015 and 2014, respectively — —
Class B common stock, $0.0001 par value, 622 shares authorized, 245 shares issued and outstanding at September 30, 2015 and 2014 — —
Class C common stock, $0.0001 par value, 1,097 shares authorized, 20 and 22 shares issued and outstanding at September 30, 2015 and 2014, respectively — —
Additional paid-in capital 18,073 18,299
Accumulated income 11,843 9,131
Accumulated other comprehensive loss, net:
Investment securities, available-for-sale 5 31
Defined benefit pension and other postretirement plans (161 ) (84 )
Derivative instruments classified as cash flow hedges 83 38
Foreign currency translation adjustments   (1 )   (2 )
Total accumulated other comprehensive loss, net   (74 )   (17 )
Total equity   29,842     27,413  
Total liabilities and equity $ 40,236   $ 38,569  
 
               
VISA INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)
 
Three Months Ended Twelve Months Ended
September 30, September 30,
2015 2014 2015 2014
(in millions, except per share data)
Operating Revenues
Service revenues $ 1,637 $ 1,499 $ 6,302 $ 5,797
Data processing revenues 1,429 1,348 5,552 5,167
International transaction revenues 1,091 938 4,064 3,560
Other revenues 216 212 823 770
Client incentives   (802 )   (768 )   (2,861 )   (2,592 )
Total operating revenues   3,571     3,229     13,880     12,702  
 
Operating Expenses
Personnel 521 496 2,079 1,875
Marketing 253 241 872 900
Network and processing 134 128 474 507
Professional fees 107 94 336 328
Depreciation and amortization 119 112 494 435
General and administrative 143 153 547 507
Litigation provision   11     453     14     453  
Total operating expenses   1,288     1,677     4,816     5,005  
Operating income 2,283 1,552 9,064 7,697
Non-operating (expense) income   —     (2 )   (69 )   27  
Income before income taxes 2,283 1,550 8,995 7,724
Income tax provision   771     477     2,667     2,286  
Net income $ 1,512   $ 1,073   $ 6,328   $ 5,438  
 
Basic earnings per share
Class A common stock $ 0.62   $ 0.43   $ 2.58   $ 2.16  
Class B common stock $ 1.02   $ 0.73   $ 4.26   $ 3.63  
Class C common stock $ 2.48   $ 1.73   $ 10.33   $ 8.65  
 
Basic weighted-average shares outstanding
Class A common stock   1,948     1,969     1,954     1,993  
Class B common stock   245     245     245     245  
Class C common stock   19     24     22     26  
 
Diluted earnings per share
Class A common stock $ 0.62   $ 0.43   $ 2.58   $ 2.16  
Class B common stock $ 1.02   $ 0.72   $ 4.25   $ 3.62  
Class C common stock $ 2.48   $ 1.72   $ 10.30   $ 8.62  
 
Diluted weighted-average shares outstanding
Class A common stock   2,440     2,493     2,457     2,523  
Class B common stock   245     245     245     245  
Class C common stock   19     24     22     26  
 
             
VISA INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
 
For the Years Ended September 30,
2015 2014 2013
(in millions)
Operating Activities
Net income $ 6,328 $ 5,438 $ 4,980
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization of client incentives 2,861 2,592 2,321
Fair value adjustment for the Visa Europe put option 110 — —
Share-based compensation 187 172 179
Excess tax benefit for share-based compensation (84 ) (90 ) (74 )
Depreciation and amortization of property, equipment, technology and intangible assets 494 435 397
Deferred income taxes 195 (580 ) 1,527
Litigation provision 14 453 3
Other 24 37 50
Change in operating assets and liabilities:
Settlement receivable 378 13 (345 )
Accounts receivable (19 ) (53 ) (38 )
Client incentives (2,970 ) (2,395 ) (2,336 )
Other assets (41 ) (379 ) (506 )
Accounts payable (13 ) (56 ) 40
Settlement payable (552 ) 107 506
Accrued and other liabilities 118 513 702
Accrued litigation   (446 )   998     (4,384 )
Net cash provided by operating activities   6,584     7,205     3,022  
 
Investing Activities
Purchases of property, equipment, technology and intangible assets (414 ) (553 ) (471 )
Proceeds from sales of property, equipment and technology 10 — —
Investment securities, available-for-sale:
Purchases (2,850 ) (2,572 ) (3,164 )
Proceeds from maturities and sales 1,925 2,342 2,440
Acquisitions, net of cash received (93 ) (149 ) —
Purchases of / contributions to other investments (25 ) (9 ) (3 )
Proceeds / distributions from other investments   12     —     34  
Net cash used in investing activities   (1,435 )   (941 )   (1,164 )
 
Financing Activities
Repurchase of class A common stock (2,910 ) (4,118 ) (5,365 )
Dividends paid (1,177 ) (1,006 ) (864 )
Deposits into litigation escrow account—retrospective responsibility plan — (450 ) —
Payments from (return to) litigation escrow account—retrospective responsibility plan 426 (999 ) 4,383
Cash proceeds from issuance of common stock under employee equity plans 82 91 108
Restricted stock and performance-based shares settled in cash for taxes (108 ) (86 ) (64 )
Excess tax benefit for share-based compensation 84 90 74
Payments for earn-out related to PlaySpan acquisition — — (12 )
Principal payments on capital lease obligations   —     —     (6 )
Net cash used in financing activities   (3,603 )   (6,478 )   (1,746 )
Effect of exchange rate changes on cash and cash equivalents   1     (1 )   —  
Increase (decrease) in cash and cash equivalents 1,547 (215 ) 112
Cash and cash equivalents at beginning of year   1,971     2,186     2,074  
Cash and cash equivalents at end of year $ 3,518   $ 1,971   $ 2,186  
 
Supplemental Disclosure
Income taxes paid, net of refunds $ 2,486 $ 2,656 $ 595
Accruals related to purchases of property, equipment, technology and intangible assets $ 81 $ 62 $ 46
 
           
VISA INC.
FISCAL 2015 AND 2014 QUARTERLY RESULTS OF OPERATIONS
(UNAUDITED)
 

 

Fiscal 2014

Fiscal 2015 Quarter Ended

Quarter Ended
September 30, June 30, March 31, December 31, September 30,
2015 2015 2015 2014 2014
(in millions)
Operating Revenues
Service revenues $ 1,637 $ 1,550 $ 1,577 $ 1,538 $ 1,499
Data processing revenues 1,429 1,400 1,340 1,383 1,348
International transaction revenues 1,091 1,039 964 970 938
Other revenues 216 199 204 204 212
Client incentives   (802 )   (670 )   (676 )   (713 )   (768 )
Total operating revenues   3,571     3,518     3,409     3,382     3,229  
Operating Expenses
Personnel 521 566 483 509 496
Marketing 253 224 190 205 241
Network and processing 134 117 109 114 128
Professional fees 107 82 77 70 94
Depreciation and amortization 119 130 125 120 112
General and administrative 143 137 141 126 153
Litigation provision   11     —     3     —     453  
Total operating expenses   1,288     1,256     1,128     1,144     1,677  
Operating income 2,283 2,262 2,281 2,238 1,552
Non-operating (expense) income   —     (94 )   1     24     (2 )
Income before income taxes 2,283 2,168 2,282 2,262 1,550
Income tax provision   771     471     732     693     477  
Net income $ 1,512   $ 1,697   $ 1,550   $ 1,569   $ 1,073  
 
   
VISA INC.
RECONCILIATION OF NON-GAAP FINANCIAL RESULTS
(UNAUDITED)
 
Our financial results for fiscal 2015 and 2014 reflect the impact of significant items that we believe are not indicative of our operating performance in the prior or future years, as they either have no cash impact or are related to amounts covered by the retrospective responsibility plan. As such, we believe the presentation of adjusted financial results excluding the following amounts provides a clearer understanding of our operating performance for the periods presented.

●

Revaluation of Visa Europe put option. During the third quarter of fiscal 2015, we recorded an increase of $110 million in the fair value of the Visa Europe put option, resulting in the recognition of non-cash, non-operating expense in our financial results. This amount is not subject to income tax and therefore has no impact on our reported income tax provision.

●

Litigation provision. During fiscal 2014, we recorded a litigation provision of $450 million and related tax benefits associated with the interchange multidistrict litigation. The tax impact is determined by applying applicable federal and state tax rates to the litigation provision. Monetary liabilities from settlements of, or judgments in, the interchange multidistrict litigation will be paid from the litigation escrow account under the retrospective responsibility plan.

      Three Months Ended September 30,
         

Diluted Earnings per

Operating Expenses

Operating Margin(1),(2)

Net Income

Share(2),(3)

2015   2014 2015     2014 2015   2014 2015   2014

(in millions, except percentages and per share data)

As reported $ 1,288 $ 1,677 64 % 48 % $ 1,512 $ 1,073 $ 0.62 $ 0.43
Litigation provision   —     (450 ) —   14 %   —     283     —     0.11
As adjusted $ 1,288   $ 1,227   64 % 62 % $ 1,512   $ 1,356   $ 0.62   $ 0.54
Diluted weighted-average shares outstanding, as reported 2,440 2,493
 
Twelve Months Ended September 30,
Diluted Earnings per
Operating Expenses

Operating Margin(1),(2)

Net income

Share(2),(3)

2015 2014 2015 2014 2015 2014 2015 2014

(in millions, except percentages and per share data)

As reported $ 4,816 $ 5,005 65 % 61 % $ 6,328 $ 5,438 $ 2.58 $ 2.16
Revaluation of Visa Europe put option — — — — 110 — 0.04 —
Litigation provision   —     (450 ) —   4 %   —     283     —     0.11
As adjusted $ 4,816   $ 4,555   65 % 64 % $ 6,438   $ 5,721   $ 2.62   $ 2.27
Diluted weighted-average shares outstanding, as reported 2,457 2,523
(1) Operating margin is calculated as operating income divided by total operating revenues.
(2) Figures in the table may not recalculate exactly due to rounding. Operating margin and diluted earnings per share figures are calculated based on unrounded numbers.
(3) The per share amounts for the prior periods presented have been retroactively adjusted to reflect the four-for-one stock split effected in the fiscal second quarter of 2015.
 

Operational Performance Data

The tables below provide information regarding the available operational results for the 3 months ended September 30, 2015, as well as the prior four quarterly reporting periods and the 12 months ended September 30, 2015 and 2014, for cards carrying the Visa, Visa Electron and Interlink brands.

1. Branded Volume and Transactions

The tables present regional total volume, payments volume, and cash volume, and the number of payments transactions, cash transactions, accounts and cards for cards carrying the Visa, Visa Electron and Interlink brands. Card counts include PLUS proprietary cards. Nominal and constant dollar growth rates over prior years are provided for volume-based data.

               
For the 3 Months Ended September 30, 2015
Total Growth Growth Payments   Growth   Growth   Payments   Cash Growth Growth Cash

Volume

(Nominal (Constant

Volume

(Nominal (Constant Transactions

Volume

(Nominal (Constant Transactions

($ billions)

   USD)   USD)  

($ billions)

   USD)   USD)   (millions)  

($ billions)

   USD)   USD)   (millions)
 
All Visa Credit & Debit
Asia Pacific $509 0.6% 11.0% $371 5.5% 16.4% 4,664 $138 -10.4% -1.3% 1,041
Canada 58 -11.9% 5.4% 54 -12.0% 5.2% 699 5 -10.7% 6.9% 12
CEMEA 231 -17.2% 9.3% 61 -9.4% 17.8% 1,923 170 -19.7% 6.5% 1,203
LAC 227 -17.7% 11.0% 85 -18.6% 13.3% 2,708 142 -17.2% 9.6% 1,093

US

822 8.7% 8.7% 693 9.7% 9.7% 13,648 129 3.8% 3.8% 957
Visa Inc. 1,848 -1.9% 9.6% 1,265 3.9% 12.0% 23,643 584 -12.5% 4.7% 4,305
 
Visa Credit Programs
US $359 9.9% 9.9% $345 10.2% 10.2% 4,221 $14 3.0% 3.0% 17

International

491 -2.8% 14.0% 455 -0.5% 15.5% 6,214 36 -24.9% -1.7% 164
Visa Inc. 850 2.2% 12.2% 800 3.8% 13.1% 10,436 50 -18.6% -0.4% 182
 
Visa Debit Programs
US $463 7.9% 7.9% $349 9.3% 9.3% 9,427 $114 3.9% 3.9% 939

International

535 -14.0% 7.0% 116 -9.0% 12.8% 3,780 420 -15.3% 5.5% 3,184
Visa Inc. 999 -5.1% 7.4% 465 4.1% 10.1% 13,207 534 -11.8% 5.2% 4,124
 
                     
For the 3 Months Ended June 30, 2015
Total Growth Growth Payments   Growth   Growth   Payments Cash Growth Growth Cash

 

 

Volume

(Nominal (Constant

Volume

(Nominal (Constant Transactions

Volume

(Nominal (Constant Transactions

Accounts

Cards

($ billions)

   USD)   USD)  

($ billions)

   USD)   USD)   (millions)  

($ billions)

   USD)   USD)   (millions)  

(millions)

  

(millions)

 
All Visa Credit & Debit
Asia Pacific $510 4.3% 10.9% $364 7.9% 15.3% 4,394 $145 -3.8% 1.1% 1,003 725 822
Canada 62 -5.0% 6.0% 57 -5.3% 5.7% 679 5 -2.5% 8.9% 12 42 49
CEMEA 238 -13.8% 7.3% 61 -6.0% 15.3% 1,783 177 -16.3% 4.8% 1,195 332 321
LAC 237 -10.9% 11.6% 89 -12.4% 12.5% 2,595 148 -10.0% 11.1% 1,072 420 451

US

809 8.0% 8.0% 683 8.8% 8.8% 13,257 126 3.8% 3.8% 951 629 799
Visa Inc. 1,855 0.6% 9.1% 1,253 5.2% 11.0% 22,709 602 -7.9% 5.2% 4,232 2,147 2,442
 
Visa Credit Programs
US $352 11.3% 11.3% $339 11.6% 11.6% 4,072 $13 3.6% 3.6% 16 246 323

International

490 0.6% 12.9% 453 3.0% 14.5% 5,915 37 -21.7% -3.8% 160 496 554
Visa Inc. 843 4.8% 12.2% 792 6.5% 13.3% 9,987 51 -16.3% -1.9% 177 742 876
 
Visa Debit Programs
US $457 5.5% 5.5% $344 6.1% 6.1% 9,185 $113 3.8% 3.8% 935 384 476

International

555 -8.6% 7.4% 117 -4.7% 11.3% 3,537 438 -9.6% 6.4% 3,121 1,021 1,089
Visa Inc. 1,012 -2.7% 6.5% 461 3.1% 7.4% 12,722 551 -7.1% 5.9% 4,056 1,405 1,565
 
                     
For the 3 Months Ended March 31, 2015
Total Growth Growth Payments   Growth   Growth   Payments Cash Growth Growth Cash

 

 

Volume

(Nominal (Constant

Volume

(Nominal (Constant Transactions

Volume

(Nominal (Constant Transactions

Accounts

Cards

($ billions)

   USD)   USD)  

($ billions)

   USD)   USD)   (millions)  

($ billions)

   USD)   USD)   (millions)  

(millions)

  

(millions)

 
All Visa Credit & Debit
Asia Pacific $495 2.9% 8.6% $343 4.8% 11.6% 4,092 $152 -1.2% 2.4% 986 711 809
Canada 54 -5.0% 7.1% 49 -5.3% 6.8% 602 5 -1.7% 10.9% 12 42 49
CEMEA 212 -16.0% 11.8% 54 -8.2% 19.9% 1,615 158 -18.4% 9.3% 1,121 329 323
LAC 243 -2.9% 13.4% 93 -1.3% 15.7% 2,529 149 -3.8% 12.0% 1,042 417 450

US

748 8.4% 8.4% 628 9.2% 9.2% 12,206 120 4.3% 4.3% 890 621 789
Visa Inc. 1,751 1.2% 9.5% 1,168 5.4% 10.8% 21,044 583 -6.2% 7.0% 4,051 2,120 2,420
 
Visa Credit Programs
US $316 12.3% 12.3% $303 12.3% 12.3% 3,623 $13 12.1% 12.1% 15 241 318

International

463 0.0% 11.5% 428 2.7% 12.8% 5,533 35 -24.2% -2.6% 153 489 546
Visa Inc. 779 4.6% 11.8% 731 6.4% 12.6% 9,156 48 -16.8% 1.0% 168 730 864
 
Visa Debit Programs
US $433 5.8% 5.8% $325 6.5% 6.5% 8,583 $107 3.4% 3.4% 875 379 471

International

540 -6.4% 9.4% 111 -3.6% 12.0% 3,306 429 -7.1% 8.7% 3,008 1,011 1,085
Visa Inc. 972 -1.3% 7.7% 437 3.8% 7.9% 11,889 536 -5.1% 7.6% 3,883 1,390 1,556
 
                   
For the 3 Months Ended December 31, 2014
Total Growth Growth Payments   Growth   Growth   Payments   Cash Growth Growth Cash

 

 

Volume

(Nominal (Constant

Volume

(Nominal (Constant Transactions

Volume

(Nominal (Constant Transactions

Accounts

Cards

($ billions)

   USD)   USD)  

($ billions)

   USD)   USD)   (millions)  

($ billions)

   USD)   USD)   (millions)  

(millions)

  

(millions)

 
All Visa Credit & Debit
Asia Pacific $511 3.6% 8.0% $359 5.8% 10.7% 4,186 $152 -1.4% 1.9% 974 698 797
Canada 66 -0.1% 8.7% 62 -0.1% 8.7% 671 5 0.2% 9.0% 11 42 49
CEMEA 264 -7.8% 15.7% 65 3.2% 26.6% 1,616 199 -10.9% 12.5% 1,213 325 321
LAC 286 -0.4% 13.8% 109 -0.6% 15.3% 2,697 177 -0.2% 12.8% 1,130 415 453

US

772 9.4% 9.4% 651 10.2% 10.2% 12,595 121 5.2% 5.2% 915 611 782
Visa Inc. 1,899 3.3% 10.4% 1,245 7.0% 11.4% 21,765 654 -3.1% 8.6% 4,243 2,090 2,402
 
Visa Credit Programs
US $341 13.7% 13.7% $327 13.9% 13.9% 3,957 $13 9.2% 9.2% 16 236 313

International

511 1.6% 11.0% 468 4.0% 12.2% 5,775 43 -18.3% -0.4% 173 485 544
Visa Inc. 851 6.1% 12.1% 795 7.8% 12.9% 9,732 56 -13.1% 1.7% 189 721 857
 
Visa Debit Programs
US $431 6.2% 6.2% $324 6.6% 6.6% 8,639 $108 4.7% 4.7% 899 375 469

International

616 -2.2% 11.3% 127 2.6% 15.4% 3,394 490 -3.4% 10.3% 3,155 994 1,076
Visa Inc. 1,048 1.1% 9.1% 450 5.5% 9.0% 12,033 597 -2.0% 9.2% 4,054 1,369 1,545
 
                   
For the 3 Months Ended September 30, 2014
Total Growth Growth Payments   Growth   Growth   Payments   Cash Growth Growth Cash

 

 

Volume

(Nominal (Constant

Volume

(Nominal (Constant Transactions

Volume

(Nominal (Constant Transactions

Accounts

Cards

($ billions)

   USD)   USD)  

($ billions)

   USD)   USD)   (millions)  

($ billions)

   USD)   USD)   (millions)  

(millions)

  

(millions)

 
All Visa Credit & Debit
Asia Pacific $506 9.1% 9.1% $352 11.9% 12.1% 4,000 $154 3.2% 2.9% 960 677 774
Canada 66 2.0% 7.4% 61 1.7% 7.0% 651 5 5.5% 11.0% 12 40 47
CEMEA 279 5.3% 15.2% 68 17.8% 25.6% 1,487 212 1.8% 12.1% 1,163 321 318
LAC 276 6.6% 12.2% 105 7.4% 13.3% 2,496 171 6.1% 11.6% 1,056 417 448

US

756 9.2% 9.2% 632 9.9% 9.9% 12,314 124 6.0% 6.0% 952 587 754
Visa Inc. 1,884 7.9% 10.2% 1,217 10.2% 11.2% 20,947 667 4.0% 8.2% 4,143 2,041 2,341
 
Visa Credit Programs
US $327 12.7% 12.7% $313 12.8% 12.8% 3,734 $14 11.8% 11.8% 17 230 304

International

505 7.4% 10.1% 458 9.0% 11.2% 5,554 47 -6.0% -0.5% 177 484 545
Visa Inc. 832 9.4% 11.2% 770 10.5% 11.9% 9,289 61 -2.5% 2.6% 194 714 850
 
Visa Debit Programs
US $429 6.7% 6.7% $319 7.2% 7.2% 8,579 $110 5.3% 5.3% 935 357 450

International

623 6.8% 11.8% 127 16.6% 20.6% 3,079 496 4.6% 9.7% 3,014 970 1,042
Visa Inc. 1,052 6.8% 9.4% 447 9.7% 10.2% 11,658 606 4.7% 8.7% 3,949 1,327 1,491
 
   
For the 12 Months Ended September 30, 2015
Total   Growth   Growth   Payments   Growth   Growth   Payments   Cash   Growth   Growth  

Cash

Volume

(Nominal (Constant

Volume

(Nominal (Constant Transactions

Volume

(Nominal (Constant

Transactions

($ billions)

   USD)   USD)  

($ billions)

   USD)   USD)   (millions)  

($ billions)

   USD)   USD)  

(millions)

 
All Visa Credit & Debit
Asia Pacific $2,024 2.8% 9.6% $1,438 6.0% 13.5% 17,337 $587 -4.2% 1.1% 4,003
Canada 240 -5.5% 6.8% 221 -5.7% 6.7% 2,651 19 -3.8% 8.9% 46
CEMEA 945 -13.6% 11.0% 241 -5.1% 19.9% 6,937 704 -16.2% 8.3% 4,732
LAC 993 -8.0% 12.5% 376 -8.3% 14.3% 10,529 616 -7.8% 11.4% 4,337

US

3,152 8.6% 8.6% 2,655 9.5% 9.5% 51,706 496 4.3% 4.3% 3,713
Visa Inc. 7,354 0.8% 9.6% 4,931 5.4% 11.3% 89,160 2,422 -7.4% 6.4% 16,832
 
Visa Credit Programs
US $1,367 11.7% 11.7% $1,313 11.9% 11.9% 15,873 $54 6.8% 6.8% 65

International

1,955 -0.2% 12.3% 1,805 2.2% 13.7% 23,437 150 -22.1% -2.1% 650
Visa Inc. 3,322 4.4% 12.1% 3,118 6.1% 13.0% 39,310 205 -16.1% 0.1% 715
 
Visa Debit Programs
US $1,784 6.3% 6.3% $1,342 7.1% 7.1% 35,833 $442 4.0% 4.0% 3,649

International

2,247 -7.8% 8.8% 471 -3.7% 12.9% 14,017 1,776 -8.8% 7.8% 12,468
Visa Inc. 4,031 -2.0% 7.7% 1,813 4.1% 8.6% 49,850 2,218 -6.5% 7.0% 16,117
 
   
For the 12 Months Ended September 30, 2014
Total   Growth   Growth   Payments   Growth   Growth   Payments   Cash   Growth   Growth   Cash  

 

 

 

Volume

(Nominal (Constant

Volume

(Nominal (Constant Transactions

Volume

(Nominal (Constant Transactions

Accounts

Cards

($ billions)

   USD)   USD)  

($ billions)

   USD)   USD)   (millions)  

($ billions)

   USD)   USD)   (millions)  

(millions)

  

(millions)

 
All Visa Credit & Debit
Asia Pacific $1,968 7.7% 10.8% $1,356 10.6% 13.5% 15,072 $612 1.9% 5.2% 3,638 677 774
Canada 254 0.8% 7.6% 234 0.8% 7.6% 2,439 20 0.6% 7.3% 46 40 47
CEMEA 1,094 6.0% 13.9% 254 18.9% 26.2% 5,363 840 2.6% 10.6% 4,637 321 318
LAC 1,079 0.6% 10.9% 410 2.3% 13.5% 9,776 668 -0.4% 9.4% 4,118 417 448

US

2,902 8.6% 8.6% 2,426 9.3% 9.3% 47,270 476 5.3% 5.3% 3,668 587 754
Visa Inc. 7,297 6.4% 10.1% 4,680 9.0% 11.4% 79,920 2,617 2.1% 7.8% 16,108 2,041 2,341
 
Visa Credit Programs
US $1,224 11.1% 11.1% $1,173 11.3% 11.3% 13,902 $51 6.1% 6.1% 64 230 304

International

1,958 5.7% 10.8% 1,765 6.9% 11.8% 21,283 193 -4.0% 0.8% 733 484 545
Visa Inc. 3,182 7.7% 10.9% 2,938 8.6% 11.6% 35,185 244 -2.0% 2.1% 796 714 850
 
Visa Debit Programs
US $1,678 6.8% 6.8% $1,253 7.4% 7.4% 33,368 $425 5.3% 5.3% 3,604 357 450

International

2,437 4.5% 11.7% 489 15.7% 23.1% 11,367 1,948 2.0% 9.2% 11,707 970 1,042
Visa Inc. 4,115 5.4% 9.5% 1,742 9.6% 10.9% 44,735 2,373 2.5% 8.4% 15,312 1,327 1,491
 

2. Cross-Border Volume

The table below represents cross-border volume growth for cards carrying the Visa, Visa Electron, Interlink and PLUS brands. Cross-border volume refers to payments and cash volume where the issuing country is different from the merchant country.

     

 

Growth Growth
(Nominal (Constant

Period

     USD)   USD)
 

3 Months Ended

Sep 30, 2015 -4% 5%
Jun 30, 2015 0% 8%
Mar 31, 2015 2% 8%
Dec 31, 2014 4% 8%
Sep 30, 2014 9% 10%
 

12 Months Ended

Sep 30, 2015 0% 7%
Sep 30, 2014 8% 9%
 

3. Visa Processed Transactions

The table below represents transactions involving Visa, Visa Electron, Interlink and PLUS cards processed on Visa’s networks.

     

 

Processed

 

Transactions

Period

     (millions)  

Growth

 

3 Months Ended

Sep 30, 2015 18,365 8%
Jun 30, 2015 18,024 8%
Mar 31, 2015 16,980 11%
Dec 31, 2014 17,599 10%
Sep 30, 2014 16,991 10%
 

12 Months Ended

Sep 30, 2015 70,968 9%
Sep 30, 2014 64,993 11%
 

Footnote

Payments volume represents the aggregate dollar amount of purchases made with cards carrying the Visa, Visa Electron and Interlink brands for the relevant period; and cash volume represents the aggregate dollar amount of cash disbursements obtained with these cards for the relevant period and includes the impact of balance transfers and convenience checks; but excludes proprietary PLUS volume. Total volume represents payments volume plus cash volume.

Visa payment products are comprised of credit and debit programs, and data relating to each program is included in the tables. Debit programs include Visa’s signature based and Interlink (PIN) debit programs.

The data presented is based on results reported quarterly by Visa’s financial institution clients on their operating certificates. Estimates may be utilized if data is unavailable.

On occasion, previously presented information may be updated. Prior period updates, if any, are not material.

Visa’s CEMEA region is comprised of countries in Central Europe, the Middle East and Africa. Effective with the 3 months ended September 2013, Croatia moved from the CEMEA region to Visa Europe. Several European Union countries in Central Europe, Israel and Turkey are not included in CEMEA. LAC is comprised of countries in Central and South America and the Caribbean. International includes Asia Pacific, Canada, CEMEA and LAC.

Information denominated in U.S. dollars is calculated by applying an established U.S. dollar/local currency exchange rate for each local currency in which Visa Inc. volumes are reported (“Nominal USD”). These exchange rates are calculated on a quarterly basis using the established exchange rate for each quarter. To eliminate the impact of foreign currency fluctuations against the U.S. dollar in measuring performance, Visa Inc. also reports year-over-year growth in total volume, payments volume and cash volume on the basis of local currency information (“Constant USD”). This presentation represents Visa’s historical methodology which may be subject to review and refinement.