Card transactions across borders: Key findings from Q3 2024 (Visa and Mastercard analysis)
In Q3 2024-25, both Visa and Mastercard demonstrated strong performance in their consumer and B2B2X cross-border businesses, marked by robust growth in transaction volumes and revenues.
Visa's Q3 2024-25 Performance
Visa reported a 14% revenue increase to $10.2 billion and a 23% rise in EPS to $2.98 per share, driven by an 8% growth in payment volumes, 12% growth in cross-border volumes, and a 10% increase in processed transactions.
Specifically, Visa's cross-border volume (excluding intra-Europe) rose 11% year-over-year, underlining healthy demand for global payment solutions. U.S. domestic transactions grew by 7%, and international volumes surged 10%, reflecting Visa’s broad consumer and B2B2X engagement and resilience amid external uncertainties.
Visa highlighted strategic innovation in AI and digital assets as factors to sustain and enhance growth, crucial in navigating regulatory and macroeconomic challenges.
Mastercard's Q3 2024-25 Performance
Mastercard's payment network net revenue increased by 13%, driven primarily by growth in both domestic and cross-border transactions and volume. Cross-border volume growth continued strong in the mid-teens percentage range, supported by diverse geographic exposure and a balance of travel and non-travel spending, despite some market challenges such as geopolitical tensions and tougher year-ago comparisons.
The company also noted moderation in cross-border travel growth in certain regions but maintained solid underlying consumer spending and diversified portfolio benefits. Mastercard leverages value-added services like fraud prevention and data analytics to stabilize revenues despite cyclical volume fluctuations, reinforcing its B2B2X strength.
Comparative Analysis
The summary table below provides a comparative analysis of Visa and Mastercard's Q3 2024-25 performance:
| Aspect | Visa Q3 2024-25 | Mastercard Q3 2024-25 | |-----------------------------|----------------------------------------|-------------------------------------| | Revenue growth | +14% to $10.2B | +13% net revenue | | EPS growth | +23% to $2.98 per share | Not explicitly stated | | Cross-border volume growth| +11% (excluding intra-Europe) | Mid-teens % growth | | Payment volume growth | +8% | Strong overall | | Strategic highlights | Innovation in AI and digital assets | Value-added services, diversified portfolio | | Consumer & B2B2X impact | Strong U.S. domestic and international transactions; broad global reach including B2B2X expansion | Broad geographic and sector diversity, including travel and non-travel spending |
These results indicate that both Visa and Mastercard are maintaining strong consumer and B2B2X cross-border business momentum in Q3 2024-25, driven by healthy consumer spending, broad global reach, and strategic diversification beyond core transaction volumes.
Both Visa and Mastercard have significant and growing B2B2X offerings, selling their network capabilities to payment service providers and other organizations. The growth of cross-border card payments for both Visa and Mastercard is highlighted. Cross-border payments remain a critical part of the businesses of both Visa and Mastercard. The global expansion of both Visa and Mastercard's services is reflected in strong top-line results reported for Q3 2024.
It's important to note that the article does not provide information on the performance of other card products offered by Visa and Mastercard.
The strong performance exhibited by both Visa and Mastercard in Q3 2024-25 extends to their respective investment portfolios, as both companies demonstrated impressive growth in their financing operations.
In the realm of business development, Visa and Mastercard have been actively investing in strategic innovation, particularly in artificial intelligence and digital assets, to ensure sustainable growth and enhance resilience amidst regulatory and macroeconomic challenges.
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