(Reuters) -Visa beat Wall Street estimates for quarterly profit on Tuesday, as the world’s largest payment processor benefited from a steady rise in card payment volumes and announced a $30 billion share repurchase plan.
Payments volume — a gauge of overall consumer and business spending on Visa’s network — jumped 8% in the second quarter.
“Consumer spending remained resilient, even with macroeconomic uncertainty,” Visa’s CEO Ryan Mclnerney said in a statement.
U.S. consumer spending remained resilient in the reported quarter, helped by strong wage growth and low unemployment rates even though some customers cut back on discretionary spending on tariff-related inflationary expectations and growth worries.
President Donald Trump’s decision to hit trading partners with steep tariffs came just as the quarter ended, and could hit consumer confidence and dent spending, analysts have said.
Shares of the company, which announced the $30 billion multi-year share repurchase authorization program, were up 1% in trading after the bell.
Visa posted an adjusted profit of $5.4 billion, or $2.76 per share, in the three months ended March 31. That compared with $5.1 billion, or $2.51 per share, a year earlier.
Analysts had expected an adjusted profit of $2.68 per share, according to estimates compiled by LSEG.
(Reporting by Pritam Biswas in Bengaluru; Editing by Sriraj Kalluvila)
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