Financial Results

Mixed results for US card issuers

Wed, Feb, 10 2010

The credit crunch is clearly being felt among US issuers, as a glance at fourth-quarter earnings shows that even as loan losses declined from the previous quarter or stabilised at the top five issuers, issuers’ hesitance to spend or borrow hampered the companies’ revenues as credit quality remains a volatile question mark hanging over the industry.

Visa and MasterCard ride out recession

Wed, Feb, 10 2010

Visa Inc’s latest quarterly results encompass the fiscal first quarter of 2010 for the three months ended 30 September 2009. Net income for the quarter was $763 million, while net operating revenue was $2 billion, an increase of 13 percent from the year-ago period. Visa Inc attributed the growth to a jump in data processing revenues and international transaction revenues.

Prepaid in the public sector

Wed, Nov, 11 2009

In his final guest article for this year, Matthew Lanford, head of prepaid at MasterCard Europe, explores the potential of prepaid to cut costs and improve efficiency in the government and public sectors, particularly in areas such as social benefit distribution and payroll distribution.

Signs of recovery for credit issuers

Wed, Nov, 11 2009

After two years of painful credit losses, the latest set of financial results from the largest issuers in the US suggest that conditions may be improving.

Post Offices pay a pivotal role

Wed, Nov, 11 2009

Postal services play a key role in many nations, providing access to basic communication and transaction services.

Visa and MasterCard find ways to ride out the recession

Wed, Aug, 12 2009

Visa and MasterCard have found that cutting costs to the bone is helping them to withstand the global economic slump. Visa Inc’s results for its fiscal third quarter 2009 ending 30 June showed net income on an adjusted basis of $744 million, a jump of 73 percent – excluding the sale of its stake in VisaNet do Brasil, adjusted net quarterly income was $507 million.

Amex, Capital One divided over charge-offs

Wed, Aug, 12 2009

Another quarter, another dire set of results for US issuers as profits are wiped out by credit losses, government repayments and one-off charges. However, American Express and Capital One are taking opposing views as to where charge-off rates may be headed, as Victoria Conroy reports.

The big three take a battering

Mon, Jul, 27 2009

The latest set of financial results from the major US card issuers show that despite implementing re-pricing measures, credit losses are continuing to rise at a dramatic rate and eat into profitability. Issuers are predicting the next two years will not see much improvement, as Victoria Conroy reports.

Drop in delinquencies is good news

Mon, Jun, 29 2009

Is the US card industry finally seeing some light at the end of the tunnel? It would appear so following the latest report from credit ratings agency Fitch, which has reported that US delinquency levels are receding from previous highs. However, issuers shouldn’t jump for joy just yet, as Charles Davis reports.

Penny pinching at the payment networks

Thu, May, 14 2009

Visa and MasterCard’s latest quarterly results starkly illustrate how debit is continuing to take a bigger share of payments worldwide, with Visa’s debit volumes in the US surpassing credit volumes for the first time. Despite the slump, both networks have offset drops in volumes by cutting costs, as Victoria Conroy reports.