Payment Network Profts

Second-Quarter Payment Network Profits Rise Nearly 24%

Second-quarter payment network profits among the global U.S.-based Major 4: Visa [V], Mastercard [MA], American Express [AXP] and Discover [DFS], soared 23.8% year-on-year (YOY), and now growing at an 12.80% CAGR (compound annual growth rate), based on the past five years. The Major 4 reported a combined second-quarter (2Q/19) (after tax) profit of $7663 million,…

Credit Card GDV

Credit Card GDV Among Big 6 U.S. Issuers Pumps the Brakes

Credit card GDV (gross dollar volume) among the Big 6 U.S. bank card issuers, rose an estimated 8.0% year-on-year (YOY) in the first-quarter (1Q/19), compared to a 10.5% YOY gain for 1Q/18; 10.0% YOY increase in 1Q/17; and a 5.9% YOY gain for 1Q/16. Chase led the peer group with a YOY gain nearing 10%…

Card Loan Growth

Card Loan Growth Downshifts to 5.56% CAGR – Upshifts in Q2

U.S. card loan growth among the Big 6 credit card issuers increased 3.5% in the first-quarter (1Q/19) year-on-year (YOY), compared to a 8.0% YOY for the year ago quarter. Early results for the second-quarter reveal Chase U.S. credit card outstandings grew 8.5% YOY, Citibank is up 2.8% YOY, and Bank of America was flat (+0.7%).…

Second-Quarter Card Profits

Second-Quarter Card Profits for Networks & Issuers to Post Robust

Second-quarter card profits for the four largest U.S.-based payment card networks and the four largest credit card issuers will likely post robust performance. Consumer confidence indices, government data, and retail sales activity point to strong growth in PDV (purchase dollar volume) for the payment networks and sharp increases in cardholder balances for card issuers, reflecting…

American Express Global Card

American Express Global Card GDV +7% FX YOY as Yield Nears 11%

American Express global card for the first-quarter posted a record yield, nearing 11%, as GDV (gross dollar volume) rose 7% on an FX (currency adjusted) basis but delinquency rose 10 bps (basis points) and charge-offs jumped 30 bps. American Express (AXP) GCSG (Global Card Services Group) reported an 8.6% YOY (year-on-year) gain with total revenues…

Visa Asia-Pacific Payment

Visa Asia-Pacific Payment Q1 Posts Garden-Variety Performance

Visa Asia-Pacific payment performance is unremarkable for the first-quarter with all metrics at, or below par, compared to the prior five quarters. While Visa Asia-Pacific is the only region reporting more than one billion cards, it is also the slowest growing in payment volume and payment transactions, among Visa’s five international regions. Visa Asia-Pacific posted…

Mastercard APMEA Payment

Mastercard APMEA Payment CIF to Top 1B in 2021 w/20% PTX CAGR

Mastercard APMEA payment transactions continued to roar in the first-quarter even though the momentum over the past five years has been slowing. Mastercard’s APMEA (Asia Pacific, Middle-East, Africa) region payment volume dipped below 10% YOY (year-on-year) for the first time since 3Q/17, on an FX (currency adjusted) basis. The APMEA customer base continues to grow…

Credit Card Profits

Credit Card Profits Wax in 2018 and Set to Wane in 2019

First-quarter credit card profits among the nation’s Top 4 U.S. card issuers edged up 60 basis points (bps) year-on-year (YOY), compared to a tax cut fueled surge of more than 50% one-year ago. Sequentially, credit card profits were down 3.7%. Since 2015, the compound annual growth rate (CAGR) is running about 1.48%. Profits (after tax)…

Visa CEMEA Payment

Visa CEMEA Payment TX Soar 29% CAGR as PDV Climbs 22% YOY Q1

Visa CEMEA payment transactions continued to skyrocket in the first-quarter even though the momentum over the past five years has been fading. Visa’s CEMEA (Central Europe, Middle East, Africa) payment volume remains solidly above 20% YOY (year-on-year) for six consecutive quarters. The CEMEA customer base has been expanding, but the slowest among Visa’s five international…