VISA Q1 FY26 earnings call V

with net revenue up 15% year-over-year to $10.9 billion

EPS was $3.17, up 15% year-over-year, with an approximate 1 point benefit from exchange rates and a minimal impact from acquisitions.

Payments volume grew 8% year-over-year in constant dollars to nearly $4 trillion

and process transactions grew 9% year-over-year, totaling $69 billion

U.S. payment volume was up 7%

Credit was up 7%

and debit was up 6%

First quarter total international payments volume was up 9% year-over-year in constant dollars

Q1 total cross-border volume was up 11% year-over-year

Cross-border e-commerce volume was up 12%

Travel-related cross-border volume was up 10%

Service revenue grew 13% year-over-year versus the 9% growth in Q4 constant dollar payment volume primarily due to pricing and card benefits.

Data processing revenue grew 17% versus the 9% growth in process transactions, primarily due to pricing, strong value-added services performance and higher cross-border transaction mix.

International transaction revenue was up 6%, below an 11% increase in constant dollar cross-border volume growth, excluding intra-Europe.

Other revenue grew 33% and primarily driven by growth in advisory and other value-added services and pricing.

Client incentives grew 12%, lower than our expectations due to onetime true downs related to client performance and deal timing.

Commercial and money movement solutions constant dollar revenue grew 20%

with 10% constant dollar commercial payments volume growth

and 23% Visa Direct transaction growth.

Visa Direct transactions grew 23% to 3.7 billion transactions

Value-added services, constant dollar revenue grew 28% and represented around 50% of our overall revenue growth in the first quarter.

Operating expenses grew 16%, above our expectations, primarily due to an unfavorable FX impact from balance sheet remeasurement and higher-than-expected marketing

Nonoperating expense was $4 million, better than our expectations, primarily due to investment income.

Our tax rate for the quarter was 18.4%, slightly higher than expected due to the timing of the resolution of a tax matter.

In Q1, we bought back approximately $3.8 billion in stock

and distributed approximately $1.3 billion in dividends to our shareholders.

We also funded the litigation escrow account by $500 million

At the end of December, we had $21.1 billion remaining in our buyback authorization.

U.S. payments volume was up 8%

with credit up 9%

and debit up 6% year-over-year.

Our constant dollar cross-border volume, excluding transactions within Europe, total volume grew 11% year-over-year

with e-commerce up 12%

and travel up 10%.

Process transactions grew 9% year-over-year.

now totaling more than 5 billion Visa credentials.

Globally, we have about 20 million Visa Flex Credentials

We have more than 17.5 billion tokens globally, over 3x the number of physical cards

Our Tap To Pay penetration has now crossed the 80% mark of all face-to-face transactions

with the U.S. at nearly 70%.

Our Tap to Phone capability... has added more than 20 new markets

and more than doubled transactions in the last year.

which we have reduced from 44% of all Visa e-commerce transactions in 2019 to about 16% in fiscal 2025.

And among our top 25 sellers, it's less than 4%.

First, we added stablecoin card issuance in 9 additional countries in Q1 to surpass 50 countries worldwide

And total stablecoin settlement has reached an annualized run rate of $4.6 billion globally

with over 60 billion transactions scored

and nearly 600 million suspicious transactions identified in the last 12 months.

In LAC, for example, in just 6 months, we have almost 90% of clients already activated and have prevented more than $10 billion of fraud.

We have brought our network-agnostic risk solution, Visa Advanced Authorization, to more countries as well, including recently securing the business from Morocco's National Switch, Switch Al Maghrib to score all domestic transactions.

We have also expanded our A2A risk solution Visa Protect for A2A to 2 more countries this past quarter, with half a dozen more planned by the end of the year.