Shares of Mastercard Inc. (MA) were up more than 3% in premarket trading Thursday after the payments giant easily topped profit expectations for its most recent quarter amid a surge in travel spending. The company reported net income of $2.6 billion, or $2.68 a share, up from $1.8 billion, or $1.83 a share, in the year-earlier quarter. On an adjusted basis, Mastercard earned $2.76 a share, up from $1.74 a share a year prior and ahead of the FactSet consensus, which was for $2.18 a share. Revenue rose to $5.2 billion from $4.2 billion, while analysts had been modeling $4.9 billion. The company saw a 17% increase in gross dollar volume and a 21% increase in purchase volume during the March quarter. Chief Executive Michael Miebach shared in the release that as of March, cross-border travel was ahead of 2019 levels for the first time since the start of the pandemic. "Even in the context of this challenging geopolitical environment, we're off to a strong start in 2022 with robust revenue and earnings growth as cross-border volumes grew 53% versus a year ago on a local currency basis," he said in the release. Mastercard's report follows one from Visa Inc. (V) earlier in the week, which also showed the benefits of a continued resumption in travel spending.
(END) Dow Jones Newswires
April 28, 2022 08:30 ET (12:30 GMT)
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