July 20, 2024
PayPal ( PYPL ) shares gained close to 2% Tuesday after the electronic payments provider reported results for the first quarter that beat estimates and raised its full-year earnings guidance as its payment volumes and transactions climbed.
PayPal reported first-quarter diluted earnings per share (EPS) of 83 cents, up from 70 cents a year ago. Revenue was up 9% from the year-ago period at $7.7 billion. Both exceeded analysts’ forecasts compiled by Visible Alpha.
Total payment volume climbed 14% to $403.9 billion, with payment transactions advancing 11% to $6.5 billion. Active accounts declined 1% year-over-year to 427 million, but gained by 2 million or 0.4% from the fourth quarter.
PayPal’s operating margin jumped 98 basis points (bps) from a year ago to 15.2%.
CEO Alex Chriss said that 2024 “remains a transition year,” with the company focusing on execution by “driving our key strategic initiatives, realizing cost savings, and reinvesting appropriately.”
PayPal said it anticipates full-year adjusted EPS higher by a mid-to-high-single-digit percentage, up from its previous outlook of this year’s EPS being in line with 2023.
PayPal shares rose 1.4% to $67.92 Tuesday, and have climbed close to 11% since the start of 2024.
