PayPal Holdings, Inc. (NASDAQ: PYPL) reported its most recent quarterly results after the markets closed on Thursday. The company posted $0.58 in earnings per share (EPS) and $3.68 billion in revenue, which compares with consensus estimates from Thomson Reuters that were calling for $0.54 in EPS and $3.66 billion in revenue. The third quarter from last year had $0.46 in EPS and $3.24 billion in revenue.
During the quarter, the company noted 9.1 million active accounts were added versus an increase of 8.2 million in Q3 2017. PayPal ended the quarter with 254 million active accounts, an increase of 15%.
A total of 2.5 billion payment transaction were processed this quarter, an increase of 27% year over year. PayPal tallied $143 billion in total payment volume (TPV), an increase of 24%, or 25% on an FX-neutral basis.
PayPal also announced a comprehensive strategic partnership with American Express in the report. The agreement will allow PayPal to access American Express tokens and enables a deep integration of PayPal capabilities with the American Express platform, including the ability to transfer and use American Express rewards points at PayPal merchants.
Looking ahead to the fourth quarter, the company expects to see EPS in the range of $0.65 to $0.67 and revenues to grow 13% to 15%. Consensus estimates are calling for $0.65 in EPS and $4.21 billion in revenue.
Dan Schulman, President and CEO of PayPal, commented:
PayPal had another excellent quarter. New partnerships with American Express and Walmart will increase the value that we can offer to our customers. Our strong balance sheet and cash flow enable us to aggressively invest in innovation and growth, creating sustainable and long-term value for our shareholders.
Shares of PayPal closed Thursday at $77.48, with a consensus analyst price target of $97.84 and a 52-week range of $66.16 to $93.70. Following the announcement, the stock was initially up about 3% at $79.67 in the after-hours session.
The Average American Is Losing Momentum on Their Savings Every Day (Sponsor)
If you’re like many Americans and keep your money ‘safe’ in a checking or savings account, think again. The average yield on a savings account is a paltry .4%* today. Checking accounts are even worse.
But there is good news. To win qualified customers, some accounts are paying nearly 10x the national average! That’s an incredible way to keep your money safe and earn more at the same time. Our top pick for high yield savings accounts includes other benefits as well. You can earn up to 3.80% with a Checking & Savings Account today Sign up and get up to $300 with direct deposit. No account fees. FDIC Insured.
Click here to see how much more you could be earning on your savings today. It takes just a few minutes to open an account to make your money work for you.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
Our expert who first called NVIDIA in 2009 is predicting 2025 will see a historic AI breakthrough.
You can follow him investing $500,000 of his own money on our top AI stocks for free.