FOSTER CITY, Calif. Visa Inc. reported a $1.2-billion net for its fiscal third quarter, compared to a $1.8-billion loss for the same period last year, which it said was related to the company’s $4.1-billion payment in the proposed antitrust settlement with merchants that Visa apparently was able to resolve.
Third quarter revenue rose 17% to $3 billion, driven by strong growth in service revenue, data processing revenue and international transaction revenue, the company said.
Results for last year’s third quarter were adjusted to exclude a litigation provision of $4.1 billion and related tax benefits associated with the antitrust settlement, which still must be approved by a federal court. MasterCard is slated to pay $1.9 billion as part of the settlement.
“We remain committed and focused on our long-term strategic goal of supporting our issuers, acquirers, merchants and government partners through flexibility and innovation in electronic payments,” said Charlie Scharf, CEO of Visa. “We are accelerating opportunities to expand our network through mobile, eCommerce and data-driven solutions, while continuing to deliver value to our shareholders.”
For the first three quarters of its fiscal year, Visa reported a 14% increase in revenue to $8.8 billion, and an increase in net income to $3.8 billion, from just $482 million in the same period last year when the antitrust expenses were accrued.
