IMGCAP(1)]
MasterCard Inc. reported net income of $452.2 million for the third quarter ended Sept. 30, compared with a net loss of $193.6 million for the same period a year earlier.
The company also reported that net revenue was $1.36 billion, up 1.5% from $1.34 billion a year ago. Sales volume on MasterCard-branded credit and charge cards issued in the United States declined 14.2%, to $121 billion from $141 billion during the same period last year.
MasterCard cut operating expenses during the quarter by 13.3% to $685 million from $790 million, as the company slashed advertising, marketing, personnel and administration costs.
The economic downturn continued to dampen consumer and business spending during the quarter, said MasterCard CEO Robert Selander during a conference call today with analysts. Given recent spending trends, MasterCard "continues to have concerns about the health of the consumer," Selander said.
However, MasterCard's October purchase volume looked more positive than a year ago, and certain global economic indicators also are improving, Selander noted. "The worst is behind us, and there are certainly some encouraging signs in the recent economic data," he added.
