Visa Inc.'s March quarter results beat Wall Street targets, reflecting growth in payments volume and transactions, including the more lucrative cross-border transactions. Visa shares jumped 4% in premarket trading.
The San Francisco-based company, the largest U.S. card network, reported second-quarter profit rose to $3.65 billion, or $1.70 a Class A share, from $3.03 billion, or $1.38 a share a year earlier.
Net revenue rose to $7.19 billion from $5.73 billion a year earlier.
Analysts surveyed by FactSet expected $1.66 a share on $6.83 billion of revenue.
Client incentives rose 25% to $2.49 billion, above analysts' expected $2.43 billion.
Service revenues, which are based on payment volume from the preceding quarter, rose 24% to $3.5 billion, the company said.
International transaction revenue, which is tied to cross-border spending, rose 48% to $2.2 billion.
Payments volume rose 17% in constant dollars.
Visa recorded about $60 million in charges during the quarter related to Russia and Ukraine, including about $35 million from the deconsolidation of its Russian subsidiary.
Russia accounted for about 4% of Visa's total net revenue in the most recent business year, ended in September, and Ukraine for about 1%.
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