PayPal reported Q2 adjusted EPS of $1.38 and revenue of $8.68 billion, exceeding analyst expectations and lifting full-year guidance.
PayPal Holdings Inc (NASDAQ:PYPL) posted second-quarter results that surpassed Wall Street estimates, driving shares higher. The company reported adjusted earnings of $1.38 per share on revenue of $8.68 billion, compared with forecasts of $1.28 per share and $8.47 billion in revenue. Total payment volume rose 10% year over year to $486.4 billion, beating consensus expectations of $473.93 billion.
Revenue grew 5% year over year, or 3% on a currency-neutral basis. Payment transactions increased 8% to 6.8 billion, while transaction margin dollars excluding interest on customer balances climbed 3% to $3.6 billion. However, GAAP operating income fell 5% to $1.4 billion, and non-GAAP operating margin contracted 248 basis points to 17.4%.
The company raised its full-year non-GAAP guidance, citing progress in its transformation strategy, including stabilization in branded checkout and growth in Venmo and Braintree. Shares rose nearly 4% following the announcement.