PayPal reported second-quarter adjusted earnings of $1.38 a share on Tuesday, beating analyst expectations of $1.28, and raised its full-year profit guidance as CEO Enrique Lores’s turnaround effort showed early signs of progress.
Revenue for the quarter rose 5% year over year to $8.68 billion
Analysts had expected $8.47 billion, according to The Wall Street Journal. PayPal now expects full-year adjusted earnings of $5.38 a share, compared with $5.31 in 2025. The company had previously guided for a low-single-digit decline to slightly positive growth.
For the full year, PayPal also expects transaction margin dollars — a key profitability measure — of roughly $15.6 billion, up from $15.5 billion in 2025 and a reversal of prior guidance that had called for a slight decline. In the second quarter, transaction margin dollars increased 1% to $3.9 billion, a figure that climbs to 3% growth once interest on customer balances is stripped out. On a currency-neutral basis, total payment volume reached $486.4 billion, a 9% year-over-year increase.