News Details

Visa Inc. Posts Strong Fiscal Second Quarter 2011 Earnings Results and Authorizes New $1 Billion Share Repurchase Program

05/05/2011

SAN FRANCISCO, May 5, 2011 /PRNewswire via COMTEX/ --

  • GAAP quarterly net income of $881 million or $1.23 per diluted class A common share
  • The Company authorized a new $1 billion share repurchase program

 

 

Visa Inc. (NYSE: V) today announced financial results for the Company's fiscal second quarter 2011 ended March 31, 2011. GAAP net income for the quarter was $881 million, or $1.23 per diluted class A common share. The weighted-average number of diluted class A common shares outstanding was approximately 714 million.

GAAP net operating revenue in the fiscal second quarter of 2011 was $2.2 billion, an increase of 15% over the prior year and driven by strong double-digit growth in service revenues, data processing revenues and international transaction revenues. Currency fluctuations contributed a positive 2% towards quarterly net operating revenues.

"Visa delivered a solid financial performance in our fiscal second quarter with double-digit growth in payments volume, cross border volume and Visa-processed transactions from across the globe," said Joseph Saunders, Chairman and Chief Executive Officer of Visa Inc. "With a strong first half of our fiscal 2011 year behind us, we remain focused on driving continued transaction growth, maintaining strong financial performance and expense control discipline, and delivering value to our shareholders through share repurchase programs and dividend payments."

"In addition to working with our financial institutions and merchant clients to expand card issuance and acceptance for our core products, we are investing in new platforms, channels and technologies that will deliver value to our clients and consumers for years to come," continued Saunders. "The global adoption of mobile and internet technology presents an enormous opportunity for Visa to leverage our network and proven track record of delivering electronic payments worldwide."

Fiscal Second Quarter 2011 Financial Highlights:

Payments volume growth, on a constant dollar basis, for the three months ended December 31, 2010, on which fiscal second quarter service revenue is recognized, was a positive 15% over the prior year at $897 billion.

Payments volume growth, on a constant dollar basis, for the three months ended March 31, 2011, was a positive 13% over the prior year at $861 billion.

Cross border volume growth, on a constant dollar basis, was a positive 13% for the three months ended March 31, 2011.

Total processed transactions, which represent transactions processed by VisaNet, for the three months ended March 31, 2011, were 12 billion, a positive 13% increase over the prior year.

For the fiscal second quarter 2011, service revenues were $1.1 billion, an increase of 24% versus the prior year, and are recognized based on payments volume in the prior quarter. All other revenue categories are recognized based on current quarter activity. Data processing revenues rose 13% over the prior year to $823 million. International transaction revenues, which are driven by cross border payments volume, grew 14% over the prior year to $624 million. Other revenues, which include the Visa Europe licensing fee, were $156 million, a 10% decrease over the prior year. Client incentives, which are a contra revenue item, were $451 million and represents 17% of gross revenues.

Total operating expenses on a GAAP basis were $862 million for the quarter, a 3% increase over the prior year.

Cash, cash equivalents, restricted cash, and available-for-sale investment securities were $6.6 billion at March 31, 2011.

Visa's GAAP effective tax rate was 36% for quarter ended March 31, 2011.

Notable Events:

During the three months ended March 31, 2011, the Company effectively repurchased approximately 8.7 million class A shares on an as-converted basis, at an average price of $72.58 per share, for a total cost of $630 million. Of the $630 million, $400 million of class B shares were effectively repurchased through the March funding of the litigation escrow account previously established under the Company's retrospective responsibility plan, representing 5.4 million class A shares on an as-converted basis at an average price of $73.81 per share. The remaining $230 million in repurchases of class A common stock were executed in the open market, representing 3.3 million shares at an average price of $70.53 per share. At March 31, 2011, the October 27, 2010 share repurchase program had remaining authorized funds of $64 million.

As announced on April 25, 2011, the Board of Directors declared a quarterly dividend in the aggregate amount of $0.15 per share of class A common stock (determined in the case of class B and class C common stock on an as-converted basis) payable on June 7, 2011, to all holders of record of the Company's class A, class B and class C common stock as of May 20, 2011.

Today, the Company announces that its Board of Directors has authorized a new $1 billion class A share repurchase program. The authorization will be in place through April 20, 2012, and is subject to further change at the discretion of the Board.

Financial Outlook:

Visa Inc. affirms its financial outlook for the following metrics through 2011:

  • Annual net revenue growth: 11% to 15% range;
  • Client incentives as a percent of gross revenues: 16% to 16.5% range*;
  • Marketing expenses: Less than $900 million;
  • Annual operating margin: About 60%;
  • GAAP tax rate: 36.5% to 37% range;
  • Annual diluted class A common stock earnings per share growth of greater than 20%;
  • Capital expenditures: Between $250-$275 million; and
  • Annual free cash flow in excess of $3 billion.

 

*This range may change based on future developments regarding pending federal debit regulations.

Fiscal Second Quarter 2011 Earnings Results Conference Call Details:

Visa's executive management team will host a live audio webcast beginning at 5:00 p.m. Eastern time (2:00 p.m. Pacific time) today to discuss the financial results and business highlights. All interested parties are invited to listen to the live webcast at http://investor.visa.com. A replay of the webcast will be available on the Visa Investor Relations website for 30 days. Investor information, including supplemental financial information, is available on Visa Inc.'s Investor Relations website at http://investor.visa.com.

About Visa

Visa is a global payments technology company that connects consumers, businesses, financial institutions and governments in more than 200 countries and territories to fast, secure and reliable digital currency. Underpinning digital currency is one of the world's most advanced processing networks--VisaNet--that is capable of handling more than 20,000 transaction messages a second, with fraud protection for consumers and guaranteed payment for merchants. Visa is not a bank and does not issue cards, extend credit or set rates and fees for consumers. Visa's innovations, however, enable its financial institution customers to offer consumers more choices: pay now with debit, ahead of time with prepaid or later with credit products. For more information, visit www.corporate.visa.com.

Forward Looking Statements:

This press release contains forward--looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. These statements can be identified by the terms "expect," "will," "continue" and similar references to the future. Examples of such forward--looking statements include, but are not limited to, statements we make about gross and net revenue, incentive payments, expenses, operating margin, tax rate, earnings per share, capital expenditures, free cash flow and the growth of those items.

By their nature, forward-looking statements: (i) speak only as of the date they are made, (ii) are neither statements of historical fact nor guarantees of future performance and (iii) are subject to risks, uncertainties, assumptions and changes in circumstances that are difficult to predict or quantify. Therefore, actual results could differ materially and adversely from those forward-looking statements because of a variety of factors, including the following:

  • the impact of timing and new laws, regulations and marketplace barriers, particularly the Wall Street Reform and Consumer Protection Act, including those affecting:
    • issuers' and retailers' choice among debit payment networks;
    • debit interchange rates;
    • the spread of regulation of debit payments to credit and other product categories;
    • the spread of U.S. regulations to other countries;
    • consumer privacy and data use and security; and
    • designation as a systemically important payment system;
  • developments in current or future disputes and our ability to absorb their impact, including: interchange; currency conversion; and tax;
  • macroeconomic factors such as:
    • global economic, political, health environmental and other conditions;
    • cross border activity and currency exchange rates; and
    • material changes in our clients' performance compared to our estimates;
  • industry and systemic developments, such as:
    • competitive pressure on client pricing and in the payments industry generally;
    • bank and merchant consolidation and their increased focus on payment card costs;
    • disintermediation from the payments value stream through government actions or bilateral agreements;
    • adverse changes in our relationships and reputation;
    • our clients' failure to fund settlement obligations we have guaranteed;
    • disruption of our transaction processing systems or the inability to process transactions efficiently;
    • rapid technological developments;
    • account data breaches and increased fraudulent and other illegal activity involving our cards; and
    • issues arising at Visa Europe, including failure to maintain interoperability between our systems;
  • costs arising if Visa Europe were to exercise its right to require us to acquire all of its outstanding stock;
  • loss of organizational effectiveness or key employees;
  • failure to integrate successfully CyberSource, PlaySpan or other acquisitions;
  • changes in accounting principles or treatment; and

 

the other factors discussed in our most recent Annual Report on Form 10--K and our most recent Quarterly Reports on Form 10--Q for the first and second quarters of our 2011 fiscal year on file with the U.S. Securities and Exchange Commission. You should not place undue reliance on such statements. Unless required to do so by law, we do not intend to update or revise any forward--looking statement, because of new information or future developments or otherwise.

Contacts: Investor Relations: Jack Carsky or Victoria Hyde-Dunn, 415-932-2213, ir@visa.com Media Relations: Will Valentine, 415-932-2564, globalmedia@visa.com

VISA INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(UNAUDITED)







Three Months Ended
March 31,


Six Months Ended
March 31,





2011


2010


2011


2010





(in millions, except per share data)

Operating Revenues






















Service revenues




$ 1,093


$ 885


$ 2,101


$ 1,712

Data processing revenues




823


728


1,667


1,493

International transaction revenues




624


545


1,254


1,097

Other revenues




156


173


317


363

Client incentives




(451)


(372)


(856)


(746)

Total operating revenues




2,245


1,959


4,483


3,919












Operating Expenses











Personnel




351


310


708


584

Network and processing




80


98


160


203

Marketing




183


238


380


454

Professional fees




77


50


138


101

Depreciation and amortization




70


62


137


124

General and administrative




95


77


205


155

Litigation provision




6


2


6


(41)

Total operating expenses




862


837


1,734


1,580












Operating income




1,383


1,122


2,749


2,339












Other Income (Expense)











Interest expense




(12)


(28)


(8)


(44)

Investment income, net




9


23


19


28

Other




(3)


(4)


(1)


(2)

Total other (expense) income




(6)


(9)


10


(18)












Income before income taxes




1,377


1,113


2,759


2,321

Income tax provision




497


401


995


846












Net income including non-controlling interest




880

-

712


1,764


1,475

Loss attributable to non-controlling interest




1


1


1


1












Net income attributable to Visa Inc.




$ 881


$ 713


$ 1,765


$ 1,476












Basic earnings per share











Class A common stock




$ 1.24


$ 0.97


$ 2.47


$ 1.99

Class B common stock




$ 0.63


$ 0.56


$ 1.26


$ 1.16

Class C common stock




$ 1.24


$ 0.97


$ 2.47


$ 1.99












Basic weighted-average shares outstanding











Class A common stock




505


472


499


470

Class B common stock




245


245


245


245

Class C common stock




80


122


87


125












Diluted earnings per share











Class A common stock




$ 1.23


$ 0.96


$ 2.46


$ 1.99

Class B common stock




$ 0.63


$ 0.56


$ 1.26


$ 1.16

Class C common stock




$ 1.23


$ 0.96


$ 2.46


$ 1.99












Diluted weighted-average shares outstanding











Class A common stock




714


742


717


743

Class B common stock




245


245


245


245

Class C common stock




80


122


87


125

VISA INC.

CONSOLIDATED BALANCE SHEETS

(UNAUDITED)






March 31,


September 30,


2011


2010


(in millions, except par value data)

Assets




Cash and cash equivalents

$ 3,512


$ 3,867

Restricted cash - litigation escrow

2,997


1,866

Investment securities




Trading

66


60

Available-for-sale

131


124

Settlement receivable

397


402

Accounts receivable

538


476

Customer collateral

870


899

Current portion of client incentives

152


175

Current portion of deferred tax assets

497


623

Prepaid expenses and other current assets

446


242





Total current assets

9,606


8,734





Restricted cash - litigation escrow

-


70

Investment securities, available-for-sale

7


24

Client incentives

115


101

Property, equipment and technology, net

1,453


1,357

Other assets

189


197

Intangible assets, net

11,464


11,478

Goodwill

11,588


11,447





Total assets

$ 34,422


$ 33,408









Liabilities




Accounts payable

$ 86


$ 137

Settlement payable

325


406

Customer collateral

870


899

Accrued compensation and benefits

281


370

Client incentives

531


418

Accrued liabilities

780


625

Current portion of long-term debt

12


12

Current portion of accrued litigation

580


631





Total current liabilities

3,465


3,498





Long-term debt

25


32

Accrued litigation

-


66

Deferred tax liabilities

4,205


4,181

Other liabilities

573


617





Total liabilities

8,268


8,394









Equity




Preferred stock, $0.0001 par value, 25 shares authorized and none issued

$ -


$ -

Class A common stock, $0.0001 par value, 2,001,622 shares authorized, 521 and 493 shares issued and outstanding at March 31, 2011, and September 30, 2010, respectively

-


-

Class B common stock, $0.0001 par value, 622 shares authorized, 245 shares issued and outstanding at March 31, 2011, and September 30, 2010

-


-

Class C common stock, $0.0001 par value, 1,097 shares authorized, 64 and 97 shares issued and outstanding at March 31, 2011, and September 30, 2010, respectively

-


-

Additional paid-in capital

20,583


20,794

Accumulated income

5,707


4,368

Accumulated other comprehensive loss, net




Investment securities, available-for-sale

1


3

Defined benefit pension and other postretirement plans

(114)


(115)

Derivative instruments classified as cash flow hedges

(38)


(40)

Foreign currency translation gain

12


1

Total accumulated other comprehensive loss, net

(139)


(151)





Total Visa Inc. stockholders' equity

26,151


25,011





Non-controlling interest

3


3

Total equity

26,154


25,014









Total liabilities and equity

$ 34,422


$ 33,408

VISA INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(UNAUDITED)



Six Months Ended March 31,



2011


2010



(in millions)

Operating Activities










Net income including non-controlling interest


$ 1,764


$ 1,475

Adjustments to reconcile net income including non-controlling interest to net cash provided by (used in) operating activities:





Amortization of client incentives


856


746

Share-based compensation


90


61

Excess tax benefit for share-based compensation


(8)


(8)

Depreciation and amortization of property, equipment and technology and intangible assets


137


124

Litigation provision and accretion


13


(25)

Net recognized gain on investment securities, including other-than-temporary impairment


(4)


(14)

Net recognized (gain) loss on other investments, including other-than-temporary impairment


(1)


1

Deferred income taxes


129


185

Other


(19)


(11)

Change in operating assets and liabilities:





Trading securities


(6)


(4)

Settlement receivable


11


(61)

Accounts receivable


(62)


(58)

Client incentives


(734)


(712)

Other assets


(188)


(141)

Accounts payable


(51)


(78)

Settlement payable


(88)


(16)

Accrued compensation and benefits


(90)


(120)

Accrued and other liabilities


(10)


62

Accrued litigation


(130)


(826)






Net cash provided by operating activities


1,609


580






Investing Activities





Acquisition, net of cash received of $18


(162)


-

Purchases of property, equipment and technology


(147)


(79)

Proceeds from disposal of property, equipment and technology


-


1

Distributions from money market investment


-


85

Investment securities, available-for-sale:





Purchases


-


(1)

Proceeds from sales and maturities


10


45

Purchases of / contributions to other investments


-


(1)

Proceeds / distributions from other investments


103


2






Net cash (used in) provided by investing activities


(196)


52






Financing Activities





Repurchase of class A common stock


(536)


(664)

Dividends paid


(215)


(185)

Deposit into litigation escrow account - retrospective responsibility plan


(1,200)


-

Payment from litigation escrow account - retrospective responsibility plan


140


140

Cash proceeds from exercise of stock options


39


21

Excess tax benefit for share-based compensation


8


8

Principal payments on debt


(7)


(6)

Principal payments on capital lease obligations


(8)


(9)






Net cash used in financing activities


(1,779)


(695)

Effect of exchange rate changes on cash and cash equivalents


11


6

Decrease in cash and cash equivalents


(355)


(57)

Cash and cash equivalents at beginning of year


3,867


4,617

Cash and cash equivalents at end of period


$ 3,512


$ 4,560











Supplemental Disclosure of Cash Flow Information










Income taxes paid, net of refunds


$ 1,015


$ 759

Amounts included in accounts payable and accrued and other liabilities related to purchases of property, equipment and technology


$ 20


$ 10

Interest payments on debt


$ 2


$ 2

VISA INC.

FISCAL 2010 AND 2011 QUARTERLY RESULTS OF OPERATIONS

(UNAUDITED)





Fiscal 2010 Quarter Ended


Fiscal 2011 Quarter Ended




December 31,

2009


March 31,
2010


June 30,
2010


September 30,
2010


December 31,
2010


March 31,
2011








(in millions)





OperatingRevenues














Service revenues


$ 827


$ 885


$ 873


$ 912


$ 1,008


$ 1,093


Data processing revenues (1)


765


728


792


840


844


823


International transaction revenues


552


545


574


619


630


624


Other revenues (2)


190


173


183


167


161


156


Client incentives


(374)


(372)


(393)


(421)


(405)


(451)


Total operating revenues


1,960


1,959


2,029


2,117


2,238


2,245
















OperatingExpenses














Personnel


274


310


285


353


357


351


Network and processing (1)


105


98


103


119


80


80


Marketing (2)


216


238


277


233


197


183


Professional fees


51


50


77


108


61


77


Depreciation and amortization


62


62


63


78


67


70


General and administrative


78


77


87


117


110


95


Litigation provision


(43)


2


-


(4)


-


6


Total operating expenses


743


837


892


1,004


872


862
















Operating income (1) (2)


1,217


1,122


1,137


1,113


1,366


1,383
















OtherIncome(Expense)














Interest (expense) income


(16)


(28)


(13)


(15)


4


(12)


Investment income, net


5


23


1


20


10


9


Other


2


(4)


(3)


77


2


(3)


Total other (expense) income


(9)


(9)


(15)


82


16


(6)
















Income before income taxes


1,208


1,113


1,122


1,195


1,382


1,377


Income tax provision


445


401


406


422


498


497


Net income including non-controlling interest


763


712


716


773


884


880


Loss attributable to non-controlling interest


-


1


-


1


-


1


Net income attributable to Visa Inc. (1) (2)


$ 763


$ 713


$ 716


$ 774


$ 884


$ 881





























(1)

As previously announced, beginning in the first quarter of fiscal 2011, the Company changed its presentation for non-Visa transactions pass-through revenues and expenses from a gross reporting to a net reporting basis. Previously, pass-through revenues were recorded in data processing and related expenses were recorded in network and processing. This change in presentation does not impact operating income or net income attributable to Visa Inc. as revenue and expense amounts completely offset. On a quarterly basis, related fiscal 2010 revenues and expenses were $36 million in Q1, $31 million in Q2, $35 million in Q3 and $38 million in Q4. These amounts will not recur in fiscal 2011 as a result of this change in presentation.

(2)

As previously announced, as a result of certain contractual changes relating to our Visa Extras rewards platform, certain fiscal 2010 revenues recorded in other revenues, and expenses recorded in marketing, will not recur in fiscal 2011. These changes do not impact operating income or net income attributable to Visa Inc. as revenue and expense amounts completely offset. On a quarterly basis, related fiscal 2010 revenues and expenses were $31 million in Q1, $24 million in Q2, $27 million in Q3 and $7 million in Q4.

Operational Performance Data

The tables below provide information regarding the available operational results for the 3 months ended March 31, 2011, as well as the prior four quarterly reporting periods and the 12 months ended March 31, 2011 and 2010, for cards carrying the Visa, Visa Electron and Interlink brands. Included is a table with information on the number of billable transactions processed on CyberSource's network. Visa Inc. completed its acquisition of CyberSource Corporation on July 21, 2010.

1. Branded Volume and Transactions

The tables present total volume, payments volume, and cash volume, and the number of payments transactions, cash transactions, accounts and cards for cards carrying the Visa, Visa Electron and Interlink brands. Card counts include PLUS proprietary cards. Nominal and constant dollar growth rates over prior years are provided for volume-based data.


For the 3 Months Ended March 31, 2011


Total
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Transactions
(millions)

Cash
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Cash
Transactions
(millions)













AllVisaCredit&Debit












AsiaPacific

$351

18.5%

12.2%

$230

18.1%

11.5%

2,604

$121

19.1%

13.6%

580

Canada

53

12.9%

7.9%

48

11.9%

7.0%

421

5

23.3%

17.9%

9

CEMEA

177

26.1%

24.5%

30

33.8%

31.2%

476

147

24.6%

23.3%

899

LAC

222

26.8%

20.5%

77

32.7%

26.1%

1,741

145

23.8%

17.7%

858

US

575

11.1%

11.1%

477

11.6%

11.6%

9,571

99

9.2%

9.2%

838

VisaInc.

1,378

17.2%

14.3%

861

15.6%

13.0%

14,813

516

19.8%

16.5%

3,184













VisaCreditPrograms












US

$209

7.7%

7.7%

$199

9.1%

9.1%

2,284

$10

-15.5%

-15.5%

15

Rest of World

363

19.1%

13.1%

317

19.0%

12.8%

3,797

46

19.8%

15.4%

159

Visa Inc.

572

14.7%

11.0%

516

15.0%

11.3%

6,081

56

11.7%

8.5%

174













Visa Debit Programs












US

$367

13.2%

13.2%

$277

13.4%

13.4%

7,287

$89

12.8%

12.8%

823

Rest of World

439

24.3%

19.8%

68

31.7%

26.1%

1,445

371

23.0%

18.7%

2,187

Visa Inc.

806

19.0%

16.7%

345

16.6%

15.7%

8,731

461

20.9%

17.5%

3,010


For the 3 Months Ended December 31, 2010


Total
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Transactions
(millions)

Cash
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Cash
Transactions
(millions)

Accounts
(millions)

Cards
(millions)















AllVisaCredit&Debit














AsiaPacific

$361

13.6%

7.9%

$240

21.9%

15.3%

2,767

$121

0.2%

-4.1%

591

473

571

Canada

58

12.1%

7.6%

53

11.3%

6.8%

466

5

22.8%

17.9%

9

25

33

CEMEA

184

25.6%

26.6%

30

32.8%

31.5%

478

154

24.3%

25.7%

955

219

222

LAC

233

21.4%

19.0%

81

26.0%

25.8%

1,822

151

19.1%

15.6%

914

358

387

US

591

11.5%

11.5%

493

12.5%

12.5%

9,993

98

7.1%

7.1%

850

529

685

VisaInc.

1,427

15.3%

13.3%

897

16.5%

14.5%

15,526

530

13.2%

11.3%

3,319

1,604

1,897















VisaCreditPrograms














US

$226

5.4%

5.4%

$216

7.6%

7.6%

2,534

$10

-26.7%

-26.7%

16

205

267

Rest of World

381

20.1%

15.2%

334

19.8%

14.7%

4,008

48

22.6%

18.7%

167

442

503

Visa Inc.

608

14.2%

11.3%

550

14.7%

11.8%

6,542

58

9.6%

6.9%

183

647

770















VisaDebitPrograms














US

$365

15.7%

15.7%

$277

16.5%

16.5%

7,459

$88

13.1%

13.1%

834

324

418

Rest of World

454

16.5%

14.1%

71

33.3%

30.0%

1,525

384

13.8%

11.6%

2,302

633

709

Visa Inc.

819

16.1%

14.8%

348

19.6%

19.0%

8,984

472

13.7%

11.9%

3,136

957

1,127


For the 3 Months Ended September 30, 2010


Total
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Transactions
(millions)

Cash
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Cash
Transactions
(millions)

Accounts
(millions)

Cards
(millions)















AllVisaCredit&Debit














AsiaPacific

$326

16.2%

11.9%

$212

16.2%

12.2%

2,681

$114

16.2%

11.4%

595

467

556

Canada

53

10.4%

7.4%

49

10.2%

7.2%

448

5

12.0%

8.9%

9

24

32

CEMEA

164

22.1%

23.3%

27

26.4%

27.5%

418

137

21.3%

22.4%

860

208

212

LAC

204

22.4%

20.2%

69

24.0%

23.8%

1,634

135

21.6%

18.4%

873

356

385

US

574

12.3%

12.3%

474

13.5%

13.5%

9,757

100

7.1%

7.1%

870

501

667

VisaInc.

1,320

15.8%

14.4%

830

15.1%

13.9%

14,938

491

16.9%

15.2%

3,207

1,557

1,851















VisaCreditPrograms














US

$217

3.3%

3.3%

$207

6.4%

6.4%

2,431

$10

-35.9%

-35.9%

17

208

269

Rest of World

338

14.6%

11.6%

295

14.5%

11.5%

3,835

43

15.3%

12.5%

157

439

501

Visa Inc.

555

9.9%

8.2%

503

11.0%

9.3%

6,266

53

0.2%

-1.6%

174

647

770















VisaDebitPrograms














US

$356

18.6%

18.6%

$266

19.6%

19.6%

7,326

$90

15.7%

15.7%

853

293

398

Rest of World

409

22.2%

20.1%

61

34.2%

32.4%

1,346

348

20.3%

18.1%

2,180

616

683

Visa Inc.

765

20.5%

19.4%

327

22.1%

21.8%

8,672

438

19.3%

17.6%

3,033

910

1,081


For the 3 Months Ended June 30, 2010


Total
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Transactions
(millions)

Cash
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Cash
Transactions
(millions)

Accounts
(millions)

Cards
(millions)















AllVisaCredit&Debit














AsiaPacific

$309

19.3%

12.5%

$198

19.9%

12.7%

2,580

$111

18.1%

12.3%

581

458

545

Canada

53

17.5%

7.5%

48

18.1%

8.1%

433

5

11.5%

2.1%

9

24

31

CEMEA

154

27.0%

25.6%

24

30.9%

28.6%

394

130

26.3%

25.1%

852

203

204

LAC

185

23.2%

16.4%

62

25.8%

21.1%

1,519

123

21.9%

14.2%

849

353

382

US

567

12.1%

12.1%

469

13.8%

13.8%

9,513

97

4.8%

4.8%

855

497

674

VisaInc.

1,269

17.3%

14.1%

802

16.8%

14.1%

14,438

466

18.0%

14.2%

3,145

1,535

1,836















VisaCreditPrograms














US

$214

2.3%

2.3%

$204

5.9%

5.9%

2,347

$10

-39.4%

-39.4%

17

210

274

RestofWorld

320

18.7%

11.8%

278

18.6%

11.6%

3,679

42

19.3%

12.8%

155

436

499

VisaInc.

534

11.5%

7.8%

481

12.9%

9.2%

6,026

53

0.2%

-3.6%

171

646

772















VisaDebitPrograms














US

$352

19.1%

19.1%

$265

20.6%

20.6%

7,166

$87

14.8%

14.8%

838

287

400

RestofWorld

382

24.5%

19.4%

55

38.0%

31.5%

1,246

327

22.4%

17.6%

2,136

601

664

VisaInc.

735

21.8%

19.3%

321

23.3%

22.4%

8,412

414

20.7%

17.0%

2,974

888

1,063


For the 3 Months Ended March 31, 2010


Total
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Transactions
(millions)

Cash
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Cash
Transactions
(millions)

Accounts
(millions)

Cards
(millions)















AllVisaCredit&Debit














AsiaPacific

$296

29.5%

12.7%

$195

32.3%

13.7%

2,459

$102

24.5%

10.9%

553

452

537

Canada

47

30.4%

5.5%

43

34.2%

8.6%

387

4

-0.1%

-19.1%

9

24

31

CEMEA

140

31.0%

19.2%

23

36.8%

22.5%

357

118

30.0%

18.6%

771

196

199

LAC

175

36.2%

15.9%

58

38.6%

20.5%

1,437

117

35.1%

13.7%

819

343

372

US

518

10.7%

10.7%

427

12.7%

12.7%

8,569

91

2.2%

2.2%

755

494

667

VisaInc.

1,176

21.5%

12.7%

745

20.9%

13.6%

13,209

431

22.6%

11.3%

2,906

1,509

1,806















VisaCreditPrograms














US

$194

-0.8%

-0.8%

$182

3.4%

3.4%

2,119

$12

-39.6%

-39.6%

16

217

280

RestofWorld

305

29.4%

11.0%

266

30.9%

12.3%

3,459

39

19.9%

2.5%

138

431

493

VisaInc.

499

15.7%

6.2%

449

18.1%

8.6%

5,577

50

-2.2%

-11.3%

154

648

773















VisaDebitPrograms














US

$324

19.0%

19.0%

$245

20.9%

20.9%

6,450

$79

13.6%

13.6%

738

277

387

RestofWorld

353

33.7%

17.4%

51

53.0%

29.6%

1,181

302

30.9%

15.5%

2,013

584

646

VisaInc.

677

26.2%

18.2%

296

25.5%

22.4%

7,631

381

26.8%

15.1%

2,751

861

1,033


For the 12 Months Ended March 31, 2011


Total
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Transactions
(millions)

Cash
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Cash
Transactions
(millions)













AllVisaCredit&Debit












AsiaPacific

$1,348

16.8%

11.0%

$880

19.1%

12.9%

10,632

$468

12.7%

7.6%

2,347

Canada

217

13.1%

7.6%

197

12.8%

7.3%

1,769

19

17.3%

11.4%

37

CEMEA

679

25.2%

25.0%

112

31.1%

29.8%

1,766

567

24.1%

24.1%

3,566

LAC

843

23.4%

19.1%

289

27.2%

24.3%

6,715

554

21.5%

16.5%

3,493

US

2,307

11.8%

11.8%

1,912

12.8%

12.8%

38,832

395

7.0%

7.0%

3,413

VisaInc.

5,394

16.3%

14.0%

3,391

16.0%

13.9%

59,715

2,003

16.9%

14.2%

12,855













VisaCreditPrograms












US

$866

4.6%

4.6%

$826

7.3%

7.3%

9,596

$40

-30.7%

-30.7%

65

RestofWorld

1,403

18.2%

13.0%

1,224

18.0%

12.7%

15,320

179

19.3%

14.9%

638

VisaInc.

2,269

12.6%

9.6%

2,050

13.4%

10.4%

24,915

219

5.3%

2.5%

703













VisaDebitPrograms












US

$1,440

16.6%

16.6%

$1,086

17.4%

17.4%

29,237

$354

14.1%

14.1%

3,348

RestofWorld

1,684

21.6%

18.2%

254

34.1%

29.8%

5,563

1,430

19.6%

16.3%

8,805

VisaInc.

3,124

19.2%

17.4%

1,341

20.3%

19.6%

34,799

1,784

18.5%

15.9%

12,153


For the 12 Months Ended March 31, 2010


Total
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Payments
Transactions
(millions)

Cash
Volume
($billions)

Growth
(Nominal
USD)

Growth
(Constant
USD)

Cash
Transactions
(millions)

Accounts
(millions)

Cards
(millions)















AllVisaCredit&Debit














AsiaPacific

$1,155

18.8%

13.0%

$739

16.7%

10.2%

9,791

$416

22.7%

18.6%

2,196

452

537

Canada

191

6.8%

0.1%

175

9.5%

2.7%

1,625

16

-16.1%

-21.1%

35

24

31

CEMEA

542

5.0%

10.3%

85

13.1%

12.4%

1,328

457

3.6%

9.9%

3,035

196

199

LAC

683

16.7%

14.0%

227

20.5%

17.4%

5,621

456

14.9%

12.4%

3,305

343

372

US

2,064

2.0%

2.0%

1,695

3.9%

3.9%

34,010

369

-5.9%

-5.9%

3,052

494

667

VisaInc.

4,636

8.4%

7.2%

2,922

8.7%

6.6%

52,376

1,714

7.9%

8.3%

11,623

1,509

1,806















VisaCreditPrograms














US

$828

-9.7%

-9.7%

$770

-4.3%

-4.3%

9,074

$58

-48.4%

-48.4%

78

217

280

RestofWorld

1,187

12.0%

6.9%

1,037

14.1%

8.4%

13,827

150

-0.8%

-2.4%

556

431

493

Visa Inc.

2,015

1.9%

-0.4%

1,807

5.5%

2.7%

22,901

208

-21.1%

-21.4%

633

648

773















VisaDebitPrograms














US

$1,236

11.7%

11.7%

$925

11.8%

11.8%

24,936

$311

11.3%

11.3%

2,974

277

387

RestofWorld

1,385

16.0%

16.2%

190

27.6%

23.3%

4,539

1,195

14.3%

15.1%

8,015

584

646

Visa Inc.

2,620

13.9%

14.0%

1,115

14.2%

13.7%

29,475

1,505

13.7%

14.3%

10,989

861

1,033

Footnote

The preceding tables present regional total volume, payments volume and cash volume, and the number of payments transactions, cash transactions, accounts and cards for cards carrying the Visa, Visa Electron and Interlink brands. Card counts include PLUS proprietary cards. Nominal and constant dollar growth rates over prior years are provided for volume-based data.

Payments volume represents the aggregate dollar amount of purchases made with cards carrying the Visa, Visa Electron and Interlink brands for the relevant period; and cash volume represents the aggregate dollar amount of cash disbursements obtained with these cards for the relevant period and includes the impact of balance transfers and convenience checks; but excludes proprietary PLUS volume. Total volume represents payments volume plus cash volume.

Visa payment products are comprised of credit and debit programs, and data relating to each program is included in the tables. Debit programs include Visa's signature based and Interlink (PIN) debit programs.

The data presented is reported quarterly by Visa's members on their operating certificates and is subject to verification by Visa. On occasion, members may update previously submitted information.

Visa's CEMEA region is comprised of countries in Central Europe, the Middle East and Africa. Effective with the 3 months ended September, 2009, Pakistan and Afghanistan were moved from the AP to CEMEA region. Several European Union countries in Central Europe, Israel and Turkey are not included in CEMEA. LAC is comprised of countries in Central and South America and the Caribbean. Rest of World includes Asia Pacific, Canada, CEMEA and LAC.

Information denominated in U.S. dollars is calculated by applying an established U.S. dollar/local currency exchange rate for each local currency in which Visa Inc. volumes are reported ("Nominal USD"). These exchange rates are calculated on a quarterly basis using the established exchange rate for each quarter. To eliminate the impact of foreign currency fluctuations against the U.S. dollar in measuring performance, Visa Inc. also reports year-over-year growth in total volume, payments volume and cash volume on the basis of local currency information ("Constant USD"). This presentation represents Visa's historical methodology which may be subject to review and refinement.

2. Cross Border Volume

The table below represents cross border volume growth for cards carrying the Visa, Visa Electron, Interlink and PLUS brands. Cross border volume refers to payments and cash volume where the issuing country is different from the merchant country.

Period

Growth
(Nominal
USD)

Growth
(Constant
USD)




3 Months Ended



Mar 31, 2011

16%

13%

Dec 31, 2010

16%

15%

Sep 30, 2010

16%

16%

Jun 30, 2010

20%

17%

Mar 31, 2010

19%

12%




12 Months Ended



Mar 31, 2011

17%

15%

Mar 31, 2010

(1%)

0%

3. Visa Processed Transactions

The table below represents transactions involving Visa, Visa Electron, Interlink and PLUS cards processed on Visa's networks. CyberSource transactions are not included in this table. CyberSource transactions are reported in the next section.

Period

Processed
Transactions
(millions)

Growth




3 Months Ended



Mar 31, 2011

12,040

13%

Dec 31, 2010

12,580

15%

Sep 30, 2010

12,119

16%

Jun 30, 2010

11,721

14%

Mar 31, 2010

10,648

14%




12 Months Ended



Mar 31, 2011

48,460

15%

Mar 31, 2010

42,300

11%

4. CyberSource Transactions

The table below represents billable transactions processed on CyberSource's network that generate revenue for CyberSource.

Period

Billable
Transactions
(millions)

Growth




3 Months Ended



Mar 31, 2011

1,018

38%

Dec 31, 2010

987

40%

Sep 30, 2010

829

36%

Jun 30, 2010

758

31%

Mar 31, 2010

738

34%




12 Months Ended



Mar 31, 2011

3,592

36%

Mar 31, 2010

2,634

30%

SOURCE Visa Inc.