Visa (V) delivered a strong fiscal third quarter for 2025, showcasing resilient growth across its core businesses and continued momentum in innovation and global consumer spending. Net revenue rose 14% year-over-year to $10.2 billion, driven by broad-based gains in payments volume, cross-border activity, and value-added services. GAAP net income reached $5.3 billion, up 8%, while non-GAAP net income climbed 19% to $5.8 billion. Earnings per share also saw robust gains, with GAAP EPS up 12% to $2.69 and non-GAAP EPS jumping 23% to $2.98.

Growth was fueled by healthy consumer activity and sustained demand for Visa’s digital payment solutions. Payments volume increased 8%, and cross-border volume excluding intra-Europe rose 11%, supported by strong international travel and commerce. The company processed 65.4 billion transactions, up 10% from the prior year.

Visa’s top-line expansion was broad-based. Data processing revenue grew 15%, international transaction revenue rose 14%, and value-added services revenue surged 26%, underlining the success of Visa’s strategic push into advisory, risk, and acceptance solutions. The U.S. market contributed $3.93 billion in net revenue (+8%), while international markets outperformed with $6.25 billion, up 18%, reflecting robust cross-border momentum and global transaction growth.

Operating expenses grew sharply to $4.0 billion (up 35%) on a GAAP basis, largely due to a $615 million litigation provision and higher personnel costs. On a non-GAAP basis, expenses rose a more moderate 13% to $3.3 billion. Still, Visa maintained strong profitability and returned significant capital to shareholders, with $4.8 billion in share repurchases and $1.2 billion in dividends during the quarter.

Business lines outside of traditional card payments also delivered. Visa Direct transactions surged 25% year-over-year to 3.3 billion, driven by P2P and B2B demand. The company’s innovation engine continued to roll, with expansion into AI-powered services, stablecoin infrastructure, and strategic wins with partners like ShopeePay and Careem Pay. More than 50% of global e-commerce transactions are now tokenized, and Tap to Pay adoption reached 78% of in-person payments worldwide.

Management struck a confident tone. CEO Ryan McInerney emphasized Visa’s "diverse business model" and noted that consumer spending trends remain solid across categories. CFO Chris Suh added that Q3 outperformed expectations due to favorable currency impacts, lower-than-expected incentives, and stronger VAS growth—factors expected to normalize in Q4.

Looking ahead, Visa expects Q4 net revenue and EPS growth in the high single to low double digits, with full-year 2025 guidance unchanged but trending stronger than originally projected. For 2026, the company is preparing for multiple macro scenarios but remains confident in its growth trajectory.

With operating cash flow up 27% to $16.8 billion for the first nine months, a strong balance sheet including $24.4 billion in cash, and nearly $30 billion remaining in authorized share buybacks, Visa remains well-positioned to invest in long-term innovation while delivering strong shareholder returns.