Visa Authorizes $5.0 Bln Share Buyback; Expects Q4 Results To Improve Modestly

(RTTNews) - The board of Visa Inc. (V) has authorized a new $5.0 billion class A common stock share repurchase program. The company currently has $7.3 billion of funds, authorized by the board of directors, available for share repurchase.

For the third quarter of 2016, Visa Inc. reported adjusted earnings per share of $0.69, a decrease of 7% nominally or 4% in constant dollars over the prior year's adjusted results. The company noted that its prior year's adjusted results were positively impacted by a $280 million tax benefit.

For the third quarter of 2016, the company reported net operating revenue of $3.6 billion, an increase of 3% nominally or 6% on a constant dollar basis over the prior year, driven by continued growth in processed transactions and nominal payments volume. Currency rate shifts versus the prior year negatively impacted reported net operating revenue growth by approximately 3 percentage points. Payments volume growth, on a constant dollar basis, for the three months ended June 30, 2016, was 10% over the prior year at $1.3 trillion.

Charlie Scharf, CEO of Visa Inc., stated: "Looking ahead, we expect next quarter results to improve modestly, similar to first-half of the year results. As we look toward fiscal full-year 2017, our underlying business is strong, and with the lapping effect of several items, based on what we know today and assuming similar consumer spending patterns, we feel good about our ability to produce stronger revenue and earnings growth."