The payments giant reported a rise in fourth-quarter earnings, driven by resilient household spending and busy holiday-season shopping. Even as higher prices and shifting trade policies stirred economic concerns, consumers continued to pay for essentials and hunt for deals, lifting card usage across Mastercard’s network, News.Az reports, citing Reuters.
During the quarter, the total value of transactions processed on Mastercard’s platform rose 7%, while net revenue climbed 17.6% to $8.81 billion. Investors welcomed the results, sending the company’s shares up in premarket trading.
Cross-border spending — purchases made outside the cardholder’s home country — jumped 14%, highlighting sustained demand for international travel and leisure. Analysts say this rebound in global mobility remains a key growth engine for payment processors.
U.S. banks also reported rising credit card balances in the latest quarter, signaling that consumers continue borrowing and spending even as interest rates remain high. This resilience has helped shield payment networks from broader economic slowdown fears.
Beyond payments, Mastercard is accelerating its expansion into high-margin digital services. Its fraud protection, cybersecurity, and data-driven solutions business grew faster than its core card network. Revenue in its value-added services segment surged 26% in the quarter, underscoring the company’s push to diversify beyond transaction fees.
Net income rose to $4.06 billion, or $4.52 per share, up from $3.34 billion, or $3.64 per share, a year earlier.
Mastercard is the first major U.S. payment processor to report earnings this season. Rival Visa is due to release results later today, with American Express following shortly after — setting the stage for a broader read on global consumer spending health.
