Earnings: Analysts tracked by FactSet expect adjusted earnings per share of 52 cents, up 24% from a year ago. Management said following its last release that it expected adjusted EPS within a range of 50 cents to 52 cents, and CFO John Rainey said on a mid-November call that he had no changes to that outlook. At Estimize, which crowdsources estimates from analysts, fund managers and academics, the average estimate is 53 cents.

Revenue: Both FactSet and Estimize consensus numbers call for revenue growth of 22%, to $3.6 billion, in the December quarter. Rainey’s updated forecast on the November call was for revenue in a range of $3.595 billion to $3.655 billion.

Analysts predict that total payment volume — a measure of money flowing through PayPal’s systems — grew to $128.6 billion, up 30% from a year earlier.

PayPal reported its first-quarter results after the bell on Wednesday, sending shares up about 3% in after-hours trading, due to better-than-expected numbers.

Adjusted earnings per share were 57 cents, above analyst estimates of 54 cents. Revenue for the quarter was $3.69 billion, up 24% from last year. Analysts surveyed by Yahoo Finance had been expecting $3.59 billion.

This comes from $132 billion in total payment volume, with $49 billion coming from mobile transactions. The company touted four consecutive quarters of accelerating revenue growth.

PayPal also raised guidance, expecting revenue for the year to between $3.78 and $3.83 billion.

PayPal broke out results for Venmo, its popular peer-to-peer payments app. It processed $40 billion in payments over the last year and $12 billion in the first quarter.

PayPal added 8.1 million active accounts. Its average customer makes 34.7 transactions per year, an 8% increase from prior years.

PayPal repurchased 23.6 million shares of common stock last quarter, returning $1.83 billion to shareholders.

PayPal shares have doubled in the past year, but at $74, shares are beneath the high of $85 we saw last quarter. The company dipped following its last earnings report on news that eBay is looking to partner with competitor Adyen.

PayPal and eBay were previously the same company, but the two separated in 2015. PayPal is the larger of the two businesses, with a market cap of nearly $88 billion. eBay is worth under $42 billion.

PayPal Nears $2.2 Billion Deal for European Fintech Startup iZettle

May 17, 2018 3:19 p.m. ET

PayPal Holdings Inc. is nearing a deal to buy European financial-technology startup iZettle AB for around $2.2 billion, according to people familiar with the matter, a move that would catapult the U.S. digital-payments giant into hundreds of thousands of brick-and-mortar retailers around the world.

The acquisition, the largest in PayPal’s history, could be announced as early as Thursday, the people said.

It would set up a showdown between the San Jose, Calif., company and Jack Dorsey’s Square Inc., which has built a big payments business catering to coffee shops, flea-market vendors and millions of other small businesses with physical locations that PayPal had historically overlooked.

MORE TO COME

PayPal earnings: Acquisition spree could reshape online-payments giant

July 24, 2018

Earnings: PayPal guided for adjusted earnings of 54 cent to 56 cents a share for the quarter. Analysts surveyed by FactSet expect PayPal to report 56 cents in adjusted earnings per share for the June-ended quarter, up from 43 cents a year earlier. On Estimize, a platform that crowd sources estimates from hedge funds, academics, and others, the average projection also calls for 56 cents.

PayPal has beaten FactSet’s earnings figure in every quarter since the company spun out from eBay Inc. in 2015.

Revenue: PayPal’s forecast calls for $3.78 billion to $3.83 billion in sales. The FactSet consensus projects $3.8 billion in revenue for the quarter, while the Estimize consensus calls for $3.9 billion. A year ago, PayPal reported revenue of $3.1 billion.

What else to watch for

PayPal has recently grown more aggressive with its efforts to monetize the popular Venmo peer-to-peer service.

The company continues to bring new merchants on board for Pay with Venmo, an initiative that allows Venmo users to pay with their balances or other means for e-commerce offerings. Newly announced “smart” button technology, which detects, among other things, whether a shopper is a Venmo user so it can show him or her the Pay with Venmo button, should accelerate merchant adoption.

Other Venmo monetization efforts include a newly announced physical debit card, similar to the one that Square offers users of its Cash app. Both the debit card and the smart buttons are too fresh to have an impact on the latest quarterly numbers, but investors will nonetheless be looking for an update on the progress of Venmo’s monetization.

PayPal said at its May investor day that 11% of monthly active users engaged in a monetized experience between January and April, so Wall Street will want to see if that number has increased, especially amid all the new efforts. Instinet analyst Dan Dolev recently predicted that Square is monetizing “well over” a third of all Square Cash transactions. That implies room for PayPal’s Venmo to show considerable growth on the metric over time.

PayPal earnings top estimates, but revenue outlook falls short

July 25, 2018

PayPal reported second-quarter earnings that topped Wall Street estimates on Wednesday, but its third-quarter revenue outlook fell short.

Here's how the company did compared with what Wall Street expected:

- Earnings per share: 58 cents vs. 57 cents, forecast by Thomson Reuters
- Revenue: $3.86 billion vs. $3.81 billion, forecast by Thomson Reuters

That revenue figure represents 23 percent growth, from the $3.14 billion PayPal reported in the year-ago quarter. For the third quarter, PayPal's profit forecast was in line with analyst expectations, but its revenue outlook missed. The company said it expects adjusted earnings per share between 53 cents and 55 cents on revenue between $3.62 billion and $3.67 billion. Analysts had projected third-quarter earnings of 54 cents a share on revenue of $3.71 billion, according to Thomson Reuters consensus estimates.

For the second quarter, PayPal’s net income climbed to $703 million, or 58 cents per share, from $554 million, or 46 cents a share, a year earlier.

PayPal also said its board approved up to $10 billion in share buybacks.

The financial technology company also raised its full-year forecast, saying it now expects adjusted earnings per share between $2.32 and $2.35 on revenue between $15.3 billion and $15.5 billion. PayPal previously projected adjusted full-year earnings per share between $2.31 and $2.34 on revenue between $15.2 billion and $15.4 billion.

PayPal earnings: Venmo progress could breathe life into stalled stock

Published: Oct 17, 2018 12:51 p.m. ET

PayPal Holdings Inc. has been talking about making money off Venmo for more than two years but could be finding surprising ways to make that happen.

Progress has been slow with the company’s efforts to get consumers to pay with Venmo for e-commerce purchases, yet PayPal seems to have seen better-than-expected traction for an option that lets Venmo users pay 25 cents to transfer their funds immediately to their bank accounts.

PayPal said on its last quarterly earnings call that 17% of Venmo users have engaged in a “monetized experience” since launch, and Deutsche Bank analyst Bryan Keane suspects that the company’s instant-deposits feature has so far seen the biggest uptake. Perhaps in a sign of high willingness to pay for the feature, PayPal quietly announced last week that it would add a 1% charge for such transfers. Users who want to send money to their bank accounts at regular speed can still do so free, but news of the fee increase angered some Venmo users who complained about the change on social media.

PayPal bulls are betting on the company’s ability to effectively monetize Venmo by getting younger users to pay with the service for online purchases. The company has slowly been getting more merchants to add Venmo buttons to their sites and may provide updates during the conference call on whether users of big platforms like Uber and Grubhub are choosing the Venmo option at checkout. PayPal recently rolled out new checkout-button options for online sellers that make it easy for them to display Venmo buttons to interested shoppers.

Newer growth engines such as Venmo are important for PayPal, which has seen its shares tumble 10% since its last earnings report. Spooking investors are a possible slowdown in cross-border volume growth, looming changes to the company’s relationship with eBay Inc. and general fears about the resilience of fast-growing fintech companies in a potential downturn.

Earnings: Analysts surveyed by FactSet expect that PayPal will report adjusted earnings per share of 54 cents for the September quarter, up from 46 cents a year earlier. According to Estimize, the average estimate calls for 56 cents in adjusted earnings per share. The company forecast 53 cents to 55 cents on last earnings call in July.

Mizuho analyst Thomas McCrohan notes that the company has met or exceeded consensus expectations in all 13 quarters that it’s been a stand-alone public company. He expects that trend to continue with the September quarter.

Revenue: The FactSet consensus calls for $3.66 billion in revenue, while the Estimize consensus calls for $3.71 billion. Those compare to PayPal’s outlook for $3.62 billion to $3.67 billion, issued on the company’s July earnings call.

Aside from Venmo monetization progress, acquisition updates will also be of interest on the PayPal earnings call. PayPal earlier this year acquired iZettle, a Square Inc. competitor that makes hardware that allows small businesses to accept card-based payments. Now that the deal has closed, Wall Street will be looking for commentary about PayPal’s plans to cross-sell and gain more of an in-store presence.

Analysts are also looking for further commentary on eBay’s shift away from PayPal, especially since the retailer has given updates about its early efforts to manage some payments on its site. This is one “idiosyncratic” item that could manifest in the latest results, along with an expected headwind from the PayPal’s sale of its receivables portfolio to Synchrony, according to Hecht.

PayPal Reports Third Quarter 2018 Results

Oct 18, 2018

Financial highlights for third quarter 2018
.

• Revenue growth of 14% to $3.68 billion on both a spot and foreign currency-neutral (FX-neutral or FXN) basis. The completion of the sale of the U.S. consumer credit receivables portfolio to Synchrony in July 2018 negatively affected revenue growth by approximately seven percentage points.
• GAAP operating margin expanded 24 basis points to 13.3%; non-GAAP operating margin expanded 142 basis points to 21.4%
• GAAP EPS of $0.36, increasing 17%; non-GAAP EPS of $0.58, increasing 26%

Operating highlights for third quarter 2018
.

• 9.1 million active accounts added versus an increase of 8.2 million in Q3 2017, and ended the quarter with 254 million active accounts, up 15%
• 2.5 billion payment transactions, up 27%
• $143 billion in total payment volume (TPV), up 24%, or 25% on an FX-neutral basis
• 36.5 payment transactions per active account on a trailing twelve months basis, up 9.5%

PayPal's expanding value proposition

PayPal processed $143 billion in TPV in the third quarter, representing growth of 24%, or 25% on an FX-neutral basis. Merchant Services TPV grew 28% on an FX-neutral basis. eBay Marketplaces volume grew 3% on an FX-neutral basis, and represented 11% of overall TPV for the quarter versus approximately 13% a year ago. Person-to-Person (P2P) volume grew 50% to more than $36 billion, and represented approximately 25% of TPV in the third quarter.

Strong mobile engagement on PayPal's platform contributed to approximately $57 billion in mobile payment volume, growing approximately 45%. In the third quarter, mobile payment volume represented 40% of overall TPV. Venmo, the company's social payments platform, processed approximately $17 billion of TPV in the third quarter, growing 78%. On a trailing twelve month basis, Venmo processed approximately $54 billion of TPV.

As part of PayPal's efforts to further improve its value proposition for merchants, Funds Now was launched in the third quarter. This initiative gives merchants instant access to funds by eliminating holds, delays and reserves and is now available to sellers in the U.S., UK and Australia.

PayPal reported third-quarter earnings and revenue that topped Wall Street estimates on Thursday.

Here's how the company did compared with what Wall Street expected:

Earnings: 58 cents vs. 54 cents per share, forecast by Refinitiv.
Revenue: $3.68 billion vs. $3.66 billion, forecast by Refinitiv.

Shares of PayPal rose 2.2 percent in after-hours trading Thursday and were trading near $79.20.

PayPal's revenue grew 14 percent in the third quarter to $3.68 billion, while earnings were up 26 percent.

The company added 9.1 million accounts in the third quarter, up 15 percent from last quarter. PayPal closed the quarter with a total 254 million active accounts.

The company raised its fourth-quarter earnings guidance to a range of between 65 and 67 cents, and increased quarterly revenue guidance, both in-line with analysts' expectations, according to Refinitiv. PayPal also upped its full-year earnings guidance to a range of between $2.38 and $2.40 per share, above analysts' consensus expectations of $2.34 per share.

Venmo had a breakout quarter and is at a 'tipping point' to finally make money for PayPal, CEO says

Oct 18, 2018

Investors finally got what they were waiting for in PayPal's quarterly earnings: Good news about Venmo.

The peer-to-peer payments app, which PayPal acquired along with Braintree in 2012, has struggled to make money for its parent company. Wall Street analysts highlighted the app's performance as a key metric to watch in Thursday's earnings report.

Venmo didn't disappoint. It had a breakout third quarter with payment volume surging 78 percent to a total $17 billion. That's still a fraction of PayPal's total $143 billion in volume for the quarter, which missed analysts' expectations — but it's encouraging, PayPal's CEO says.

"While it is still early, our monetization efforts appear to be reaching a tipping point," CEO Dan Schulman said on a call with analysts Thursday. "I'm especially pleased with the strong overall momentum surrounding Venmo."

Twenty four percent of Venmo users have now participated in what Schulman called a "monetizable action." That number is up from 17 percent in the second quarter, and 13 percent in May of this year. In September alone, PayPal said it processed more than $1 billion in instant transfer volume on the Venmo platform.

A payment option on websites and apps, known as "Pay with Venmo," saw monthly active users increase by roughly 185 percent month over month from August to September, Schulman said on the call. For Uber and Uber Eats, Venmo had a 300 percent jump month over month from August to September.

Food delivery companies Grubhub, Eat24, and Seamless have also integrated with Venmo, and while PayPal did not give exact metrics, executives said the partnerships have been "growing quite remarkably."

The Venmo card, a physical debit card linked to a Venmo account that PayPal unveiled this summer, is also off to a strong start. It saw a roughly 320 percent month over month growth from August to September, with restaurants and supermarkets as the top two purchase categories.

"These daily use cases demonstrate how we are rapidly gaining omni-channel ubiquity and becoming a part of our Venmo customers' everyday spend," Schulman said. "I couldn't be more pleased with the customer adoption across our Venmo initiatives."

American Express and PayPal Announce Expanded Strategic Partnership

October 18, 2018

NEW YORK & SAN JOSE, Calif.--(BUSINESS WIRE)--American Express (NYSE: AXP) and PayPal (NASDAQ: PYPL), today announced an expanded strategic partnership that will improve the digital payments experience for U.S. American Express Card Members paying with PayPal and Venmo. The companies will work closely on a host of solutions for joint customers to include the use of Membership Rewards points for PayPal purchases and an integrated peer-to-peer payment experience. As part of the agreement, both companies will also explore additional innovative digital products and experiences.

Through this partnership, U.S. American Express Card Members will have the opportunity to:
.

• Use Membership Rewards points for purchases at millions of PayPal merchants online.
• Send money via Venmo or PayPal to friends and family directly from the Amex mobile app.
• Easily add American Express Cards to the PayPal wallet directly from the Amex mobile app or website.
• Pay their American Express bill with their PayPal or Venmo balance via the PayPal Instant Transfer feature.
• More clearly identify their specific American Express Cards in the PayPal wallet with Card-specific branding.

“This partnership is the product of our companies’ strong commitment to create innovative payment experiences that utilize both organizations’ core assets, including the ability for customers to pay with American Express Membership Rewards points and the integration of peer-to-peer payments into the Amex app,” said Dan Schulman, President and CEO, PayPal. “Our new partnership expands PayPal’s ubiquity, and enables us to offer consumers and merchants new and innovative product experiences. We are pleased to partner with American Express as it is a clear demonstration of positive innovation for our customers that is made possible through partnership.”

“Together we will streamline and expand the online and mobile payments experience for our Card Members, helping us become a more essential part of their digital lives,” said Stephen J. Squeri, Chairman and CEO, American Express. “This strategic partnership with PayPal will open up the use of Membership Rewards points at more small and medium-sized businesses than ever and make peer-to-peer payments more seamless for Card Members.”

PayPal will be integrating into the American Express Token Service, as well as continuing its global card acceptance relationship. PayPal and American Express will work together to implement all of these features over the course of 2019.

PayPal Stock Drops Because Its Earnings Report Had Mixed Messages

Jan. 30, 2019

PayPal stock (ticker: PYPL) dropped after the digital-payment leader posted total payment volume numbers slightly below Wall Street estimates on Wednesday.

PayPal processed total payment volume of $164 billion in the fourth quarter, versus the $166 billion FactSet consensus.

On the flip side, the company reiterated its 2019 full-year financial guidance and reported better-than-expected fourth-quarter earnings. It said active accounts grew 17% year-over-year to 267 million for 2018.

“We believe 2019 will be another strong year for us, and we intend to build on our strengths to extend our leadership as the leading open digital payments platform,” PayPal CEO Dan Schulman said in the earnings release.

The company reported fourth-quarter adjusted earnings per share of 69 cents, versus the analyst consensus of 67 cents, according to FactSet. It also posted $4.23 billion in sales for the December quarter, about in-line with the average analyst estimate.

PayPal also gave a first-quarter earnings-per-share guidance range of 66 cents to 68 cents versus the 68 cents estimate. It reaffirmed its full-year 2019 sales guidance range of $17.85 billion to $18.1 billion and adjusted earnings per share range of $2.84 to $2.91.

Venmo’s Latest Effort to Turn a Profit: Credit Cards

April 19, 2019

Venmo’s latest gambit to profit off its massive but still-not-lucrative user base involves a decidedly old-school idea: credit cards.

Executives at the digital payments company have been meeting with banks since late last year to discuss issuing a Venmo-branded credit card, people familiar with the matter said. The company, owned by PayPal Holdings Inc., is close to selecting Synchrony Financial as its credit-card issuer and is hoping to announce the card this year, one of the people said.

Venmo, which offers a mobile money-transfer app, is the latest technology company to explore entering the credit-card business as a way to boost revenue and consumer engagement. Companies such as PayPal, once considered a competitor to card networks and banks, are increasingly joining with them instead.

Venmo is one of the relatively few financial apps to earn widespread adoption—to the point where its brand name is used as a verb. More than 27 million users are expected to make a Venmo payment from their smartphones in 2019, according to research firm eMarketer.

Despite its popularity, Venmo has been bleeding money for years. Most Venmo payments consist of money transfers between two people, transactions for which the company absorbs processing costs that it doesn’t typically pass on to customers. This year the money-transfer business is expected to report an estimated operating loss of $394 million, according to analysts at Nomura Holdings Inc.

In recent years, under PayPal Chief Executive Dan Schulman, Venmo has introduced a suite of new features designed to boost revenue. Users now can pay a 1% fee to move money instantly from their Venmo balances to their bank accounts. Millions of online businesses and some bricks-and-mortar merchants pay Venmo a fee to accept it as a payment method. Last year, Venmo started offering debit cards in a partnership with Mastercard Inc. and a separate bank.

Heading into 2019, those efforts were on pace to generate annual revenue exceeding $200 million, Mr. Schulman told analysts on a January conference call. But Venmo isn’t expected to break even for at least several quarters, Chief Financial Officer John Rainey said on the same call.

A Venmo credit card could help push Venmo into the black and help achieve a broader PayPal goal of increasing its market share at offline retailers.

Venmo is entering a crowded market as more technology companies develop credit cards to incentivize spending. Apple Inc. is working with Goldman Sachs Group Inc. to roll out a new line of credit cards later this year that would sync with users’ iPhones. American Express Co. recently began issuing Amazon.com Inc. credit cards for small businesses.

With its credit card, Venmo hopes to squeeze more revenue from the many young consumers who use only its free service. Roughly one in five consumers between ages 20 and 24 surveyed by 451 Research last year said they had made a Venmo payment.

The Venmo discussions are separate from deals PayPal has already negotiated with Synchrony, which has offered PayPal credit cards since 2004. Last July, Synchrony acquired $7.6 billion of PayPal Credit loan balances made to finance online purchases.

The company reported net income of $667 million, or 56 cents a share, up from $511 million, or 42 cents a share, in the year-earlier period. Adjusted earnings per share rose to 78 cents from 57 cents a year earlier, and came in ahead of the FactSet consensus, which called for 68 cents a share in adjusted EPS.

Revenue for the period rose to $4.13 billion, in line with estimates. A year ago, the company reported $3.69 billion in quarterly revenue.

Total payment volume (TPV) climbed to $161 billion, as PayPal added 9.3 million new active accounts, bringing its total up to 277 million. TPV came up a bit shy of consensus expectations for $163 billion. The company saw 38 transactions per active account over a trailing 12-month period, up 9% from a year ago.

EBay Inc. had negative TPV growth of 4% in the quarter and now represents 9.7% of the company’s overall TPV. A year ago, it made up 12.7%. EBay has been a controversial element of the PayPal story lately, both due to deteriorating fundamentals at the e-commerce marketplace as well as eBay’s ongoing efforts to relegate PayPal to a lesser role on its site as part of a “managed payments” initiative.

For the first time, PayPal announced active-account numbers for its Venmo peer-to-peer service. More than 40 million people used Venmo for at least one transaction in the last 12 months, the company said. Venmo processed $21 billion in TPV during the first quarter, representing 73% growth, while total peer-to-peer volume, which includes payments made through core PayPal, grew 41% to $42 billion.

PayPal issued a second-quarter revenue forecast of $4.3 billion to $4.34 billion and an adjusted EPS outlook of 68 cents to 70 cents. The company raised its full-year EPS outlook to $2.94 to $3.01, while reiterating its prior forecast on revenue and TPV. PayPal previously told investors to expect $2.84 to $2.91 in adjusted EPS and $17.75 billion to $18.1 billion in revenue.

Popular payment app Venmo has ushered in 40 million users to the platform, its parent company PayPal announced on Wednesday.

Rival Square Cash App has an estimated 15 million users by comparison.

PayPal earnings bolstered by pandemic’s e-commerce boom, but stock still falls

Nov. 2, 2020

PayPal Holdings Inc. continued to benefit from booming e-commerce adoption during the pandemic, producing stronger-than-expected revenue and user growth in a Monday earnings report.

PayPal posted net income of $1.02 billion, or 86 cents a share, up from $462 million, or 39 cents a share, in the year-earlier quarter. Adjusted earnings per share came in at $1.07, up from 76 cents a year prior and ahead of the FactSet consensus, which called for 94 cents.

PayPal’s revenue for the quarter climbed to $5.46 billion from $4.38 billion, while analysts had been modeling $5.42 billion. The payment-processing giant added 15.2 million net new active accounts in the third quarter, including 1.5 million merchants. The overall net-new-active total was PayPal’s second-best quarterly result, behind only last quarter.

The company processed $247 billion in total payment volume, or the value of payments running through its platform. Analysts had been expecting $232.7 billion. Total payment volume for the Venmo platform came out to $44 billion and marked the service’s best quarter in terms of volume.

PayPal continued to see volume momentum after the quarter finished, according to a spokeswoman, as the company recorded a new single-day volume record one day during October.

“Our growth reinforces the essential role we play in our customers’ daily lives during this pandemic,” Chief Executive Dan Schulman said in a release. “Going forward, we are investing to create the most compelling and expansive digital wallet that embraces all forms of digital currencies and payments, and operates seamlessly in both the physical and online worlds.”

PayPal upped its volume and earnings forecasts for the fiscal year. The company now expects total payment volume in the 30% growth range, up from a prior range of high-20% growth. On the bottom line, PayPal anticipates adjusted earnings per share growth of 27% to 28% for 2020, up from a prior estimate of about 25% growth.

The company expects 21% to 22% revenue growth on a currency-neutral basis. Three months back, it told investors to expect 20% to 22% growth.

For the fourth quarter, PayPal models low-to-mid 30% growth in total payment volume and 20% to 25% revenue growth. The company also anticipates 17% to 18% growth in adjusted earnings per share.

PayPal reports 13% revenue increase in the third quarter and announces Venmo deal with Amazon

Nov 8 2021

PayPal reported revenue growth for the third quarter of 13% on Monday and said it’s teaming up with Amazon to let U.S. customers pay with Venmo at checkout, starting in 2022.

The shares rose as much as 6.3% after the report, before reversing course during the earnings call and falling more than 5%. PayPal reduced its forecast for the year on economic concerns.

Here’s how the company did versus expectations:

- Earnings per share: $1.11, adjusted, vs. $1.07 expected in a Refinitiv survey of analysts
- Revenue: $6.18 billion vs. $6.23 billion expected

Total payment volume rose 26% to $310 billion for the quarter ended Sept. 30, and the company added 13.3 million net new active accounts, bringing the total to 416, PayPal said in a statement.

PayPal’s Venmo app, which began supporting cryptocurrency services in April, saw payment volume jump 36% to $60 billion. Starting next year, customers will be able to make purchases on Amazon.com and the Amazon mobile shopping app using their Venmo accounts.

The deal with Amazon comes as PayPal prepares an eBay-less future. Six years after the companies split apart, eBay is in the process of transitioning sellers off PayPal and onto its own payment system. PayPal said volume on eBay marketplaces dropped 45% in the quarter and now represents less than 4% of revenue.

PayPal made a big push into crypto in the past year, allowing users in the U.S. to buy, sell, and check out with digital currencies. With its network of 33 million retailers, PayPal’s crypto ambitions have positioned the company as a rival to Coinbase, the country’s most popular crypto exchange.

For the fourth quarter, PayPal sees adjusted earnings of $1.12 per share on net revenue of between $6.85 billion and $6.95 billion. Analysts surveyed by Refinitiv had expected $1.27 in adjusted earnings per share on $7.24 billion in revenue.

Revenue guidance was revised down to 18% growth for the year, putting it in the range of $25.3 billion to $25.4 billion. Analysts had expected $25.78 billion.