Mastercard beats profit estimates on strong holiday season spending

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Mastercard beats profit estimates on strong holiday season spending

On Wednesday, the 29th of January 2020, the NY-based American multinational financial services corporation primarily engaged in credit card issuance, had unveiled its quarterly earnings’ report for the fourth quarter of 2020, while the American credit card issuer, Mastercard Inc.'

s fourth quarterly profit beat Wall Street estimates following robust customer spending on US holiday shopping seasons. Besides, an an all-time-high online spending during this year’s holiday sales had also played a pivotal role in Mastercard Inc.’s Q4, 2019 upbeat earnings.

On top of that, Mastercard Inc.’s cheery earnings’ report on Q4, 2020, came forth a day after another US-based credit card issuer American Express had also beaten an analysts’ estimate by a wider margin following robust holiday season sales, cementing the way in to a profitability for the online payment processors.

According to Mastercard Inc.’s Q4, 2019 earnings’ report, amount of transaction processed by the credit & debit card issuer surged 12 per cent to $1.73 trillion on a year-on-year basis, while roughly 23.98 billion online transactions were processed, 19 per cent up compared to the same time a year earlier.

Apart from that, Mastercard Inc.’s net revenue rose by 16 per cent to $4.41 billion on Q4, 2019, marginally higher than an analysts’ estimate of $4.40 billion, while the NY-based credit card issuer reported a 9 per cent rise in spending in the United States and a 28 per cent climb in Europe.