Shares of PayPal (PYPL) fell more than 16% after the payments giant reported Q4 earnings that just missed analyst estimates and a slowdown in revenue growth.
- Total revenue rose 13% to $6.9 billion, in line with analysts’ estimates, according to FactSet, but significantly slower than the 25% growth recorded in the year-ago quarter.
- PayPal reported adjusted earnings per share of $1.11 for the fourth quarter, just below the analyst consensus estimate of $1.12.
- PayPal added 9.8 million net new active accounts in the quarter, including 3.2 million from the acquisition of Paidy. That was down, however, from 13.3 million net new active accounts added in Q3.
- Total payment volume for the quarter was $339.5 billion, up 23% year-over-year on a spot and foreign-exchange neutral basis. Transaction revenue came in at $6.4 billion, up from $5.61 billion in the third quarter.
- Part of PayPal’s transaction revenue comes from the company’s crypto “buy, sell and hold” product, but the company excludes crypto payments from total payment volume.
- In early January, PayPal confirmed that it was looking into developing its own stablecoin as its crypto business continues to grow.
- Shares of PayPal were down 16.2% to $147.40 in after-hours trading on Tuesday.
Download MAXBIT Android App, Your best source of all crypto news!
Track live crypto price of 10000+ coins!