Visa Inc. Reports Strong Fiscal Fourth Quarter Adjusted Earnings Per Share Growth of 17% and Full-Year 2014 Adjusted Earnings Per Share Growth of 19% and Announces a New $5.0 Billion Share Repurchase Program

October 29, 2014 at 4:05 PM EDT

Adjusted quarterly net income of $1.4 billion or $2.18 per diluted class A common share, excluding special item, an increase of 14% and 17% over the prior year, respectively
Adjusted full-year 2014 net income of $5.7 billion or $9.07 per diluted class A common share, excluding special item, an increase of 15% and 19% over the prior year, respectively
GAAP quarterly net income of $1.1 billion or $1.72 per diluted class A common share, including special item, a decrease of 10% and 7% over the prior year, respectively
GAAP full-year 2014 net income of $5.4 billion or $8.62 per diluted class A common share, including special item, an increase of 9% and 14% over the prior year, respectively
The Company authorized a new $5.0 billion repurchase program, in addition to the previously announced 20% quarterly dividend increase

FOSTER CITY, Calif.--(BUSINESS WIRE)--Oct. 29, 2014-- Visa Inc. (NYSE: V) today announced financial results for the Company’s fiscal fourth quarter and full-year 2014. GAAP net income in the fiscal fourth quarter of 2014 was $1.1 billion or $1.72 per share, a decrease of 10% and 7% over the prior year, respectively. GAAP net income for the full-year 2014 was $5.4 billion or $8.62 per share, an increase of 9% and 14% over the prior year, respectively. All references to earnings per share assume fully-diluted class A share count unless otherwise noted.

On an adjusted basis, the Company’s financial results excluded the impact of a special item related to amounts covered by the retrospective responsibility plan of $450 million and related tax benefit during the fiscal fourth quarter. On an adjusted basis, net income in the fiscal fourth quarter was $1.4 billion or $2.18 per share, an increase of 14% and 17% over the prior year, respectively. On an adjusted basis, net income for the full-year 2014 was $5.7 billion or $9.07 per share, an increase of 15% and 19% over the prior year, respectively.

GAAP net operating revenue in the fiscal fourth quarter of 2014 was $3.2 billion, an increase of 9% nominally or 10% on a constant dollar basis over the prior year. The strengthening of the U.S. dollar versus the prior year quarter negatively impacted net operating revenue growth by about 1.5 percentage points.

GAAP net operating revenue for the full-year 2014 was $12.7 billion, an increase of 8% nominally or 10% on a constant dollar basis over the prior year, driven by solid revenue growth contributions from service and data processing revenues. The strengthening of the U.S. dollar versus the prior year negatively impacted net operating revenue growth by about 2 percentage points.

Adjusted quarterly and full-year operating expenses and net income per class A common share outstanding are non-GAAP financial measures that are reconciled to their most directly comparable GAAP measures in the accompanying financial tables.

"Our enviable competitive position, strong business model, and great talent helped us deliver adjusted EPS growth of 17% for the fourth quarter and 19% for the full year in the face of continued tepid economic growth and a strengthening dollar. More importantly, the underlying metrics which will drive our revenue growth over the longer term are strong and getting stronger," said Charlie Scharf, Chief Executive Officer of Visa Inc. "Our partnerships are growing, our capabilities are improving, and the opportunity for Visa to disintermediate cash across the globe is bigger than ever. Our investments in Visa Checkout, Visa Token Services, and Visa Digital Solutions are just beginning to have an impact in the marketplace. We will continue to invest in these and other areas and remain confident in our ability to capture the growing opportunity in payments."

Fiscal Fourth Quarter 2014 Financial Highlights:

Payments volume growth, on a constant dollar basis, for the three months ended June 30, 2014, on which fiscal fourth quarter service revenue is recognized, was 12% over the prior year at $1.2 trillion.

Payments volume growth, on a constant dollar basis, for the three months ended September 30, 2014, was 11% over the prior year at $1.2 trillion.

Cross-border volume growth, on a constant dollar basis, was 10% for the three months ended September 30, 2014.

Total processed transactions, which represent transactions processed by VisaNet, for the three months ended September 30, 2014, were 16.9 billion, a 9% increase over the prior year.

Fiscal fourth quarter 2014 service revenues were $1.5 billion, an increase of 8% over the prior year, and are recognized based on payments volume in the prior quarter. All other revenue categories are recognized based on current quarter activity. Data processing revenues rose 14% over the prior year to $1.3 billion. International transaction revenues grew 4% over the prior year to $938 million. Other revenues, which include the Visa Europe licensing fee, were $212 million, a 16% increase over the prior year. Client incentives, which are a contra revenue item, were $768 million and represent 19.2% of gross revenues.

The Company recorded a $450 million pre-tax litigation provision, or $283 million on an after-tax basis, in the fiscal fourth quarter of 2014 related to the interchange multidistrict litigation case.

Excluding the covered litigation provision, total adjusted operating expenses were $1.2 billion for fiscal fourth quarter 2014, flat over the prior year results, primarily related to a reduction in professional fees offset by increases in general and administrative costs and other corporate expenses to support the Company’s global business growth initiatives.

GAAP effective tax rate was 30.8% for the quarter ended September 30, 2014.

The weighted-average number of diluted class A common shares outstanding in the fiscal fourth quarter was 623 million.

Cash, cash equivalents, and available-for-sale investment securities were $6.9 billion at September 30, 2014.

Fiscal Full-Year 2014 Financial Highlights:

For the fiscal full-year 2014, service revenues were $5.8 billion, an increase of 8% over the prior year. Data processing revenues rose 11% over the prior year to $5.2 billion. International transaction revenues, which are driven by cross-border volume, grew 5% over the prior year to $3.6 billion. Other revenues, which include the Visa Europe licensing fee, were $770 million, a 7% increase over the prior year. Client incentives, which are a contra revenue item, were $2.6 billion and represent 16.9% of gross revenues.

Total processed transactions, which represent transactions processed by VisaNet for the twelve months ended September 30, 2014, totaled 64.9 billion, an 11% increase over the prior year.

Excluding the aforementioned litigation provision, total adjusted operating expenses were $4.6 billion for the twelve months ended September 30, 2014, flat over the prior year adjusted results, primarily related to a reduction in professional fees and personnel, offset by continued investments in infrastructure, technology and network processing to support the Company’s global growth initiatives.

GAAP effective tax rate was 29.6% for the twelve months ended September 30, 2014.

The weighted-average number of diluted class A common shares outstanding for the full year was 631 million.

Notable Events:

During the three months ended September 30, 2014, total as-converted class A common stock was reduced by 5.7 million shares which was funded from $1.2 billion of our operating cash on hand. Of the $1.2 billion, $756 million was used to repurchase 3.6 million shares of class A common stock in the open market, at an average price of $211.19. In addition, we deposited $450 million from our operating cash into the litigation escrow account previously established under the retrospective responsibility plan. This deposit has the same economic effect on earnings per share as repurchasing the Company's class A common stock as it reduces the as-converted class B common stock share count.

During the twelve months ended September 30, 2014, total as-converted class A common stock was reduced by 21.8 million shares, at an average price of $209.15 per share, using $4.6 billion of cash on hand. Of the $4.6 billion, $4.1 billion was used to repurchase shares of class A common stock in the open market at an average price of $208.50. At September 30, 2014, the Company had $682 million of remaining funds, authorized by the board of directors, available for share repurchase under the current program.

As announced on October 22, 2014, the Board of Directors declared a quarterly dividend in the aggregate amount of $0.48 per share of class A common stock (determined in the case of class B and class C common stock on an as-converted basis) payable on December 2, 2014, to all holders of record of the Company’s class A, class B and class C common stock as of November 14, 2014.

The Board of Directors has authorized a new $5.0 billion class A common stock share repurchase program. The shares may be repurchased from time to time as market conditions warrant, and authorization for the program is subject to further change at the discretion of the Board.

Financial Outlook:

Visa Inc. provides its financial outlook for the following metrics for fiscal full-year 2015:

Annual net revenue growth: Constant dollar revenue growth of low double digits, with an expectation of two percentage points of negative foreign currency impact;
Client incentives as a percent of gross revenues: 17.5% to 18.5% range;
Annual operating margin: Mid 60s;
Tax rate: Low 30s;
Annual diluted class A common stock earnings per share growth: Mid teens; and
Annual free cash flow greater than $6 billion.

Fiscal full-year 2015 annual diluted earnings per share growth assumes an adjusted basis for fiscal full-year 2014.

Fiscal Fourth Quarter 2014 Earnings Results Conference Call Details:

Visa’s executive management team will host a live audio webcast beginning at 5:00 p.m. Eastern Time (2:00 p.m. Pacific Time) today to discuss the financial results and business highlights. All interested parties are invited to listen to the live webcast at https://investor.visa.com. A replay of the webcast will be available on the Visa Investor Relations website for 30 days. Investor information, including supplemental financial information, is available on Visa Inc.’s Investor Relations website at https://investor.visa.com.

About Visa

Visa Inc. (NYSE: V) is a global payments technology company that connects consumers, businesses, financial institutions, and governments in more than 200 countries and territories to fast, secure and reliable electronic payments. We operate one of the world's most advanced processing networks — VisaNet — that is capable of handling more than 56,000 transaction messages a second, with fraud protection for consumers and assured payment for merchants. Visa is not a bank and does not issue cards, extend credit or set rates and fees for consumers. Visa's innovations, however, enable its financial institution customers to offer consumers more choices: pay now with debit, pay ahead of time with prepaid or pay later with credit products. For more information, visit usa.visa.com/about-visa, visacorporate.tumblr.com and @VisaNews.

Forward-Looking Statements:

This Press Release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements generally are identified by words such as "believes," "estimates," "expects," "intends," "may," "projects," "could," "should," "will," "will continue" and other similar expressions. Examples of forward-looking statements include, but are not limited to, statements we make about our revenue, client incentives, operating margin, tax rate, earnings per share, free cash flow, and the growth of those items.

By their nature, forward-looking statements: (i) speak only as of the date they are made; (ii) are not statements of historical fact or guarantees of future performance; and (iii) are subject to risks, uncertainties, assumptions or changes in circumstances that are difficult to predict or quantify. Therefore, actual results could differ materially and adversely from our forward-looking statements due to a variety of factors, including the following:

• the impact of laws, regulations and marketplace barriers, including:

• rules capping debit interchange reimbursement rates and expanding financial institutions' and merchants' choices among debit payment networks promulgated under the Dodd-Frank Wall Street Reform and Consumer Protection Act;

• increased regulation in jurisdictions outside of the United States and in other product categories;

• increased government support of national payment networks outside the United States; and

• increased regulation on consumer privacy, data use and security;

• developments in litigation and government enforcement, including those affecting interchange reimbursement fees, antitrust and tax;

• new lawsuits, investigations or proceedings, or changes to our potential exposure in connection with pending lawsuits, investigations or proceedings;

• economic factors, such as:

• economic fragility in the Eurozone and in the United States;

• general economic, political and social conditions in mature and emerging markets globally;

• general stock market fluctuations which may impact consumer spending;

• material changes in cross-border activity, foreign exchange controls and fluctuations in currency exchange rates; and

• material changes in our financial institution clients' performance compared to our estimates;

• industry developments, such as competitive pressure, rapid technological developments and disintermediation from our payments network;

• system developments, such as:

• disruption of our transaction processing systems or the inability to process transactions efficiently;

• account data breaches or increased fraudulent or other illegal activities involving Visa-branded cards or payment products; and

• failure to maintain systems interoperability with Visa Europe;

• costs arising if Visa Europe were to exercise its right to require us to acquire all of its outstanding stock;

• the loss of organizational effectiveness or key employees;

• the failure to integrate acquisitions successfully or to effectively develop new products and businesses;

• natural disasters, terrorist attacks, military or political conflicts, and public health emergencies; and

various other factors, including those contained in our Annual Report on Form 10-K for the year ended September 30, 2013 and our other filings with the U.S. Securities and Exchange Commission. Additional information will also be available in our Annual Report on Form 10-K for the year ended September 30, 2014. You should not place undue reliance on such statements. Except as required by law, we do not intend to update or revise any forward–looking statements as a result of new information, future developments or otherwise.


VISA INC.
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
	September 30, 2014			September 30, 2013

	(in millions, except par value data)
Assets
Cash and cash equivalents	$	1,971		$	2,186
Restricted cash—litigation escrow		1,498			49
Investment securities:
Trading		69			75
Available-for-sale		1,910			1,994
Income tax receivable		91			142
Settlement receivable		786			799
Accounts receivable		822			761
Customer collateral		961			866
Current portion of client incentives		210			282
Deferred tax assets		1,028			481
Prepaid expenses and other current assets		216			187

Total current assets		9,562			7,822

Investment securities, available-for-sale		3,015			2,760
Client incentives		81			89
Property, equipment and technology, net		1,892			1,732
Other assets		855			521
Intangible assets, net		11,411			11,351
Goodwill		11,753			11,681

Total assets	$	38,569		$	35,956

Liabilities
Accounts payable	$	147		$	184
Settlement payable		1,332			1,225
Customer collateral		961			866
Accrued compensation and benefits		450			523
Client incentives		1,036			919
Accrued liabilities		624			613
Accrued litigation		1,456			5

Total current liabilities		6,006			4,335

Deferred tax liabilities		4,145			4,149
Other liabilities		1,005			602

Total liabilities		11,156			9,086

Equity
Preferred stock, $0.0001 par value, 25 shares authorized and none issued		—			—
Class A common stock, $0.0001 par value, 2,001,622 shares authorized, 495 and 508 shares issued and outstanding at September 30, 2014 and 2013, respectively		—			—
Class B common stock, $0.0001 par value, 622 shares authorized, 245 shares issued and outstanding at September 30, 2014 and 2013		—			—
Class C common stock, $0.0001 par value, 1,097 shares authorized, 22 and 27 shares issued and outstanding at September 30, 2014 and 2013, respectively		—			—
Additional paid-in capital		18,299			18,875
Accumulated income		9,131			7,974
Accumulated other comprehensive (loss) income, net:
Investment securities, available-for-sale		31			59
Defined benefit pension and other postretirement plans		(84	)		(60	)
Derivative instruments classified as cash flow hedges		38			23
Foreign currency translation adjustments		(2	)		(1	)

Total accumulated other comprehensive (loss) income, net		(17	)		21

Total equity		27,413			26,870

Total liabilities and equity	$	38,569		$	35,956


VISA INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(UNAUDITED)

	Three Months Ended September 30,						Twelve Months Ended September 30,
	2014			2013			2014			2013

	(in millions, except per share data)
Operating Revenues
Service revenues	$	1,499		$	1,385		$	5,797		$	5,352
Data processing revenues		1,348			1,186			5,167			4,642
International transaction revenues		938			899			3,560			3,389
Other revenues		212			183			770			716
Client incentives		(768	)		(680	)		(2,592	)		(2,321	)

Total operating revenues		3,229			2,973			12,702			11,778

Operating Expenses
Personnel		496			499			1,875			1,932
Marketing		241			236			900			876
Network and processing		128			122			507			468
Professional fees		94			130			328			412
Depreciation and amortization		112			106			435			397
General and administrative		153			129			507			451
Litigation provision		453			—			453			3

Total operating expenses		1,677			1,222			5,005			4,539

Operating income		1,552			1,751			7,697			7,239

Non-operating (expense) income		(2	)		15			27			18

Income before income taxes		1,550			1,766			7,724			7,257
Income tax provision		477			574			2,286			2,277

Net income	$	1,073		$	1,192		$	5,438		$	4,980

Basic earnings per share
Class A common stock	$	1.73		$	1.86		$	8.65		$	7.61

Class B common stock	$	0.73		$	0.78		$	3.63		$	3.20

Class C common stock	$	1.73		$	1.86		$	8.65		$	7.61

Basic weighted-average shares outstanding
Class A common stock		492			509			498			520

Class B common stock		245			245			245			245

Class C common stock		24			27			26			28

Diluted earnings per share
Class A common stock	$	1.72		$	1.85		$	8.62		$	7.59

Class B common stock	$	0.72		$	0.78		$	3.62		$	3.19

Class C common stock	$	1.72		$	1.85		$	8.62		$	7.59

Diluted weighted-average shares outstanding
Class A common stock		623			644			631			656

Class B common stock		245			245			245			245

Class C common stock		24			27			26			28


VISA INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
	For the Years Ended September 30,
	2014			2013			2012
	(in millions)
Operating Activities
Net income	$	5,438		$	4,980		$	2,142
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Amortization of client incentives		2,592			2,321			2,155
Share-based compensation		172			179			147
Excess tax benefit for share-based compensation		(90	)		(74	)		(71	)
Depreciation and amortization of property, equipment, technology and intangible assets		435			397			333
Deferred income taxes		(580	)		1,527			(1,690	)
Litigation provision		453			3			4,101
Other		37			50			(8	)
Change in operating assets and liabilities:
Income tax receivable		51			37			(67	)
Settlement receivable		13			(345	)		(42	)
Accounts receivable		(53	)		(38	)		(161	)
Client incentives		(2,395	)		(2,336	)		(1,757	)
Other assets		(430	)		(543	)		41
Accounts payable		(56	)		40			(17	)
Settlement payable		107			506			270
Accrued and other liabilities		513			702			(227	)
Accrued litigation		998			(4,384	)		(140	)
Net cash provided by operating activities		7,205			3,022			5,009

Investing Activities
Purchases of property, equipment, technology and intangible assets		(553	)		(471	)		(376	)
Proceeds from disposal of property, equipment and technology		—			—			2
Investment securities, available-for-sale:
Purchases		(2,572	)		(3,164	)		(4,140	)
Proceeds from maturities and sales		2,342			2,440			2,093
Acquisitions, net of cash received		(149	)		—			(3	)
Purchases of / contributions to other investments		(9	)		(3	)		(12	)
Proceeds / distributions from other investments		—			34			22
Net cash used in investing activities		(941	)		(1,164	)		(2,414	)

Financing Activities
Repurchase of class A common stock		(4,118	)		(5,365	)		(710	)
Dividends paid		(1,006	)		(864	)		(595	)
Deposits into litigation escrow account—retrospective responsibility plan		(450	)		—			(1,715	)
(Return to) payments from litigation escrow account—retrospective responsibility plan		(999	)		4,383			140
Cash proceeds from exercise of stock options		91			108			174
Restricted stock and performance-based shares settled in cash for taxes		(86	)		(64	)		—
Excess tax benefit for share-based compensation		90			74			71
Payments for earn-out related to PlaySpan acquisition		—			(12	)		(14	)
Principal payments on capital lease obligations		—			(6	)		(6	)
Net cash used in financing activities		(6,478	)		(1,746	)		(2,655	)
Effect of exchange rate changes on cash and cash equivalents		(1	)		-			7
(Decrease) increase in cash and cash equivalents		(215	)		112			(53	)
Cash and cash equivalents at beginning of year		2,186			2,074			2,127
Cash and cash equivalents at end of year	$	1,971		$	2,186		$	2,074

Supplemental Disclosures
Income taxes paid, net of refunds	$	2,656		$	595		$	2,057
Non-cash accruals related to purchases of property, equipment, technology and intangible assets	$	62		$	46		$	67


VISA INC.
FISCAL 2014 AND 2013 QUARTERLY RESULTS OF OPERATIONS
(UNAUDITED)

	Fiscal 2014 Quarter Ended												Fiscal 2013 Quarter Ended
	September 30, 2014			June 30, 2014			March 31, 2014			December 31, 2013			September 30, 2013

	(in millions)
Operating Revenues
Service revenues	$	1,499		$	1,417		$	1,462		$	1,419		$	1,385
Data processing revenues		1,348			1,321			1,234			1,264			1,186
International transaction revenues		938			860			871			891			899
Other revenues		212			195			183			180			183
Client incentives		(768	)		(638	)		(587	)		(599	)		(680	)

Total operating revenues		3,229			3,155			3,163			3,155			2,973

Operating Expenses
Personnel		496			463			446			470			499
Marketing		241			228			245			186			236
Network and processing		128			127			120			132			122
Professional fees		94			82			77			75			130
Depreciation and amortization		112			109			107			107			106
General and administrative		153			126			120			108			129
Litigation provision		453			—			—			—			—

Total operating expenses		1,677			1,135			1,115			1,078			1,222

Operating income		1,552			2,020			2,048			2,077			1,751

Non-operating (expense) income		(2	)		10			13			6			15

Income before income taxes		1,550			2,030			2,061			2,083			1,766
Income tax provision		477			670			463			676			574

Net income	$	1,073		$	1,360		$	1,598		$	1,407		$	1,192


VISA INC.
Reconciliation of Non-GAAP Financial Results
US$ in millions, except margin ratio and per share data


During the fourth quarter of fiscal 2014, we recorded a provision of $450 million and related tax benefits associated with litigation covered by the retrospective responsibility plan ("litigation provision"). We believe the presentation of our adjusted financial results, excluding the litigation provision, provides a clearer understanding of our operating performance for the periods presented.

	Three Months Ended September 30,
	Operating Expenses					Operating Margin^(1),(2)				Net Income					Diluted Earnings per Share⁽²⁾
	2014			2013		2014		2013		2014			2013		2014		2013
As reported	$	1,677		$	1,222	48	%	59	%	$	1,073		$	1,192	$	1.72	$	1.85
Litigation provision		(450	)		-	14	%	-			283	⁽³⁾		-		0.45		-
Adjusted	$	1,227		$	1,222	62	%	59	%	$	1,356		$	1,192	$	2.18	$	1.85
Diluted weighted-average shares outstanding																623		644

	Twelve Months Ended September 30,
	Operating Expenses					Operating Margin^(1),(2)				Net Income					Diluted Earnings per Share⁽²⁾
	2014			2013		2014		2013		2014			2013		2014		2013
As reported	$	5,005		$	4,539	61	%	61	%	$	5,438		$	4,980	$	8.62	$	7.59
Litigation provision		(450	)		-	4	%	-			283	⁽³⁾		-		0.45		-
Adjusted	$	4,555		$	4,539	64	%	61	%	$	5,721		$	4,980	$	9.07	$	7.59
Diluted weighted-average shares outstanding																631		656

(1) Operating margin is calculated as operating income divided by total operating revenues.
(2) Figures in the table may not recalculate exactly due to rounding. Operating margin and diluted earnings per share figures are calculated based on unrounded numbers.
(3) The litigation provision adjustment to net income is shown net of tax. The tax impact is determined by applying applicable federal and state tax rates to the litigation provision.

Operational Performance Data

The tables below provide information regarding the available operational results for the 3 months ended September 30, 2014, as well as the prior four quarterly reporting periods and the 12 months ended September 30, 2014 and 2013, for cards carrying the Visa, Visa Electron and Interlink brands. Also included is a table with information on the number of billable transactions processed on Visa Inc.’s CyberSource network.

1. Branded Volume and Transactions

The tables present total volume, payments volume, and cash volume, and the number of payments transactions, cash transactions, accounts and cards for cards carrying the Visa, Visa Electron and Interlink brands. Card counts include PLUS proprietary cards. Nominal and constant dollar growth rates over prior years are provided for volume-based data.


	For the 3 Months Ended September 30, 2014
	Total Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Transactions (millions)	Cash Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Cash Transactions (millions)

All Visa Credit & Debit
Asia Pacific	$	505	8.8	%	8.8	%	$	351	11.6	%	11.5	%	3,999	$	154	2.9	%	3.0	%	958
Canada		66	1.5	%	6.8	%		61	1.2	%	6.5	%	646		5	4.7	%	10.1	%	12
CEMEA		280	5.7	%	14.8	%		67	17.9	%	26.4	%	1,486		212	2.4	%	11.6	%	1,172
LAC		276	6.6	%	12.2	%		105	7.5	%	14.5	%	2,493		171	6.1	%	10.8	%	1,056
US		755	9.2	%	9.2	%		631	9.8	%	9.8	%	12,299		124	6.2	%	6.2	%	951
Visa Inc.		1,882	7.9	%	10.2	%		1,215	10.0	%	11.3	%	20,923		667	4.2	%	8.3	%	4,150

Visa Credit Programs
US	$	327	12.7	%	12.7	%	$	313	12.7	%	12.7	%	3,732	$	14	11.8	%	11.8	%	17
International		505	7.4	%	10.2	%		457	8.7	%	11.1	%	5,553		49	-3.5	%	2.9	%	193
Visa Inc.		832	9.4	%	11.2	%		769	10.3	%	11.7	%	9,285		62	-0.5	%	4.8	%	210

Visa Debit Programs
US	$	429	6.7	%	6.7	%	$	319	7.0	%	7.0	%	8,567	$	110	5.6	%	5.6	%	934
International		621	6.7	%	11.5	%		127	16.5	%	20.7	%	3,071		494	4.5	%	9.3	%	3,006
Visa Inc.		1,050	6.7	%	9.5	%		446	9.6	%	10.6	%	11,638		604	4.7	%	8.6	%	3,940


	For the 3 Months Ended June 30, 2014
	Total Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Transactions (millions)	Cash Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Cash Transactions (millions)	Accounts (millions)	Cards (millions)

All Visa Credit & Debit
Asia Pacific	$	488	7.0	%	9.5	%	$	338	11.1	%	12.3	%	3,821	$	151	-1.1	%	3.8	%	910	658	754
Canada		65	0.6	%	7.6	%		60	1.1	%	8.2	%	627		5	-5.2	%	1.5	%	12	39	46
CEMEA		276	5.0	%	13.9	%		65	18.1	%	26.8	%	1,389		212	1.6	%	10.5	%	1,196	313	310
LAC		266	-1.3	%	9.6	%		101	0.3	%	12.4	%	2,408		165	-2.3	%	8.0	%	1,013	418	446
US		750	9.3	%	9.3	%		628	10.0	%	10.0	%	12,221		122	5.8	%	5.8	%	941	579	742
Visa Inc.		1,845	6.1	%	10.0	%		1,191	9.4	%	11.6	%	20,465		654	0.7	%	7.3	%	4,071	2,007	2,298

Visa Credit Programs
US	$	316	12.1	%	12.1	%	$	303	12.3	%	12.3	%	3,575	$	13	8.3	%	8.3	%	16	223	295
International		489	5.7	%	10.1	%		440	7.0	%	11.0	%	5,366		49	-4.3	%	2.4	%	199	478	536
Visa Inc.		805	8.1	%	10.9	%		744	9.1	%	11.5	%	8,941		62	-2.0	%	3.5	%	215	701	831

Visa Debit Programs
US	$	433	7.4	%	7.4	%	$	324	8.0	%	8.0	%	8,646	$	109	5.5	%	5.5	%	925	356	447
International		607	2.7	%	10.9	%		123	15.0	%	22.7	%	2,878		484	0.0	%	8.2	%	2,931	950	1,020
Visa Inc.		1,040	4.6	%	9.4	%		447	9.8	%	11.7	%	11,524		592	0.9	%	7.7	%	3,856	1,306	1,467


	For the 3 Months Ended March 31, 2014
	Total Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Transactions (millions)	Cash Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Cash Transactions (millions)	Accounts (millions)	Cards (millions)

All Visa Credit & Debit
Asia Pacific	$	481	7.1	%	11.6	%	$	328	10.9	%	14.9	%	3,574	$	153	-0.3	%	5.0	%	878	642	738
Canada		57	0.8	%	10.3	%		52	0.7	%	10.1	%	552		5	2.3	%	11.9	%	11	37	44
CEMEA		252	4.1	%	14.1	%		59	16.4	%	28.0	%	1,252		194	0.9	%	10.5	%	1,105	306	307
LAC		250	-4.7	%	11.4	%		95	-4.0	%	13.9	%	2,367		155	-5.1	%	9.9	%	984	411	439
US		690	8.0	%	8.0	%		575	8.6	%	8.6	%	11,141		115	5.1	%	5.1	%	875	568	725
Visa Inc.		1,730	4.9	%	10.4	%		1,108	8.0	%	11.8	%	18,887		622	-0.2	%	7.9	%	3,854	1,963	2,253

Visa Credit Programs
US	$	281	10.2	%	10.2	%	$	270	10.6	%	10.6	%	3,148	$	12	1.4	%	1.4	%	14	215	283
International		463	4.9	%	12.3	%		417	6.0	%	13.3	%	5,069		46	-3.9	%	4.1	%	176	474	533
Visa Inc.		744	6.9	%	11.5	%		687	7.8	%	12.2	%	8,217		57	-2.8	%	3.6	%	191	688	816

Visa Debit Programs
US	$	409	6.5	%	6.5	%	$	305	6.8	%	6.8	%	7,993	$	103	5.6	%	5.6	%	861	353	442
International		577	1.4	%	11.9	%		115	13.1	%	24.8	%	2,677		461	-1.1	%	9.0	%	2,802	922	994
Visa Inc.		985	3.5	%	9.6	%		421	8.4	%	11.2	%	10,670		564	0.0	%	8.4	%	3,663	1,275	1,436


	For the 3 Months Ended December 31, 2013
	Total Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Transactions (millions)	Cash Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Cash Transactions (millions)	Accounts (millions)	Cards (millions)

All Visa Credit & Debit
Asia Pacific	$	493	7.5	%	12.7	%	$	339	8.3	%	14.2	%	3,677	$	154	5.8	%	9.5	%	890	622	721
Canada		66	-0.1	%	5.5	%		62	-0.2	%	5.5	%	609		5	0.3	%	6.0	%	11	36	43
CEMEA		286	9.3	%	13.2	%		62	23.0	%	28.5	%	1,231		223	6.0	%	9.6	%	1,176	300	300
LAC		287	1.9	%	10.8	%		110	5.5	%	15.9	%	2,506		177	-0.2	%	7.8	%	1,066	407	437
US		706	7.8	%	7.8	%		591	8.5	%	8.5	%	11,589		115	4.3	%	4.3	%	895	564	718
Visa Inc.		1,838	6.7	%	10.3	%		1,164	8.3	%	11.5	%	19,613		674	3.9	%	8.1	%	4,038	1,929	2,219

Visa Credit Programs
US	$	300	9.3	%	9.3	%	$	288	9.6	%	9.6	%	3,446	$	12	2.6	%	2.6	%	16	216	279
International		502	5.2	%	11.5	%		450	5.7	%	12.5	%	5,294		53	0.4	%	4.1	%	196	472	531
Visa Inc.		802	6.7	%	10.7	%		737	7.2	%	11.3	%	8,740		65	0.8	%	3.8	%	213	688	810

Visa Debit Programs
US	$	406	6.7	%	6.7	%	$	303	7.5	%	7.5	%	8,143	$	103	4.5	%	4.5	%	879	348	439
International		630	6.7	%	12.2	%		124	18.0	%	24.6	%	2,730		506	4.2	%	9.5	%	2,947	893	970
Visa Inc.		1,036	6.7	%	10.0	%		427	10.3	%	11.9	%	10,873		609	4.3	%	8.6	%	3,826	1,241	1,409


	For the 3 Months Ended September 30, 2013
	Total Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Transactions (millions)	Cash Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Cash Transactions (millions)	Accounts (millions)	Cards (millions)

All Visa Credit & Debit
Asia Pacific	$	464	8.2	%	13.5	%	$	314	8.5	%	14.6	%	3,557	$	150	7.5	%	11.1	%	854	610	710
Canada		65	4.6	%	9.4	%		60	4.8	%	9.6	%	602		5	2.3	%	7.0	%	12	34	41
CEMEA		265	12.2	%	15.9	%		57	26.8	%	32.1	%	1,121		207	8.8	%	12.1	%	1,120	296	294
LAC		259	1.6	%	10.7	%		98	4.4	%	14.6	%	2,348		161	0.0	%	8.5	%	998	403	431
US		692	9.3	%	9.3	%		575	10.3	%	10.3	%	11,400		117	4.8	%	4.8	%	928	540	703
Visa Inc.		1,745	8.0	%	11.5	%		1,104	9.6	%	12.7	%	19,028		640	5.4	%	9.5	%	3,912	1,883	2,179

Visa Credit Programs
US	$	290	10.9	%	10.9	%	$	277	11.0	%	11.0	%	3,324	$	12	8.2	%	8.2	%	16	207	277
International		470	6.3	%	12.4	%		420	6.9	%	13.5	%	5,138		50	1.8	%	4.2	%	196	468	526
Visa Inc.		760	8.0	%	11.8	%		697	8.5	%	12.5	%	8,461		63	3.0	%	5.0	%	212	675	804

Visa Debit Programs
US	$	402	8.2	%	8.2	%	$	298	9.6	%	9.6	%	8,076	$	104	4.4	%	4.4	%	912	333	426
International		582	7.9	%	13.6	%		109	17.7	%	24.6	%	2,491		473	5.9	%	11.3	%	2,788	875	949
Visa Inc.		984	8.0	%	11.3	%		407	11.7	%	13.2	%	10,567		577	5.6	%	10.0	%	3,700	1,208	1,375


	For the 12 Months Ended September 30, 2014
	Total Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Transactions (millions)	Cash Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Cash Transactions (millions)

All Visa Credit & Debit
Asia Pacific	$	1,967	7.6	%	10.6	%	$	1,355	10.5	%	13.2	%	15,071	$	612	1.8	%	5.3	%	3,636
Canada		254	0.7	%	7.4	%		234	0.7	%	7.5	%	2,434		20	0.4	%	7.2	%	46
CEMEA		1,094	6.1	%	14.0	%		253	18.8	%	27.4	%	5,359		841	2.8	%	10.5	%	4,650
LAC		1,079	0.6	%	11.0	%		411	2.4	%	14.2	%	9,774		668	-0.4	%	9.1	%	4,118
US		2,901	8.6	%	8.6	%		2,425	9.2	%	9.2	%	47,251		476	5.4	%	5.4	%	3,662
Visa Inc.		7,295	6.4	%	10.2	%		4,678	9.0	%	11.6	%	79,888		2,617	2.1	%	7.9	%	16,113

Visa Credit Programs
US	$	1,224	11.1	%	11.1	%	$	1,173	11.3	%	11.3	%	13,902	$	51	6.1	%	6.1	%	64
International		1,960	5.8	%	11.0	%		1,764	6.9	%	11.9	%	21,282		196	-2.8	%	3.4	%	765
Visa Inc.		3,183	7.8	%	11.0	%		2,937	8.6	%	11.7	%	35,183		246	-1.1	%	3.9	%	828

Visa Debit Programs
US	$	1,677	6.8	%	6.8	%	$	1,252	7.3	%	7.3	%	33,349	$	425	5.3	%	5.3	%	3,598
International		2,434	4.4	%	11.6	%		489	15.7	%	23.1	%	11,356		1,945	1.9	%	9.0	%	11,686
Visa Inc.		4,112	5.4	%	9.6	%		1,741	9.5	%	11.3	%	44,705		2,370	2.5	%	8.3	%	15,284

	For the 12 Months Ended September 30, 2013
	Total Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Payments Transactions (millions)	Cash Volume ($ billions)		Growth (Nominal USD)		Growth (Constant USD)		Cash Transactions (millions)	Accounts (millions)	Cards (millions)

All Visa Credit & Debit
Asia Pacific	$	1,828	10.2	%	12.6	%	$	1,227	10.4	%	13.5	%	13,291	$	601	9.9	%	10.7	%	3,181	610	710
Canada		252	5.2	%	5.7	%		232	5.8	%	6.3	%	2,220		20	-1.1	%	-0.6	%	44	34	41
CEMEA		1,031	14.8	%	17.2	%		213	28.5	%	32.3	%	4,017		818	11.7	%	13.8	%	4,485	296	294
LAC		1,072	5.7	%	12.3	%		401	9.1	%	17.1	%	9,265		671	3.8	%	9.7	%	3,913	403	431
US		2,672	6.5	%	6.5	%		2,220	7.2	%	7.2	%	43,616		451	3.2	%	3.2	%	3,557	540	703
Visa Inc.		6,856	8.5	%	10.4	%		4,294	9.1	%	10.7	%	72,409		2,562	7.5	%	9.8	%	15,179	1,883	2,179

Visa Credit Programs
US	$	1,101	10.2	%	10.2	%	$	1,054	10.2	%	10.2	%	12,484	$	48	9.2	%	9.2	%	62	207	277
International		1,852	8.1	%	11.3	%		1,651	8.8	%	12.5	%	19,495		201	2.6	%	2.6	%	772	468	526
Visa Inc.		2,953	8.9	%	10.9	%		2,704	9.4	%	11.6	%	31,979		249	3.8	%	3.9	%	833	675	804

Visa Debit Programs
US	$	1,570	4.1	%	4.1	%	$	1,166	4.6	%	4.6	%	31,132	$	404	2.5	%	2.5	%	3,495	333	426
International		2,332	11.1	%	14.7	%		423	21.5	%	26.0	%	9,299		1,909	9.1	%	12.5	%	10,851	875	949
Visa Inc.		3,902	8.2	%	10.0	%		1,589	8.6	%	9.3	%	40,430		2,313	7.9	%	10.5	%	14,346	1,208	1,375

Footnote

The preceding tables present regional total volume, payments volume and cash volume, and the number of payments transactions, cash transactions, accounts and cards for cards carrying the Visa, Visa Electron and Interlink brands. Card counts include PLUS proprietary cards. Nominal and constant dollar growth rates over prior years are provided for volume-based data.

Payments volume represents the aggregate dollar amount of purchases made with cards carrying the Visa, Visa Electron and Interlink brands for the relevant period; and cash volume represents the aggregate dollar amount of cash disbursements obtained with these cards for the relevant period and includes the impact of balance transfers and convenience checks; but excludes proprietary PLUS volume. Total volume represents payments volume plus cash volume.

Visa payment products are comprised of credit and debit programs, and data relating to each program is included in the tables. Debit programs include Visa’s signature based and Interlink (PIN) debit programs.

The data presented is based on results reported quarterly by Visa’s financial institution clients on their operating certificates. Estimates may be utilized if data is unavailable. On occasion, previously presented information may be updated.

Visa’s CEMEA region is comprised of countries in Central Europe, the Middle East and Africa. Effective with the 3 months ended September 2013, Croatia moved from the CEMEA region to Visa Europe. Several European Union countries in Central Europe, Israel and Turkey are not included in CEMEA. LAC is comprised of countries in Central and South America and the Caribbean. International includes Asia Pacific, Canada, CEMEA and LAC.

Information denominated in U.S. dollars is calculated by applying an established U.S. dollar/local currency exchange rate for each local currency in which Visa Inc. volumes are reported (“Nominal USD”). These exchange rates are calculated on a quarterly basis using the established exchange rate for each quarter. To eliminate the impact of foreign currency fluctuations against the U.S. dollar in measuring performance, Visa Inc. also reports year-over-year growth in total volume, payments volume and cash volume on the basis of local currency information (“Constant USD”). This presentation represents Visa’s historical methodology which may be subject to review and refinement.

2. Cross-Border Volume

The table below represents cross-border volume growth for cards carrying the Visa, Visa Electron, Interlink and PLUS brands. Cross-border volume refers to payments and cash volume where the issuing country is different from the merchant country.


Period	Growth (Nominal USD)	Growth (Constant USD)

3 Months Ended
Sep 30, 2014	9%	10%
Jun 30, 2014	6%	7%
Mar 31, 2014	5%	8%
Dec 31, 2013	11%	12%
Sep 30, 2013	9%	11%

12 Months Ended
Sep 30, 2014	8%	9%
Sep 30, 2013	10%	11%

3. Visa Processed Transactions

The table below represents transactions involving Visa, Visa Electron, Interlink and PLUS cards processed on Visa’s networks. CyberSource transactions are not included in this table, and are reported in the next section.


Period	Processed Transactions (millions)	Growth

3 Months Ended
Sep 30, 2014	16,943	9%
Jun 30, 2014	16,662	11%
Mar 31, 2014	15,354	11%
Dec 31, 2013	15,985	13%
Sep 30, 2013	15,491	14%

12 Months Ended
Sep 30, 2014	64,944	11%
Sep 30, 2013	58,472	10%

4. CyberSource Transactions

The table below represents billable transactions processed on Visa Inc.’s CyberSource network.


Period	Billable Transactions (millions)	Growth

3 Months Ended
Sep 30, 2014	1,905	12%
Jun 30, 2014	1,890	15%
Mar 31, 2014	1,859	16%
Dec 31, 2013	1,894	20%
Sep 30, 2013	1,696	24%

12 Months Ended
Sep 30, 2014	7,549	16%
Sep 30, 2013	6,533	26%

Source: Visa Inc.

Visa Inc.
Investor Relations:
Jack Carsky or Victoria Hyde-Dunn, 650-432-7644
ir@visa.com
Media Relations:
Paul Cohen, 650-432-2990
globalmedia@visa.com