MasterCard 3Q Profit Beats on Higher Purchase Volume

Industries Reuters

MasterCard, the world's second-biggest payments processor, reported a better-than-expected quarterly profit, driven by higher spending by customers on its network.

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The company's shares were up 1.8 percent at $105.51 in premarket trading on Friday.

MasterCard's net income jumped 21.2 percent to $1.18 billion, or $1.08 per share, in the third quarter ended Sept. 30.

Analysts on average had expected 98 cents per share, according to Thomson Reuters I/B/E/S.

Revenue rose 13.8 percent to $2.88 billion.

Bigger rival Visa Inc also reported better-than-expected quarterly results this week.

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Worldwide purchase volume rose 9 percent to $882 billion, on a local currency basis, the company said.

MasterCard's cross-border volumes - the value of transactions made by card holders outside the card-issuer's country - jumped 12 percent.

Up to Thursday's close, the company's stock had risen 6.4 percent this year.

(Reporting By Sudarshan Varadhan and Richa Naidu in Bengaluru; Editing by Sriraj Kalluvila)