MasterCard revenue misses for second time as consumer spending slows


Payment network MasterCard Inc's quarterly revenue missed analysts' estimates for the second time in a row as consumers held back on spending.

Third-quarter revenue rose 5 percent to $1.92 billion, but fell short of the $1.94 billion analysts had expected.

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Cardholders made $676 billion worth of purchases worldwide in the quarter on a local currency basis, up 12 percent.

Purchase volume had grown 13 percent in the second quarter, and by more than 15 percent in the preceding four quarters.

In the United States, growth in purchase volume slowed to 7.4 percent from 13.7 percent a year earlier.

The world's second-largest credit and debit card network said net income rose 8 percent to $772 million, or $6.17 per share, in the third quarter from $717 million, or $5.63 per share, a year earlier.

Analysts on average were expecting the company to earn $5.92 per share excluding one-time items, according to Thomson Reuters I/B/E/S.

Shares of the company, which has a market value of about $56 billion, were down $1.98 in premarket trade. They had closed at $452.98 on the New York Stock Exchange on Friday.

(Reporting by Jochelle Mendonca in Bangalore; Editing by Akshay Lodaya and Sreejiraj Eluvangal)