PayPal (PYPL) Q2 2025 Resite

PayPal I mentioned The results are better than expected for the second quarter, but it has seen slowing growth in the dollars of transactions, which is a main measure of profitability. The arrow slides over 8 % after the report.

Here is how the company compared Wall Street estimates, based on a survey of analysts by LSEG:

• Arrow’s profits: $ 1.40 amended for $ 1.30 expected
• profit: 8.29 billion dollars for 8.08 billion dollars expected

Sales increased by 5 % from $ 7.89 billion in the previous year, as CEO Alex Chris worked on low -margin revenue flows.

The dollar of transactions increased by 7 % to $ 3.84 billion, representing the sixth quarter of the company’s growth, respectively.

However, the growth in this scale slowly slowed down, decreased from 8 % in the first quarter when excluding a one -time benefit that strengthened the results earlier this year. Brand exit sizes slowed up to 5 %, compared to 6 % in the first quarter when modified for the day jumping.

The company also witnessed the rise of its expenses and the low cash flow. The total operating expenditures amounted to 6.78 billion dollars per quarter, compared to $ 6.26 billion in the first quarter.

The amended free cash flow in the quarter reached $ 656 million, or nearly a third of what the street expected, a decrease of $ 1.4 billion in the first quarter.

The total payment volume, which is an indication of how digital payments in the wider economy increased, won estimates, which amount to 443.6 billion dollars, compared to $ 433.6 billion, the analyst who expected, according to the presence of the street. The number of active accounts increased by 2 % to 438 million, compared to 437.8 million expectations.

PayPal shares decreased by 8.4 % for this year, as of the closure of Monday, while NASDAC rose by 10 % in 2025.

Venmo revenues grew more than 20 % from the previous year, after a 20 % jumping In the first quarter, although the company did not provide a personality in dollars. Venmo’s total payment volume increased by 12 %, which is the highest growth rate in three years.

Chriss focused on improving major acquisitions such as BrainTree and Venmo. Doordashand Starbucks And Ticketmaster among the companies Acceptance now Venmo As one way for consumers can pay.

“We have provided another quarter of profitable growth, driven by continuous strength through many of our strategic initiatives ranging from PayPal and Venmo experiences to act as a payment service provider and other services,” Chris said in the statement.

For the third quarter, Paypal expects to adjust profits per share from $ 1.18 to $ 1.22, compared to an average estimate of the analyst of $ 1.20. The company said that the dollars of transaction margin are expected to increase by 4 % to between 3.76 billion dollars and 3.82 billion dollars.

Before PayPal’s profits, some analysts hit an optimistic tone with caution. Goldman Sachs pointed out that the exit growth growth of a brand was likely to improve successively to about 6 %, up from 4 % in the first quarter.

Morgan Stanley referred to strong e -commerce data and progress in the exit initiatives of PayPal. Advanced complementarity is now 45 % of American traders, an increase of 30 % in December, and it is expected to help exit sizes with brands. The bank also put the continuous momentum in BrainTree sizes.

Paypal now expects modified profits for the entire year from $ 5.15 to $ 5.30, increasing from its previous forecast from $ 4.95 to $ 5.10. While the guidance in the third quarter is almost enlarged with expectations, the updated expectations mean the fourth fourth quarter. The company also makes a free cash flow between $ 6 billion and 7 billion dollars for this year.

PayPal told a net income of $ 1.26 billion in the second quarter, or $ 1.29 per share, up from $ 1.13 billion, or $ 1.08 per share, a year ago.

The company took fees for credit, depreciation and compensation losses in the quarter.