PayPal Holdings, Inc. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2015; Provides Earnings Guidance for the First Quarter of 2016 and Full Year 2016
January 27, 2016 at 09:10 pm
Share
PayPal Holdings, Inc. reported unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2015. For the quarter, the company reported net revenues of $2,556 million against $2,193 million a year ago. Operating income was $411 million against $348 million a year ago. Income before income taxes was $418 million against $347 million a year ago. Net income was $367 million or $0.30 per basic and diluted share against $286 million or $0.23 per basic and diluted share a year ago. Net cash provided by operating activities was $728 million against $631 million a year ago. Purchases of property and equipment were $164 million against $123 million a year ago. Non-GAAP operating income was $532 million against $447 million a year ago. Non-GAAP net income was $443 million or $0.36 per diluted share against $358 million or $0.29 per diluted share a year ago.
For the year, the company reported net revenues of $9,248 million against $8,025 million a year ago. Operating income was $1,461 million against $1,268 million a year ago. Income before income taxes was $1,488 million against $1,261 million a year ago. Net income was $1,228 million or $1.00 per basic and diluted share against $419 million or $0.34 per basic and diluted share a year ago. Net cash provided by operating activities was $2,546 million against $2,220 million a year ago. Purchases of property and equipment were $722 million against $492 million a year ago. Non-GAAP operating income was $1,975 million against $1,648 million a year ago. Non-GAAP net income was $1,588 million or $1.00 per diluted share against $1,343 million or $1.10 per diluted share a year ago.
For the first quarter 2016, the company expects net revenues to grow 19% - 21% on an FX-neutral basis, and 16% - 18% at current spot rates to a range of $2.470 to $2.520 billion. PayPal anticipates that currency will be an approximate 3 point headwind on net revenues. PayPal expects GAAP earnings per diluted share in the range of $0.26 - $0.28 and non-GAAP earnings per diluted share in the range of $0.34 - $0.36. Estimated non-GAAP amounts above for the three months ending March 31, 2016, reflect adjustments of approximately $125 - $145 million in the aggregate that primarily exclude estimates of the following items: stock-based compensation expense, employer payroll taxes on stock-based compensation, and amortization of acquired intangible assets.
For the full year 2016, the company expects net revenues to grow 16% - 19% on an FX-neutral basis, and 14% - 16% at current spot rates to a range of $10.5 to $10.7 billion. PayPal anticipates that currency will be an approximate 3 point headwind on net revenues. PayPal expects GAAP earnings per diluted share in the range of $1.09 - $1.14 and non-GAAP earnings per diluted share in the range of $1.45 - $1.50. Estimated non-GAAP amounts above for the twelve months ending December 31, 2016, reflect adjustments of approximately $585 - $615 million in the aggregate that primarily exclude estimates of the following items: stock-based compensation expense, employer payroll taxes on stock-based compensation, and amortization of acquired intangible assets.
PayPal Holdings, Inc. is one of the main global providers of online payment services. The company enables individuals and professionals to purchase and to sell goods and services, as well as make transfers and withdrawals. Paypal Holdings operates a technology platform equipped with solutions (Paypal, PayPal Credit, Venmo and Braintree brands) designed to facilitate safeguarded payments via merchant websites, mobile payment devices, and through shops. Net sales break down by source of revenue as follows:
- revenues from transactions (90.2%);
- revenues from value-added services (9.8%).
At the end of 2023, PayPal Holdings, Inc. has 426 million active accounts.
The United States accounts for 58% of net sales.
PayPal Holdings, Inc. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2015; Provides Earnings Guidance for the First Quarter of 2016 and Full Year 2016