Visa Fiscal Fourth Quarter and Full-Year 2025 Financial Results

Rhea-AI Summary

Visa (NYSE: V) reported fiscal Q4 2025 net revenue of $10.7B, up 12%, and full-year net revenue of $40.0B, up 11%. Q4 GAAP net income was $5.1B or $2.62 diluted EPS, impacted by an $899M litigation provision; non‑GAAP net income was $5.8B with diluted EPS of $2.98 (+10% YoY).

Key drivers: payments volume +9% (constant dollars), cross-border ex‑Europe +11% Q4, and processed transactions 67.7B (+10% YoY). Capital returns included $4.9B repurchases in Q4 and a 14% quarterly dividend increase to $0.670 per share.

Positive

• Net revenue +12% Q4 to $10.7B
• Full-year revenue +11% to $40.0B
• Non-GAAP diluted EPS +10% Q4 to $2.98
• Processed transactions 67.7B in Q4 (+10% YoY)
• Returned $6.1B to shareholders in Q4

Negative

• GAAP net income down 4% Q4 to $5.1B due to $899M litigation provision
• GAAP operating expenses +40% Q4 to $4.6B reflecting litigation and higher personnel
• Client incentives +17% Q4 to $4.2B, reducing net revenue

News Market Reaction

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-1.62% News Effect

On the day this news was published, V declined 1.62%, reflecting a mild negative market reaction.

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Visa (NYSE: V) reports double-digit revenue growth in fiscal Q4 as payments activity remains strong

According to the press release dated October 28, 2025, Visa Inc. reported fiscal fourth quarter and full-year 2025 results that showed continued growth in core transaction activity alongside higher legal expenses, a larger dividend, and significant share repurchases.

Quarterly highlights

Visa said fiscal fourth quarter 2025 net revenue rose 12% to $10.7B, supported by increases in payments volume, cross-border activity, and processed transactions. GAAP net income was $5.1B or $2.62 per diluted share, down 4% and 1%, respectively, due in part to an $899M litigation provision related to interchange multidistrict litigation and other legal matters. On a non-GAAP basis, which excludes specified items and related tax effects, net income was $5.8B and diluted EPS was $2.98, up 7% and 10%, the company said.

Key operating drivers in the quarter, measured on a constant-dollar basis, included payments volume up 9%, cross-border volume excluding intra-Europe up 11% (total cross-border up 12%), and processed transactions up 10%. Total processed transactions were 67.7 billion for the three months ended September 30, 2025, Visa reported.

Revenue mix and expenses

Service revenue, which is recognized based on prior-quarter payments volume, increased 10% to $4.6B. Data processing revenue rose 17% to $5.4B. International transaction revenue grew 10% to $3.8B. Other revenue increased 21% to $1.2B. Client incentives were $4.2B, up 17%, the company noted.

GAAP operating expenses were $4.6B, up 40%, largely reflecting the litigation provision and higher personnel costs. Excluding special items and acquisition-related amortization, non-GAAP operating expenses rose 13%, primarily in personnel, general and administrative, and professional fees. The GAAP effective tax rate for the quarter was 18.2%; on a non-GAAP basis it was 18.8%.

Full-year 2025 results

For fiscal 2025, Visa reported net revenue of $40.0B, up 11% (12% in constant dollars). GAAP net income was $20.1B or $10.20 per diluted share, increases of 2% and 5%, respectively. Non-GAAP net income was $22.5B with non-GAAP diluted EPS of $11.47, up 11% and 14%, respectively, the company said.

For the twelve months ended September 30, 2025, payments volume grew 8% in constant dollars. Cross-border volume excluding intra-Europe increased 13% (total cross-border also up 13%), and processed transactions rose 10% to 257.5 billion.

By category, service revenue increased 9% to $17.5B, data processing revenue increased 13% to $20.0B, international transaction revenue increased 12% to $14.2B, and other revenue increased 27% to $4.1B. Client incentives were $15.8B, up 14%. GAAP operating expenses were $16.0B, up 30%, reflecting litigation provisions and personnel costs; excluding specified items and amortization, non-GAAP operating expenses rose 11%. The GAAP effective tax rate for the year was 17.1% (17.7% non-GAAP), the company reported.

Capital returns and balance sheet

Visa said it returned $6.1B to shareholders in the quarter through repurchases and dividends and $22.8B for the full year. During the quarter, the company repurchased about 14 million class A shares at an average price of $349.77 for $4.9B. For the year, it repurchased approximately 54 million shares at an average price of $335.44 for $18.2B. As of September 30, 2025, remaining authorized funds for repurchases were $24.9B. Cash, cash equivalents and investment securities totaled $20.0B at quarter end, the company noted.

Visa’s board increased the quarterly cash dividend by 14% to $0.670 per share, payable on December 1, 2025 to holders of record as of November 12, 2025, the company said.

Other notable items

Visa conducted its fourth periodic release assessment regarding preferred stock issued at the closing of the Visa Europe acquisition. Effective August 18, 2025, the company released approximately $1.4B of as-converted value from series B and C preferred stock and issued series A preferred stock. The company also deposited $500M into its litigation escrow account on September 25, 2025, which has the same EPS effect as a share repurchase through reductions in as-converted class B-1 and B-2 share counts at a volume-weighted average price of $340.92, Visa said.

Executive insight

“In our fourth quarter, continued healthy consumer spending drove net revenue up 12% to $10.7 billion. For the full year, Visa delivered strong performance, with net revenue of $40 billion, up 11%, and broad-based growth across key metrics,” Chief Executive Officer Ryan McInerney said in the release.

What the metrics mean

GAAP vs. non-GAAP: GAAP results follow U.S. accounting standards. Non-GAAP figures adjust for specified items such as litigation provisions, equity investment gains or losses, and acquisition-related amortization; they are used by management to illustrate underlying performance as described in the release.

Client incentives: Payments the company provides to clients (for example, volume-based or growth-based arrangements) that reduce net revenue and are part of normal commercial terms.

Constant-dollar: Growth measured excluding the impact of foreign-exchange fluctuations versus the U.S. dollar.

Cross-border volume: Transactions where the issuer and the merchant are in different countries; excluding intra-Europe removes transactions where both parties are within Europe.

Financial Snapshot

Metric	Q4 FY2025	YoY Change	FY2025	YoY Change
Net revenue	$10.7B	12%	$40.0B	11%
GAAP net income	$5.1B	(4%)	$20.1B	2%
GAAP diluted EPS	$2.62	(1%)	$10.20	5%
Non-GAAP net income	$5.8B	7%	$22.5B	11%
Non-GAAP diluted EPS	$2.98	10%	$11.47	14%
Payments volume (constant-dollar)	9%	—	8%	—
Cross-border volume ex-intra-Europe (constant-dollar)	11%	—	13%	—
Total cross-border volume (constant-dollar)	12%	—	13%	—
Processed transactions	10% YoY to 67.7B	—	10% YoY to 257.5B	—
Quarterly dividend (per share)	$0.670	14% increase	Payable Dec. 1, 2025	Record date Nov. 12, 2025
Share repurchases	$4.9B in Q4	~14M shares at $349.77	$18.2B in FY	~54M shares at $335.44

This article is based solely on Visa Inc.’s press release dated October 28, 2025 and does not constitute investment advice. Investors should read the full release and related materials and consider their own financial situation and risk tolerance.

Source: Visa Investor Relations

FAQ

What were Visa (V) Q4 FY2025 net revenue and growth rate?

Visa reported Q4 FY2025 net revenue of $10.7B, up 12% year over year.

How did Visa (V) report GAAP vs non‑GAAP EPS for Q4 2025?

GAAP diluted EPS was $2.62; non‑GAAP diluted EPS was $2.98, up 10%.

What litigation impact did Visa (V) disclose in Q4 2025?

The company recorded an $899M litigation provision that lowered GAAP net income.

How much did Visa (V) return to shareholders in fiscal Q4 2025?

Visa returned $6.1B in Q4 through repurchases and dividends, including $4.9B in repurchases.

What dividend change did Visa (V) announce for December 2025?

The board increased the quarterly dividend 14% to $0.670 per share, payable Dec. 1, 2025.

What were Visa (V) payments and cross‑border growth metrics in Q4 2025?

Payments volume rose 9% (constant dollars); cross‑border ex‑Europe rose 11% in Q4.