In this video, I will talk about PayPal Holding's (PYPL -1.03%) second-quarter earnings report and go over some key points management mentioned during the call.

  • The company reported revenue of $6.8 billion, up 9% year over year (YOY), and earnings per share of $0.93, down 19% YOY.
  • Venmo ended the quarter with approximately 90 million users, and total payment volume is expected to reach a quarter of a trillion dollars.
  • Management also reiterated its 50%-plus revenue growth guidance for Venmo. 
  • PayPal added 400,000 net new active accounts and ended the quarter with 429 million active accounts, up 6%.
  • PayPal bought back $1.5 billion in stock year to date. That's equal to 44% of the whole of last year. 
  • PayPal ended the quarter with free cash flow of $1.3 billion and is expecting to end the year with over $5 billion in free cash flow.
  • The company authorized a new $15 billion share repurchase program. 
  • Management expects margin expansion to start in Q4 of this year and continue in 2023. 

For the full insights, do watch the video, consider subscribing, and click the special offer link below.

*Stock prices used were the closing prices of August 2, 2022. The video was published on August 3, 2022.