Consumer spending provides strong support for Visa (V.US) Q4 performance! Revenue and EPS both exceed expectations.

Visa (NYSE: V) announced its fourth-quarter results, surpassing market expectations, indicating that global consumers are still using credit cards for payments. The financial report shows that Visa's fourth-quarter revenue increased by nearly 12% year-on-year to $10.7 billion, beating the market's expectation of $10.6 billion. Adjusted net profit was $5.8 billion and adjusted earnings per share were $2.98, slightly higher than the market's expectation of $2.97. Visa's CFO Chris Suh stated in the earnings call that consumer spending on both luxury and necessities remains strong. He mentioned that as long as travel and e-commerce spending remain active and the economic environment stable, the company expects a strong performance during this year's holiday season. Visa's CEO Ryan McInerney said, "In the fourth quarter, continued healthy consumer spending drove revenue growth. With the integration of technologies such as AI-driven businesses, real-time fund flows, tokenization, and stablecoins reshaping the business landscape, we are focused on innovation and product development strategies to position Visa to lead this transformation." In the fourth quarter, Visa ended its open banking services in the United States, which provided technical support to third parties, such as fintech companies, to access customer account data. The company stated that this decision was due to increased regulatory uncertainty and changes in the competitive landscape. Ryan McInerney mentioned during the earnings call that Visa now supports "agentic" transactions, where AI-driven agents can complete the checkout process on behalf of users. The company also introduced a framework to help merchants verify the identity of these agents to prevent malicious Siasun Robot & Automation from exploiting such transactions. He stated that the ultimate goal is for AI agents to complete shopping behavior on behalf of users without the need for human intervention, "We have not yet seen this scenario truly in the market, but we are working closely with major platforms to ensure that this functionality can be achieved."