Computed from published fixed rules, not a model's judgement — though one input, the count of high-severity risks, comes from the AI analysis below.
Not investment advice and not a price target: it scores the quarter's fundamentals, not the stock. Full methodology →
AI Takeaway
Visa delivered strong Q1 FY2026 growth, with net revenue up 15% to $10.901B and net income up 14% to $5.853B, although operating-margin pressure reflected a $707M interchange litigation provision. Source: 10-Q Item 2 MD&A, pp.24-29
Revenue
$10.9B
+14.63% YoY
Operating Income
$6.74B
+8.07% YoY
Source: SEC XBRL
Visa (V) reported Q1 FY2026 revenue of $10.9B, up 14.6% year over year. Operating margin was 61.8%, down 3.8 points from 65.6% a year earlier. Operating cash flow was $6.78B, up 25.6% year over year. V's fiscal Q1 FY2026 corresponds to calendar Q4 2025.
Last 4 quarters: 2 beats
| Quarter | Actual EPS (USD) | Consensus (USD) | Result |
|---|---|---|---|
| Jun 2026 | 3.32 | 3.29 | Beat +0.8% |
| Mar 2026 | 3.31 | 3.16 | Beat +4.8% |
| Dec 2025This filing | 3.17 | 3.20 | Miss -1.0% |
| Sep 2025 | 2.98 | 3.03 | Miss -1.5% |
Reported EPS of $3.17 versus the $3.20 analyst consensus — a -1.0% miss for Dec 2025.
Compiled by AI from 10-Q Item 2 of this filing
Net revenue increased 15% year over year to $10.901B, led by nominal cross-border volume growth, processed-transaction growth, and nominal payments-volume growth, partly offset by higher client incentives. Value-added-services revenue rose 32% to $3.2B, driven by Issuing Solutions, Acceptance Solutions, and Advisory and Other Services.
Source: 10-Q Item 2 MD&A
International net revenue increased 17% to $6.738B, versus 11% growth to $4.163B in the U.S. Foreign-exchange movements contributed approximately one percentage point to total net-revenue growth.
Source: 10-Q Item 2 MD&A
Visa processed transactions increased 9% to 69.4B. Service revenue was supported by 9% nominal payments-volume growth, while international transaction revenue benefited from 15% nominal cross-border-volume growth excluding transactions within Europe.
Source: 10-Q Item 2 MD&A
Operating expenses rose 27% to $4.164B, primarily because Visa recorded a $707M additional accrual related to interchange multidistrict litigation. Excluding specified non-GAAP items, operating expenses increased 16% to $3.391B.
Source: 10-Q Item 2 MD&A
Visa repurchased 11M Class A shares for $3.8B and paid $1.3B in dividends during the quarter. It also repaid $4.0B of senior notes at maturity; as of December 31, 2025, $21.1B remained under the share-repurchase authorization.
Source: 10-Q Item 2 MD&A
Compiled by AI from this SEC filing · 0 high, 2 medium, 2 low
Long-term debt was $19.588B, up 17.4% year over year, while total liabilities increased 8.3% to $58.037B. Higher debt can increase interest costs and requires continued access to operating cash flow and capital markets to meet maturities and other obligations.
Source: 10-Q Balance Sheet (XBRL), p.N/A
Visa's current ratio was 1.11x, with current assets of $34.997B against current liabilities of $31.491B. This indicates that short-term assets exceeded short-term obligations, but the coverage cushion was relatively limited.
Source: 10-Q Balance Sheet (XBRL), p.N/A
Financing activities used $8.986B of cash in Q1 FY2026, compared with $5.475B in the prior-year period. Continued large outflows for debt service, dividends, or repurchases could reduce cash balances if not supported by operating cash generation.
Source: 10-Q Statement of Cash Flows (XBRL), p.N/A
Visa paid $1.293B in dividends and repurchased $3.725B of shares during Q1 FY2026. These distributions represented significant uses of cash alongside debt obligations, although operating cash flow was $6.780B for the quarter.
Source: 10-Q Statement of Cash Flows (XBRL), p.N/A
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue $B | 10.90 $B | 9.51 $B | +14.63% |
Operating Income $B | 6.74 $B | 6.23 $B | +8.07% |
Net Income $B | 5.85 $B | 5.12 $B | +14.34% |
Answers draw on this SEC filing and the data on this page
In 2026-Q2, Visa reported net revenue of $11.63B (up 14% YoY) and GAAP net income of $5.63B (up 7% YoY), driven by strong growth in payments volume, cross-border transactions, and value-added services.
In Q2 FY2026, V demonstrated strong financial performance with a 17.1% increase in revenue and a 31.5% rise in net income, driven by operational efficiencies and strategic growth initiatives.
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