• Friday, May 24, 2024
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BusinessDay

MasterCard profit beats estimates as customer spending increases

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 Master Card the second-biggest U.S. payments network, posted a first-quarter profit that beat analysts’ estimates as customer spending climbed.

Net income increased 12 percent to $766 million, or $6.23 a share, from $682 million, or $5.36, a year earlier, the Purchase, New York-based company said Wednesday in a statement. The average estimate of 33 analysts surveyed by Bloomberg was for $6.17 a share.

MasterCard, led by Chief Executive Officer Ajay Banga, doubled its dividend and authorized a new share-repurchase program during the quarter as a global consumer shift from cash and checks to electronic payments continues unabated. Spending on the network grew faster last year than at larger competitor Visa Inc., which lost market share as news U.S. limits on debit- card transaction fees and processing took effect.