Mastercard Incorporated reported strong financial performance for the third quarter and the first nine months of 2024, with significant increases in net revenue, profitability, and cash flow compared to the same periods in 2023.
For the three months ended September 30, 2024, Mastercard's net revenue reached $7,369 million, a 13% increase from $6,533 million in Q3 2023. For the nine months ended September 30, 2024, net revenue was $20,678 million, up 11% from $18,550 million in the prior year. The growth was driven by a 10% increase in revenue from the payment network and an 18% rise in value-added services and solutions during Q3 2024. Geographic revenue also showed strong performance, particularly in the Americas and Asia Pacific regions.
Operating income for Q3 2024 was $4,004 million, reflecting a 4% increase from $3,844 million in Q3 2023. For the nine-month period, operating income rose 9% to $11,644 million from $10,636 million. However, total operating expenses increased significantly, with Q3 2024 expenses at $3,365 million, a 25% rise from $2,689 million in Q3 2023, primarily due to higher general and administrative costs, which included a restructuring charge of $190 million.
Net income for Q3 2024 was $3,263 million, a 2% increase from $3,198 million in the same quarter of 2023. For the nine months, net income rose 13% to $9,532 million from $8,404 million. Basic earnings per share for Q3 2024 were $3.54, up from $3.40 in Q3 2023, while diluted earnings per share increased to $3.53 from $3.39.
Mastercard's cash and cash equivalents as of September 30, 2024, totaled $11,063 million, up from $8,588 million at the end of 2023. The company reported net cash provided by operating activities of $9,946 million for the nine months ended September 30, 2024, an increase of $2,096 million compared to the same period in 2023.
Strategically, Mastercard announced a definitive agreement to acquire RF Ultimate Parent, Inc. (Recorded Future) for $2.65 billion, expected to close in Q1 2025, enhancing its threat intelligence capabilities. The company also continued its share repurchase program, repurchasing 6.3 million shares for $2.9 billion during Q3 2024.
Overall, Mastercard's financial results reflect robust growth in revenue and profitability, despite rising operating expenses and ongoing litigation costs.
About Mastercard Inc
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