EX-99.1 2 ma09302024-exx991xearnings.htm EX-99.1 Document

決算発表
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マスターカード クラスaが2024年第3四半期の財務結果を報告しました

•第三四半期ネット収入33億ドルの売上と希薄化後1株当たり利益（EPS）が3.53ドル
•サード 四半期調整後の純利益36億ドルの利益、および調整後の希薄化後epsは3.89ドル
•第3四半期の純収益74億ドルの収益で、為替ニュートラルベースでは13%増の14%増加
•第3四半期の総取引高は10％増の購入高が11％増、現地通貨ベースで
ニューヨークのパーチェス - 2024年10月31日 - 株式会社マスターカード クラスa（nyse: ma）は、2024年第3四半期の財務結果を発表しました。

今四半期の強力なパフォーマンスは、通貨換算ベースで13%の純売上高成長、あるいは為替ニュートラルベースでは14%の伸びを記録し、当社のすべてのビジネス領域で成果を上げていることを示しています。これらの結果は、健全な消費関連支出と継続的な付加価値サービスおよびソリューションへの需要の強さを反映しており、純売上高は、通貨換算ベースでは18%、もしくは19%の増加を示しています。”マスターカードのCEOであるMichael Miebachは「私たちはアドレス可能な市場を拡大し、エコシステムを保護し、すべての取引に価値を追加するために、差別化されたサービススイートの投資を続けています。これには、当社の顧客のニーズを満たすために、先進の人工知能機能を有する脅威インテリジェンスと定期管理機能を提供することを期待しているRecorded FutureやMinna Technologiesの買収も含まれています。

今四半期の結果
第3四半期の業績結果増加／（減少）
株式データを除く、$十億単位で
Q3 2024Q3 2023報告されたGAAPニュートラル
純売上高$7.4$6.513%14%
66.8$3.4$2.725%25%
営業利益$4.0$3.84%5%
営業利益率54.3%58.8%(4.5) ポイント(4.2) ポイント
有効所得税率15.6%15.0%0.6 ポイント0.8 ポイント
当期純利益$3.3$3.22%3%
希薄化後eps$3.53$3.394%5%
キー第3四半期非GAAP結果 1
増加／（減少）
株当たりデータを除く、10億ドル単位
Q3 2024Q3 2023調整後currency-neutral
純売上高$7.4$6.513%14%
調整後の営業費用$3.0$2.712%12%
調整後の営業利益率59.3%58.8%0.5 パーセント ポイント0.7 パーセント ポイント
調整後の有効税率16.3%15.0%1.4 パーセント ポイント1.5 パーセント ポイント
調整後の当期純利益$3.6$3.212%13%
調整後の希薄化EPS$3.89$3.3915%16%
1 キー3四半期の非GAAPの結果には、企業の株式投資における利益と損失、ページ11に記載されている特別項目（「3四半期特別項目」）、および通貨の換算および取引の影響、および企業の外国為替派生契約の現金流れヘッジインストゥルメントとして指定された影響（特に、予測される収益と費用への外貨の変動の影響を管理するもの）を除外しています。企業の非GAAP調整およびGAAP報告額への調整については、ページ11を参照してください。


2024年第3四半期の主要ビジネスドライバー
（前年比成長）
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総取引高
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クロスボーダー取引量
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スイッチ取引
（現地通貨ベース）（現地通貨ベース）
10%増増加17％上昇11%
以下の情報は、マスターカードの2024年第3四半期の結果と、前年同期の理解を助けるために提供されています。
•売上高は13%増加し、通貨ベースで14%増加しました。この増加は、当社の支払いネットワークと付加価値サービスおよびソリューションの成長に起因しています。
▪支払いネットワーク売上高は10%増加し、通貨ニュートラルベースでは11%増加しました。増加の主な要因は次のとおりです：
•現地通貨ベースで、10%の総取引高増加により、2.5兆ドルに達しました。
•クロスボー出来高が現地通貨ベースで17％成長しました。17％の成長。
•11%の取引が成長しました。
支払いネットワーク売上高の増加には、お客様に提供される支払いネットワークリベートやインセンティブの成長が含まれています。 通貨ベースでの支払いネットワークリベートやインセンティブは主に、主要なドライバーの増加と新規および更新された取引の増加により、17%または通貨ベースで19%増加しました。
▪付加価値サービス売上高について、通貨ベースでは18%、通貨ニュートラルベースでは19%増加しました。この増加は主に私たちの基本的な鍵となる要素の成長、コンサルティングやマーケティングサービスへの強い需要、不正防止およびセキュリティ、アイデンティティおよび認証ソリューションの拡大、価格設定によって駆動されました。 i主として、基盤となる主要なドライバーの成長、コンサルティングやマーケティングサービスへの強い需要、詐欺およびセキュリティサービス、アイデンティティおよび認証ソリューションのスケーリング、価格設定によって売上が向上しました。
•営業費用の合計額は、第三四半期特別アイテムの影響を除いた場合、25％増の12％増となりました。報告された営業費用の増加は主に、より高い一般管理費用（2024年第3四半期のリストラの負担を含む）および訴訟予備金に起因しています。調整後の営業費用の増加は主に、より高い一般管理費用に起因しています。
•その他の収益（費用）は、前年同期比で55百万ドル不利になりました。これは主に、流動性のある株式証券に関する未実現の公正市場価値の調整によるものです。調整後のその他の収益（費用）は、前年比で3百万ドル有利でした。
•3番目の実効税率 2024年の四半期は 15.6% でしたが、2023年の同時期は 15.0% でした。2024年第3四半期の調整後実効税率は 16.3% でしたが、2023年の同時期は 15.0% でした。報告時および調整後の実効税率は、主に2023年に2022年と2023年に発生した米国の外国税額控除をさらに請求できるようになったため、前年の税率を上回りました。これは、2023年の評価引当金の設定と、当期の収益の地理的構成の変化によって一部相殺されました。
•2024年9月30日時点で、会社の顧客は34億枚のマスターカードとマエストロブランドのカードを発行していました。
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年度の結果
営業成績累計増加／（減少）
株主1株あたりのデータを除く、10億ドル単位
20242023報告されたGAAP通貨ニュートラル
純売上高$20.7$18.611%12%
66.8$9.0$7.914%14%
営業利益$11.6$10.69%11%
営業利益率56.3%57.3%(1.0) パーセントポイント(0.8) パーセントポイント
有効所得税率16.1%18.6%(2.4) パーセントポイント(2.4) パーセントポイント
当期純利益$9.5$8.413%15%
希薄化後eps$10.25$8.8516%17%
キー 当期ノンGAAP結果 1
増加／（減少）
＄ビリオン単位、1株あたりデータを除く20242023調整後通貨ニュートラル
純売上高
$20.7$18.611%12%
調整後の営業費用$8.4$7.710%10%
調整後の営業利益率59.2%58.6%0.6 パーセンテージ ポイント0.8 パーセンテージ ポイント
調整後の有効税率16.6%19.0%(2.4) パーセンテージ ポイント(2.4) パーセンテージ ポイント
調整後の当期純利益$10.0$8.616%18%
調整後の希薄化EPS$10.78$9.0819%20%
1 決算期初から当期末までの非GAAP結果には、会社の株式投資における利益と損失の影響、ページ12に記載されている特別項目（「年初特別項目」）、通貨の翻訳および取引の影響、および会社の外国為替デリバティブ契約のキャッシュフロー避難楽器として指定された影響（特に、予想される収入と費用の外国通貨の変動の影響を管理するもの）を除外しています。会社の非GAAP調整およびGAAP報告金額への調整については、ページ12を参照してください。
2024年の累計主要ビジネスドライバー
(前年比成長)
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総取引額
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クロスボーダー取引量
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スイッチ取引
(現地通貨ベース)(現地通貨ベース)
10%増加増加17％上昇11%
以下の情報は、マスターカードの2024年度累計業績を理解するのに役立つ情報が提供されています。前年同期との比較です。
•Net revenue increased 11%, or 12% on a currency-neutral basis. The increase was attributable to growth in our payment network and our value-added services and solutions.
▪Payment network net revenue increased 8%, or 9% on a currency-neutral basis. Primary drivers of the increase were as follows:
•Gross dollar volume growth of 10%, on a local currency basis, to $7.2 trillion.
•Cross-border volume growth of 17% on a local currency basis.
•Switched transactions growth of 11%.
This increase in payment network net revenue includes growth in payment network rebates and incentives provided to customers. Payment network rebates and incentives increased 17%, or 18% on a currency-neutral basis, primarily due to an increase in our key drivers as well as new and renewed deals.
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▪Value-added services and solutions net revenue increased 17%, as reported and on a currency-neutral basis. The increase was driven primarily by growth in our underlying key drivers, strong demand for our consulting and marketing services, and the scaling of our fraud and security and our identity and authentication solutions.
•Total operating expenses increased 14%, primarily due to higher general and administrative expenses (including a restructuring charge in the third quarter of 2024) and litigation provisions. Excluding the impact of Year-to-date Special Items, adjusted operating expenses increased 10%, both as adjusted and on a currency-neutral basis, primarily due to higher general and administrative expenses.
•Other income (expense) was favorable $37 million versus the year ago period, primarily due to an increase in investment income and lower net losses related to unrealized fair market value adjustments on marketable and nonmarketable equity securities, partially offset by increased interest expense related to our debt portfolio. Adjusted other income (expense) was favorable $12 million versus the prior year, primarily due to an increase in investment income, partially offset by increased interest expense related to our debt portfolio.
•The effective tax rate for year-to-date 2024 was 16.1%, versus 18.6% for the comparable period in 2023. The adjusted effective tax rate for year-to-date 2024 was 16.6%, versus 19.0% for the comparable period in 2023. Both the as-reported and as-adjusted effective tax rates were lower than the prior year rates primarily due to the establishment of a valuation allowance in 2023, partially offset by our ability in 2023 to claim more U.S. foreign tax credits generated in 2022 and 2023. Additionally, a change in our geographic mix of earnings in 2024 contributed to the lower effective income tax rate compared to the prior year.
Return of Capital to Shareholders
During the third quarter of 2024, Mastercard repurchased 6.3 million shares at a cost of $2.9 billion and paid $611 million in dividends.
Through September 30, 2024, Mastercard repurchased 16.5 million shares at a cost of $7.6 billion and paid $1.8 billion in dividends.
Quarter-to-date through October 28, the Company repurchased 2.0 million shares at a cost of $983 million, which leaves $5.6 billion remaining under the approved share repurchase programs.
Third Quarter 2024 Financial Results Conference Call Details
At 9:00 a.m. ET today, the Company will host a conference call to discuss its third quarter 2024 results. The dial-in information for this call is 1-888-330-2508 (Toll-free) and 1-240-789-2735 (Toll dial-in), using passcode 6451878. A replay of the call will be available for 30 days and can be accessed by dialing 1-800-770-2030 (Toll-free) and 1-647-362-9199 (Toll dial-in), using passcode 6451878.
A live audio webcast of this call, along with presentation slides, can also be accessed through the Investor Relations section of the Company’s website at investor.mastercard.com.
Forward-Looking Statements
This press release contains forward-looking statements pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts may be forward-looking statements. When used in this press release, the words “believe”, “expect”, “could”, “may”, “would”, “will”, “trend” and similar words are intended to identify forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements that relate to the Company’s future prospects, developments and business strategies. We caution you to not place undue reliance on these forward-looking statements, as they speak only as of the date they are made. Except for
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the Company’s ongoing obligations under the U.S. federal securities laws, the Company does not intend to update or otherwise revise the forward-looking information to reflect actual results of operations, changes in financial condition, changes in estimates, expectations or assumptions, changes in general economic or industry conditions or other circumstances arising and/or existing since the preparation of this press release or to reflect the occurrence of any unanticipated events.
Many factors and uncertainties relating to our operations and business environment, all of which are difficult to predict and many of which are outside of our control, influence whether any forward-looking statements can or will be achieved. Any one of those factors could cause our actual results to differ materially from those expressed or implied in writing in any forward-looking statements made by Mastercard or on its behalf, including, but not limited to, the following factors:
•regulation related to the payments industry (including regulatory, legislative and litigation activity with respect to interchange rates and surcharging)
•the impact of preferential or protective government actions
•regulation of privacy, data, AI, information security and the digital economy
•regulation that directly or indirectly applies to us based on our participation in the global payments industry (including anti-money laundering, countering the financing of terrorism, economic sanctions and anti-corruption, account-based payments systems, and issuer and acquirer practices regulation)
•the impact of changes in tax laws, as well as regulations and interpretations of such laws or challenges to our tax positions
•potential or incurred liability and limitations on business related to any litigation or litigation settlements
•the impact of competition in the global payments industry (including disintermediation and pricing pressure)
•the challenges relating to rapid technological developments and changes
•the challenges relating to operating a real-time account-based payments system and to working with new customers and end users
•the impact of information security incidents, account data breaches or service disruptions
•issues related to our relationships with our stakeholders (including loss of substantial business from significant customers, competitor relationships with our customers, consolidation amongst our customers, merchants’ continued focus on acceptance costs and unique risks from our work with governments)
•the impact of global economic, political, financial and societal events and conditions, including adverse currency fluctuations and foreign exchange controls
•reputational impact, including impact related to brand perception and lack of visibility of our brands in products and services
•the impact of environmental, social and governance matters and related stakeholders reaction
•the inability to attract and retain a highly qualified and diverse workforce, or maintain our corporate culture
•issues related to acquisition integration, strategic investments and entry into new businesses
•exposure to loss or illiquidity due to our role as guarantor as well as other contractual obligations and discretionary actions we may take
•issues related to our Class A common stock and corporate governance structure
For additional information on these and other factors that could cause the Company’s actual results to differ materially from expected results, please see the Company’s filings with the Securities and Exchange Commission, including the Company’s Annual Report on Form 10-K for the year ended December 31, 2023 and any subsequent reports on Forms 10-Q and 8-K.
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About Mastercard (NYSE: MA)
Mastercard is a global technology company in the payments industry. Our mission is to connect and power an inclusive, digital economy that benefits everyone, everywhere by making transactions safe, simple, smart and accessible. Using secure data and networks, partnerships and passion, our innovations and solutions help individuals, financial institutions, governments and businesses realize their greatest potential. With connections across more than 210 countries and territories, we are building a sustainable world that unlocks priceless possibilities for all.
www.mastercard.com

Contacts:
Investor Relations:Media Relations:
Devin Corr or Jud StaniarSeth Eisen
investor.relations@mastercard.comSeth.Eisen@mastercard.com
914-249-4565914-249-3153
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Consolidated Statement of Operations (Unaudited)
Three Months Ended September 30,Nine Months Ended September 30,
2024202320242023
(in millions, except per share data)(in millions, except per share data)
Net Revenue$7,369 $6,533 $20,678 $18,550 
Operating Expenses:
General and administrative2,744 2,285 7,448 6,528 
Advertising and marketing220 193 520 561 
Depreciation and amortization225 211 666 594 
Provision for litigation176 — 400 231 
Total operating expenses3,365 2,689 9,034 7,914 
Operating income4,004 3,844 11,644 10,636 
Other Income (Expense):
Investment income76 71 231 185 
Gains (losses) on equity investments, net(62)(6)(69)(95)
Interest expense(159)(151)(462)(427)
Other income (expense), net7 3 19 19 
Total other income (expense)(138)(83)(281)(318)
Income before income taxes3,866 3,761 11,363 10,318 
Income tax expense603 563 1,831 1,914 
Net Income$3,263 $3,198 $9,532 $8,404 
Basic Earnings per Share$3.54 $3.40 $10.27 $8.88 
Basic weighted-average shares outstanding923 941 928 947 
Diluted Earnings per Share$3.53 $3.39 $10.25 $8.85 
Diluted weighted-average shares outstanding925 943 930 949 
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Consolidated Balance Sheet (Unaudited)
September 30, 2024December 31, 2023
(in millions, except per share data)
Assets
Current assets:
Cash and cash equivalents$11,063 $8,588 
Restricted security deposits held for customers1,868 1,845 
Investments338 592 
Accounts receivable4,014 4,060 
Settlement assets1,978 1,233 
Prepaid expenses and other current assets3,039 2,643 
Total current assets22,300 18,961 
Property, equipment and right-of-use assets, net of accumulated depreciation and
     amortization of $2,435 and $2,237, respectively
2,176 2,061 
Deferred income taxes1,612 1,355 
Goodwill7,721 7,660 
Other intangible assets, net of accumulated amortization of $2,453 and $2,209,
     respectively
4,235 4,086 
Other assets9,193 8,325 
Total Assets$47,237 $42,448 
Liabilities, Redeemable Non-controlling Interests and Equity
Current liabilities:
Accounts payable$911 $834 
Settlement obligations2,129 1,399 
Restricted security deposits held for customers1,868 1,845 
Accrued litigation665 723 
Accrued expenses9,105 8,517 
Short-term debt750 1,337 
Other current liabilities1,866 1,609 
Total current liabilities17,294 16,264 
Long-term debt17,608 14,344 
Deferred income taxes349 369 
Other liabilities4,488 4,474 
Total Liabilities39,739 35,451 
Commitments and Contingencies
Redeemable Non-controlling Interests23 22 
Stockholders’ Equity
Class A common stock, $0.0001 par value; authorized 3,000 shares, 1,404 and 1,402 shares issued and 913 and 927 shares outstanding, respectively
— — 
Class B common stock, $0.0001 par value; authorized 1,200 shares, 7 shares issued and outstanding
— — 
Additional paid-in-capital6,290 5,893 
Class A treasury stock, at cost, 491 and 475 shares, respectively
(68,035)(60,429)
Retained earnings70,258 62,564 
Accumulated other comprehensive income (loss)(1,073)(1,099)
Mastercard Incorporated Stockholders' Equity7,440 6,929 
Non-controlling interests35 46 
Total Equity7,475 6,975 
Total Liabilities, Redeemable Non-controlling Interests and Equity$47,237 $42,448 
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Consolidated Statement of Cash Flows (Unaudited)
Nine Months Ended September 30,
20242023
(in millions)
Operating Activities
Net income$9,532 $8,404 
Adjustments to reconcile net income to net cash provided by operating activities:
Amortization of customer incentives1,328 1,196 
Depreciation and amortization666 594 
(Gains) losses on equity investments, net69 95 
Share-based compensation418 374 
Deferred income taxes(261)(239)
Other117 88 
Changes in operating assets and liabilities:
Accounts receivable99 (484)
Settlement assets(743)151 
Prepaid expenses(2,776)(1,837)
Accrued litigation and legal settlements(59)(621)
Restricted security deposits held for customers23 240 
Accounts payable59 (319)
Settlement obligations731 (119)
Accrued expenses671 43 
Net change in other assets and liabilities72 284 
Net cash provided by operating activities9,946 7,850 
Investing Activities
Purchases of investment securities available-for-sale(414)(244)
Purchases of investments held-to-maturity(98)(327)
Proceeds from sales of investment securities available-for-sale171 72 
Proceeds from maturities of investment securities available-for-sale204 155 
Proceeds from maturities of investments held-to-maturity363 116 
Purchases of property and equipment(379)(294)
Capitalized software(565)(525)
Purchases of equity investments(28)(61)
Proceeds from sales of equity investments23 44 
Other investing activities(1)(73)
Net cash used in investing activities(724)(1,137)
Financing Activities
Purchases of treasury stock(7,565)(7,200)
Dividends paid(1,842)(1,624)
Proceeds from debt, net3,960 1,554 
Payment of debt(1,336)— 
Tax withholdings related to share-based payments(175)(81)
Cash proceeds from exercise of stock options163 213 
Net cash used in financing activities(6,795)(7,138)
Effect of exchange rate changes on cash, cash equivalents, restricted cash and restricted cash equivalents75 (29)
Net (decrease) increase in cash, cash equivalents, restricted cash and restricted cash equivalents2,502 (454)
Cash, cash equivalents, restricted cash and restricted cash equivalents - beginning of period10,465 9,196 
Cash, cash equivalents, restricted cash and restricted cash equivalents - end of period$12,967 $8,742 
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Non-GAAP Financial Information
Mastercard discloses the following non-GAAP financial measures: adjusted operating expenses, adjusted operating margin, adjusted other income (expense), adjusted effective income tax rate, adjusted net income and adjusted diluted earnings per share (as well as related applicable growth rates versus the comparable period in the prior year). As described more fully below, these non-GAAP financial measures exclude the impact of gains and losses on the Company’s equity investments which includes mark-to-market fair value adjustments, impairments and gains and losses upon disposition, as well as the related tax impacts. These non-GAAP financial measures also exclude the impact of special items, where applicable, which represent litigation judgments and settlements and certain one-time items, as well as the related tax impacts. The Company excludes these special items because management evaluates the underlying operations and performance of the Company separately from these recurring and nonrecurring items.
In addition, the Company presents growth rates adjusted for the impact of currency, which is a non-GAAP financial measure. Currency-neutral growth rates are calculated by remeasuring the prior period’s results using the current period’s exchange rates for both the translational and transactional impacts on operating results, as well as removing the related impact of the Company’s foreign exchange derivative contracts designated as cash flow hedging instruments (specifically those that manage the impact of foreign currency variability on anticipated revenues and expenses). The impact of currency translation represents the effect of translating operating results where the functional currency is different from the Company’s U.S. dollar reporting currency. The impact of the transactional currency represents the effect of converting revenue and expenses occurring in a currency other than the functional currency of the entity. The impact of the related realized gains and losses resulting from the Company’s foreign exchange derivative contracts designated as cash flow hedging instruments (specifically those that manage the impact of foreign currency variability on anticipated revenues and expenses) is recognized in the respective financial statement line item on the statement of operations when the underlying forecasted transactions impact earnings.
The Company believes that the non-GAAP financial measures presented facilitate an understanding of operating performance and provide a meaningful comparison of its results between periods. The Company’s management uses non-GAAP financial measures to, among other things, evaluate its ongoing operations in relation to historical results, for internal planning and forecasting purposes and in the calculation of performance-based compensation.
The Company includes reconciliations of the requisite non-GAAP financial measures to the most directly comparable GAAP financial measures. The presentation of non-GAAP financial measures should not be relied upon as substitutes for the Company’s measures calculated in accordance with GAAP.

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Non-GAAP Reconciliations (QTD)
Three Months Ended September 30, 2024
 Operating expensesOperating marginOther income (expense)Effective income tax rate
 Net
income
 Diluted earnings per share
($ in millions, except per share data)
Reported - GAAP$3,365 54.3 %$(138)15.6 %$3,263 $3.53 
(Gains) losses on equity investments 1
****62 (0.3)%63 0.07 
Litigation provisions 2
(176)2.4 % ** 0.7 %120 0.13 
Restructuring charge 3
(190)2.6 % ** 0.3 %147 0.16 
Adjusted - Non-GAAP$2,999 59.3 %$(75)16.3 %$3,593 $3.89 

Three Months Ended September 30, 2023
 Operating expensesOperating marginOther income (expense)Effective income tax rate
 Net
income
 Diluted earnings per share
($ in millions, except per share data)
Reported - GAAP$2,689 58.8 %$(83)15.0 %$3,198 $3.39 
(Gains) losses on equity investments 1
****6 — %5 — 
Adjusted - Non-GAAP$2,689 58.8 %$(78)15.0 %$3,202 $3.39 

Three Months Ended September 30, 2024 as compared to the Three Months Ended September 30, 2023
Increase/(Decrease)
 Operating expensesOperating marginEffective income tax rate
 Net
income
 Diluted earnings per share
Reported - GAAP25 %(4.5) ppt0.6  ppt2 %4 %
(Gains) losses on equity investments 1
****(0.3) ppt2 %2 %
Litigation provisions 2
(7)%2.4  ppt0.7  ppt4 %4 %
Restructuring charge 3
(7)%2.6  ppt0.3  ppt5 %5 %
Adjusted - Non-GAAP12 %0.5  ppt1.4  ppt12 %15 %
Currency impact 4
— %0.3  ppt0.1  ppt1 %1 %
Adjusted - Non-GAAP - currency-neutral12 %0.7  ppt1.5  ppt13 %16 %
Note:    Tables may not sum due to rounding.
**    Not applicable

Gains and Losses on Equity Investments
1.Q3’24 and Q3’23 net pre-tax losses of $62 million and $6 million, respectively, were primarily related to unrealized fair market value adjustments on marketable equity securities.
Third Quarter Special Items
2.Q3’24 pre-tax charges of $176 million were primarily as a result of a change in estimate related to the claims of merchants who opted out of the U.S. merchant class litigation.
3.Q3’24 pre-tax charge of $190 million as a result of a restructuring action intended to streamline our organization, delivering efficiencies to enable reinvestment in our business to support the realization of our long-term growth opportunities.
Other Notes
4.Represents the translational and transactional impact of currency and the related impact of the Company’s foreign exchange derivative contracts designated as cash flow hedging instruments (specifically those that manage the impact of foreign currency variability on anticipated revenues and expenses).


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Non-GAAP Reconciliations (YTD)
Nine Months Ended September 30, 2024
 Operating expensesOperating marginOther income (expense)Effective income tax rate Net income Diluted earnings per share
($ in millions, except per share data)
Reported - GAAP$9,034 56.3 %$(281)16.1 %$9,532 $10.25 
(Gains) losses on equity investments 1
 **  ** 69 (0.1)%67 0.07 
Litigation provisions 2
(400)1.9 % ** 0.5 %281 0.30 
Restructuring charge 3
(190)0.9 % ** 0.1 %147 0.16 
Adjusted - Non-GAAP$8,444 59.2 %$(211)16.6 %$10,027 $10.78 

Nine Months Ended September 30, 2023
 Operating expensesOperating marginOther income (expense)Effective income tax rate Net income Diluted earnings per share
($ in millions, except per share data)
Reported - GAAP$7,914 57.3 %$(318)18.6 %$8,404 $8.85 
(Gains) losses on equity investments 1
****95 0.1 %63 0.07 
Litigation provisions 4
(231)1.2 %**0.3 %156 0.16 
Adjusted - Non-GAAP$7,683 58.6 %$(223)19.0 %$8,622 $9.08 

Nine Months Ended September 30, 2024 as compared to the Nine Months Ended September 30, 2023
Increase/(Decrease)
 Operating expensesOperating marginEffective income tax rate Net income Diluted earnings per share
Reported - GAAP14 %(1.0) ppt(2.4) ppt13 %16 %
(Gains) losses on equity investments 1
 **  ** (0.2) ppt— %— %
Litigation provisions 2, 4
(2)%0.7  ppt0.2  ppt1 %1 %
Restructuring charge 3
(2)%0.9  ppt0.1  ppt2 %2 %
Adjusted - Non-GAAP10 %0.6  ppt(2.4) ppt16 %19 %
Currency impact 5
— %0.2  ppt—  ppt1 %1 %
Adjusted - Non-GAAP - currency-neutral10 %0.8  ppt(2.4) ppt18 %20 %
Note:    Tables may not sum due to rounding.
**    Not applicable

Gains and Losses on Equity Investments
1.Year-to-date 2024 and 2023 pre-tax net losses of $69 million and $95 million, respectively, were primarily related to unrealized fair market value adjustments on marketable and nonmarketable equity securities.
Year-to-date Special Items
2.Year-to-date 2024 pre-tax charges of $400 million were primarily as a result of a change in estimate related to the claims of merchants who opted out of the U.S. merchant class litigation, settlements with a number of U.K. merchants and a legal provision associated with the ATM non-discrimination rule surcharge complaints.
3.Year-to-date 2024 pre-tax charge of $190 million as a result of a restructuring action intended to streamline our organization, delivering efficiencies to enable reinvestment in our business to support the realization of our long-term growth opportunities.
4.Year-to-date 2023 pre-tax charges of $231 million were primarily as a result of a change in estimate related to the claims of merchants who opted out of the U.S. merchant class litigation.
Other Notes
5.Represents the translational and transactional impact of currency and the related impact of the Company’s foreign exchange derivative contracts designated as cash flow hedging instruments (specifically those that manage the impact of foreign currency variability on anticipated revenues and expenses).
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Mastercard Incorporated Operating Performance
For the 3 Months Ended September 30, 2024
GDV (Bil.)Growth (USD)Growth (Local)Purchase Volume (Bil.)Growth (Local)Purchase Trans. (Mil.)Purchase Trans. GrowthCash Volume (Bil.)Growth (Local)Cash Trans. (Mil.)Cards (Mil.)
All Mastercard Credit, Charge and Debit Programs
APMEA$597 5.4 %7.3 %$447 8.4 %11,565 10.9 %$150 4.2 %1,496 959 
Canada68 3.4 %5.2 %66 5.1 %1,111 8.3 %2 10.1 %7 83 
Europe867 14.2 %15.1 %697 16.2 %19,297 13.1 %170 10.9 %973 879 
Latin America202 5.2 %18.5 %146 21.9 %6,502 15.0 %57 10.5 %470 478 
Worldwide less United States1,734 9.5 %12.3 %1,356 13.5 %38,475 12.6 %379 8.1 %2,945 2,400 
United States768 6.7 %6.7 %703 7.0 %10,867 7.2 %65 3.3 %301 693 
Worldwide2,502 8.6 %10.5 %2,058 11.2 %49,342 11.4 %443 7.4 %3,247 3,093 
Mastercard Credit and Charge Programs
Worldwide less United States769 6.8 %10.4 %731 10.7 %16,327 9.2 %38 5.0 %159 812 
United States397 5.6 %5.6 %387 6.0 %4,183 5.4 %10 (6.4)%9 339 
Worldwide1,166 6.4 %8.7 %1,118 9.0 %20,510 8.4 %49 2.4 %168 1,151 
Mastercard Debit Programs
Worldwide less United States965 11.7 %13.8 %625 17.0 %22,148 15.2 %340 8.4 %2,786 1,588 
United States371 7.9 %7.9 %316 8.3 %6,684 8.4 %55 5.4 %292 354 
Worldwide1,335 10.6 %12.1 %941 13.9 %28,832 13.6 %395 8.0 %3,078 1,942 

For the 9 Months Ended September 30, 2024
GDV (Bil.)Growth (USD)Growth (Local)Purchase Volume (Bil.)Growth (Local)Purchase Trans. (Mil.)Purchase Trans. GrowthCash Volume (Bil.)Growth (Local)Cash Trans. (Mil.)Cards (Mil.)
All Mastercard Credit, Charge and Debit Programs
APMEA$1,739 2.4 %6.4 %$1,298 8.1 %33,195 11.1 %$441 1.9 %4,415 959 
Canada197 4.9 %6.1 %191 5.9 %3,144 9.1 %6 13.5 %21 83 
Europe2,408 12.3 %15.0 %1,925 16.3 %54,229 14.5 %483 10.1 %2,875 879 
Latin America608 13.1 %18.5 %435 21.4 %18,706 16.4 %173 11.8 %1,376 478 
Worldwide less United States4,952 8.4 %11.9 %3,849 13.4 %109,274 13.6 %1,103 6.9 %8,686 2,400 
United States2,246 6.5 %6.5 %2,055 6.8 %31,462 7.1 %190 2.9 %875 693 
Worldwide7,198 7.8 %10.1 %5,905 11.0 %140,736 12.1 %1,293 6.3 %9,561 3,093 
Mastercard Credit and Charge Programs
Worldwide less United States2,218 6.3 %10.9 %2,104 11.1 %46,840 10.9 %114 7.0 %480 812 
United States1,155 5.9 %5.9 %1,124 6.1 %11,999 5.8 %31 (0.9)%27 339 
Worldwide3,373 6.2 %9.1 %3,228 9.3 %58,839 9.8 %145 5.2 %507 1,151 
Mastercard Debit Programs
Worldwide less United States2,734 10.2 %12.7 %1,745 16.3 %62,435 15.7 %989 6.9 %8,206 1,588 
United States1,090 7.1 %7.1 %931 7.7 %19,463 8.0 %159 3.7 %848 354 
Worldwide3,824 9.3 %11.1 %2,676 13.2 %81,897 13.8 %1,148 6.4 %9,053 1,942 
APMEA = Asia Pacific / Middle East / Africa
Note that the figures in the preceding tables may not sum due to rounding; growth represents change from the comparable year ago period.
Mastercard Incorporated Operating Performance
For the 3 Months ended September 30, 2023
GDV (Bil.)Growth (USD)Growth (Local)Purchase Volume (Bil.)Growth (Local)Purchase Trans. (Mil.)Purchase Trans. GrowthCash Volume (Bil.)Growth (Local)Cash Trans. (Mil.)Cards (Mil.)
All Mastercard Credit, Charge and Debit Programs
APMEA$566 1.8 %6.0 %$421 8.1 %10,427 11.0 %$146 0.3 %1,499 929 
Canada65 4.2 %7.1 %64 7.0 %1,025 10.4 %2 13.9 %6 78 
Europe759 22.5 %18.6 %603 21.7 %17,063 19.8 %157 7.9 %990 789 
Latin America192 25.6 %17.0 %136 18.1 %5,655 15.6 %56 14.5 %436 414 
Worldwide less United States1,584 13.7 %13.1 %1,223 15.5 %34,171 16.0 %361 5.6 %2,930 2,210 
United States719 5.3 %5.3 %657 5.6 %10,134 6.2 %63 2.4 %294 657 
Worldwide2,303 11.0 %10.5 %1,879 11.8 %44,304 13.6 %423 5.1 %3,225 2,868 
Mastercard Credit and Charge Programs
Worldwide less United States720 11.4 %12.2 %682 12.1 %14,953 12.0 %38 13.1 %167 778 
United States376 6.7 %6.7 %365 6.5 %3,968 8.0 %11 12.6 %10 326 
Worldwide1,096 9.7 %10.2 %1,047 10.1 %18,921 11.1 %49 13.0 %177 1,104 
Mastercard Debit Programs
Worldwide less United States863 15.8 %13.9 %541 20.1 %19,217 19.3 %323 4.8 %2,763 1,432 
United States343 3.8 %3.8 %292 4.4 %6,166 5.1 %52 0.4 %285 332 
Worldwide1,207 12.1 %10.8 %832 14.1 %25,383 15.5 %375 4.2 %3,048 1,764 

For the 9 Months ended September 30, 2023
GDV (Bil.)Growth (USD)Growth (Local)Purchase Volume (Bil.)Growth (Local)Purchase Trans. (Mil.)Purchase Trans. GrowthCash Volume (Bil.)Growth (Local)Cash Trans. (Mil.)Cards (Mil.)
All Mastercard Credit, Charge and Debit Programs
APMEA$1,698 2.3 %8.4 %$1,252 11.0 %29,891 12.8 %$445 1.9 %4,508 929 
Canada187 4.8 %9.9 %182 9.6 %2,882 12.8 %5 20.3 %18 78 
Europe2,144 21.4 %23.7 %1,687 27.3 %47,362 23.8 %457 12.2 %2,904 789 
Latin America538 21.3 %17.8 %381 18.8 %16,072 15.8 %157 15.3 %1,262 414 
Worldwide less United States4,567 12.8 %16.3 %3,502 19.1 %96,207 18.5 %1,065 8.1 %8,691 2,210 
United States2,109 6.4 %6.4 %1,924 6.7 %29,364 6.5 %185 3.2 %861 657 
Worldwide6,676 10.7 %13.0 %5,426 14.4 %125,571 15.4 %1,250 7.3 %9,552 2,868 
Mastercard Credit and Charge Programs
Worldwide less United States2,086 10.6 %14.7 %1,973 14.5 %42,241 12.4 %113 18.7 %498 778 
United States1,091 9.7 %9.7 %1,060 9.4 %11,344 10.7 %31 18.6 %27 326 
Worldwide3,177 10.3 %12.9 %3,033 12.7 %53,585 12.0 %144 18.7 %526 1,104 
Mastercard Debit Programs
Worldwide less United States2,481 14.8 %17.7 %1,529 25.6 %53,966 23.7 %953 7.0 %8,193 1,432 
United States1,018 3.2 %3.2 %864 3.6 %18,020 4.0 %154 0.5 %834 332 
Worldwide3,499 11.1 %13.1 %2,393 16.7 %71,986 18.1 %1,106 6.0 %9,027 1,764 
APMEA = Asia Pacific / Middle East / Africa
Note that the figures in the preceding tables may not sum due to rounding; growth represents change from the comparable year ago period.
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Footnote
The tables set forth the gross dollar volume (“GDV”), purchase volume, cash volume and the number of purchase transactions, cash transactions and cards on a regional and global basis for Mastercard™-branded cards. Growth rates over prior periods are provided for volume-based data.
Debit transactions on Maestro® and Cirrus®-branded cards and transactions involving brands other than Mastercard are not included in the preceding tables.
For purposes of the table: GDV represents purchase volume plus cash volume and includes the impact of balance transfers and convenience checks; “purchase volume” means the aggregate dollar amount of purchases made with Mastercard-branded cards for the relevant period; and “cash volume” means the aggregate dollar amount of cash disbursements and includes the impact of balance transfers and convenience checks obtained with Mastercard-branded cards for the relevant period. The number of cards includes virtual cards, which are Mastercard-branded payment accounts that do not generally have physical cards associated with them.
The Mastercard payment products are comprised of credit, charge, debit and prepaid programs, and data relating to each type of program is included in the tables. The tables include information with respect to transactions involving Mastercard-branded cards that are not switched by Mastercard and transactions for which Mastercard does not earn significant revenues.
Information denominated in U.S. dollars is calculated by applying an established U.S. dollar/local currency exchange rate for each local currency in which Mastercard volumes are reported. These exchange rates are calculated on a quarterly basis using the average exchange rate for each quarter. Mastercard reports period-over-period rates of change in purchase volume and cash volume on the basis of local currency information, in order to eliminate the impact of changes in the value of currencies against the U.S. dollar in calculating such rates of change.
The data set forth in the GDV, purchase volume, purchase transactions, cash volume and cash transactions columns is provided by Mastercard customers and is subject to verification by Mastercard and partial cross-checking against information provided by Mastercard’s transaction switching systems. The data set forth in the cards columns is provided by Mastercard customers and is subject to certain limited verification by Mastercard. A portion of the data set forth in the cards columns reflects the impact of routine portfolio changes among customers and other practices that may lead to over counting of the underlying data in certain circumstances. All data is subject to revision and amendment by Mastercard or Mastercard’s customers.
Performance information for prior periods can be found in the Investor Relations section of the Mastercard website at investor.mastercard.com.
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