Global payments company Mastercard’s second-quarter net profit surged by nearly 22 per cent on an annual basis, driven by increased consumer spending and recovery in global tourism.
The New York-based company’s net profit jumped to $2.8 billion in the three months to the end of June. It was up almost 17 per cent on a quarterly basis.
Earnings per share increased 28 per cent to $3, the company said in a statement on Thursday.
Net revenue during the period rose about 14 per cent yearly to $6.3 billion but soared 11 per cent on a quarterly basis.
“Our positive momentum continued this quarter,” said Michael Miebach, Mastercard’s chief executive. “We delivered strong revenue and earnings growth supported by resilient consumer spending, particularly in travel and experiences, and the continued strength in services.”
The company’s total operating expenses increased 5 per cent year on year to $2.6 billion in the last quarter, primarily due to higher personnel costs, while operating income surged 21 per cent to $3.7 billion, Mastercard said
Mastercard's shares, which have jumped almost 17.3 per cent in the past year, rose 0.60 per cent to trade at $402.65 a share on Thursday at 6.35pm UAE time.
The company, which suspended business operations in Russia in March last year due to the Ukraine conflict, said that one of the key drivers of its growth was the surge in cross-border volume that increased 24 per cent yearly in the second quarter.
Gross dollar volume, a key measure of Mastercard's business, surged 12 per cent in the June quarter. GDV represents the aggregated dollar amount of purchases made and cash disbursements obtained with Mastercard-branded cards.
Total purchase volume, representing the aggregate dollar amount of purchases made with Mastercard-branded cards, rose 14 per cent during the period.
The company’s customers had issued 3.2 billion Mastercard and Maestro-branded cards as of June 30.
“Cross-border travel volume showed strong growth again this quarter, reaching 154 per cent of pre-pandemic levels,” said Mr Miebach.
“We had a number of notable wins with key customers as our innovative products and differentiated services position us as a partner of choice.”
Mastercard repurchased 6.5 million shares at a cost of $2.4 billion and paid $541 million in dividends to its shareholders in the second quarter.
The company also said quarter-to-date through July 24, it has repurchased 1.3 million shares at a cost of $497 million, which leaves $6.4 billion remaining under the approved share repurchase programmes.
On Wednesday, Mastercard's rival company Visa reported a 22 per cent yearly jump in its 2023 fiscal third-quarter net profit to $4.2 billion.
It was driven by a surge in payment volumes, cross-border transactions and a greater amount of customers opting to pay with cards instead of cash.
The specs
Price, base / as tested Dh1,470,000 (est)
Engine 6.9-litre twin-turbo W12
Gearbox eight-speed automatic
Power 626bhp @ 6,000rpm
Torque: 900Nm @ 1,350rpm
Fuel economy, combined 14.0L / 100km
Dhadak 2
Director: Shazia Iqbal
Starring: Siddhant Chaturvedi, Triptii Dimri
Rating: 1/5
Mohammed bin Zayed Majlis
Monster
Directed by: Anthony Mandler
Starring: Kelvin Harrison Jr., John David Washington
3/5
UAE currency: the story behind the money in your pockets
Red flags
- Promises of high, fixed or 'guaranteed' returns.
- Unregulated structured products or complex investments often used to bypass traditional safeguards.
- Lack of clear information, vague language, no access to audited financials.
- Overseas companies targeting investors in other jurisdictions - this can make legal recovery difficult.
- Hard-selling tactics - creating urgency, offering 'exclusive' deals.
Courtesy: Carol Glynn, founder of Conscious Finance Coaching
What is graphene?
Graphene is extracted from graphite and is made up of pure carbon.
It is 200 times more resistant than steel and five times lighter than aluminum.
It conducts electricity better than any other material at room temperature.
It is thought that graphene could boost the useful life of batteries by 10 per cent.
Graphene can also detect cancer cells in the early stages of the disease.
The material was first discovered when Andre Geim and Konstantin Novoselov were 'playing' with graphite at the University of Manchester in 2004.
The President's Cake
Director: Hasan Hadi
Starring: Baneen Ahmad Nayyef, Waheed Thabet Khreibat, Sajad Mohamad Qasem
Rating: 4/5
Important questions to consider
1. Where on the plane does my pet travel?
There are different types of travel available for pets:
- Manifest cargo
- Excess luggage in the hold
- Excess luggage in the cabin
Each option is safe. The feasibility of each option is based on the size and breed of your pet, the airline they are traveling on and country they are travelling to.
2. What is the difference between my pet traveling as manifest cargo or as excess luggage?
If traveling as manifest cargo, your pet is traveling in the front hold of the plane and can travel with or without you being on the same plane. The cost of your pets travel is based on volumetric weight, in other words, the size of their travel crate.
If traveling as excess luggage, your pet will be in the rear hold of the plane and must be traveling under the ticket of a human passenger. The cost of your pets travel is based on the actual (combined) weight of your pet in their crate.
3. What happens when my pet arrives in the country they are traveling to?
As soon as the flight arrives, your pet will be taken from the plane straight to the airport terminal.
If your pet is traveling as excess luggage, they will taken to the oversized luggage area in the arrival hall. Once you clear passport control, you will be able to collect them at the same time as your normal luggage. As you exit the airport via the ‘something to declare’ customs channel you will be asked to present your pets travel paperwork to the customs official and / or the vet on duty.
If your pet is traveling as manifest cargo, they will be taken to the Animal Reception Centre. There, their documentation will be reviewed by the staff of the ARC to ensure all is in order. At the same time, relevant customs formalities will be completed by staff based at the arriving airport.
4. How long does the travel paperwork and other travel preparations take?
This depends entirely on the location that your pet is traveling to. Your pet relocation compnay will provide you with an accurate timeline of how long the relevant preparations will take and at what point in the process the various steps must be taken.
In some cases they can get your pet ‘travel ready’ in a few days. In others it can be up to six months or more.
5. What vaccinations does my pet need to travel?
Regardless of where your pet is traveling, they will need certain vaccinations. The exact vaccinations they need are entirely dependent on the location they are traveling to. The one vaccination that is mandatory for every country your pet may travel to is a rabies vaccination.
Other vaccinations may also be necessary. These will be advised to you as relevant. In every situation, it is essential to keep your vaccinations current and to not miss a due date, even by one day. To do so could severely hinder your pets travel plans.
Source: Pawsome Pets UAE
Race 3
Produced: Salman Khan Films and Tips Films
Director: Remo D’Souza
Cast: Salman Khan, Anil Kapoor, Jacqueline Fernandez, Bobby Deol, Daisy Shah, Saqib Salem
Rating: 2.5 stars
Avatar: Fire and Ash
Director: James Cameron
Starring: Sam Worthington, Sigourney Weaver, Zoe Saldana
Rating: 4.5/5
'Worse than a prison sentence'
Marie Byrne, a counsellor who volunteers at the UAE government's mental health crisis helpline, said the ordeal the crew had been through would take time to overcome.
“It was worse than a prison sentence, where at least someone can deal with a set amount of time incarcerated," she said.
“They were living in perpetual mystery as to how their futures would pan out, and what that would be.
“Because of coronavirus, the world is very different now to the one they left, that will also have an impact.
“It will not fully register until they are on dry land. Some have not seen their young children grow up while others will have to rebuild relationships.
“It will be a challenge mentally, and to find other work to support their families as they have been out of circulation for so long. Hopefully they will get the care they need when they get home.”
