Visa Inc. Q1 FY2026 earnings call

• Visa delivered 15% year-over-year net revenue growth, with payments volume up 8% and processed transactions up 9%.
• Progress in Visa credentials: Tap to pay penetration crossed 80% in face-to-face transactions, Visa Flex credential has ~20 million globally growing fast, and over 17.5 billion tokens globally.
• AgenTik Commerce progress: Enabled in US and CEMEA, with partnerships and pilots in other regions. Stablecoins saw expansion in issuance, settlement, and payouts, with $4.6 billion annualized run rate.
• Issuer processing: Investments in DPS and PISMO, with new commercial offerings like Banco Bisse and FinanceNow partnerships.
• Risk and security: FeatureSpace adoption by Nets, and expansion of Visa Account Attack Intelligence and other risk solutions.

In fiscal first quarter, Visa delivered strong financial results with net revenue up 15% year over year to $10.9 billion. Payments volume grew 8% year over year to nearly $4 trillion, and processed transactions grew 9% year over year to 69 billion. Commercial and money movement solutions constant dollar revenue grew 20%, with 10% constant dollar commercial payments volume growth and 23% Visa Direct transaction growth. Value-added services constant dollar revenue grew 28% and represented around 50% of overall revenue growth in the first quarter.

• Full year: Expected adjusted net revenue growth in low double digits, adjusted operating expense growth low double digits, tax rate between 18% and 18.5% (lower than prior guidance).
• Q2: Expected adjusted net revenue growth in low double digits, adjusted operating expense growth mid-teens, non-operating expense ~$30 million, tax rate ~16.5%.

• Regulatory risks: Concerns about policies like CCCA which could have harmful impacts on access to credit, rewards, and innovation if implemented.

Q: Dan Perlin with RBC Capital Markets asked about value-added services for events like the Olympics and World Cup.

A: Ryan McInerney said sponsorship assets are leveraged to create bespoke programs for clients, deepening partnerships.

Q: Darrin Peller with Wolfe Research asked about strength offsetting lower FX volatility and capital return.

A: Christopher Suh said VAS and CMS performed well, and on capital return, approach is programmatic but will lean in if market undervalues stock.

Q: Will Nance with Goldman Sachs asked about regulatory environment, specifically CCCA.

A: Ryan McInerney said CCCA is harmful and not needed, educating elected officials on its negative impacts.

Q: Adam Frisch with Evercore ISI asked about commercial growth and regional spending trends.

A: Ryan McInerney discussed commercial strategy successes and regional volume stability with considerations of timing differences.

Q: Sanjay Sakhrani with KBW asked about VAS growth sustainability and expense leverage.

A: Christopher Suh said VAS growth reflects strategy execution, with expense variability due to events like Olympics and FIFA.

Q: Andrew Jeffrey with William Blair asked about Visa Flex credential growth trajectory.

A: Ryan McInerney said Flex is early, with growth potential as clients are excited about its multiple funding options.

Q: Tien-Tsin Huang with JPMorgan asked about issuer processing investments and TAM.

A: Ryan McInerney said TAM for issuer processing is enormous, with investments in DPS and PISMO showing progress.

Q: Ramsey El-Assal with Cantor Fitzgerald asked about stablecoin growth and cross-border revenue mix.

A: Ryan McInerney talked about stablecoin opportunities in high volatility/hard access markets, and Christopher Suh explained mix impact on international transaction revenue.

Q: Dan Dolev with Mizuho asked about PISMO trends with large vs small banks.

A: Ryan McInerney said PISMO is used by both fintechs (scaling globally) and traditional banks (modernizing tech stacks).

Q: Harshita Rawat from Bernstein asked about tokens changing conversations with customers.

A: Ryan McInerney said tokens have led to sales uplift and fraud reduction, continuing to engage customers on case studies and expanding into new markets.