PayPal reported a stronger fourth-quarter performance than its former owner eBay after the breakup last year. It grew revenue 21 percent FX-neutral to $2.6 billion, and it announced a $2 billion stock repurchase program.
In a press release, PayPal CEO Dan Schulman said, “We exited 2015 with great momentum. Our strong results reflect PayPal’s progress in delivering on our strategy to drive the digital payments revolution. In the face of a slow global economy and foreign exchange headwinds, PayPal exceeded its full year revenue, earnings, and free cash flow commitments to shareholders. As money becomes digital and the world goes mobile, we see tremendous opportunity ahead to expand our leadership, transform the way people move and manage their money and deliver increased value to shareholders.”
PayPal processed $82 billion in total payment volume (TPV) in Q4, representing FX-neutral growth of 29%, which was faster than the growth rate of ecommerce, it noted.
Merchant services TPV growth accelerated to 36%, and represented 81% of overall TPV for the quarter.
And PayPal processed $20 billion in mobile payment volume, up 45%, representing 25% of TPV for the quarter.
PayPal grew its active account base by 6.6 million in the fourth quarter, ending the year with 179 million active customer accounts.
See the full earnings press release with disclosures on the PayPal website.