PayPal beat earnings estimates, on the back of solid growth in overall transactions volume including traction in its app Venmo.
The online payment processing company raked in adjusted earnings-per-share of 58 cents in Q3, higher than analysts’ estimates of 54 cents. Revenues surged +14% to $3.68 billion, compared to analysts’ average projection of $3.67 billion.
PayPal’s Chief Executive Officer Dan Schulman has emphasized on the recent success of its mobile payment app Venmo, which is popular among millenials. According to a Bloomberg report, Schulman said in a conference call that the number of people actively using Pay With Venmo increased +185% last month compared with the month before. Venmo processed transactions of $16.7 billion in Q3, an increase of +78% from the same period a year ago.
Aggregating all of its services, total payments/transactions made via PayPal increased year-over-year by +24% in Q3 to reach $143 billion.
What might also interest investors are PayPal’s recent tie-ups with major companies. On Thursday PayPal announced its collaboration with credit card giant American Express Co, which will allow PayPal users to transfer and use AmEx rewards points. In July, Uber Technologies Inc. agreed to add a Pay With Venmo option for its customers.