International Payment gateway PayPal posts record surge in transactions and new accounts that make 86 percent higher profit in Q2 2020.
During this pandemic hit quarter, Paypal processed $222 billion (roughly Rs. 16.61 crores) in payments over the period, up 30 percent from a year earlier.
The rate of payment growth compares with a year-earlier increase of 26 percent that had slowed to 19 percent in the first quarter when the pandemic broke and retail spending collapsed broadly.
The company added 21.3 million accounts during the quarter, up 137 percent from a year earlier.
Net income increased to $1.53 billion (roughly Rs. 11,446 crores), or $1.29 (roughly Rs. 90) per share, in the quarter ended June 30, from $823 million (roughly Rs. 6,159 crores), or 69 cents per share, a year earlier.
Revenue increased 25 percent to $5.26 billion (roughly Rs. 39,367 crores), topping the average analyst estimate of $5.0 billion (roughly Rs. 37,418 crores).
In the midst of the COVID-19 pandemic, digital payments have become more important and essential than ever. Our record performance in the second quarter is the strongest quarter ever — reaffirms the relevance of PayPal in the unfolding digital future. We’re committed to supporting our
consumers and merchants as they work to safely navigate this new reality.”
Paypal President and CEO Dan Schulman said.
Paypal also said it would invest $300 million on its mobile phone app that displays QR codes so that people can go into stores and pay without touching anything.