PayPal’s fourth quarter net revenue grew by 4% in the fourth quarter to $8.4bn. This materially lagged payment volumes which grew by 7%.
Underlying operating income came in ahead of market expectations growing 2% to $1.5bn. But growth was held back by a 10% increase in non-transaction related expenses. Free cash flow fell 11% to $2.2bn. Net cash stood at $0.9bn.
In 2025 PayPal expects transaction margin, (a bit like gross profit) to grow by 4-5% to around $15.3bn, below expectations.
The shares were down 7.7% in pre-market trading.
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PayPal key facts
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