Payment service provider PayPal Holdings (NASDAQ: PYPL) reported adjusted EPS of $1.07 on revenue of $5.26 billion for the second quarter of 2020. Based on the strong performance in the quarter, the company also raised its outlook for FY20.
With year-to-date revenue growth of 17%, and 19% FXN (currency neutral basis), PayPal expects FY20 revenue growth to be 20%, and 22% on FXN. GAAP and non=GAAP EPS growth, both are expected to be 25%.
For 3Q20, PayPal expects revenue to grow 23% and 25% on FXN basis. GAAP EPS is estimated to grow 45% and non-GAAP EPS is targeted to grow 25%.
“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 — our strongest quarter ever — reaffirms the relevance of PayPal in the unfolding digital future,” said CEO Dan Schulman.
PYPL stock, which hit a new 52-week high ($185.44) today, rose about 2% in the after-hours session.