Visa Inc reported a 4% rise in second-quarter profit on Thursday and pulled its full-year
outlook, as the company reels from the hit to consumer spending due to the coronavirus pandemic.
U.S. retail sales suffered a record drop in March from the closure of bars, restaurants and non-essential retailers such as clothing stores, outweighing an anticipated surge in spending on household essentials and at online retailers such as
Amazon.com Inc.
Visa, which in January had forecast an annual revenue growth in the low-double digits for the full year, pulled its full-year outlook on Thursday.
"The extent to which COVID-19 will impact the company's future results is difficult to reasonably estimate at this time," Visa said.
For the second quarter, the company's total payments
volume rose 5% to $2.14 trillion, on a constant
dollar basis, with its largest market United States representing 46% of the total volume.
Payments volume represents the dollar amount of purchases made with cards carrying Visa's branding.
Net income rose 4% to $3.08 billion in the second quarter ended March 31 from $2.98 billion a year earlier.
Net revenue rose 7% to $5.85 billion, beating analysts' estimates of $5.75 billion, according to Refinitiv IBES data.