# Mastercard Incorporated (MA) Q2 2025 Financial Results Summary
Mastercard Incorporated (NYSE: MA) released its second quarter 2025 financial results on July 31, 2025.
### Key Financial Highlights:
– **Net Income**:
– Q2 2025: $3.7 billion
– Q2 2024: $3.3 billion
– **Growth**: 14%
– **Diluted Earnings Per Share (EPS)**:
– Q2 2025: $4.07
– Q2 2024: $3.50
– **Growth**: 16%
– **Adjusted Net Income**:
– Q2 2025: $3.8 billion
– Q2 2024: $3.3 billion
– **Growth**: 13%
– **Adjusted Diluted EPS**:
– Q2 2025: $4.15
– Q2 2024: $3.59
– **Growth**: 16%
– **Net Revenue**:
– Q2 2025: $8.1 billion
– Q2 2024: $7.0 billion
– **Growth**: 17% (16% on a currency-neutral basis)
– **Operating Income**:
– Q2 2025: $4.8 billion
– Q2 2024: $4.0 billion
– **Growth**: 18%
– **Operating Margin**:
– Q2 2025: 58.7%
– Q2 2024: 58.0%
– **Increase**: 0.8 percentage points (ppt)
– **Operating Expenses**:
– Q2 2025: $3.4 billion
– Q2 2024: $2.9 billion
– **Growth**: 15%
– **Effective Tax Rate**:
– Q2 2025: 20.8%
– Q2 2024: 17.3%
– **Increase**: 3.5 ppt
### Key Business Drivers (Year-over-Year Growth):
– **Gross Dollar Volume** (local currency basis):
– Up 9%
– **Cross-Border Volume** (local currency basis):
– Up 15%
– **Switched Transactions**:
– Up 10%
– **Value-added Services and Solutions Net Revenue**:
– Increased by 23% (22% on a currency-neutral basis)
### Additional Highlights:
– **Dividends and Share Repurchases**:
– Mastercard repurchased 4.2 million shares at a cost of $2.3 billion and paid $691 million in dividends in Q2 2025.
– As of July 28, 2025, the company repurchased an additional 1.8 million shares at a cost of $1.0 billion, leaving $9.3 billion remaining under approved share repurchase programs.
– **Financial Position**:
– **Cash and Cash Equivalents**: $9.0 billion as of June 30, 2025, compared to $8.4 billion at the end of 2024.
– **Total Assets**: $51.4 billion as of June 30, 2025, compared to $48.1 billion at the end of 2024.
### Year-to-Date Results (2025 vs. 2024):
– **Net Revenue**:
– YTD 2025: $15.4 billion
– YTD 2024: $13.3 billion
– **Growth**: 16%
– **Operating Expenses**:
– YTD 2025: $6.5 billion
– YTD 2024: $5.7 billion
– **Growth**: 14%
– **Net Income**:
– YTD 2025: $7.0 billion
– YTD 2024: $6.3 billion
– **Growth**: 11%
– **Diluted EPS**:
– YTD 2025: $7.66
– YTD 2024: $6.72
– **Growth**: 14%
### Conclusion
Mastercard’s second quarter results reflect a strong financial performance, with notable increases in key revenue metrics, significant share repurchase activity, and continued innovation in services. The company remains well-positioned to leverage growth opportunities in the evolving payment landscape.
Here are the extracted tables from the press release:
### Consolidated Statements of Operations
Amount is in millions.
| 2025 | 2024 | 2025 | 2024 | ||
|---|---|---|---|---|---|
| Net Revenue | $ 8,133 | $ 6,961 | Net Income | $ 3,701 | $ 3,258 |
| Operating Expenses: | Basic Earnings per Share | $ 4.08 | $ 3.51 | ||
| General and administrative | 2,766 | 2,418 | Basic weighted-average shares | 908 | 929 |
| Advertising and marketing | 213 | 184 | outstanding | ||
| Depreciation and amortization | 281 | 225 | Diluted Earnings per Share | $ 4.07 | $ 3.50 |
| Provision for litigation | 96 | 98 | Diluted weighted-average shares | 909 | 930 |
| Total operating expenses | 3,356 | 2,925 | outstanding | ||
| Operating income | 4,777 | 4,036 | |||
| Other Income (Expense): | |||||
| Investment income | 70 | 60 | |||
| Gains (losses) on equity | 4 | -13 | |||
| investments, net | |||||
| Interest expense | -195 | -153 | |||
| Other income (expense), net | 16 | 9 | |||
| Total other income (expense) | -105 | -97 | |||
| Income before income taxes | 4,672 | 3,939 | |||
| Income tax expense | 971 | 681 | |||
| Total Assets | $ 51,431 | $ 48,081 |
### Consolidated Balance Sheets
Amount is in millions.
| June 30, 2025 | December 31, 2024 | |
|---|---|---|
| Assets | ||
| Current assets: | ||
| Cash and cash equivalents | $ 9,031 | $ 8,442 |
| Restricted cash and restricted cash equivalents | 542 | 492 |
| Restricted security deposits held for customers | 1,999 | 1,874 |
| Investments | 336 | 330 |
| Accounts receivable | 4,184 | 3,773 |
| Settlement assets | 2,418 | 1,821 |
| Prepaid expenses and other current assets | 3,630 | 2,992 |
| Total current assets | 22,140 | 19,724 |
| Property, equipment and right-of-use assets | 2,225 | 2,138 |
| Deferred income taxes | 1,570 | 1,614 |
| Goodwill | 9,598 | 9,193 |
| Other intangible assets | 5,629 | 5,453 |
| Other assets | 10,269 | 9,959 |
| Total Assets | $ 51,431 | $ 48,081 |
| Liabilities and Equity | ||
| Current liabilities: | ||
| Accounts payable | $ 818 | $ 929 |
| Settlement obligations | 2,676 | 2,316 |
| Restricted security deposits held for customers | 1,999 | 1,874 |
| Accrued litigation | 1,035 | 930 |
| Accrued expenses | 10,116 | 10,393 |
| Short-term debt | — | 750 |
| Other current liabilities | 2,385 | 2,028 |
| Total current liabilities | 19,029 | 19,220 |
| Long-term debt | 18,970 | 17,476 |
| Deferred income taxes | 361 | 317 |
| Other liabilities | 5,197 | 4,553 |
| Total Liabilities | 43,557 | 41,566 |
| Commitments and Contingencies | ||
| Stockholders’ Equity | ||
| Class A common stock, $0.0001 par value; authorized 3,000 shares | ||
| Class B common stock, $0.0001 par value; authorized 1,200 shares | ||
| Additional paid-in-capital | 6,562 | 6,442 |
| Class A treasury stock, at cost, | -76,299 | -71,431 |
| Retained earnings | 78,509 | 72,907 |
| Accumulated other comprehensive income | -919 | -1,433 |
| Mastercard Incorporated Stockholders’ Equity | 7,853 | 6,485 |
| Non-controlling interests | 21 | 30 |
| Total Equity | 7,874 | 6,515 |
| Total Liabilities and Equity | $ 51,431 | $ 48,081 |
