PayPal Added 13.3 Million Net New Active Accounts
On Monday, PayPal released the information regarding its results in the third quarter. The company reported revenue growth for the third quarter of 13%. Apart from financial results, the company also announced one important decision. It will cooperate with Amazon. Thanks to their cooperation customers based in the U.S. will be able with Venmo at checkout, starting in 2022.
Total payment volume jumped 26% to $310 billion for the quarter ended September 30. In the third quarter, PayPal added 13.3 million new active accounts, bringing the total to 416.
An e-commerce boom triggered by the pandemic helped PayPal. Thanks to the e-commerce boom it reached great results. It was a major beneficiary, with its stock more than doubling in 2020.
The company’s Venmo app, which began supporting cryptocurrency services several months ago reached great results. Venmo saw its payment volume jump 36% to $60 billion. Currently, customers in the U.S. can buy, sell, and check out using cryptocurrencies. Besides, PayPal’s crypto ambitions have positioned the company as a rival to Coinbase. It is not an easy task to compete with Coinbase, the country’s largest popular crypto exchange.
From the next year, PayPal’s users will be able to make purchases on Amazon.com and the Amazon mobile shopping app with their Venmo accounts.
PayPal and its plans
For the last quarter of the year, PayPal sees adjusted earnings of $1.12 per share on net revenue of between $6.85 billion and $6.95 billion. The company changed revenue guidance for the year. It is worth noting that, the revenue guidance was revised down to 18%, putting it in the range of $25.3 billion to $25.4 billion.
The company expects its revenue to grow by about 18% in 2022. The San Jose-based company highlighted supply chain constraints and general concerns around the company and spending habits.
Get the latest economy news, trading news, and Forex news on Finance Brokerage. Check out our comprehensive trading education and list of best Forex brokers list here. If you are interested in following the latest news on the topic, please follow Finance Brokerage on Google News.