Mastercard's net profit rises 19% YoY to USD 4.4 billion in April-June period, revenue up 14%
New Delhi, July 31
Mastercard reported a 19 per cent year-on-year rise in net income to USD 4.4 billion for the second quarter of 2026, while net revenue increased 14 per cent to USD 9.3 billion, driven by growth in its payment network and value-added services.
The company reported diluted earnings per share (EPS) of USD 4.97, up from USD 4.07 in the corresponding quarter last year. Adjusted net income stood at USD 4.5 billion, while adjusted diluted EPS was USD 5.04.
Mastercard's net revenue rose to USD 9.3 billion from USD 8.1 billion in the year-ago period, registering a 14 per cent increase, or 12 per cent on a currency-neutral basis.
The company also shared that the operating expenses increased 10 per cent to USD 3.7 billion, while operating income rose 17 per cent to USD 5.6 billion.
The company's operating margin improved to 60.2 per cent from 58.7 per cent a year earlier. Its effective income tax rate stood at 20.0 per cent, compared with 20.8 per cent in the same quarter last year.
Commenting on the results, Michael Miebach, Chief Executive Officer of Mastercard, said, "We delivered above expectations with net revenue growth at 14 per cent year-over-year, or 12 per cent on a currency-neutral basis in the second quarter. These results reflect our role in powering more ways to shop, pay and do business."
He added that new partnerships in Mexico and the UAE, along with the company's Agentic Payment capability, are helping Mastercard create new opportunities and shape the future of commerce.
The company said growth in net revenue was driven by its payment network as well as value-added services and solutions.
Payment network net revenue increased 10 per cent, or 8 per cent on a currency-neutral basis. The growth was supported by an 8 per cent rise in gross dollar volume on a local currency basis to USD 2.9 trillion, 12 per cent growth in cross-border volume, and 9 per cent growth in switched transactions.
Mastercard also said payment network rebates and incentives provided to customers increased 22 per cent, or 20 per cent on a currency-neutral basis, mainly due to growth in key business drivers and new as well as renewed customer deals.
Revenue from value-added services and solutions increased 20 per cent, or 18 per cent on a currency-neutral basis.
According to the company, the growth was driven primarily by security solutions, consumer acquisition and engagement services, digital and authentication solutions, and business and market insights and pricing.
It also highlighted that as of June 30, 2026, the company's customers had issued 3.7 billion Mastercard and Maestro-branded cards.
— ANI
Reader Comments
3.7 billion cards issued worldwide! That's impressive. I just wish they'd improve their customer service in India though. I've had issues with international transactions and it took forever to get resolved. Profit is good, but they need to invest more in local support infrastructure. 🇮🇳
Solid performance showing how digital payments are growing worldwide. As an Indian, I can see the shift happening in our cities — more people using cards for bigger purchases while UPI handles the daily small stuff. Mastercard's cross-border volume growth of 12% makes sense especially with more Indians traveling and studying abroad. Good to see the company investing in new partnerships in places like UAE, which has a large Indian diaspora.
These global companies keep posting huge profits while our local fintech startups are struggling. Not saying Mastercard is bad, but we should also be building our own RuPay and promoting indigenous payment networks. Digital sovereignty matters, you know. Anyway, impressive financials no doubt.
The operating margin improvement to 60.2% is what stands out for me as a finance professional. Mastercard is clearly leveraging its scale well. But I'm curious about the 22% increase in rebates and incentives — that's substantial. They're spending heavily to win deals, which suggests competition in the payments space is heating up. In India, with RuPay and other networks expanding, this trend will likely continue.
While the profit numbers are impressive, I hope Mastercard is also focusing on security and fraud prevention in emerging markets like India. With more digital
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