Mastercard’s (NYSE:MA) Q3: Beats On Revenue

Global payments technology company Mastercard (NYSE:MA) reported Q3 CY2025 results exceeding the market’s revenue expectations , with sales up 16.7% year on year to $8.60 billion. Its non-GAAP profit of $4.38 per share was 1.5% above analysts’ consensus estimates.

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Mastercard (MA) Q3 CY2025 Highlights:

Revenue: $8.60 billion vs analyst estimates of $8.54 billion (16.7% year-on-year growth, 0.8% beat) Pre-tax Profit: $5.00 billion (58.1% margin, 29.3% year-on-year growth) Adjusted EPS: $4.38 vs analyst estimates of $4.31 (1.5% beat) Market Capitalization: $501.3 billion

Company Overview

Recognizable by its iconic "Priceless" advertising campaign that has run in over 120 countries, Mastercard (NYSE:MA) operates a global payments network that connects consumers, financial institutions, merchants, and businesses, enabling electronic transactions and providing payment solutions.

Revenue Growth

A company’s long-term sales performance can indicate its overall quality. Any business can have short-term success, but a top-tier one grows for years. Thankfully, Mastercard’s 15.1% annualized revenue growth over the last five years was impressive. Its growth surpassed the average financials company and shows its offerings resonate with customers, a great starting point for our analysis.Mastercard Quarterly Revenue

We at StockStory place the most emphasis on long-term growth, but within financials, a half-decade historical view may miss recent interest rate changes, market returns, and industry trends. Mastercard’s annualized revenue growth of 13.7% over the last two years is below its five-year trend, but we still think the results suggest healthy demand.Mastercard Year-On-Year Revenue Growth

Note: Quarters not shown were determined to be outliers, impacted by outsized investment gains/losses that are not indicative of the recurring fundamentals of the business.

This quarter, Mastercard reported year-on-year revenue growth of 16.7%, and its $8.60 billion of revenue exceeded Wall Street’s estimates by 0.8%.

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Volume

The aggregate volume of transactions and loan originations processed by financial firms directly impacts their revenue and are fundamental to understanding their growth trajectories.

Mastercard’s volumes have grown at an annual rate of 27.5% over the last five years, much better than the broader financials industry and faster than its total revenue. When analyzing Mastercard’s volumes over the last two years, we can see its volumes dropped by 6.5% annually. Its recent performance could be a roadblock for any valuation multiple expansion.Mastercard Trailing 12-Month Volume

In Q3, Mastercard’s volumes were $0.10, beating analysts’ expectations by 7.3%. This print was 7.5% lower than the same quarter last year.

Key Takeaways from Mastercard’s Q3 Results

Both revenue and EPS exceeded Wall Street’s estimates, albeit by a small magnitude. Zooming out, we think this was a decent quarter. The stock remained flat at $557.37 immediately after reporting.

Should you buy the stock or not? We think that the latest quarter is just one piece of the longer-term business quality puzzle. Quality, when combined with valuation, can help determine if the stock is a buy. We cover that in our actionable full research report which you can read here, it’s free for active Edge members.

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