Personalized branded checkout is another strong area to leverage and drive conversion for merchants, according to him.

Emphasizing the scope of data across PayPal's two-sided network, Chriss believes it provides a competitive edge and allows the firm to do things differently. I think we're just scratching the surface of the opportunity there,' he said. 'The biggest surprise that I didn't realize before coming in is probably around the data. He happens to join the firm at a rather critical time when investors and analysts expect him to stitch PayPal’s narrative together as the firm is strategically moving in new directions, and amp up efforts so the stock is on the mend that has lost nearly 20% value year-to-date.Ĭhriss answered some of the burning questions out there following the financial results and gave a bit more color on what firm assets could require more work to turn around than he thought. Things that are high up on the new CEO's agenda: This was the first earnings season and analyst encounter for the company's new CEO, Alex Chriss, who took the reins of the firm on September 27, 2023. This move may turn the tables and will likely create a more level playing field for both firms competing to gain market share. Until now Apple restricted banks and payment apps from accessing the tap-to-pay functionality on Apple iOS devices, barring direct integration of apps such as PayPal, Venmo, and Cash App, while imposing fees through Apple Pay. This advancement is likely a consequence of the US Consumer Financial Protection Bureau flashing red lights at tech giants - while taking a direct shot at Apple Pay - about overly restricting access to external payment apps and limiting consumers' choice for payments. This development will let PayPal and Venmo consumers make payments with a tap of their iPhone or Apple Watch in-store, online, or on their apps using Apple Pay - while still earning the same cashback and rewards on their eligible purchases.

While PayPal is the most-used BNPL brand, Apple Pay Later has been gaining market share rather quickly, snipping out a portion of PayPal customers - a growing and significant concern of investors over the past quarter.Īlthough a decline in active users persisted in the third quarter, PayPal's recent move of enabling its customers to add their eligible PayPal and Venmo credit or debit cards to Apple Wallet may help things going into the fourth quarter. Q2/Q4 - What's gone by, what's to come: PayPal saw improved earnings in the third quarter compared to the previous one in which narrow operating margins and a reduction in active user numbers added to the firm's broader woes. The firm plans to focus on driving higher activity levels with existing active accounts. On the downside, PayPal’s active account growth declined, attributed to the churn of minimally engaged accounts.

The company’s TPV growth was strong, primarily fueled by cross-border trade and its Braintree payment processing platform. PayPal's third-quarter results were surprisingly better than expected, with revenue and earnings beating analyst expectations. Active accounts were 428 million, down 0.9% YoY, and down 0.6% from the previous quarter.$1.33 billion or $1.15 per share last year Net profit was $1.02 billion or $0.93 per share in Q3, vs.Third-quarter revenues came in at $7.42 billion, compared to $6.85 billion in the corresponding period of 2022.Q3: The PayPal story isn't over CEO Alex Chriss assures the payments firm will bounce back.

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