Total Revenue [USD, Millions]

Cost of Goods Sold (COGS) [USD, Millions]

SG&A [USD, Millions]

R&D [USD, Millions]

D&A [USD, Millions]

Interest Expense [USD, Millions]

Operating Income (EBIT) [USD, Millions]

Net Income [USD, Millions]

EPS - Basic [USD]

EPS - Diluted [USD]

c0e66dd0f91fe1a02c81a9dabcf6b8f1dbd9044502ffcaa84142f9ee31135a60

0ccdfe4dabdf78291f6649475d7cce1a5e3d296e9a1d4c6a439ae4be484ac45e

Adjustments for Non-Cash Items [USD, Millions]

Stock-Based Compensation [USD, Millions]

Changes in Working Capital [USD, Millions]

Capital Expenditures (CapEx) [USD, Millions]

Proceeds from / Repayments of Debt [USD, Millions]

Share Repurchases [USD, Millions]

Dividend Payments [USD, Millions]

Net Change in Cash [USD, Millions]

6982cf9d6732aa22b0a6f3e47982a22d3bcb1c493f55e1c99a86d15afc49706d

United States

United Kingdom

Other Countries

Total Revenue

7633ac767ef30ca2da83f7852e1646342fb378c4d0856e24a4fab39bba831b5d

Transaction Revenues

Other Value Added Services

0e1453d27ff7f3192a42f739e6c6bcfff467de55494e8251456330dc1d3e4464

01afb6aa7f261a379a62b5ffea3e83c0c9bf8121500f94c8725bd7e99032b625

Cash and cash equivalents (USD, millions)

Short-term investments (USD, millions)

Accounts receivable, net (USD, millions)

Loans and interest receivable, held for sale (USD, millions)

Loans and interest receivable, net (USD, millions)

Funds receivable and customer accounts (USD, millions)

Prepaid expenses and other current assets (USD, millions)

Total current assets (USD, millions)

Long-term investments (USD, millions)

Property and equipment, net (USD, millions)

Goodwill (USD, millions)

Intangible assets, net (USD, millions)

Other assets (USD, millions)

Total assets (USD, millions)

Accounts payable (USD, millions)

Funds payable and amounts due to customers (USD, millions)

Accrued expenses and other current liabilities (USD, millions)

Total current liabilities (USD, millions)

Other long-term liabilities (USD, millions)

Long-term debt (USD, millions)

Total liabilities (USD, millions)

Treasury stock at cost (USD, millions)

Additional paid-in-capital (USD, millions)

Retained earnings (USD, millions)

Accumulated other comprehensive income (loss) (USD, millions)

Total equity (USD, millions)

Total liabilities and equity (USD, millions)

30544292c962a186bff3b84767261c6872bc4f86fa0b02df12864f835148bf5e

Net Revenues (USD, millions)

Operating Expenses (USD, millions)

Transaction Expense (USD, millions)

Transaction and Credit Losses (USD, millions)

Customer Support and Operations (USD, millions)

Sales and Marketing (USD, millions)

Technology and Development (USD, millions)

General and Administrative (USD, millions)

Restructuring and Other (USD, millions)

Total Operating Expenses (USD, millions)

Operating Income (USD, millions)

Other Income (Expense), Net (USD, millions)

Income Before Income Taxes (USD, millions)

Income Tax Expense (USD, millions)

Net Income (Loss) (USD, millions)

Net Income (Loss) per Share, Basic (USD)

Net Income (Loss) per Share, Diluted (USD)

Weighted Average Shares, Basic (millions)

Weighted Average Shares, Diluted (millions)

3457dd920db5ad98b769864f1a0a31492ef905987a2ee54c8bcf85ee719c06de

In Q1 2024, **transaction losses decreased** primarily because **PayPal's core products and services, including PayPal and Venmo**, saw **higher fraud recoveries and fewer fraud events**, which reduced losses from **$300 million to $260 million** and lowered the transaction loss rate from **0.08% to 0.06%**.  **[0001633917-24-000048_pypl-20240331.htm:53]**  Meanwhile, **credit losses decreased** due to a **reserve release of $62 million** (compared to a reserve build of $32 million in Q1 2023), reflecting an **improved credit quality of outstanding loans**, which brought credit losses down from **$142 million to $61 million**.  **[0001633917-24-000048_pypl-20240331.htm:53]** 

What factors contributed to the lower Transaction and Credit Losses in Q1 2024?

In Q4 2024, Other Income didn’t actually spike; it declined sharply from **$65 million** in Q4 2023 to **$(31) million**. This dramatic change was primarily driven by **net losses and impairments on strategic investments**—a reversal from the net gains seen in the previous period. Additionally, while there was an increase in interest income due to higher cash balances and rising interest rates, it only partially offset the losses from strategic investments.  **[0001633917-25-000019_pypl-20241231.htm:69]** 

Why did Other Income spike dramatically in Q4 2024?

The decline in **Q4 2024 net income** was primarily due to several factors. First, there was a **17% decrease in GAAP operating income**, dropping from **$1,728 million** in Q4 2023 to **$1,441 million** in Q4 2024, driven largely by higher operating expenses, including restructuring costs.  **[0001633917-25-000017_pypl4q-24earningsrelease.htm:0]** **[0001633917-25-000017_pypl4q-24earningsrelease.htm:8]**  Additionally, strategic investments impacted earnings, as evidenced by an increase in net losses on these investments from **$4 million** in Q4 2023 to **$59 million** in Q4 2024.  **[0001633917-25-000017_pypl4q-24earningsrelease.htm:8]**  Moreover, restructuring costs shifted significantly, with expenses reported at **$50 million** in Q4 2024 compared to a **$311 million credit** in Q4 2023. Finally, while the income tax expense decreased from **$391 million** in Q4 2023 to **$289 million** in Q4 2024, it did not offset the overall decline.  **[0001633917-25-000017_pypl4q-24earningsrelease.htm:8]** **[0001633917-25-000017_pypl4q-24earningsrelease.htm:16]** 

What caused the decline in Net Income in Q4 2024?

In **Q4 2024**, Sales and Marketing expenses were significantly higher due to **increased spending on marketing and brand advertising**, which included the launch of the **PayPal Everywhere advertising campaign**. This additional spending led to an increase of **$160 million**, or **34%**, compared to Q4 2023, though it was partially offset by a decline in employee-related costs.  **[0001633917-25-000019_pypl-20241231.htm:68]** **[0001633917-25-000017_pypl4q-24earningsrelease.htm:0]** 

Why were Sales and Marketing expenses significantly higher in Q4 2024?

The increase in **Restructuring and Other costs for Q1 2024** was primarily driven by a **global workforce reduction** that resulted in higher restructuring charges of **$175 million**—including costs related to employee severance, benefits, and **$38 million in stock-based compensation expense**—and by additional losses of **$37 million** on loans and fair value adjustments. These factors combined to raise the expense from **$164 million in Q1 2023** to **$212 million in Q1 2024**.  **[0001633917-24-000048_pypl-20240331.htm:55]** **[0001633917-24-000048_pypl-20240331.htm:46]** 

What drove the increase in Restructuring and Other costs in Q1 2024?

7b9eecc84a487ee62e68c71588069d294fa2ff266e8af21fcc53c6cdb6e6f7c1

The significant spike in Q1 2024 was driven by a **net increase** of **$612 million** in cash and cash equivalents. This increase was primarily attributed to:

- **Net cash provided by operating activities** rising to **$1,917 million** compared to prior performance, reflecting strong operational cash generation.
- **Net cash provided by investing activities** of **$980 million**, mainly from proceeds related to maturities and sales of investments that exceeded purchases.
- These inflows more than offset cash used in financing activities and the **negative impact of exchange rate changes**.

This combination of factors led to the overall notable improvement in cash and cash equivalents for Q1 2024.  **[0001193125-24-123690_d831310dex991.htm:7]** **[0001633917-24-000048_pypl-20240331.htm:2]** **[0001633917-24-000048_pypl-20240331.htm:57]** **[0001193125-24-123690_d831310dex991.htm:8]** **[0001193125-24-123690_d831310dex991.htm:14]** **[0001633917-24-000048_pypl-20240331.htm:59]** 

What drove the significant spike in Cash and cash equivalents in Q1 2024?

The sharp increase in total assets in Q2 2024 was driven primarily by an **increase in long-term investments** (rising from **$3,273 million** at the end of 2023 to **$4,653 million** in Q2 2024) and an **increase in prepaid expenses and other current assets** (growing from **$2,509 million** to **$3,954 million**). These increases outweighed the negative impacts of a decrease in **cash and cash equivalents** (declining from **$9,081 million** to **$7,701 million**) and a modest decline in **goodwill** (from **$11,026 million** to **$10,816 million**).  **[0001633917-24-000096_pypl2q-24earningsrelease.htm:6]** **[0001633917-24-000098_pypl-20240630.htm:2]** 

What factors contributed to the sharp increase in Total assets in Q2 2024?

Based on the documents, **there is no specific or definitive explanation provided** for why PayPal's long-term debt declined noticeably in Q3 2024. The data shows that the debt was **$10,640 million in Q3 2023** compared to **$9,976 million in Q3 2024**.  **[0001633917-23-000156_pypl-20230930.htm:2]** **[0001633917-24-000110_pypl-20240930.htm:2]**  While one document suggests that subsequent changes might be related to financing activities or strategic decisions, it does not explicitly confirm this as the reason for the decline.  **[0001633917-24-000108_pypl3q-24earningsrelease.htm:6]** **[0001633917-24-000110_pypl-20240930.htm:2]** 

Why did Long-term debt decline noticeably in Q3 2024?

2e9ae51c479e5d2236a2122f12ed89e8ac456dd4b149f105798c7e299e26e5af

PayPal Holdings Inc (PYPL)

Financials