# Mastercard Inc. (MA) — Financial Analysis

**Exchange:** NYSE  
**Coverage as of:** 2026-Q2  
**Updated:** 2026-05-12  
**Tier:** Free primer (step 2 of 19)  
**Sibling pages:** /stocks/MA/thesis · /stocks/MA/memo

## Financial Snapshot

---
ticker: MA
step: 04
generated: 2026-05-11
source: quick-research
---

### Mastercard Incorporated (MA) — Financial Snapshot

#### Income Statement Summary

| Metric | FY2023 | FY2024 | FY2025 | YoY (FY25) |
|--------|--------|--------|--------|------------|
| Net Revenue | $25.1B | $28.2B | $32.8B | +16% |
| Operating Margin | 55.8% | 55.3% | 57.6% | +230 bps |
| Operating Income | $14.0B | $15.6B | $18.9B | +21% |
| Net Income | $11.2B | $12.9B | $15.0B | +16% |
| EPS (diluted) | $11.83 | $13.89 | $16.52 | +19% |
| Adjusted EPS | — | — | $17.01 | +15% |

#### Volume & Transaction Detail (FY2025)

| Metric | FY2025 | YoY |
|--------|--------|-----|
| Gross Dollar Volume (GDV) | $10.6T | +15% |
| Switched Transactions | 175.5B | +10% |
| Cross-Border Volume | n/a | +9–14%* |
| Value-Added Services revenue growth | — | +22–23% |

*Q4 2025 cross-border up 15%; full-year 9% reflects mix of Q1–Q4.

#### Cash Flow & Balance Sheet

| Metric | FY2025 |
|--------|--------|
| Operating Cash Flow | $17.6B |
| Free Cash Flow | $17.2B (+21% YoY) |
| Capital Returned to Shareholders | $17.6B |
| Share Repurchases | $14.5B |
| Dividends Paid | $2.8B |
| New Buyback Authorization Remaining | $11.7B+ |
| Q4 2025 Dividend Hike | $0.76 → $0.87 (+14.5%) |
| Free Cash Flow Margin | ~52% |
| Cash & Investments | ~$8B |

#### Key Ratios (approximate)
- P/E: ~34x | EV/EBITDA: ~27x | FCF Yield: ~3.4%
- Revenue Growth (FY25): +16% | FCF Margin: ~52%
- Operating Margin: 57.6% (one of the highest among mega-caps)
- Capital Return Yield: ~3.4% (mostly buybacks)
- Dividend Yield: ~0.6% (low cash yield but growing 12–14%/year)

#### Growth Profile
Mastercard delivered exceptional FY2025 — net revenue +16%, EPS +19%, operating margin expanded 230 bps to 57.6%, and FCF grew 21%. The growth algorithm has three reinforcing components: (1) **Payment Network** scaling with global GPV (+15%) and cross-border (+9–15%, structurally faster); (2) **Value-Added Services** growing 22%+, now ~38% of revenue and ~50%+ of incremental growth; (3) **Operating leverage** as incremental volume drops ~60% to operating income. The $1.8B BVNK acquisition (stablecoin) and ongoing partnerships position Mastercard for the next 10-year wave (stablecoin/agentic payments) rather than fighting against disruptors.

#### Forward Estimates
Consensus FY2026 revenue: ~$36–37B (+11–13%); FY2026 adjusted EPS: ~$19.50–20.00 (+15–18%). Bull case: cross-border growth sustains 12%+ as travel + B2B normalize; Value-Added Services compounds 20%+; stablecoin partnerships add incremental volume. Bear case: real-time payment rails (FedNow, UPI, Pix, SEPA Instant) compress card volume growth in domestic markets; FX/macroeconomic headwinds impact cross-border travel; regulatory pressure on interchange in EU/UK/Australia.

## Deeper Financial Analysis

The fundamental tier ($1.00) adds 8 dimensions not included here:

- Revenue Breakdown — segment revenue, geographic mix, product-line margins
- Financial Trends — QoQ momentum, leading indicators, inflection points
- Balance Sheet — debt structure, dilution risk, working capital dynamics
- Capital Allocation — ROIC, buyback cadence, reinvestment efficiency
- Earnings Analysis — beats/misses, guidance vs actuals, transcript highlights
- Competitive Positioning — market share, pricing power, peer benchmarks
- Industry Context — TAM, sector tailwinds/headwinds, regulatory backdrop

**API endpoint:** GET /api/v1/research/MA/fundamental

## Navigation

- Overview: /stocks/MA
- Financials (this page): /stocks/MA/financials
- Thesis: /stocks/MA/thesis
- Investment Memo: /stocks/MA/memo
- Coverage universe: /stocks