PayPal Holdings (PYPL) shares surged Friday after the online payments group posted stronger-than-expected third-quarter earnings as its active customer base topped 250 million and growth on its Venmo platform continued to impress.

PayPal said non-GAAP earnings for the three months ending in September rose 26% from the same period last year to 58 cents a share, topping the 54 cents a share forecast, while revenues jumped 13% to $3.68 billion. Total payment volumes were up 24% from last year to just over $143 billion, while the group added 9.1 million new customers to take its active base to 254 million. Payments  on Venmo, its youth-focused payment app, surged 78% to $17 billion, as more of its new users make payments on the system and CEO Dan Schulman said monetization neared a "tipping point".

"It seems repetitive but we don't take it for granted; for three quarters in a row right now we've each quarter seen record net new active signing up to Venmo," Schulman told investors on a conference call late Friday. "So not only are you seeing Venmo expand quite rapidly but the percent of people using the monetizable event is going up quite rapidly as well."

"So you combine all of those things together, you can see why we're quite pleased with the momentum as of now," he added.

Action Alerts Plus holding PayPal shares were marked 8.2% at the opening bell Friday to change hands at $84.21 each, a move that extends the stock's year-to-date gain past 14.5% and values the San Jose, Calif.-based group at just under $100 billion. 

TheStreet's Eric Jhonsa noted that PayPal -- which has a history of guiding conservatively -- indicated forex-neutral 2019 revenue growth of 17% and EPS growth of around 20%.

"The revenue growth outlook compares favorably to a pre-earnings consensus for 16% dollar-based growth, particularly given the dollar's recent strengthening, while the EPS outlook is slightly below a consensus for 21% growth," Jhonsa wrote.