PayPal, based in San Jose, Calif., announced that net income totaled $462 million, or 39 cents a share in the third quarter, up from $436 million, or 36 cents a share, a year earlier.
Earnings adjusted for stock compensation and other expenses climbed to 61 cents a share from 58 cents a year ago. The latest number far exceeded the 52-cent forecast by analysts polled by FactSet. The latest result included a 15-cent hit from unrealized losses on strategic investments.
PayPal's revenue gained 19% to $4.38 billion, compared to analysts' estimate $4.35 billion. Total payment volume rose to $179 billion from $143 billion, topping expectations of $177.4 billion.
The company's stock traded at $104.85 in after-hours trading, up 8.5%.
This article is commentary by an independent contributor. At the time of publication, the author held TK positions in the stocks mentioned.