PayPal’s transaction income, including cryptocurrency, increased by 9 percent compared to a year ago. The revenue forecast for 2022 has risen by $2 billion to $27 billion since 2021.
Following the announcement of a $2 billion investment by Elliott Investment Management and an 8% increase in transaction revenue to $6.27 billion compared to the prior year, PayPal’s share price increased by over 13%.
“Elliott is one of PayPal’s top investors, with an estimated $2 billion stake,” said Jesse Cohn, general manager at Elliott. The “huge value potential” at the firm is the focus of today’s release, which details many ongoing and new initiatives.
The 92 percent of total income derived from transaction fees includes the buying and selling of cryptocurrency. According to Seeking Alpha, the firm announced overall sales of $6.8 billion, up 9 percent year-over-year and above the forecast by $20 million, and Non-GAAP profits per share of $0.93, exceeding the estimate by $0.06.
It is anticipated that revenue would exceed $27 billion, compared to around $25 billion in 2021. This article has been amended to reflect Elliot Investment Management’s interest in PayPal and to incorporate commentary from Jesse Cohen, managing partner of Elliot.
Also Read: Gucci now accepts ApeCoin
