Visa demonstrates structural efficiency with a 64.4% operating margin in 2026Q2, though quarterly margin volatility suggests potential pressure from domestic regulatory interchange fee caps.
| Metric | TTM | Sep'25 | Sep'24 | Sep'23 | Sep'22 | Sep'21 | Sep'20 | Sep'19 | Sep'18 | Sep'17 | Sep'16 | Sep'15 | Sep'14 | Sep'13 | Sep'12 | Sep'11 | Sep'10 | Sep'09 | Sep'08 | Sep'07 | Sep'06 | Sep'05 |
|---|
| Net Interest Income | -1.01B | -589M | -641M | -644M | -538M | -513M | -516M | -533M | -612M | -563M | -427M | -3M | -8M | 0 | 29M | -32M | -72M | -115M | -143M | -80.66M | -89.54M | -108.48M |
| NII Growth % | -204.04% | 8.11% | 0.47% | -19.7% | -4.87% | 0.58% | 3.19% | 12.91% | -8.7% | -31.85% | -14133.33% | 62.5% | - | -100% | 190.63% | 55.56% | 37.39% | 19.58% | -77.29% | 9.92% | 17.46% | - |
| Net Interest Margin % | -1.06% | -0.59% | -0.68% | -0.71% | -0.63% | -0.62% | -0.64% | -0.73% | -0.88% | -0.83% | -0.67% | -0.01% | -0.02% | 0% | 0.07% | -0.09% | -0.22% | -0.36% | -0.41% | -1.84% | -3.02% | -3.95% |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 46M | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 1.01B | 589M | 641M | 644M | 538M | 513M | 516M | 533M | 612M | 563M | 427M | 3M | 8M | 0 | 29M | 32M | 72M | 115M | 143M | 80.66M | 89.54M | 108.48M |
| Loan Loss Provision | 7.04B | 7.27B | 6.4B | 5.92B | 5.2B | 4.46B | 4B | 3.63B | 3.24B | 2.69B | 2.34B | 2.55B | 2.37B | 2.4B | 2.11B | 1.78B | 1.57B | 1.51B | 1.4B | 1.01B | 909.15M | 848.53M |
| Non-Interest Income | 43.03B | 40B | 35.93B | 32.65B | 29.31B | 24.11B | 21.85B | 22.98B | 20.61B | 18.36B | 15.08B | 13.88B | 12.7B | 11.78B | 10.38B | 9.19B | 8.06B | 6.91B | 6.26B | 3.59B | 2.95B | 2.66B |
| Non-Interest Income % | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 100% | 99.56% | 100% | 100% | 100% | 100% | 100% | 100% | 100% |
| Total Revenue | 43.03B | 40B | 35.93B | 32.65B | 29.31B | 24.11B | 21.85B | 22.98B | 20.61B | 18.36B | 15.08B | 13.88B | 12.7B | 11.78B | 10.42B | 9.19B | 8.06B | 6.91B | 6.26B | 3.59B | 2.95B | 2.66B |
| Revenue Growth % | 57.48% | 11.34% | 10.02% | 11.41% | 21.59% | 10.34% | -4.92% | 11.49% | 12.26% | 21.72% | 8.66% | 9.27% | 7.85% | 13.02% | 13.42% | 13.92% | 16.7% | 10.35% | 74.47% | 21.77% | 10.64% | - |
| Non-Interest Expense | 8.68B | 8.15B | 5.29B | 5.09B | 4.76B | 3.33B | 3.25B | 3.81B | 3.8B | 2.97B | 4.43B | 2.26B | 2.62B | 2.14B | 6.14B | 1.92B | 1.83B | 1.75B | 3.49B | 3.95B | 1.22B | 1.25B |
| Efficiency Ratio | 20.17% | 20.38% | 14.72% | 15.58% | 16.25% | 13.82% | 14.89% | 16.59% | 18.43% | 16.16% | 29.41% | 16.3% | 20.65% | 18.16% | 58.94% | 20.85% | 22.68% | 25.35% | 55.77% | 110.08% | 41.37% | 47.09% |
| Operating Income | 26.3B | 23.99B | 23.59B | 21B | 18.81B | 15.8B | 14.08B | 15B | 12.95B | 12.14B | 7.88B | 9.06B | 7.7B | 7.24B | 2.14B | 5.46B | 4.59B | 3.54B | 1.23B | -1.45B | 729.67M | 452.92M |
| Operating Margin % | 61.12% | 59.98% | 65.68% | 64.31% | 64.19% | 65.56% | 64.46% | 65.29% | 62.86% | 66.15% | 52.27% | 65.3% | 60.6% | 61.46% | 20.53% | 59.38% | 56.9% | 51.19% | 19.67% | -40.38% | 24.75% | 17% |
| Operating Income Growth % | - | 1.69% | 12.36% | 11.62% | 19.04% | 12.24% | -6.13% | 15.8% | 6.67% | 54.05% | -13.03% | 17.76% | 6.33% | 238.43% | -60.8% | 18.89% | 29.71% | 187.18% | 185% | -298.65% | 61.1% | - |
| Pretax Income | 26.46B | 24.19B | 23.92B | 21.04B | 18.14B | 16.06B | 13.79B | 14.88B | 12.81B | 11.69B | 8.01B | 8.99B | 7.72B | 7.26B | 2.21B | 5.66B | 4.64B | 4B | 1.34B | -1.39B | 721.82M | 456.25M |
| Pretax Margin % | 61.49% | 60.48% | 66.57% | 64.43% | 61.88% | 66.64% | 63.12% | 64.78% | 62.14% | 63.7% | 53.12% | 64.81% | 60.81% | 61.61% | 21.18% | 61.56% | 57.51% | 57.88% | 21.33% | -38.65% | 24.48% | 17.12% |
| Income Tax | 4.22B | 4.14B | 4.17B | 3.76B | 3.18B | 3.75B | 2.92B | 2.8B | 2.5B | 5B | 2.02B | 2.67B | 2.29B | 2.28B | 65M | 2.01B | 1.67B | 1.65B | 532M | -315.99M | 251.34M | 183.3M |
| Effective Tax Rate % | 15.95% | 17.1% | 17.45% | 17.89% | 17.53% | 23.36% | 21.2% | 18.84% | 19.56% | 42.71% | 25.22% | 29.65% | 29.6% | 31.38% | 2.95% | 35.54% | 36.09% | 41.2% | 39.82% | 22.78% | 34.82% | 40.17% |
| Net Income | 22.24B | 20.06B | 19.74B | 17.27B | 14.96B | 12.31B | 10.87B | 12.08B | 10.3B | 6.7B | 5.99B | 6.33B | 5.44B | 4.98B | 2.14B | 3.65B | 2.97B | 2.35B | 804M | -1.08B | 454.56M | 264.7M |
| Net Margin % | 51.68% | 50.14% | 54.95% | 52.9% | 51.03% | 51.07% | 49.74% | 52.57% | 49.98% | 36.49% | 39.72% | 45.59% | 42.81% | 42.28% | 20.57% | 39.73% | 36.78% | 34.05% | 12.84% | -29.98% | 15.42% | 9.93% |
| Net Income Growth % | 11.82% | 1.6% | 14.3% | 15.48% | 21.49% | 13.3% | -10.05% | 17.27% | 53.77% | 11.82% | -5.33% | 16.37% | 9.2% | 132.28% | -41.26% | 23.06% | 26.05% | 192.66% | 174.71% | -336.73% | 71.73% | - |
| Net Income (Continuing) | 22.24B | 20.06B | 19.74B | 17.27B | 14.96B | 12.31B | 10.87B | 12.08B | 10.3B | 6.7B | 5.99B | 6.33B | 5.44B | 4.98B | 2.14B | 3.65B | 2.96B | 2.35B | 804M | -1.07B | 470.48M | 272.95M |
| EPS (Diluted) | 11.50 | 10.20 | 9.73 | 8.28 | 7.00 | 5.63 | 4.89 | 5.32 | 4.42 | 2.80 | 2.48 | 2.58 | 2.15 | 1.90 | 0.56 | 0.89 | 0.68 | 0.78 | 0.24 | -0.38 | 0.16 | 0.13 |
| EPS Growth % | 15.38% | 4.83% | 17.51% | 18.29% | 24.33% | 15.13% | -8.08% | 20.36% | 57.86% | 12.9% | -3.88% | 20% | 13.16% | 239.29% | -37.08% | 30.88% | -12.82% | 225% | 163.16% | -337.5% | 23.08% | - |
| EPS (Basic) | - | 10.22 | 9.74 | 8.29 | 7.01 | 5.63 | 4.90 | 5.32 | 4.43 | 2.80 | 2.49 | 2.58 | 2.16 | 1.90 | 0.66 | 1.11 | 0.88 | 0.79 | 0.28 | -0.39 | 0.17 | 0.13 |
| Diluted Shares Outstanding | 1.93B | 1.97B | 2.03B | 2.08B | 2.14B | 2.19B | 2.22B | 2.27B | 2.33B | 2.4B | 2.41B | 2.46B | 2.52B | 2.62B | 3.86B | 4.09B | 4.38B | 3.03B | 3.08B | 2.85B | 2.85B | 2.85B |
Regulatory interchange fee caps
According to the latest quarterly financial data, Visa maintained a robust gross margin of 81.3% in 2026Q2, underscoring the company's ability to scale transaction volumes with minimal incremental costs while sustaining high profitability despite ongoing competitive pressures in the global payments landscape.
The consistency of these margins suggests that the core network remains highly insulated from inflationary cost pressures. Investors should monitor whether the recent expansion in value-added services can continue to offset potential margin dilution from rising client incentive payments.
As reported in recent income statements, Visa achieved an operating margin of 64.4% in 2026Q2, demonstrating significant operating leverage as the company successfully manages its SG&A expenses relative to the steady growth in top-line revenue generated across its global processing network.
The ability to scale operating income faster than revenue during periods of high volume growth highlights the inherent efficiency of the firm's digital infrastructure. This performance suggests that management maintains disciplined control over overhead, though future scalability may depend on the cost of acquiring specialized cybersecurity talent.
Based on the company's reported figures, net income reached $6.0 billion in 2026Q2, reflecting a strong conversion rate of 53.6% that appears resilient even when accounting for the $275 million in stock-based compensation recorded during the same period.
The consistent EPS growth, which reached 35.3% in the most recent quarter, suggests that the underlying business model remains highly productive. Analysts should remain cautious regarding the impact of non-recurring litigation provisions that occasionally obscure the core earnings trajectory in GAAP reporting.
While Visa's revenue growth remains positive, the increasing volatility in quarterly operating margins, which dipped to 56.6% in 2025Q2, warrants further investigation into whether regulatory routing mandates are beginning to structurally impair the company's long-term pricing power within the domestic market.
Short-term fluctuations in incentive-to-gross-revenue ratios may indicate that the firm is forced to pay higher rebates to maintain its market share against emerging payment rails. This trend suggests that the 'toll-booth' model may face more significant competitive and legislative friction than historical performance implies.
Quick answers to the most common questions about buying V stock.
Visa Inc. (V) is profitable, generating $20.06B in net income for the fiscal year ending 2025 with a net profit margin of 50.1%.
Visa Inc. (V) reported an operating income of $23.99B, resulting in an operating profit margin of 60.0%. This margin reflects the operational efficiency of the business before interest and taxes.
Visa Inc. (V) generated $32.15B in gross profit for the year, representing a gross profit margin of 80.4%. This demonstrates the company's core pricing power and production efficiency.