“Our strong results reflect PayPal’s transformation from a single product to a platform company, from a vendor to a strategic partner to both merchants and ecosystem players, and from a checkout option to an increasingly more central way for consumers to manage and move their money.”
PayPal Reports Second Quarter 2017 Results and Raises Financial Guidance for Full Year
In my view one of the highlights of that recipe is the strategic partnerships. Since early 2016, PayPal has announced 22 partnerships agreements with card schemes, major US issuers, global tech companies, and select international players. This is really transformative, as PayPal is being now recognized as partners by certain players previously thought of as competitive threats.
Recent metrics suggest that this new direction is paying off:
- TPV Growth: 26% y/y
- Net Revenue Growth: 20% y/y
- Active Account Growth: 12% y/y (or +6.5mn to 203mn)
- Transaction Growth: 23% y/y
- Mobile Payment Volume Growth: 50% y/y to 34% of TPV (vs 32% in 1Q17).