Paypal promises a fast recovery in Q2
Paypal Holdings revealed that it is planning to see a rapid growth of payments in Q2 of 2020. The company’s stock went up 8%.
As the lockdown measures are gradually easing off, consumers are shopping online more actively. Many online retailers are already seeing an increase in demand. PayPal revealed, that it has gained 7.4 million new clients last month.
In Q1 the company’s profits plummeted down 87.4%. Paypal enhanced its credit loss reserves, and yet it still surpassed the forecasts.
The company processed over US$191 billion worth of payments in Q1 2020. This is 18% growth year-on-year, yet it came short of the estimated US$194.23 billion.
PayPal’s Q1 net income dropped to US$84 million - that is 7 US cents per share. Q1 of 2019 saw a US$667 million income - 56 US cents per share.