MA Q2 2021 Earnings Report — Mastercard Incorporated Revenue & Financial Results | Market Cap Arena

Mastercard IncorporatedMA

Q2 2021 Earnings

Reported July 29, 2021

Quarter Comparison

Revenue

Operating Income

Gross Margin

Net Margin

EPS (Diluted)

Free Cash Flow

Metric	Q2 2021	Q1 2021	Q2 2020	QoQ Change	YoY Change
Revenue	$4.5B	$4.2B	$3.3B	9.0%	35.8%
Op. Income	$2.3B	$2.2B	$1.7B	6.6%	37.1%
Gross Margin	75.0%	73.4%	72.6%	1.6pp	2.5pp
Net Margin	45.6%	44.0%	42.6%	1.6pp	3.0pp
EPS (Diluted)	$2.08	$1.83	$1.41	13.7%	47.5%
Free Cash Flow	$2.1B	$1.3B	$1.3B	57.3%	62.7%

Revenue Flow

Item	Amount
REVENUE	$4.5B
Cost of Revenue	$1.1B
GROSS PROFIT	$3.4B
R&D Expenses	$0
Selling & Marketing	$216M
General & Administrative	$580M
SG&A Expenses	$796M
Other Expenses	$261M
Operating Expenses	$1.1B
Cost & Expenses	$2.2B
OPERATING INCOME	$2.3B
Interest Income	$0
Interest Expense	$106M
Other Income/Expenses	$137M
INCOME BEFORE TAX	$2.5B
Income Tax Expense	$412M
Net Income from Continuing Ops	$2.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.1B
D&A	$186M
EBIT	$2.6B
EBITDA	$2.8B
EPS	$2
EPS Diluted	$2

Income Statement

Item	Amount
REVENUE	$4.5B
Cost of Revenue	$1.1B
GROSS PROFIT	$3.4B
R&D Expenses	$0
Selling & Marketing	$216M
General & Administrative	$580M
SG&A Expenses	$796M
Other Expenses	$261M
Operating Expenses	$1.1B
Cost & Expenses	$2.2B
OPERATING INCOME	$2.3B
Interest Income	$0
Interest Expense	$106M
Other Income/Expenses	$137M
INCOME BEFORE TAX	$2.5B
Income Tax Expense	$412M
Net Income from Continuing Ops	$2.1B
Net Income from Discontinued Ops	$0
Other Adjustments	$0
NET INCOME	$2.1B
Net Income Deductions	$0
BOTTOM LINE NET INCOME	$2.1B
D&A	$186M
EBIT	$2.6B
EBITDA	$2.8B
EPS	$2
EPS Diluted	$2

Cash Flow Statement

Item	Amount
Net Income	$2.1B
Depreciation & Amortization	$186M
Stock-Based Compensation	$87M
Deferred Income Tax	-$48M
Other Non-Cash Items	$91M
Change in Working Capital	-$114M
OPERATING CASH FLOW	$2.3B
Capital Expenditure	-$193M
Acquisitions (Net)	-$836M
Purchases of Investments	-$286M
Sales/Maturities of Investments	$191M
Other Investing Activities	-$18M
NET CASH FROM INVESTING	-$1.1B
Net Debt Issuance	$0
Common Stock Repurchased	-$1.7B
Common Dividends Paid	-$434M
Other Financing Activities	-$46M
NET CASH FROM FINANCING	-$2.2B
FREE CASH FLOW	$2.1B
Net Change in Cash	-$992M

Balance Sheet

Item	Amount
Cash & Equivalents	$6.2B
Short-Term Investments	$544M
Net Receivables	$3.7B
Inventory	$0
Other Current Assets	$4.5B
TOTAL CURRENT ASSETS	$15.1B
PP&E (Net)	$1.8B
Goodwill	$7.7B
Intangible Assets	$3.6B
Long-Term Investments	$1.6B
Tax Assets	$454M
Other Non-Current Assets	$4.7B
TOTAL NON-CURRENT ASSETS	$19.8B
TOTAL ASSETS	$34.9B
Account Payables	$547M
Short-Term Debt	$649M
Deferred Revenue	$0
Other Current Liabilities	$3.1B
TOTAL CURRENT LIABILITIES	$11.3B
Long-Term Debt	$13.3B
Deferred Revenue NC	$0
Deferred Tax Liabilities	$394M
Other Non-Current Liabilities	$3.4B
TOTAL NON-CURRENT LIABILITIES	$17.0B
TOTAL LIABILITIES	$28.3B
Common Stock	$0
Additional Paid-In Capital	$5.1B
Retained Earnings	$41.8B
Treasury Stock	-$39.7B
Accum. Other Comp. Income	-$653M
Other Equity	$0
TOTAL STOCKHOLDERS' EQUITY	$6.4B
Minority Interest	$127M
TOTAL EQUITY	$6.6B
TOTAL LIABILITIES & EQUITY	$34.9B
Total Debt	$13.9B
Net Debt	$7.7B