Overview
- PayPal reported third-quarter results on Tuesday showing adjusted EPS of $1.45 and total payment volume of $487.1 billion while revenue rose 2% to $8.58 billion and missed analyst estimates.
- The company raised its full‑year adjusted profit forecast to about $5.60 per share, a move company leaders tied to margin gains and stronger holiday expectations.
- CEO Enrique Lores said the multi‑year turnaround is making progress as PayPal targets $700 million in gross run‑rate cost savings by end‑2026 and at least $1.5 billion over two to three years.
- PayPal returned capital to shareholders by repurchasing roughly 28 million shares for $1.5 billion during the quarter and declaring a $0.14 cash dividend, steps that reduced share count and supported EPS.
- Despite operational gains, slower revenue growth and intense competition from big tech and fintechs keep strategic pressure on the company and leave future growth dependent on execution of cuts, AI investments and product moves such as PYUSD integration into broader crypto markets.