MasterCard Profits Skyrocket 93 Percent in Q2

MasterCard Inc. (NYSE: MA) today reported second quarter net income of $195 million, excluding special items, a rise of more than 93 percent from the second quarter of 2006. Revenues tallied $997 million, up nearly 18 percent from the same period a year ago.

The card network’s gross dollar volume increased more than 13 percent to $555 billion. Consumers in the U.S accounted for the greatest amount of volume but the growth rate here is slow compared to other regions. U.S. consumers generated $255 billion in volume, a rise of nearly 10 percent, while European consumers generated $157 billion in card volume, growing more than 23 percent. Gross dollar volume in the South Asia, Middle East, and Africa region came to $10 billion, but grew at a 41 percent rate.

MasterCard credit cards in the U.S. were used to make $138 billion in purchases, up 7.5 percent from a year ago. MasterCard debit cards were used to make $67 billion in purchases, a growth rate of more than 24 percent.

Worldwide, credit cards accounted for $325 billion in purchases, up 13 percent, compared with debit card purchases worth $89 billion, up 21 percent.

Worldwide there were more than 855 million MasterCard cards in circulation as of June 30 this year, a rise of more than 10 percent from the second quarter of 2006.