PayPal Q1 performance surpasses expectations, but Q2 guidance is weak, dropping over 10% intraday

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Mars Finance information, the digital payment company PayPal (PYPL) announced its first quarter 2026 financial report, with net revenue of 8.35 billion USD, exceeding the market estimate of 8.05 billion USD; adjusted earnings per share of 1.34 USD, higher than the estimated 1.27 USD. However, the company’s guidance for the second quarter is more cautious, expecting adjusted earnings per share to decrease by about 9% quarter-over-quarter, with a guidance of 1.34 USD. At the same time, it provided full-year guidance for fiscal year 2026, with adjusted earnings per share of 5.32 USD and revenue of 34.06 billion USD. Due to the Q2 guidance being below expectations, PayPal’s US stocks temporarily fell over 10% during trading, currently the decline has narrowed to about 8%.

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