Visa FY 1Q17 Earnings Call Notes

Alfred F. Kelly, Jr


“I just completed my first quarter at Visa, and past my two-month mark as the Chief Executive Officer. I think, as many of you know, I’ve been a board member since early 2014, so I’ve been involved in the business and was a party in approving the company’s strategy and priorities.”

A good chance to make the necessary investments in India with govt support

“I think for us very importantly, and strategically this is a build opportunity that the government really has put out there in front of us. And so in my mind, at this point I’m much more focused on capitalizing on this opportunity and investing heavily behind driving both awareness for consumers and incentive for merchants to get signed up. There’s only a very fractional amount of the merchant community in India that is enabled today to be able to accept electronic or digitized payments, and we want to try to get that number up as much as we possibly can. So I think when you consider the economics of the investments we’ll make in India, plus a fairly conservative pricing, it’s certainly not going to be a market in this fiscal year that’s going to drive a lot of profit for us. But I think, it’s a great year for us to make sure that we do everything we can in one of the two largest population countries in the world to get as good a position as we can to help us over the next decade.”

Thoughts on Trump

“I think, it’s too early to tell. I mean, we’re barely two weeks into this presidency. And while the President has been active with executive orders, I think that as things start to settle down and we get into more specific policies and his cabinet is confirmed and in place and the legislature gets going, I think it remains to be seen what happens. I will tell you this, that we have a world-class group of government relations people who are already fully engaged as much as we can in the relevant conversations in Washington. But I think there’s things that relate to trade, relate to taxes, all of which could play into our business. But I honestly just think it’s too early to start to speculate. And we’re certainly not building anything into our plans positively or negatively for that matter related to any policies that might come out. But I can assure you that we’re watching it very closely.”