PayPal Q3 2026 EPS beats guidance; FY non-GAAP EPS and TM$ raised

Q3 non-GAAP EPS: $1.45, up 8% year over year, beat the prior low-single-digit-decline guidance midpoint.

Revenue and profit: Net revenue rose 2% to $8.584 billion; GAAP net income fell 14% to $1.073 billion, while non-GAAP net income fell 3% to $1.245 billion.

Operating performance: GAAP operating income fell 8% to $1.402 billion, while non-GAAP operating income rose 3% to $1.613 billion.

Margins: GAAP operating margin contracted 173 basis points to 16.3%, while non-GAAP operating margin expanded 16 basis points to 18.8%.

Transaction margin: TM$ rose 2% to $3.950 billion and TM$ excluding interest on customer balances rose 3% to $3.661 billion.

Activity: TPV rose 6% to $487.138 billion, payment transactions rose 7% to 6.796 billion, and active accounts rose 0.6% to 440 million.

Cash and guidance: Operating cash flow fell 19% to $1.592 billion; FY 2026 non-GAAP EPS guidance was raised to approximately $5.60 from approximately $5.38, GAAP EPS guidance was reaffirmed at approximately $5.07, and the TM$ guidance amount was not disclosed.