CEO Alex Chriss will make it clear to shareholders at PayPal’s first investor day in four years: Venmo is more than simply a simple method to split the expense of dinner.
Venmo is an essential component of Chriss’s efforts to encourage a turnaround at the payments company since he took over in September 2023.
By 2027, Venmo can generate over $2 billion in income, the business informed investors in New York on Tuesday. In 2021, PayPal last publicly disclosed Venmo’s yearly income, which was approximately $900 million.
After years of instability that saw the company’s market capitalisation drop by more than 80% between mid-2021 and late 2023, Chriss sees the Venmo expansion as part of a larger effort to resume steady, profitable growth.
With 90 million users in the United States, Venmo has long been ingrained in American culture and has come to be used as a word that means sending money to a friend or relative. However, because those transactions bring in little money, monetisation has remained difficult.
Source (CNBC)
