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Visa Reports Strong Growth, Expands Global Partnerships in FY 2024

Key Highlights: Robust Transit System Adoption and Significant Client Renewals

In fiscal year 2024, Visa reported a 25% year-over-year revenue increase. The company added over 110 new transit systems in major cities like Boston, Athens, Beijing, Las Vegas, and Lima, bringing the global total to more than 870. Notably, over 40% of these new systems adopted Visa’s value-added acceptance solutions. The penetration rate for Tap to Pay outside the U.S. reached 82%, up six points from the previous year, while it climbed to 54% in the U.S., an impressive increase of 13 points, with 29 of the top 30 U.S. merchants now accepting this payment method.

Major Client Partnerships Strengthened Globally

This quarter saw significant renewals across the globe. Key agreements included a renewal with Grupo Promerica, Visa’s largest client in Latin America, covering credit, debit, and commercial services across eight countries. In the Asia Pacific, SMCC renewed its partnership for consumer and commercial credit, while Alrajhi, Visa’s largest client in CEMEA, continued its relationship across various services including Cybersource and Visa Risk Manager.

In North America, Visa renewed key partnerships with RBC in Canada covering multiple credit services, and extended its long-term collaboration with US Bank in the U.S. USAA also renewed its agreements in both consumer debit and credit sectors. In Europe, Visa renewed its strategic agreement with Intesa Sanpaolo, Italy’s largest bank, to enhance their offerings across 11 markets.

Commercial Partnerships Surge AmidNew Growth Strategies

Visa signed over 650 commercial partnerships this year, representing a 30% increase from last year. The continued engagement with clients highlights Visa’s focus on innovation. New flows revenue rose by 22% in constant dollars year over year. Visa Direct saw a notable 38% growth for the quarter with 2.8 billion transactions, contributing to a total of nearly 10 billion Visa Direct transactions and $1.7 trillion in commercial payments volume.

Significantly, Visa commercial credentials increased by 18% year over year, surpassing the total credentials growth of 7%. The company’s efforts to grow B2B sectors, such as travel, have shown promising results.

Strategic New Deals with Major Players

Visa revealed a significant virtual card issuing agreement with JPMorgan Chase in Europe, aimed at enhancing services in the B2B travel sector. The partnership with Adyen will similarly focus on offering Visa virtual cards to online travel agencies. Visa also expanded its cross-border B2B capabilities, supporting complex payments through card and Visa B2B Connect.

International Expansion and New Partnerships

Visa B2B Connect experienced nearly 40% growth in bank signings year over year and a 60% increase in transactions. In Korea, an agreement with Hana Card focuses on commercial and consumer credit issuance along with cross-border payment capabilities. Additionally, Loop in Canada has partnered with Visa for multicurrency credit issuance targeting Canadian SMBs.

Australia saw Visa forming a multicurrency commercial debit agreement with OFX, enhancing service offerings in foreign exchange and international payments.

Enhancements in Value-Added Services

The fourth quarter saw revenue from value-added services increase by 22%. Pismo, Visa’s core banking platform, is resonating well, with nearly 12 billion API calls monthly. Pismo also renewed its partnership with Itau in Brazil and plans to expand to over five countries by 2025.

In risk management, Visa intends to acquire Featurespace, enhancing the company’s ability to prevent fraud in real-time across payment methods. Worldline, already a Visa partner, will launch an AI-based fraud management solution soon.

Addressing Regulatory Challenges

Finally, Visa is facing a lawsuit from the Department of Justice, which the company views as unfounded and a misunderstanding of the competitive payments environment in the U.S. Visa is prepared to defend itself vigorously, confident that it competes in a growing debit space with new market entrants.

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Visa Reports Strong Financial Performance Amidst Strategic Growth Initiatives

As we wrap up another successful year, I want to commend our team on all that we’ve achieved. We not only met our financial targets but also laid the groundwork for Visa’s future through significant product innovations. During our 2020 Investor Day, we aimed for new flows and value-added services to make up over 30% of net revenue by the end of 2024. I’m happy to report that we surpassed this goal.

Looking ahead, we will host another Investor Day on February 20, 2025, in San Francisco. At that event, we will discuss our strategy for expanding value-added services, new flows, and consumer payments. I see a lot of opportunity ahead and trust in our plans to continue our growth. Now, over to Chris.

Chris Suh — Chief Financial Officer

Thank you, Ryan. Good afternoon, everyone. We concluded the year with another strong quarter. In Q4, growth remained consistent across payments volume, cross-border volume, and processed transactions compared to Q3.

In constant dollars, global payments volume grew 8% year-over-year. Cross-border volume, excluding intra-Europe, rose 13% year-over-year, while processed transactions increased by 10% year-over-year. Fiscal fourth-quarter net revenue rose 12%, exceeding our expectations, mainly due to lower incentive payouts, stronger than anticipated other revenue, and a better-than-expected impact from foreign exchange rates. Net revenue also grew 12% in constant dollars.

Our earnings per share (EPS) increased by 16% year over year and 17% in constant dollars, driven by strong net revenue and a lower tax rate. In the U.S., total payments volume grew 5% year over year, maintaining pace with Q3. Both credit and debit transactions also increased by 5%.

Card-present volume experienced a 2% growth while card-not-present volume rose by 6%. Consumer spending patterns across various segments remained stable compared to Q3. Our data suggests no significant behavioral changes among consumers from the previous quarter. Turning to our international markets.

Total payments volume outside the U.S. was up 10% in constant dollars, consistent with Q3 results. In major regions, year-over-year growth rates in constant dollars were strong: Latin America up 24%, CEMEA up 19%, and Europe up 12%. However, Asia Pacific experienced only marginal improvement from Q3, with year-over-year growth at under 1%, primarily due to economic conditions, particularly in Mainland China. However, Asia Pacific payments volume growth, excluding this region, aligned with Q3 performance.

Now, let’s discuss cross-border volume, which I’ll report in constant dollars and exclude intra-Europe transactions. Total cross-border volume increased by 13% in Q4, slightly lower than Q3 but in line with our expectations. Cross-border e-commerce, gauged as card-not-present volume and factoring out travel and crypto, climbed by 15%, outperforming cross-border travel volume growth of 12%. When compared to 2019 figures, cross-border travel has remained stable with Q3 results.

Focusing on travel patterns, the main driver behind the slower year-over-year growth in cross-border travel volume was the ongoing impact from Asia Pacific’s inbound and outbound travel, as well as challenges related to macroeconomic conditions and lower flight bookings compared to pre-COVID levels. Additionally, CEMEA’s outbound travel volume growth saw a decline compared to Q3 due to Ramadan timing, although adjusting for this shows stable growth in CEMEA.

Now, let’s delve into the details of our fourth-quarter financial results.

Starting with revenue components, service revenue saw an 8% year-over-year increase, compared to 7% growth in Q3’s constant dollar payments volume, attributed to changes in mix and improved card benefit utilization. Data processing revenue also increased by 8% versus the 10% growth in processed transactions, mainly due to lower fees and penalties than the prior year. International transaction revenue rose 9%, lagging behind the 13% increase in constant dollar cross-border volume, impacted by fluctuations in currency volatility from the previous year, despite slightly higher volatility in Q4 compared to Q3.

Other revenue enjoyed a notable rise of 30%, mainly supported by strong marketing services revenue linked to the Olympics, consulting, and some pricing adjustments. Client incentives grew by 6%, as Q4 is typically the lowest point for growth due to significant renewals from the prior year. Additionally, one-time performance adjustments affected this growth.

While Ryan indicated a considerable level of renewal activity, its effects will mostly materialize in Q1 of 2025. Moving on to our three main growth engines. Consumer payments revenue growth was bolstered by stable payments volume, cross-border volume, and robust processed transaction growth. New flows revenue surged by 22% year-over-year in constant dollars, aided by a one-time rebate adjustment from deal timing.

Visa Direct transactions soared by 38% year over year, spurred on by interoperability growth among peer-to-peer applications in Latin America. Commercial volume increased by 5% year over year in constant dollars, lower than Q3 primarily due to variation in days. Value-added services revenue rose 22% in constant dollars to $2.4 billion, driven by strong growth in marketing services and consulting, alongside issuing solutions. Operating expenses grew by 11%, led by increasing marketing and personnel costs.

Foreign exchange impacts were minimal rather than the anticipated half-point benefit. Our acquisition of Pismo also contributed to a roughly half-point drag. Non-operating income amounted to $69 million, with a tax rate of 16.5% resulting from updates in our tax positions across different jurisdictions.

Our EPS stood at $2.71, a 16% rise from last year, facing approximately a one-point drag from exchange rates and a half-point drag due to Pismo. In Q4, we repurchased approximately $5.8 billion in stock and distributed over $1 billion in dividends to shareholders. Additionally, we allocated $1.5 billion to the litigation escrow account, which impacts our stock buyback results. At the end of September, we had $13.1 billion left under our buyback authorization.

As we concluded fiscal 2024 and prepared for fiscal 2025, I reflected on our full-year performance against our initial expectations. Thanks to a strong Q4, full-year net revenue increased by 10%, aligning with our forecasts, while EPS grew by 15%, surpassing expectations—a testament to Visa’s diverse business model. The year’s initial volatility proved strong in Q1 but then decreased, remaining lower than expected for the most part.

We projected a drop in year-over-year growth for incentives compared to fiscal 2023, primarily due to renewed client contracts having smaller impacts in fiscal 2024. Ultimately, the actual growth rate turned out even lower than anticipated, given timing adjustments and client performance. On the positive side, processed transactions grew by 10% as we had expected. Payments volume rose 8% in constant dollars, but this came in below our expectations due to weaknesses in Asia Pacific, which we discussed, and in the U.S., where we failed to see improvements in ticket size and a minor impact from Reg II.

Looking at total cross-border volume growth, excluding intra-Europe, it came in at 15% in constant dollars, generally meeting our initial expectations, although the growth in cross-border travel volume fell short, mainly due to Asia Pacific travel. In contrast, card-not-present volume growth, excluding travel, surpassed expectations. This year has illustrated that volumes and transactions can fluctuate significantly each quarter. As we navigate these shifts, we remain focused on managing our operations to meet our expectations. As we prepare our budget and guidance for fiscal 2025, it’s essential to…

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Visa Expects Steady Growth Amid Regulatory Challenges

Visa continues to project robust growth in payments volume and processed transactions for fiscal years 2024 and 2025, assuming the current macroeconomic environment remains stable. Their outlook for cross-border volumes suggests a consistency in trends, where card-not-present spending is expected to outperform travel-related spending.

2025 Growth Projections and Pricing Strategies

The company anticipates adjusted net revenue growth for 2025 to reach high single digits to low double digits, driven in part by adjustments in pricing strategies. Visa plans to implement the bulk of its pricing changes in April 2025, contrasting with a more balanced approach in the previous year. Notably, significant renewals are expected to affect over 20% of payment volumes in 2025, a rise from less than 15% in 2024, marking a shift in client agreements that is expected to impact incentives.

Expense and Income Outlook

Visa’s adjusted operating expenses are projected to grow in the high single digits to low double digits. This growth will support ongoing projects and new initiatives. Non-operating income is anticipated to fall between $150 million and $200 million due to lower interest rates. The company expects its tax rate to land between 18% and 18.5%.

Quarterly Expectations and Notable Trends

Visa’s performance in the first quarter appears solid, with U.S. payments volume rising by 6%, supported by a 13% growth in cross-border volume, excluding intra-Europe. Looking ahead, the first quarter is expected to show adjusted net revenue growth in the high single digits. Factors influencing this step down from Q4 2024 include substantial renewals and variations in pricing impacts compared to the previous year.

Regulatory Landscape and Future Performance

As the company navigates a complex regulatory environment, CEO Ryan McInerney highlighted Visa’s confidence in handling ongoing challenges. Regulatory scrutiny in the payments ecosystem aims to foster fair competition, which Visa is prepared to address while pursuing growth opportunities.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Thank you, Chris. We are now ready for your questions.

Questions & Answers:

Operator

[Operator instructions] Our first question comes from Harshita Rawat from Bernstein. Please proceed.

Harshita Rawat — Analyst

Good afternoon. Thank you for taking my question. With numerous developments on the U.S. regulatory front regarding the DOJ lawsuit and other matters, can you share your thoughts on this regulatory and litigation landscape? Additionally, could you help us gauge your revenue exposure to U.S. debit, both including and excluding Visa DPS? Thank you.

Ryan McInerney — Chief Executive Officer

Thank you for your question. As you mentioned, there are significant developments both in the U.S. and globally.

Regulators are closely examining the payments ecosystem, focusing on ensuring fair competition and multiple options for consumers and merchants. Visa is engaged with regulators and is confident in its ability to navigate this complexity and sustain business growth.

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Visa’s Ongoing Innovation and Competitive Strategies in a Changing Market

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Let’s now proceed to our next question.

Operator

Our next inquiry comes from Ramsey El-Assal from Barclays. Please go ahead.

Ramsey El-Assal — Barclays — Analyst

Hello. What are your latest insights regarding the competitive environment, particularly with the rise of pay by bank services? Walmart has recently introduced a new product, and there seems to be buzz about other similar offerings. Could you elaborate on what has changed in the market to make these options more appealing to consumers? I know Visa is also active in this space, so your thoughts would be appreciated.

Ryan McInerney — Chief Executive Officer

Account-to-account payments are becoming increasingly significant both in the U.S. and globally. The pay by bank feature is not a new concept for us or for Walmart. For instance, as of today, customers can link three different bank accounts to their Walmart.com wallet for purchases. Walmart’s announcement about an upcoming partnership should further enhance this capability.

We believe there is substantial potential for account-to-account payments to grow. Our goal is to add significant value in this arena, as I mentioned earlier. Competition remains high in our sector, but we have confidence in our products, innovative solutions, and our commitment to delivering value to both buyers and sellers, which should drive our continued business growth.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Let’s move to the next question.

Operator

This question comes from Sanjay Sakhrani from KBW. Please proceed.

Sanjay Sakhrani — Analyst

Thank you. Can you discuss the recent deceleration in commercial volumes and share your thoughts on future growth rates? Are there external factors influencing this change? Appreciate your insights.

Chris Suh — Chief Financial Officer

Hi, Sanjay. We acknowledge the impact of days mix on commercial volumes in Q4. However, focusing on the broader picture, we remain enthusiastic about the opportunities for new flows and anticipate that commercial volumes will grow at a faster rate than consumer volumes in the long run.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question, please.

Operator

Now, we have Paul Golding from Macquarie on the line. Please go ahead.

Paul Golding — Macquarie Group — Analyst

Thank you. Regarding the ongoing Featurespace acquisition, how do you foresee AI integration influencing your business model? Do you view it primarily as a means for revenue enhancement, cost efficiency, or as a competitive edge?

Ryan McInerney — Chief Executive Officer

Great question. I see AI playing dual roles in our strategy. We are thrilled about the Featurespace acquisition, particularly as financial crime and fraud prevention rank high on the agenda for our clients and regulators worldwide. Featurespace excels in providing AI-driven solutions that help in mitigating these risks, empowering our partners to serve their customers securely.

Across Visa, we are implementing AI technologies aggressively to boost productivity. Early results from our engineering, accounting, sales, and client service teams have been promising, and we foresee significant productivity gains ahead. Additionally, AI is also transforming our products and services. For instance, we’ve implemented new risk management capabilities in our account-to-account services enabled by generative AI. Our upcoming product lineup is rich in generative AI innovations, such as the data token we are piloting with foodpanda.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question.

Operator

Finally, we have Tien-Tsin Huang from JPMorgan. Please proceed.

Tien-Tsin Huang — JPMorgan Chase and Company — Analyst

Thank you. Could you explain how you expect growth in 2025 to differ from 2024 across consumer payments, new flows, and value-added services?

Chris Suh — Chief Financial Officer

While we don’t provide specific guidance on consumer payments, new flows, and value-added services, we maintain a consistent approach to our overall revenue expectations. If our assumptions, such as those regarding client renewals and deal activity, materialize as expected, we foresee adjusted net revenue growth to align with our earlier estimates. Several key factors, including incentives, cross-border volumes, and market volatility, will influence the actual growth trajectory.

To summarize, while challenges exist, our focus remains steady on innovation, operational efficiency, and delivering value to our clients, positioning us for sustained growth in a dynamic market.

Visa Discusses Growth Opportunities Amid Regulatory Changes and Consistent Value-Added Services

The macroeconomic landscape remains a crucial part of Visa’s strategic plan as the company looks ahead.

As we continue to emphasize, Visa does not forecast economic trends directly. However, if personal computer (PC) growth exceeds current projections, we could see a corresponding increase in Visa’s growth as well. A variety of factors play a role in shaping our outlook. We are optimistic about the plans we outlined at the beginning of the year and will keep stakeholders updated as the year progresses.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question.

Operator

Our next question comes from Rayna Kumar at Oppenheimer. Please proceed.

Rayna Kumar — Oppenheimer and Company — Analyst

Good afternoon. Thank you for taking my question. The CFPB issued a final open banking rule for the U.S. last week. How does this present opportunities or challenges for Visa, particularly with Tink’s involvement?

Ryan McInerney — Chief Executive Officer

From my understanding, the new rules align closely with the CFPB’s initial proposal. We strongly support consumers gaining more control over their financial data, provided it is done securely. We are assessing the detailed impacts of these updated regulations on the industry. It’s essential to note that our capabilities will adhere to CFPB requirements and meet our clients’ high standards for security and privacy.

Expanding on the potential opportunities, the U.S. market’s shift towards open banking resembles established practices in Europe. Our experience shows that the Visa brand acts as a significant differentiator. By introducing our capabilities, similar to our European initiative with Visa A2A, we aim to foster confidence among end users and data providers while simplifying the complexities of open banking. We remain optimistic about adding value in the U.S. market, which is still in its early phases.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question.

Operator

Now, we will hear from Andrew Schmidt at Citi. Please go ahead.

Andrew Schmidt — Analyst

Hello, Ryan and Chris. Thank you for my questions today. I wanted to discuss the growth of Visa’s value-added services.

It’s encouraging to see steady growth in this area. Could you shed light on its predictability? Additionally, can you describe how you plan to maintain this growth momentum, considering both organic and inorganic factors? Thanks.

Ryan McInerney — Chief Executive Officer

We share your excitement about the consistent year-over-year growth in our value-added services. Our strategy involves thorough planning across various components: sales strategies, client engagement, and product development. When examining opportunities, we approach the market using a strategic framework.

Our value-added services enhance Visa transactions, ensuring that Visa becomes the preferred method of payment globally. We are committed to investing in functionality that boosts payment success and network security. For instance, services such as Visa Account Updater and Visa Secure are part of this effort.

Another growth area is extending our services to non-Visa transactions, like Cybersource and Authorize.net, which provide valuable risk management tools and processing solutions for diverse transaction types.

Finally, we are exploring opportunities beyond payments, including consulting, analytics, marketing, and enhanced open banking platforms like Tink. These varied offerings are integral to our growth strategy and illustrate our commitment to delivering consistent value.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question.

Operator

Our next question is from Dave Koning at Baird. Please share your question.

David Koning — Analyst

Hi, everyone. Thank you for having me. Regarding revenue from cross-border transactions, it remained stable at 9% this quarter, similar to the previous quarter, but we observed a 1% increase in reported volumes. I believe that foreign exchange volatility has lessened, which may have positively impacted this stability. Are there emerging headwinds in this area, or can you explain the gap between revenue and volume growth?

Chris Suh — Chief Financial Officer

Absolutely. As you pointed out, international revenue growth was slower than total cross-border volumes, primarily due to volatility factors. At the end of Q4, international volatility improved slightly compared to Q3 but remained below levels seen last year. Additionally, the cross-border volume experienced 13% growth in Q4, which was lower than the growth experienced during the same period last year. These dynamics contributed to the noticeable difference between volume and revenue growth.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question.

Operator

Our next question comes from Tim Chiodo at UBS. Please go ahead.

Timothy Chiodo — Analyst

Thank you for addressing my question. I would like to delve deeper into two specific offerings in the value-added services segment: DPS and Cybersource. I believe these two represent a significant portion of the transaction-based services.

Previously disclosed figures for DPS indicated approximately $2.5 trillion in volume, while Cybersource hovered near $1 trillion. Could you provide insights into their relative growth rates compared to the overall value-added services, along with any updated figures? Thank you.

Ryan McInerney — Chief Executive Officer

Thank you for your inquiry. We are enthusiastic…

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Financial Insights: October Volume Growth and Future Guidance Revealed in Analyst Call

Progress Updates on DPS and Cybersource

During a recent call, company executives expressed satisfaction with advancements in their Digital Payment Solutions (DPS) mainly in the U.S. and noted that Cybersource has grown into a substantial global platform. However, they refrained from disclosing specific transaction volume growth data or detailed metrics due to reporting constraints.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question.

Operator

Next, we’ll go to the line of Bryan Keane from Deutsche Bank. Please go ahead.

Bryan Keane — Analyst

Hi, good afternoon. I noticed a 7% increase in debit volume growth in October. Is this due to new business wins or a better economic climate? Also, could you clarify the reason for the timing change in price-to-value this year?

Chris Suh — Chief Financial Officer

I’ll address your question about October first. While three weeks don’t determine a trend, we’ve observed a strong start in October compared to the end of Q4. Two main factors affected September’s lower growth: a shift in calendar days and the effects of regulatory changes we mentioned last year. September lacked the extra high-spending days seen the previous year.

As for October’s initial strength, while it’s promising, we need to see how the quarter unfolds.

Ryan McInerney — Chief Executive Officer

Regarding price-to-value, we always focus on delivering additional value through our products and services. Our product pipeline for 2025 is more backloaded with new offerings, which influences the shift in pricing timing.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question.

Operator

Next, we’ll hear from Jason Kupferberg at Bank of America. Please go ahead.

Jason Kupferberg — Analyst

Thanks. U.S. card-present volume growth has remained around 2% in recent quarters. Are you anticipating this to improve in fiscal year ’25? Additionally, can you quantify the favorable adjustment to new flows revenue in Q4?

Chris Suh — Chief Financial Officer

I’ll first address your second question. We’re optimistic about the momentum in new flows, which increased from 18% in Q3 to 22% in Q4. This uptick was aided by a one-time rebate adjustment owing to deal timing. A client did not meet a milestone that triggered a rebate, leading to this adjustment in Q4.

As for card-present volume, we expect trends to remain stable as we head into FY ’25, mirroring the healthy conditions observed in ’24.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question.

Operator

Next, we’ll go to Craig Maurer from FT Partners. Please proceed.

Craig Maurer — Analyst

Thanks, everyone. I’d like to inquire about operating leverage; it seems expenses are projected to grow in line with revenue for fiscal year ’25. Do you see this continuing, or is operating leverage limited going forward? Additionally, regarding your FY ’25 guidance, what are your assumptions regarding the APAC region, especially China?

Ryan McInerney — Chief Executive Officer

On your first question, we are actively pursuing numerous opportunities, assessing our product pipeline, and considering both organic and inorganic growth strategies. The objective is to enhance long-term growth potential, as reflected in our recent performance and guidance.

Chris Suh — Chief Financial Officer

As for APAC, we anticipate that overall trends will remain consistent with the end of FY ’24. Performance there is largely influenced by macroeconomic conditions in China, and we do not predict economic outcomes.

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Next question.

Operator

Next, we will hear from Trevor Williams from Jefferies. Please go ahead.

Trevor Williams — Analyst

Thank you. I’d like to follow up regarding value-added services, particularly that two-thirds of VAS revenue is linked to transactions. How is this revenue trend developing?

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Visa’s Revenue Growth Strategies: Insights from the Latest Earnings Call

Maximizing Visa Transactions and Expanding Beyond

Ryan McInerney — Chief Executive Officer

Today, a significant portion of Visa’s revenue comes from value-added services (VAS) tied to Visa transactions, which we have been developing over many years. These services enhance the overall value of transactions and support our ongoing growth in Visa payment volumes. Alongside this, we’ve made advancements in platforms catering to non-Visa transactions, such as Cybersource and Verifi, which present considerable market opportunities.

Strong Momentum in Renewals and New Business

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Let’s take our last question.

Operator

The final question comes from Darrin Peller from Wolfe Research. Please proceed.

Darrin Peller — Analyst

Thanks, team. Following up on the reported 12% growth in incentives and rebates for ’24, your forecast for ’25 is even higher. This suggests strong activity levels that should help maintain growth. Can you elaborate on how this relates to new business and market share gains? Also, it appears that ’24 could be a breakout year for revenue growth in incentives and rebates. How does this influence your long-term growth outlook?

Winning New Markets and Strengthening Client Relations

Ryan McInerney — Chief Executive Officer

Thanks, Darrin. While I can’t speculate on numbers for upcoming years, I can share that we are successfully winning business in various regions. Our client base, which includes numerous recognized names, continues to expand, reflecting our solid performance in the market. Regarding renewals, although we can’t predict exact timings, we must stay prepared to seize opportunities as they arise. Recent months have seen a series of competitive situations, and we’re eager to tackle them.

As we enhance our product offerings and leverage our skilled team, we are well-positioned to encourage existing clients to deepen their engagement with us and explore new markets.

Closing Remarks

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Thank you for joining us today. If you have more questions, feel free to reach out to our Investor Relations team. We appreciate your participation, and have a pleasant day!

Operator

[Operator signoff]

Duration: 0 minutes

Call Participants:

Jennifer Como — Senior Vice President, Head of Global Investor Relations

Ryan McInerney — Chief Executive Officer

Chris Suh — Chief Financial Officer

Harshita Rawat — Analyst

Ramsey El-Assal — Barclays — Analyst

Sanjay Sakhrani — Analyst

Paul Golding — Macquarie Group — Analyst

Tien-Tsin Huang — JPMorgan Chase and Company — Analyst

Rayna Kumar — Oppenheimer and Company — Analyst

Andrew Schmidt — Analyst

David Koning — Analyst

Timothy Chiodo — Analyst

Bryan Keane — Analyst

Jason Kupferberg — Analyst

Craig Maurer — Analyst

Trevor Williams — Analyst

Darrin Peller — Analyst

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