PayPal Holdings Cuts FY Outlook; Announces Venmo Partnership With Amazon

(RTTNews) - PayPal Holdings, Inc. (PYPL) Monday lowered its earnings and revenue outlook for the full year. However, the company also announced a partnership with Amazon.com (AMZN) through which Venmo users in the U.S. will be able to pay with Venmo on the online marketplace starting in 2022

PayPal now expects full-year adjusted earnings of about $4.60 and full-year revenue guidance of $25.3 billion to $25.4 billion. Previously, the company expected adjusted earnings of about $4.70 per share and revenue of about $25.75 billion.

Analysts polled by Thomson Reuters currently estimate earnings of $4.73 per share on revenues of $25.77 billion for the quarter.

Further, the company said it is teaming up with Amazon to enable customers in the U.S. to pay with Venmo at checkout. Starting next year, customers will be able to make purchases on Amazon.com and the Amazon mobile shopping app using their Venmo accounts.

"The strength of PayPal's two-sided platform and ubiquity in our core markets has set us up to grow at scale, expand our work with existing merchants and attract new partners. We're thrilled that we are teaming up with Amazon to enable customers in the U.S. to pay with Venmo at checkout," CEO Dan Schulman said.