Popular payment app Venmo has brought 40 million users to the platform, announced its parent company PayPal on Wednesday.
"We are confident about the goals we set for 2019, which we outlined in the last quarter, while leveraging our broad range of unique assets on our global digital payments platform," said Dan Schulman, CEO of PayPal a press release.
Square, run Twitter CEO Jack Dorsey announced 15 million active users for his rival cash app as of December.
PayPal posted a better result than expected after the close on Wednesday. The company achieved adjusted earnings of 78 cents per share compared to 68 cents forecast by Refinitiv. Quarterly sales were $ 4.13 billion for Wall Street.
The total payment volume – a closely watched metric for the company – was $ 161 billion, an increase of 25 percent over the previous year. This was $ 163 billion among analysts surveyed by FactSet. The PayPal shares fell in the close of trading by about 2 percent.
Venmo is not yet a money maker for PayPal. The company has not specified an exact target date for profitability.
"The next phase for us is to bring Venmo to break even and that will not happen in the next one or two quarters, but it's eye contact with what we do," said PayPal CFO John Rainey in the last quarter.