PayPal Holdings, Inc. filed its Form 10-Q for the quarterly period ended September 30, 2026, with the SEC on October 27, 2026, reporting third-quarter net income of $1.073 billion on net revenues of $8.584 billion.

Key Highlights

  • Net revenues: $8.584 billion for the three months ended September 30, 2026, compared with $8.417 billion in the same period of 2025, according to the filing.
  • Net income: $1.073 billion for Q3 2026, down from $1.248 billion in Q3 2025, as reported in the condensed consolidated statements of income.
  • Diluted EPS: $1.25 for the quarter, based on 858 million weighted average diluted shares, versus $1.30 and 960 million shares a year earlier.
  • Share count decline: Common shares outstanding fell to 837 million as of September 30, 2026, from 920 million at December 31, 2025, reflecting ongoing repurchase activity.
  • Nine-month net revenues: $25.619 billion for the nine months ended September 30, 2026, compared with $24.496 billion for the same period in 2025.
  • Total assets: $81.622 billion as of September 30, 2026, up from $80.173 billion at December 31, 2025, driven in part by growth in funds receivable and customer accounts.
  • Cash dividends: The company declared dividends of $0.14 per share in each of Q1 and Q2 2026, as shown in the stockholders' equity statements.

PayPal's Third-Quarter 2026 Financial Results and Capital Activity

According to the filing, PayPal Holdings (NASDAQ:PYPL) operates a global digital payments platform that generates revenue primarily through transaction fees. For the three months ended September 30, 2026, the company reported net revenues of $8.584 billion and total operating expenses of $7.182 billion, producing operating income of $1.402 billion. The comparable figures for Q3 2025 were $8.417 billion in revenues and $1.520 billion in operating income, indicating a year-over-year decline in operating income despite higher revenues.

The filing notes that restructuring and other charges rose to $255 million in Q3 2026 from $69 million in Q3 2025, a factor contributing to the operating income compression. Transaction expense, the company's largest cost line, increased to $4.248 billion from $4.063 billion in the prior-year quarter. For the nine months ended September 30, 2026, the company reported net income of $3.290 billion on net revenues of $25.619 billion, compared with net income of $3.796 billion on revenues of $24.496 billion for the nine months ended September 30, 2025.

The balance sheet as of September 30, 2026, shows total equity of $19.483 billion, down from $20.256 billion at December 31, 2025. Treasury stock grew to $37.680 billion (representing 517 million repurchased shares) from $33.138 billion (423 million shares) at year-end 2025, reflecting the repurchase of approximately 34 million shares in Q1 and 33 million shares in Q2 as disclosed in the stockholders' equity rollforward. Loans and interest receivable held for sale increased to $3.687 billion from $1.726 billion at December 31, 2025, while funds payable and amounts due to customers stood at $40.924 billion, reflecting the company's role in holding customer balances within its payments ecosystem.

What Was Disclosed

PayPal's 10-Q for the quarter ended September 30, 2026, disclosed revenues of $8.584 billion, net income of $1.073 billion, diluted EPS of $1.25, total assets of $81.622 billion, and ongoing share repurchases that reduced outstanding shares to 837 million from 920 million at year-end 2025.