PayPal Q4 earnings, revenue top consensus; issues strong FY23 guidance
Justin Sullivan

PayPal Holdings (NASDAQ:PYPL) stock rose 1.9% in Thursday after-hours trading after the payment technology company issued strong 2023 guidance and turned in better than expected Q4 results as total payment volume increased and net new active accounts maintained Q3's pace.
CEO Dan Schulman also announced his plan to retire at the end of the year.
The company guides for 2023 adjusted EPS of ~$4.87, exceeding the consensus estimate of $4.76. PayPal (PYPL) guides for Q1 adjusted EPS of $1.08-$1.10, higher than the $1.07 consensus estimate, and sees net revenue growth of 7.5%.
Q4 adjusted EPS of $1.24, topping the $1.20 consensus, rose from $1.08 in Q3 and from $1.11 in Q4 2021.
Net new active accounts were 2.9M in the quarter vs. 2.9M in the prior quarter. Total active accounts stand at 435M, up 1% Q/Q and 2% Y/Y.
Q4 revenue of $7.38B, missing the $7.39B consensus, increased from $6.85B in Q3 and from $6.92B in Q4 2021; Q4 total payment volume (TPV) of $357.4B climbed from $337.0B in the prior quarter and from $339.5B in the year-ago period.
Venmo processed $62.5B in TPV, up 3% Y/Y and down from $63.6B in Q3. 
Q4 total operating expenses of $6.14B rose from $5.73B in Q3 and from $5.87B in the year-ago quarter.
Net cash provided by operating activities was $1.59B fell from $1.95B in Q3 and $1.64B in Q4 2021; free cash flow of $1.43B vs. $1.77B in the prior quarter and $1.43B in the year-ago period.
Conference call at 5:00 PM ET.
Earlier, PayPal Q4 non-GAAP EPS, revenue beat, FY23 guidance raised