Mastercard's Q4 profit jumps on resilient consumer spending, shares up 3.7%

Mastercard reported a higher fourth-quarter profit on Thursday as a resilient economy encouraged consumers to ramp up spending in the holiday season. 

The company's shares rose 3.7 per cent to $569 in premarket trading. 

Spending continues to be underpinned by a solid labor market and wage growth that have spurred consumer confidence, while retailers also offered discounts to attract budget-conscious shoppers during the holiday season between Thanksgiving and Christmas. 

Mastercard's gross dollar volume, the value of all transactions processed on the company's platform, rose 12 per cent in the fourth quarter. 

The company's net revenue jumped 16 per cent to $7.49 billion. 

Mastercard's net income rose to $3.34 billion, or $3.64 per share, in the three months ended Dec. 31, compared with $2.79 billion, or $2.97 per share, a year earlier.     

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