•Third quarter net income of $2.5 billion, and diluted earnings per share (EPS) of $2.58

•Third quarter adjusted net income of $2.6 billion, and adjusted diluted EPS of $2.68

•Third quarter net revenue of $5.8 billion, an increase of 15%, or 23% on a currency-neutral basis

•Third quarter gross dollar volume up 11% and purchase volume up 15%, on a local currency basis

Purchase, NY - October 27, 2022 - Mastercard Incorporated (NYSE: MA) today announced financial results for the third quarter 2022.

“Consumer spending remains resilient and cross-border travel continues to recover,” said Michael Miebach, Mastercard CEO. “We delivered strong revenue and earnings growth again this quarter, reflecting the focused execution of our strategy. We will continue to monitor impacts related to elevated inflation and other macroeconomic and geopolitical risks. Our diversified business model and ability to modulate expenses position us well to navigate through periods of uncertainty while maintaining focus on our strategic objectives.”

The following information is provided to aid in understanding Mastercard’s third quarter 2022 results, versus the year ago period. As a reminder, we suspended our business operations in Russia in March 2022.

•Net revenue increased 15%, or 23% on a currency-neutral basis, which includes a 1 percentage point benefit from acquisitions. Primary drivers of the increase were as follows:

•Gross dollar volume growth of 11%, on a local currency basis, to $2.1 trillion.

•Cross-border volume growth of 44% on a local currency basis.

•Switched transactions growth of 9%.

•Other revenues increase of 17%, or 22% on a currency-neutral basis, which includes 2 percentage points of growth due to acquisitions. The remaining growth was driven primarily by the company’s Cyber & Intelligence and Data & Services solutions.

•Rebates and incentives (contra-revenue) increase of 20%, or 26% on a currency-neutral basis, primarily due to increased volumes and transactions and new and renewed deals.

•Total operating expenses increased 17%. Excluding the impact of Third Quarter Special Items, adjusted operating expenses increased 13%, or 17% on a currency-neutral basis. This includes a 3 percentage point increase from acquisitions. The remaining increase was primarily due to higher personnel costs to support our continued investment in our strategic initiatives across payments, services and new network capabilities.

•Other income (expense) was unfavorable $139 million, primarily due to lower net gains in the current period versus the prior period related to unrealized fair market value adjustments on marketable and non-marketable equity securities. Adjusted other income (expense) was unfavorable $7 million versus the year ago period.

•The effective tax rate for the third quarter of 2022 was 18.6%, versus 14.3% for the comparable period in 2021. The adjusted effective tax rate for the third quarter of 2022 was 19.4%, versus 14.4% for the comparable period in 2021, primarily due to the recognition of U.S. tax benefits in the third quarter of 2021, the majority of which were discrete, and a discrete tax expense due to an unfavorable court ruling in the current period. These discrete items were partially offset by a favorable change in the company’s geographic mix of earnings in the current period.

•As of September 30, 2022, the company’s customers had issued 3.0 billion Mastercard and Maestro-branded cards.

During the third quarter of 2022, Mastercard repurchased 4.7 million shares at a cost of $1.6 billion and paid $474 million in dividends. Quarter-to-date through October 24, the company repurchased 1.7 million shares at a cost of $505 million, which leaves $5.1 billion remaining under the approved share repurchase programs.

Year-to-date Operating Results																		Increase / (Decrease)
$ in billions, except per share data						2022						2021						Reported GAAP						Currency-neutral
Net revenue						$16.4						$13.7						20%						26%
Operating expenses						$7.3						$6.4						14%						18%
Operating income						$9.1						$7.3						25%						33%
Operating margin						55.3%						53.1%						2.2 ppt						2.9 ppt
Effective income tax rate						14.3%						15.7%						(1.4) ppt						(1.2) ppt
Net income						$7.4						$6.3						17%						24%
Diluted EPS						$7.60						$6.35						20%						27%
Key Year-to-date Non-GAAP Results 1																		Increase / (Decrease)
$ in billions, except per share data						2022						2021						As adjusted						Currency-neutral
Adjusted net revenue						$16.4						$13.7						20%						25%
Adjusted operating expenses						$6.9						$6.2						11%						14%
Adjusted operating margin						57.7%						54.4%						3.3 ppt						4.2 ppt
Adjusted effective income tax rate						14.8%						15.6%						(0.8) ppt						(0.6) ppt
Adjusted net income						$7.8						$6.0						29%						38%
Adjusted diluted EPS						$8.00						$6.06						32%						40%
1. The Key Year-to-date Non-GAAP Results exclude the impact of gains and losses on the company’s equity investments, special items as described on page 12 (“Year-to-date Special Items”) and/or currency. See page 12 for the company’s non-GAAP adjustments and the reconciliation to GAAP reported amounts.

Year-to-date 2022 Key Business Drivers (YoY growth)

Gross dollar volume

Cross-border volume

Switched transactions

(local currency basis)

(local currency basis)

up 14%

up 51%

up 14%

The following information is provided to aid in understanding Mastercard’s year-to-date 2022 results, versus the year ago period. As a reminder, we suspended our business operations in Russia in March 2022.

•Net revenue increased 20%. Excluding the impact of Year-to-date Special Items, adjusted net revenue increased 20%, or 25% on a currency-neutral basis, which includes a 1 percentage point benefit from acquisitions. Primary drivers of the increase were as follows:

•Gross dollar volume growth of 14%, on a local currency basis, to $6.0 trillion.

•Cross-border volume growth of 51% on a local currency basis.

•Switched transactions growth of 14%.

•Other revenues increase of 18%, or 22% on a currency-neutral basis, which includes 4 percentage points of growth due to acquisitions. The remaining growth was driven primarily by the company’s Cyber & Intelligence and Data & Services solutions.

•Rebates and incentives (contra-revenue) increase of 21%, or 25% on a currency-neutral basis, primarily due to increased volume and transactions and new and renewed deals.

•Total operating expenses increased 14%. Excluding the impact of Year-to-date Special Items, adjusted operating expenses increased 11%, or 14% on a currency-neutral basis. This includes a 5 percentage point increase from acquisitions. The remaining increase was primarily due to higher personnel costs to support the continued investment in our strategic initiatives, unfavorable foreign exchange activity, and increased spending on advertising and marketing.

•Other income (expense) was unfavorable $666 million, primarily due to net losses in the current period versus net gains in the prior period related to unrealized fair market value adjustments on marketable and non-marketable equity securities. Adjusted other income (expense) was unfavorable $4 million versus the year ago period.

•The effective tax rate for 2022 was 14.3%, versus 15.7% for the comparable period in 2021. The adjusted effective tax rate for 2022 was 14.8%, versus 15.6% for the comparable period in 2021, primarily due to a discrete tax benefit in the first quarter of 2022 due to final U.S. tax regulations published in the current year, and a favorable change in the company’s geographic mix of earnings. These tax benefits in the current year were partially offset by the recognition of U.S. tax benefits in the prior year, the majority of which were discrete, and a discrete tax expense related to an unfavorable court ruling in 2022.

Through September 30, 2022, Mastercard repurchased 18.3 million shares at a cost of $6.3 billion and paid $1.4 billion in dividends.

At 9:00 a.m. ET today, the company will host a conference call to discuss its third quarter 2022 results. The dial-in information for this call is 1-888-330-2508 (Toll-free) and 1-240-789-2735 (Toll dial-in), using passcode 6451878. A replay of the call will be available for 30 days and can be accessed by dialing 1-800-770-2030 (Toll-free) and 1-647-362-9199 (Toll dial-in), using passcode 6451878.

A live audio webcast of this call, along with presentation slides, can also be accessed through the Investor Relations section of the company’s website at investor.mastercard.com.

This press release contains forward-looking statements pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical facts may be forward-looking statements. When used in this press release, the words “believe”, “expect”, “could”, “may”, “would”, “will”, “trend” and similar words are intended to identify forward-looking statements. Examples of forward-looking statements include, but are not limited to, statements that relate to Mastercard’s future prospects, developments and business strategies. We caution you to not place undue reliance on these forward-looking statements, as they speak only as of the date they are made. Except for the company’s ongoing obligations under the U.S. federal securities laws, the company does not intend to update or otherwise revise the forward-looking information to reflect actual results of operations, changes in financial condition, changes in estimates, expectations or assumptions, changes in general economic or industry conditions or other circumstances arising and/or existing since the preparation of this press release or to reflect the occurrence of any unanticipated events.

Many factors and uncertainties relating to our operations and business environment, all of which are difficult to predict and many of which are outside of our control, influence whether any forward-looking statements can or will be achieved. Any one of those factors could cause our actual results to differ

materially from those expressed or implied in writing in any forward-looking statements made by Mastercard or on its behalf, including, but not limited to, the following factors:

•regulation directly related to the payments industry (including regulatory, legislative and litigation activity with respect to interchange rates and surcharging)

•the impact of preferential or protective government actions

•regulation of privacy, data, security and the digital economy

•regulation that directly or indirectly applies to us based on our participation in the global payments industry (including anti-money laundering, counter financing of terrorism, economic sanctions and anti-corruption, account-based payments systems, and issuer and acquirer practice regulation)

•the impact of changes in tax laws, as well as regulations and interpretations of such laws or challenges to our tax positions

•potential or incurred liability and limitations on business related to any litigation or litigation settlements

•the impact of the global COVID-19 pandemic and measures taken in response

•the impact of competition in the global payments industry (including disintermediation and pricing pressure)

•the challenges relating to rapid technological developments and changes

•the challenges relating to operating a real-time account-based payments system and to working with new customers and end users

•the impact of information security incidents, account data breaches or service disruptions

•issues related to our relationships with our stakeholders (including loss of substantial business from significant customers, competitor relationships with our customers, consolidation amongst our customers, merchants’ continued focus on acceptance costs and unique risks from our work with governments)

•exposure to loss or illiquidity due to our role as guarantor and other contractual obligations

•the impact of global economic, political, financial and societal events and conditions, including adverse currency fluctuations and foreign exchange controls

•events and resulting actions related to the Russian invasion of Ukraine

•reputational impact, including impact related to brand perception and lack of visibility of our brands in products and services

•the inability to attract, hire and retain a highly qualified and diverse workforce, or maintain our corporate culture

•issues related to acquisition integration, strategic investments and entry into new businesses

•issues related to our Class A common stock and corporate governance structure

For additional information on these and other factors that could cause the company’s actual results to differ materially from expected results, please see the company’s filings with the Securities and Exchange Commission, including the company’s Annual Report on Form 10-K for the year ended December 31, 2021 and any subsequent reports on Forms 10-Q and 8-K.

Mastercard is a global technology company in the payments industry. Our mission is to connect and power an inclusive, digital economy that benefits everyone, everywhere by making transactions safe, simple, smart and accessible. Using secure data and networks, partnerships and passion, our innovations and solutions help individuals, financial institutions, governments and businesses realize their greatest potential. Our decency quotient, or DQ, drives our culture and everything we do inside and outside of our company. With

connections across more than 210 countries and territories, we are building a sustainable world that unlocks priceless possibilities for all.

www.mastercard.com

1 The company corrected prior period classifications of certain line items within investing activities on the consolidated statement of cash flows with no impact on total net cash used in investing activities.

Mastercard discloses the following non-GAAP financial measures: adjusted net revenue, adjusted operating expenses, adjusted operating margin, adjusted other income (expense), adjusted effective income tax rate, adjusted net income and adjusted diluted earnings per share (as well as related applicable growth rates versus the comparable period in the prior year). These non-GAAP financial measures exclude the impact of gains and losses on the company’s equity investments which includes mark-to-market fair value adjustments, impairments and gains and losses upon disposition, as well as the related tax impacts. These non-GAAP financial measures also exclude the impact of special items, where applicable, which represent litigation judgments and settlements and certain one-time items, as well as the related tax impacts. The company excludes these items because management evaluates the underlying operations and performance of the company separately from these recurring and nonrecurring items.

In addition, the company presents growth rates adjusted for the impact of currency, which is a non-GAAP financial measure. Currency-neutral growth rates are calculated by remeasuring the prior period’s results using the current period’s exchange rates for both the translational and transactional impacts on operating results as well as removing the related impact of the company’s foreign exchange derivative contracts designated as cash flow hedging instruments. The impact of currency translation represents the effect of translating operating results where the functional currency is different from the company’s U.S. dollar reporting currency. The impact of the transactional currency represents the effect of converting revenue and expenses occurring in a currency other than the functional currency. The impact of the related realized gains and losses resulting from the company’s foreign exchange derivative contracts designated as cash flow hedging instruments is recognized in the respective financial statement line item on the statement of operations when the underlying forecasted transactions impact earnings. The company believes the presentation of currency-neutral growth rates provides relevant information to facilitate an understanding of its operating results.

The company believes that the non-GAAP financial measures presented facilitate an understanding of operating performance and provide a meaningful comparison of its results between periods. The company’s management uses non-GAAP financial measures to, among other things, evaluate its ongoing operations in relation to historical results, for internal planning and forecasting purposes and in the calculation of performance-based compensation.

The company includes reconciliations of the requisite non-GAAP financial measures to the most directly comparable GAAP financial measures. The presentation of non-GAAP financial measures should not be considered in isolation or as a substitute for the company’s related financial results prepared in accordance with GAAP.

1. Q3’22 and Q3’21 pre-tax net gains of $60 million and $197 million, respectively, were primarily related to unrealized fair market value adjustments and unrealized gains on marketable and nonmarketable equity securities.

2. Q3’22 pre-tax charges of $208 million as result of developments in settlement discussions with certain U.K. merchants, including a settlement reached with one of those merchants.

3. Q3’21 pre-tax charges of $27 million related to litigation settlements and estimated attorney’s fees with U.K. merchants.

4. Q3’21 pre-tax net charges of $88 million related to the resolution of a foreign indirect tax matter for 2015 through 2021 and the related interest expense.

5. Represents the translational and transactional impact of currency and the related impact of the company’s foreign exchange derivative contracts designated as cash flow hedging instruments.

1. Year-to-date 2022 pre-tax net losses of $133 million and 2021 pre-tax net gains of $534 million were primarily related to unrealized fair market value adjustments on marketable and non-marketable equity securities.

2. Year-to-date 2022 pre-tax charges of $341 million as a result of developments in settlement discussions with certain U.K. merchants, including a settlement reached with one of those merchants, as well as a change in estimate related to the claim of merchants who opted out of the U.S. merchant class litigation.

3. Year-to-date 2022 pre-tax net charges of $30 million directly related to imposed sanctions and the suspension of our business operations in Russia. The net charge is comprised of general and administrative expenses of $67 million primarily related to incremental employee-related costs and reserves on uncollectible balances with certain sanctioned customers, offset by a net benefit of $37 million in rebates and incentives (contra-revenue) primarily related to a reduction in liabilities as a result of lower estimates of customer performance for certain customer business agreements due to the suspension of our business operations in Russia.

4. Year-to-date 2021 pre-tax charges of $94 million related to litigation settlements and estimated attorneys’ fees with U.K. merchants.

5. Year-to-date 2021 pre-tax charges of $88 million related to the resolution of a foreign indirect tax matter for 2015 through 2021 and the related interest expense.

6. Represents the translational and transactional impact of currency and the related impact of the company’s foreign exchange derivative contracts designated as cash flow hedging instruments.

The tables set forth the gross dollar volume (“GDV”), purchase volume, cash volume and the number of purchase transactions, cash transactions and cards on a regional and global basis for Mastercard™-branded cards. Growth rates over prior periods are provided for volume-based data.

Debit transactions on Maestro® and Cirrus®-branded cards and transactions involving brands other than Mastercard are not included in the preceding tables.

For purposes of the table: GDV represents purchase volume plus cash volume and includes the impact of balance transfers and convenience checks; “purchase volume” means the aggregate dollar amount of purchases made with Mastercard-branded cards for the relevant period; and “cash volume” means the aggregate dollar amount of cash disbursements and includes the impact of balance transfers and convenience checks obtained with Mastercard-branded cards for the relevant period. The number of cards includes virtual cards, which are Mastercard-branded payment accounts that do not generally have physical cards associated with them.

The Mastercard payment products are comprised of credit, charge, debit and prepaid programs, and data relating to each type of program is included in the tables. The tables include information with respect to transactions involving Mastercard-branded cards that are not switched by Mastercard and transactions for which Mastercard does not earn significant revenues.

Information denominated in U.S. dollars is calculated by applying an established U.S. dollar/local currency exchange rate for each local currency in which Mastercard volumes are reported. These exchange rates are calculated on a quarterly basis using the average exchange rate for each quarter. Mastercard reports period-over-period rates of change in purchase volume and cash volume on the basis of local currency information, in order to eliminate the impact of changes in the value of currencies against the U.S. dollar in calculating such rates of change.

The data set forth in the GDV, purchase volume, purchase transactions, cash volume and cash transactions columns is provided by Mastercard customers and is subject to verification by Mastercard and partial cross-checking against information provided by Mastercard’s transaction switching systems. The data set forth in the cards columns is provided by Mastercard customers and is subject to certain limited verification by Mastercard. A portion of the data set forth in the cards columns reflects the impact of routine portfolio changes among customers and other practices that may lead to over counting of the underlying data in certain circumstances. All data is subject to revision and amendment by Mastercard or Mastercard’s customers. Starting in the first quarter of 2022, data related to sanctioned Russian banks was not reported to us and therefore such amounts are not included. Subsequent to the suspension of our business operations in Russia in March 2022, there is no Russian data to be reported.

Performance information for prior periods can be found in the Investor Relations section of the Mastercard website at investor.mastercard.com.