MasterCard Incorporated (NYSE:MA) Q2 2020 Earnings Conference Call - Final Transcript
Jul 30, 2020 • 09:00 am ET
Ladies and gentlemen, thank you for standing by, and welcome to the Mastercard Q2 2020 Earnings Conference Call. [Operator Instructions]
I would now like to hand the conference over to your speaker today, Warren Kneeshaw, Executive Vice President of Investor Relations. Thank you. Please go ahead, sir.
Thank you, Casey, and good morning, everyone. Thank you for joining us for our second quarter 2020 earnings call. We hope you are all safe and sound. With me today are Ajay Banga, our Chief Executive Officer; Michael Miebach, our President; and Sachin Mehra, our Chief Financial Officer. Following comments from Ajay, Michael and Sachin, the operator will announce your opportunity to get into the queue in the Q&A session. It's only then that the queue will open for questions. You can access our earnings release, supplemental performance data and the slide deck that accompany this call in the Investor Relations section of our website, mastercard.com. Additionally, the release was furnished with the SEC earlier this morning. Our comments today regarding our financial results will be on a non-GAAP, currency-neutral basis unless otherwise noted. Both the release and the slide deck include reconciliations of non-GAAP measures to GAAP reported amounts. Finally, as set forth in more detail in our earnings release, I would like to remind everyone that today's call will include forward-looking statements regarding Mastercard's future performance. Actual performance could differ materially from these forward-looking statements. Information about the factors that could affect future performance are summarized at the end of our earnings release and in our recent SEC filings. A replay of this call will be posted on our website for 30 days.
With that, I will now turn the call over to Chief Executive Officer, Ajay Banga.
Thank you, Warren, and good morning, everybody. So over the past several months, the COVID-19 pandemic has impacted every aspect of our society. And we remain focused on supporting our employees, our issuers, merchants, small businesses and government partners to help them navigate through what I think are completely unprecedented times. You may recall that we introduced a four-phased framework for monitoring spending levels and how we would run our company on our last earnings call: containment, stabilization, normalization and growth. Now in the second quarter, we saw a progressive improvement in volume trends over the course of the quarter driven by the opening up of domestic economies. And today, we believe that most markets are in the normalization phase domestically when [Indecipherable] and social distancing and mobility limitations are relaxed and spending begins to gradually recover with some sectors recovering faster than average. We expect that progressing through the normalization phase and ultimately move to the growth phase, essentially bringing us back to pre-COVID days, is very much dependent upon turning the tide on infection, which you've seen in Europe, in Asia and the United States Northeast, but also is ultimately tied to the broad availability of a vaccine and proven therapeutics. We expect that the progress through the phases will be nonlinear.