8-KEarnings & ResultsRegulation FDExhibits & Filings

Mastercard Inc 8-K Report, Financial Results (Jul 30, 2009)

Filed July 30, 2009For Securities:MA

Summary

Mastercard Inc. filed an 8-K on July 30, 2009, to report its financial results for the second quarter ended June 30, 2009. The filing includes a press release (Exhibit 99.1) detailing these results and a presentation for an investor conference call (Exhibit 99.2). A key aspect of the disclosure is the use of non-GAAP financial measures, which the company employs to provide a clearer view of its ongoing operational performance by excluding significant one-time items. Investors should note that Mastercard is presenting figures that exclude a litigation settlement charge and a gain from the termination of a customer business agreement in specific periods. The company's management believes these adjustments allow for a more meaningful comparison of results across periods and a better understanding of core business operations. Reconciliations to GAAP figures are provided within the accompanying press release.

Key Highlights

  • 1Mastercard announced its second quarter 2009 financial results via an 8-K filing on July 30, 2009.
  • 2The filing includes a press release and a presentation for a conference call to discuss Q2 2009 results.
  • 3The company utilized non-GAAP financial measures in its reporting for the period.
  • 4Key exclusions from GAAP figures include a litigation settlement charge and a gain from a customer business agreement termination.
  • 5Management stated that these non-GAAP measures are used to evaluate ongoing operations and for internal planning.
  • 6Reconciliations between non-GAAP and GAAP financial measures are provided in the press release.
  • 7The filing aims to provide investors with a clearer understanding of Mastercard's operational performance by excluding unusual or non-recurring items.

Frequently Asked Questions

The main purpose of this 8-K filing is to officially report Mastercard's financial results for the second quarter ended June 30, 2009. It also includes supplemental materials like the press release and investor presentation used to discuss these results.

Mastercard used non-GAAP financial measures to present a view of its operational performance that excludes certain significant items, such as litigation settlement charges and gains from contract terminations. Management believes these adjustments provide a more meaningful comparison of results between periods and better reflect the company's ongoing operational performance.

In the reporting for the three months ended June 30, 2009, and June 30, 2008, a litigation settlement charge was excluded. For the six months ended June 30, 2008, a gain from the termination of a customer business agreement was also excluded. Additionally, related income tax benefits were adjusted in the effective tax rate calculation.

The reconciliations between the non-GAAP financial measures and the most directly comparable GAAP financial measures are included within the press release, which is attached as Exhibit 99.1 to this 8-K filing.