Mastercard Investor Presentation — January 2021 - Mastercard

Mastercard Incorporated Fourth -Quarter and Full-Year 2020 Financial Results Conference Call January 28, 2021

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Fourth -Quarter and Full-Year 2020 Financial Results Conference Call

4th Quarter Selected Financial Performance

($ in millions, except per share data)

4Q 20 4Q 19 Currency

Non-GAAP Non-GAAP As adjusted Neutral

Net revenue $ 4,120 $ 4,414 (7) % (7) %

Adjusted operating expenses 2,018 2,015 — % — %

Adjusted operating income 2,102 2,399 (12) % (12) %

Adjusted operating margin 51.0 % 54.4 % (3.3) ppt (3.2) ppt

Adjusted net income $ 1,644 $ 1,981 (17) % (17) %

Adjusted diluted EPS $ 1.64 $ 1.96 (16) % (16) %

Adjusted effective tax rate 17.5 % 15.9 %

Note: See Appendix A for Non-GAAP reconciliation.

Thanks, Michael. Turning to page 3 , which shows our financial performance for the quarter on a currency-

neutral basis and excluding special items related to certain litigation and tax matters and the impact of

gains and losses on the company's equity investments.

•Net Revenue was down (7)% , reflecting the impacts of the pandemic, and includes a 1 ppt benefit

•Operating Expenses were flat year-over-year, or down (3)% if you exclude the 3 ppt impact of

•Operating Income was down (12)% , and Net Income was down (17)% , both of which include a 2 ppt

decrease related to acquisitions.

•EPS was down (16)% year-over-year to $1.64 , which includes 4 cents of dilution related to our recent

acquisitions partially offset by a 3 cent contribution from share repurchases.

•During the quarter, we repurchased about $1.0 billion worth of stock and an additional $356 million

$254 $237$601 $560$876 $950

Credit Debit / Prepaid4Q19 4Q20 4Q19 4Q20 4Q19 4Q20$0$200$400$600$800$1,000$1,200$1,400$1,600$1,800Worldwide United States Rest of World

1% Growth 4% Growth Flat

Notes: 1. Growth rates are shown in local currency.

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