Footnotes
2 min readJan 17, 2024
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- Annualized from January-September 2023 numbers reported in 10Qs of Block and PayPal
- As per Page 12 of Q3–2023 earnings presentation of PayPal, peer-to-peer payments was 25% of total GPV. Block does not disclose this number. Neither company discloses the share of revenues from peer-to-peer.
- Based on January-September 2023 numbers. Block’s revenues are overstated from a business logic basis because of an accounting requirement related to bitcoin. Hence, this calculation was done based on net bitcoin revenue. PayPal does not disclose the consumer-merchant breakup.
- Part of an answer to an analyst question by then PayPal CFO Gabrielle Rabinovitch at management meeting held on June 8, 2023.
- Included in opening remarks made by Peggy Alford, EVP Sales at management meeting held on June 8, 2023.
- Part of an answer to an analyst question by then PayPal Chief Product Officer John Kim at management meeting held on June 8, 2023.
- For the purpose of this post BNPL revenue is considered to be GPV driven. As per its financial statements, 90% of PayPal’s revenues are transaction driven. But PayPal like Block classifies its BNPL revenue as non transactional revenue. In the absence of sufficient disclosure on BNPL revenue, all we can say is that PayPal’s GPV revenue is higher than 90%.
- Two adjustments were made to calculate this number. One for Bitcoin revenue as per the second footnote. The second adjustment was to reclassify Block’s BNPL revenue to GPV revenue. While Block does not report its BNPL revenue as a matter of practice, its 2022 10K quantifies BNPL revenue to be $811MM in the qualitative commentary.
- As reported in the shareholder letter for Q3–2023.
- As shared by then CEO Dan Schulman in earning call for first quarter-2023.
