LONDON (ShareCast) - (Sharecast News) - PayPal shares tanked on Wednesday after the US payment firm's fourth-quarter results and outlook failed to impress.
Earnings per share came in at $1.11 for the fourth quarter, versus expectations of $1.12. However, revenue was a beat at $6.92bn, compared to expectations of $6.87bn.

Total payment volume grew 23% on a spot and forex neutral basis to $339.5bn, falling short of analysts' expectations and marking the slowest growth rate in two years. This comes as eBay has moved away from PayPal to its own payments platform.

PayPal said it expects first-quarter non-GAAP earnings per diluted share of around $0.87, down from $1.22 the previous year. Meanwhile, full-year revenue is expected to grow by around 15% to 17% on a spot and forex neutral basis. Analysts were expecting growth closer to 18%.

The company also guided for net new active users of 15m to 20m in FY22, down from 48.9m in the previous year and missing analyst expectations for a year-on-year increase.

At 1550 GMT, the shares were down 25% at $131.31.

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