Visa 2015 Annual Report Download - page 53

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subject to income tax and therefore has no impact on our reported income tax provision. See
Note 2—Visa Europe to our consolidated financial statements.
•Litigation provision. During fiscal 2014, we recorded a litigation provision of $450 million and
related tax benefits associated with the interchange multidistrict litigation. The tax impact is
determined by applying applicable federal and state tax rates to the litigation provision.
Monetary liabilities from settlements of, or judgments in, the U.S. covered litigation will be paid
from the litigation escrow account. See Note 3—U.S. Retrospective Responsibility Plan and
Potential Visa Europe Liabilities and Note 20—Legal Matters to our consolidated financial
statements.
The following tables present our adjusted financial results for fiscal 2015 and 2014. There were no
comparable adjustments recorded during fiscal 2013.
Fiscal 2015
(in millions, except for percentages and per share data)
Operating
Expenses
Operating
Margin
(1),(2) Net Income
Diluted
Earnings Per
Share
(2),(3)
As reported ............................... $ 4,816 65% $ 6,328 $ 2.58
Revaluation of Visa Europe put option ......... — — 110 0.04
As adjusted .............................. $ 4,816 65% $ 6,438 $ 2.62
Diluted weighted-average shares outstanding,
as reported ............................... 2,457
Fiscal 2014
(in millions, except for percentages and per share data)
Operating
Expenses
Operating
Margin
(1),(2) Net Income
Diluted
Earnings Per
Share
(2),(3)
As reported ............................... $ 5,005 61% $ 5,438 $ 2.16
Litigation provision ......................... (450) 4% 283 0.11
As adjusted .............................. $ 4,555 64% $ 5,721 $ 2.27
Diluted weighted-average shares outstanding,
as reported ............................... 2,523
Fiscal 2013
(in millions, except for percentages and per share data)
Operating
Expenses
Operating
Margin
(1),(2) Net Income
Diluted
Earnings Per
Share
(2),(3)
As reported ............................... $ 4,539 61% $ 4,980 $ 1.90
Diluted weighted-average shares outstanding,
as reported ............................... 2,624
(1) Operating margin is calculated as operating income divided by total operating revenues.
(2) Figures in the table may not recalculate exactly due to rounding. Operating margin and diluted
earnings per share figures are calculated based on unrounded numbers.
(3) The per share amounts for the prior periods presented have been retroactively adjusted to reflect
the four-for-one stock split effected in the fiscal second quarter of 2015.
Class A common stock split. In January 2015, Visa’s board of directors declared a four-for-one
split of its class A common stock. Each class A common stockholder of record at the close of business
on February 13, 2015 (“Record Date”) received a dividend of three additional shares on March 18,
40