PayPal put up record revenues of $5.26 billion in the 2nd quarter of 2020, and 21.3 million net new active accounts, up 137% year-over-year, to bring their total active accounts to 346 million.
A total of 1.7 million merchant accounts were added in the quarter, bringing the total merchant accounts to 26 million. The 26 million merchant accounts are part of 346 million total active accounts.
PayPal said this is the strongest quarter in their history, and they expect the numbers to grow just as fast in the final two quarters of the year. The company is expecting to add 70 million more active users in the time span.
The payments giant facilitated a total payment volume of $222 billion. This was the first time that the company breached the $200 billion mark. Its $5.26 billion revenue also marked the first time that the company breached $5 billion.
Forbes reported that, in a call discussing the results, the positive figures signal the "inflection point" for the "death of cash." The coronavirus figures in heavily too, with executives noting that 70% are scared of paying in stores with cash because of health concerns.
“Consumers no longer want to handle cash or any forms of payment that require physical touch at checkout," Schulman said, according to the business publication.
Payment apps are surging, much like many other digital services during the pandemic.