PayPal is hiring a search firm to help find a successor.
“I’m proud of what we have accomplished at PayPal and of the incredibly talented and committed people I work with every day,” said Schulman in a statement. “Together, we have reimagined financial services and e-commerce and worked to improve the financial health of our customers. PayPal makes a difference every day for its customers and communities, and the company is positioned for a great future.”
Quarterly, Yearly Financial Results
Under his leadership, revenues at PayPal nearly tripled, from $9.2 billion in 2015 to $27.5 billion in 2022, according to the company, while total active accounts more than doubled, to over 430 million in 200 markets, and payment volumes quintupled.“It has been a huge privilege to have the opportunity to lead this great company for the past eight and a half years. However, I’m at a point in my life where I want to devote more time to my passions outside the workplace. I remain 100 percent committed to working closely with the board and my eventual successor for a smooth transition and to ensure we keep our positive momentum on track,” Schulman said.
PayPal on Thursday also shared its fourth-quarter and full-year 2022 results for the period ended Dec. 31, 2022, showing a mixed bag of results amid a volatile economic environment that has hurt consumers.
For the quarter that ended Dec. 31, 2022, the company reported net revenues of $7.4 billion, up 7 percent on an annual basis, but missed analysts’ estimates of $7.39 billion.
Profits in the fourth quarter of 2022 also increased to $921 million compared to $801 million in the same period in 2021, or $1.24 per share on an adjusted basis, beating analyst estimates of $1.20 per share.
For the full year, PayPal reported net revenues of $27.5 billion and a profit of $2.42 billion, or $2.09 per share, compared to $3.52 in 2021.
PayPal Slashing Workforce
The company, however, stopped short of providing a 2023 revenue outlook. Shares of PayPal were down 1.63 percent during after-hours trading after the announcements.In August, PayPal said that Elliott Management, the hedge fund activist investor group which often pursues various deals in order to boost shareholder value, took a stake of more than $2 billion in the fintech company, sending its stock price soaring.
“Jesse and I are good friends. He’s been incredibly supportive, and I’m sure this announcement comes as a real surprise and shock because he’s been so supportive,” Schulman said, although he added that the two “really haven’t spoken much this past quarter.”
The CEO added that PayPal’s board of directors “just wants to find the very best candidate” to fill his role when he steps down and will “look across the company and externally.”
