PayPal Holdings, Inc. (PYPL) FY2025 Annual Statement of Cash Flows

Income StatementCash FlowBalance Sheet

Statement of Cash Flows

2025-01-01 to 2025-12-31

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PayPal Holdings, Inc. cash flow reconciliation, Jan 1, 2025 through Dec 31, 2025One connected Sankey reconciles operating, investing and financing net cash flows through a shared cash pool, from beginning cash to ending cash. Ribbons flow left to right on one dollar scale. Activity totals are dark gray; beginning and ending cash are blue. Cash basis for beginning and ending balances and net cash change: Cash, cash equivalents, and restricted cash. Intermediate calculation bars are lighter gray. Net income is green for profit and red for loss. Identified asset purchases, sales and maturities are blue in either cash direction. Purple identifies capital transactions such as borrowing, repayments, share issuance and dividends. Free cash flow is a separate comparison, not an added cash flow. Read chart description and values below for full signed amounts, including zero items.Net income (loss) → Net cash from operating activities: $5,233,000,000.00Proceeds from repayments and sales of loans receivable, originally classified as held for sale → Operating adjustments reconciliation: $35,414,000,000.00Transaction and credit losses → Operating adjustments reconciliation: $1,720,000,000.00Stock-based compensation → Operating adjustments reconciliation: $1,002,000,000.00Depreciation and amortization → Operating adjustments reconciliation: $963,000,000.00Other current liabilities and non-current liabilities → Operating adjustments reconciliation: $599,000,000.00Deferred income taxes → Operating adjustments reconciliation: $217,000,000.00Adjustments to loans and interest receivable, held for sale → Operating adjustments reconciliation: $193,000,000.00Accounts receivable → Operating adjustments reconciliation: $144,000,000.00Accounts payable → Operating adjustments reconciliation: $4,000,000.00Operating adjustments reconciliation → Net cash from operating activities: $1,183,000,000.00Operating adjustments reconciliation → Originations of loans receivable, held for sale: $36,730,000,000.00Operating adjustments reconciliation → Transaction loss allowance for cash losses, net: $1,318,000,000.00Operating adjustments reconciliation → Other current assets and non-current assets: $493,000,000.00Operating adjustments reconciliation → Other: $287,000,000.00Operating adjustments reconciliation → Net (gains) losses on strategic investments: $162,000,000.00Operating adjustments reconciliation → Accretion of discounts on investments, net of amortization of premiums: $83,000,000.00Maturities and sales of investments → investing reconciliation: $22,933,000,000.00Proceeds from repayments and sales of loans receivable, originally classified as held for investment → investing reconciliation: $19,688,000,000.00Maturities of reverse repurchase agreements → investing reconciliation: $288,000,000.00Proceeds from sales of property and equipment → investing reconciliation: $3,000,000.00investing reconciliation → Net cash from investing activities: $797,000,000.00investing reconciliation → Purchases of investments: $20,399,000,000.00investing reconciliation → Purchases and originations of loans receivable: $20,190,000,000.00investing reconciliation → Purchases of property and equipment: $852,000,000.00investing reconciliation → Funds receivable: $303,000,000.00investing reconciliation → Purchases of reverse repurchase agreements: $201,000,000.00investing reconciliation → Collateral posted related to derivative instruments, net: $149,000,000.00investing reconciliation → Other: $21,000,000.00Net cash used in financing activities → financing reconciliation: $5,958,000,000.00Borrowings from repurchase agreements → financing reconciliation: $2,949,000,000.00Borrowings under financing arrangements → financing reconciliation: $2,637,000,000.00Funds payable and amounts due to customers → financing reconciliation: $174,000,000.00Proceeds from issuance of common stock → financing reconciliation: $117,000,000.00financing reconciliation → Purchases of treasury stock: $6,052,000,000.00financing reconciliation → Repayments of repurchase agreements: $2,949,000,000.00financing reconciliation → Repayments under financing arrangements: $2,155,000,000.00financing reconciliation → Tax withholdings related to net share settlements of equity awards: $383,000,000.00financing reconciliation → Collateral received related to derivative instruments and reverse repurchase agreements, net: $160,000,000.00financing reconciliation → Payments of dividends to stockholders: $130,000,000.00financing reconciliation → Other: $6,000,000.00Exchange-rate effect → Cash sources and uses: $273,000,000.00Beginning cash: Cash, cash equivalents, and restricted cash → Cash sources and uses: $22,490,000,000.00Net cash from operating activities → Cash sources and uses: $6,416,000,000.00Net cash from investing activities → Cash sources and uses: $797,000,000.00Cash sources and uses → Ending cash: Cash, cash equivalents, and restricted cash: $24,018,000,000.00Cash sources and uses → Net cash used in financing activities: $5,958,000,000.00Accounts payable: $4,000,000.00Trade payables+$4.00 MTransaction loss allowance for cash losses, net: -$1,318,000,000.00Transaction loss allowance, net−$1.32 BGain on divestiture of business, excluding transaction costs: $0.00Net income (loss): $5,233,000,000.00Net income (loss)+$5.23 BNet (gains) losses on strategic investments: -$162,000,000.00Investment gain & loss−$162.00 MOther current liabilities and non-current liabilities: $599,000,000.00Other operating liabilities+$599.00 MProceeds from repayments and sales of loans receivable, originally classified as held for sale: $35,414,000,000.00Held-for-sale loan proceeds+$35.41 BAdjustments to loans and interest receivable, held for sale: $193,000,000.00Loan sale gain & loss+$193.00 MAccretion of discounts on investments, net of amortization of premiums: -$83,000,000.00Investment discount & premium−$83.00 MOther current assets and non-current assets: -$493,000,000.00Other operating assets−$493.00 MAccounts receivable: $144,000,000.00Accounts receivable+$144.00 MOriginations of loans receivable, held for sale: -$36,730,000,000.00Loan originations for sale−$36.73 BStock-based compensation: $1,002,000,000.00Stock-based compensation+$1.00 BDepreciation and amortization: $963,000,000.00Depreciation & amortization+$963.00 MOther: -$287,000,000.00Other non-cash items−$287.00 MTransaction and credit losses: $1,720,000,000.00Transaction and credit losses+$1.72 BDeferred income taxes: $217,000,000.00Deferred income taxes+$217.00 MNet cash from operating activities: $6,416,000,000.00Operating cash+$6.42 BOperating adjustments reconciliation: $40,256,000,000.00Purchases of treasury stock: -$6,052,000,000.00Common stock repurchases−$6.05 BBorrowings under financing arrangements: $2,637,000,000.00Debt issued+$2.64 BProceeds from issuance of common stock: $117,000,000.00Common stock issued+$117.00 MTax withholdings related to net share settlements of equity awards: -$383,000,000.00Stock-award tax withholding−$383.00 MRepayments of repurchase agreements: -$2,949,000,000.00Repurchase agreements repaid−$2.95 BRepayments under financing arrangements: -$2,155,000,000.00Debt repaid−$2.16 BBorrowings from repurchase agreements: $2,949,000,000.00Repurchase agreement borrowings+$2.95 BFunds payable and amounts due to customers: $174,000,000.00Customer funds payable+$174.00 MCollateral received related to derivative instruments and reverse repurchase agreements, net: -$160,000,000.00Derivative/repo collateral, net−$160.00 MOther: -$6,000,000.00Other financing, net−$6.00 MPayments of dividends to stockholders: -$130,000,000.00Dividends paid−$130.00 MNet cash used in financing activities: -$5,958,000,000.00. Cash required to fund net payments.Financing cash−$5.96 Bfinancing reconciliation: $11,835,000,000.00Purchases of investments: -$20,399,000,000.00Investment purchases−$20.40 BProceeds from sales of property and equipment: $3,000,000.00PP&E sales+$3.00 MProceeds from repayments and sales of loans receivable, originally classified as held for investment: $19,688,000,000.00Loan sales & repayments+$19.69 BMaturities of reverse repurchase agreements: $288,000,000.00Reverse repo maturities+$288.00 MFunds receivable: -$303,000,000.00Funds receivable−$303.00 MMaturities and sales of investments: $22,933,000,000.00Investment maturities & sales+$22.93 BProceeds from divestiture of business, net of cash divested: $0.00Purchases and originations of loans receivable: -$20,190,000,000.00Loan purchases & originations−$20.19 BCollateral posted related to derivative instruments, net: -$149,000,000.00Derivative collateral paid, net−$149.00 MOther: -$21,000,000.00Other investing, net−$21.00 MPurchases of reverse repurchase agreements: -$201,000,000.00Reverse repo purchases−$201.00 MPurchases of property and equipment: -$852,000,000.00PP&E purchases−$852.00 MNet cash from investing activities: $797,000,000.00Investing cash+$797.00 Minvesting reconciliation: $42,912,000,000.00Cash sources and uses: $29,976,000,000.00Beginning cash: Cash, cash equivalents, and restricted cash: $22,490,000,000.00Beginning cash$22.49 BEnding cash: Cash, cash equivalents, and restricted cash: $24,018,000,000.00Ending cash$24.02 BExchange-rate effect: $273,000,000.00FX effect+$273.00 MCASH RECONCILIATIONOperatingflowsInvestingflowsFinancingflowsFree cash flow$5.56 BOperating cash − cash spent on PP&ECash flow / Net income1.23×Operating cash flow ÷ net incomeNet cash change+$1.53 BEnding cash − beginning cash
Chart details

PayPal Holdings, Inc. cash flow reconciliation, Jan 1, 2025 through Dec 31, 2025

Cash flows for Jan 1, 2025 through Dec 31, 2025. Cash basis: Cash, cash equivalents, and restricted cash. Beginning cash: Dec 31, 2024. Ending cash: Dec 31, 2025. Beginning and ending cash are dated balances. Positive cash flows add cash; negative cash flows reduce it.

Beginning cash on Dec 31, 2024
22,490,000,000 US dollars. Beginning cash: Cash, cash equivalents, and restricted cash
Operating activities
6,416,000,000 US dollars. Net cash provided.
Net income (loss)
5,233,000,000 US dollars
Accounts payable
4,000,000 US dollars
Transaction loss allowance for cash losses, net
negative 1,318,000,000 US dollars
Gain on divestiture of business, excluding transaction costs
0 US dollars
Net (gains) losses on strategic investments
negative 162,000,000 US dollars
Other current liabilities and non-current liabilities
599,000,000 US dollars
Proceeds from repayments and sales of loans receivable, originally classified as held for sale
35,414,000,000 US dollars
Adjustments to loans and interest receivable, held for sale
193,000,000 US dollars
Accretion of discounts on investments, net of amortization of premiums
negative 83,000,000 US dollars
Other current assets and non-current assets
negative 493,000,000 US dollars
Accounts receivable
144,000,000 US dollars
Originations of loans receivable, held for sale
negative 36,730,000,000 US dollars
Stock-based compensation
1,002,000,000 US dollars
Depreciation and amortization
963,000,000 US dollars
Other
negative 287,000,000 US dollars
Transaction and credit losses
1,720,000,000 US dollars
Deferred income taxes
217,000,000 US dollars
Investing activities
797,000,000 US dollars. Net cash provided.
Purchases of investments
negative 20,399,000,000 US dollars
Proceeds from sales of property and equipment
3,000,000 US dollars
Proceeds from repayments and sales of loans receivable, originally classified as held for investment
19,688,000,000 US dollars
Maturities of reverse repurchase agreements
288,000,000 US dollars
Funds receivable
negative 303,000,000 US dollars
Maturities and sales of investments
22,933,000,000 US dollars
Proceeds from divestiture of business, net of cash divested
0 US dollars
Purchases and originations of loans receivable
negative 20,190,000,000 US dollars
Collateral posted related to derivative instruments, net
negative 149,000,000 US dollars
Other
negative 21,000,000 US dollars
Purchases of reverse repurchase agreements
negative 201,000,000 US dollars
Purchases of property and equipment
negative 852,000,000 US dollars
Financing activities
negative 5,958,000,000 US dollars. Net cash used.
Purchases of treasury stock
negative 6,052,000,000 US dollars
Borrowings under financing arrangements
2,637,000,000 US dollars
Proceeds from issuance of common stock
117,000,000 US dollars
Tax withholdings related to net share settlements of equity awards
negative 383,000,000 US dollars
Repayments of repurchase agreements
negative 2,949,000,000 US dollars
Repayments under financing arrangements
negative 2,155,000,000 US dollars
Borrowings from repurchase agreements
2,949,000,000 US dollars
Funds payable and amounts due to customers
174,000,000 US dollars
Collateral received related to derivative instruments and reverse repurchase agreements, net
negative 160,000,000 US dollars
Other
negative 6,000,000 US dollars
Payments of dividends to stockholders
negative 130,000,000 US dollars
Operating adjustment reconciliation
40,256,000,000 US dollars. Intermediate calculation joining the operating reconciliation branches. Its gross amount includes any portion of net income routed through this junction. It is not an additional cash source or use.
financing gross reconciliation
11,835,000,000 US dollars. Gross amount at the activity's junction before offsetting its receipts and deductions. It is not an additional cash source or use.
investing gross reconciliation
42,912,000,000 US dollars. Gross amount at the activity's junction before offsetting its receipts and deductions. It is not an additional cash source or use.
Exchange-rate effect
273,000,000 US dollars
Ending cash on Dec 31, 2025
24,018,000,000 US dollars. Ending cash: Cash, cash equivalents, and restricted cash
Cash sources and uses
29,976,000,000 US dollars. Opening cash plus net sources, equal to net uses plus ending cash.
Net cash change
1,528,000,000 US dollars. Ending cash minus beginning cash.
Cash flow / Net income
1.23×. Operating cash flow divided by reconciliation net income for the same period. Black from 0.90× through 1.10×; green above 1.10×; red below 0.90×. Color uses the unrounded ratio.
Operating cash flow
6,416,000,000 US dollars. Operating cash flow used in the free cash flow calculation.
Cash purchases of property, plant and equipment
852,000,000 US dollars. These cash purchases are already included in investing activities above.
Free cash flow
5,564,000,000 US dollars. A supplemental measure; finance-lease payments are excluded from this definition.

Chart connections

  • Beginning cash plus operating, investing and financing cash flows plus the exchange-rate effect equals ending cash. Negative amounts reduce cash.
  • Financing contributions meet at a reconciliation junction before connecting to the net cash total.
  • Investing contributions meet at a reconciliation junction before connecting to the net cash total.
  • Operating reconciliation adjustments are not all independent cash receipts.
  • Net income enters operating cash directly in the reconciliation. The adjustment junction contributes the remaining $1.18B after reconciling the other positive and negative adjustments. These connections depict an accounting reconciliation, not traced cash receipts.
  • Each activity has one net cash bar connected to the shared cash pool. Positive activity totals enter the pool; negative activity totals leave the pool to fund that activity's net payments. The central pool does not assign a particular funding source to a particular payment.
  • The intermediate calculation bars include both sides of the displayed activity breakdowns; they are not additional cash flows.
  • Operating cash flow minus cash purchases of property, plant and equipment equals free cash flow: 6,416,000,000 US dollars minus 852,000,000 US dollars equals 5,564,000,000 US dollars.
PayPal Holdings, Inc. (PYPL) FY2025 Annual Statement of Cash Flows Sankey chart
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