Visa Inc, the world's largest payments network operator, reported better-than-expected quarterly profit and revenue, boosted by the inclusion of Visa Europe's results and as customers spent more using its network.

The company said total payments volume increased 47.1 per cent to US$1.86 trillion on a constant dollar basis in the fourth quarter ended Sept. 30.

"We have begun to see the benefits from our acquisition of Visa Europe and strong cost discipline helped our results," said Chief Executive Charles Scharf, who said last week that he would step down effective Dec. 1.

Scharf's last big move in his four-year tenure was to consolidate Visa's position as the world's largest payments processor with the US$23 billion-deal to buy Visa Europe, a deal that was completed in June.

The United States accounted for about 41 per cent of the total payments volume in the latest quarter, while Europe accounted for about 25 per cent, Visa said.

Cross-border volumes jumped 149 per cent, including Visa Europe and on a constant dollar basis.

Operating expenses rose 27 per cent to US$1.64 billion, mainly driven by the inclusion of Visa Europe, the company said.

Visa's net income rose 27.7 per cent to US$1.93 billion, or 79 cents US per Class A share. Excluding special items, it earned 78 cents US per share.

Total operating revenue rose 19.3 per cent to US$4.26 billion.

Analysts on average were expecting Visa to earn 73 cents US per share and revenue of US$4.23 billion, according to Thomson Reuters.

Visa's shares initially rose, before falling 1.2 per cent in choppy trading after the bell.

Up to Monday's close of US$83.17, they had risen about 7.24 per cent this year, compared with a rise of about six per cent for MasterCard Inc.

MasterCard, San Francisco-based Visa's closest rival, is scheduled to report its fourth-quarter results on Oct. 28.