“Relative to the 100 basis points of expansion previously expected, we now expect approximately 75 basis points of margin expansion.”

In context

“th quarter revenue to grow between 7% and 8% on a currency neutral basis or approximately 6% to 7% at spot. In addition, we expect non-GAAP EPS in Q4 to be approximately $1.36, representing 10% growth relative to 2022. Our guidance contemplates a sequential improvement in transaction margin dollar performance. That said, on a year-over-year basis, we now expect transaction margin dollars to decline. In addition, we expect our non-GAAP operating margin to contract from the fourth quarter last year. For 2023, we now expect revenue to grow approximately 8.5% on a currency-neutral basis and approximately 7.5% at spot. The ongoing strength of Braintree volumes in conjunction with lower-than-expected branded checkout trends are resulting in incremental pressure on our non-GAAP operating margin. Relative to the 100 basis points of expansion previously expected, we now expect approximately 75 basis points of margin expansion. We're slightly increasing our expectations for full year 2023 non-GAAP EPS, which we now expect to be approximately $4.98, representing 21% growth from last year. This increase reflects the benefit of Q3 outperformance and changes to our tax rate assumption. In addition, we now expect free cash flow for 2023 to be at least $4.6 billion. In closing, we believe that we're well positioned to navigate the road ahead. As Alex noted in his comments, we're working on our plans to accelerate profitable growth, and we'll share our progress with you along the way with consistency and transparency. We're committed to building PayPal for the future and guided by our relentless focus on creating the best possible experiences for our customers. Backdrop continues to be complex. We're taking an appropri”