UPDATE 3-Visa Q4 adj net tops Street; lowers revenue growth view

* Adjusted net income was higher-than-expected

* Sees revenue growth at lower end of previous estimate

* CFO says company being "cautious" and "conservative" (Add CFO comment, details, updates shares)

NEW YORK, Oct 29 (Reuters) - Visa Inc (V.N), the world's largest credit card network, beat Wall Street expectations on Wednesday, but said its annual revenue growth target will be at the lower end of a previous stated goal, citing a challenging economy.

The company guided its financial outlook for annual net revenue growth to the lower end of the 11 percent to 15 percent range it had estimated, as consumer spending falls and the global economic outlook deteriorates rapidly.

Visa makes money from processing transactions and does not lend, making it immune to credit concerns, but exposed to overall spending volume. That growth could slow if the economy continues to weaken.

But offsetting any potential slowdown on spending volume is the fact that more consumers globally, particularly in the developing world, are embracing credit and debit cards for everyday spending.

"The only real threat is a downturn in global consumer spending, which is the key driver behind Visa's profits. The upcoming holiday season will be a pretty powerful litmus test of how such spending will play out," Red Gillen, an analyst at Celent, said.

Visa said that revenue growth may be somewhat challenged in 2010 given the current economic environment in the U.S. and around the globe.

"We are trying to be cautious and conservative," Chief Financial Officer Byron Pollitt said in a conference call with analysts.

The outlook overshadowed higher-than-expected adjusted quarterly profit boosted by international processing revenue.

Excluding litigation, restructuring and other expenses, the company said its adjusted net income for the fiscal fourth quarter ended September 30 was $448 million, or 58 cents per Class A share, compared with pro forma income of $196 million a year earlier, when the company was privately held.

Analysts forecast, on average, adjusted earnings of 56 cents, according to Reuters Estimates.

The company affirmed its targets of an annual adjusted operating margin in the mid-to-high 40 percent range, annual adjusted diluted Class A common earnings per share growth of 20 percent or more, and annual free cash flow in excess of $1 billion.

Visa posted a quarterly net loss of $356 million, against a net loss of $1.65 billion a year ago, hit by a litigation reserve.

Net operating revenue rose 17 percent to $1.7 billion, while payments volume grew 15 percent to $699 billion, boosted by growth in the U.S., Asia and Latin America, among other places.

Visa's stock cut its earlier losses and was stable in after-hours trade. The company's shares have fallen around 10 percent since its debut on the New York Stock Exchange in March.

(Reporting by Juan Lagorio, editing by Bernard Orr)