Jack Henry & Associates Fiscal Second
Quarter Net Income Increases 24% -- Stock Up 38%
01/20/2004
How JKHY has done for us: 56% annualized (+38% in eight months).
Jack Henry & Associates announced their recent quarterly
results: net income increased 24%. The company's press release
follows:
MONETT, Mo., Jan 19, 2004 /PRNewswire-FirstCall
via COMTEX/ -- Jack Henry & Associates, Inc. (Nasdaq:
JKHY), a leading provider of integrated technology solutions
that performs data processing for financial institutions,
today reported strong results with revenues rising 10%, and
continued improvement in gross and operating margins that
contributed to a 24% increase in net income for the second
quarter of fiscal 2004 compared to the second quarter of fiscal
2003.
Net income totaled $14.5 million, or $0.16
per diluted share, and revenues increased 10% to $112.7 million
in its second fiscal quarter of fiscal 2004, ended December
31, 2003. A year ago, second quarter net income was $11.7
million, or $0.13 per diluted share, on revenues of $102.6
million. For the first half of fiscal 2004, net income increased
24% to $28.4 million, or $0.31 per diluted share, compared
to $23.0 million, or $0.26 per diluted share in the first
six months of fiscal 2003. Revenues increased 13% to $221.7
million in the first half of fiscal 2004 compared to $196.5
million in the same period of fiscal 2003.
"Our predictions of a gradual recovery
of new core sales are proving accurate and our outsourcing,
ATM and debit card processing and sales of complementary products
and services continue to drive revenue growth," said
Michael E. Henry, Chairman and CEO. "Although we have
a number of bank core system proposals in the pipeline, including
several with large institutions, sales in this part of our
business are still returning slowly. The fully integrated
nature of our product suite remains one of our most compelling
competitive features and is proving to be an important selling
point for both banks and credit unions. Integration is particularly
appealing as bankers look to improve security, comply with
new stringent regulatory mandates such as the Patriot Act,
deepen customer relationships and become more efficient."
"We are quite pleased with the success
of our sales force in cross-selling new products to existing
customers," said Jack Prim, President. "When we
realigned our bank sales force six months ago into a more
traditional hunter/farmer approach, we anticipated the farmer
would gain traction faster than the hunters, and that has
been the case. The early results of this change are showing
promise. In addition, expansion of our geographic footprint
for item processing sites continues to drive growth in our
outsourcing business. Two new sites opened and one was acquired
in the past calendar year, and in March 2004 we will be opening
an additional item processing site. We anticipate opening
three new item processing sites each year to support this
growth opportunity in the foreseeable future."
About Jack Henry & Associates
Jack Henry & Associates, Inc. provides
integrated computer systems and processes ATM and debit card
transactions for banks and credit unions. Jack Henry markets
and supports its systems throughout the United States and
has over 3,000 customers nationwide. For additional information
on Jack Henry, visit the company's web site at www.jackhenry.com
. The company will hold a conference call on October 20th
at 7:45 a.m. Central Time, and investors are invited to listen
at www.jackhenry.com .
Statements made in this news release
that are not historical facts are forward-looking information.
Actual results may differ materially from those projected
in any forward-looking information. Specifically, there are
a number of important factors that could cause actual results
to differ materially from those anticipated by any forward-looking
information. Additional information on these and other factors,
which could affect the Company's financial results, are included
in its Securities and Exchange Commission (SEC) filings on
Form 10-K, and potential investors should review these statements.
Finally, there may be other factors not mentioned above or
included in the Company's SEC filings that may cause actual
results to differ materially from any forward-looking information.
The full press release can be found
at http://www.jackhenry.com
SOURCE Jack Henry & Associates, Inc.
Analysts, Kevin D. Williams,
Chief Financial Officer of Jack Henry & Associates, Inc.,
+1-417-235-6652,
or
IR, Becky Pendleton Reid of The Cereghino Group,
+1-206-762-0993
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