First Data 3Q Net Down 8% On Items
DOW JONES NEWSWIRES
October 14, 2005 7:42 a.m.
DENVER -- First Data Corp.'s (FDC) third-quarter net income fell as the payment-services company took charges that offset a revenue gain.
In a press release Friday, First Data said it earned $421.5 million, or 54 cents a share, in the quarter ended Sept. 30, compared with $460.6 million, or 54 cents a share, a year ago.
The per-share result included charges of 7 cents for integrating Concord EFS Inc., which First Data bought in 2004, and for exiting the Encorus mobile payments business. The result also included a gain of 1 cent a share on the sale of First Data's remaining stake in International Banking Technologies.
The year-ago result included charges totaling 3 cents a share for integration expenses and other items.
A poll of 29 analysts by Thomson First Call, on average, predicted third-quarter earnings per share of 60 cents.
First Data's third-quarter revenue rose 5.7% to $2.68 billion from $2.54 billion a year ago. A poll of 22 analysts by Thomson First Call, on average, predicted revenue of $2.68 billion in the quarter.
Revenue from the Western Union money transfer segment grew 14% in the quarter, as transactions rose 22%. Western Union accounted for 86% of $1.1 billion in quarterly revenue from First Data's payment services business.
Third-quarter revenue rose 8% to $1.1 billion for the merchant services business, but fell 4% to $594 million for the card-issuing services business, said First Data.
First Data Corp. - Denver
3rd Quar Sept. 30:
2005 2004
Revenue $2,679,200,000 $2,535,900,000
Inc cont op 421,500,000 458,900,000
Inc dis op ... 1,700,000
Net income a 421,500,000 b 460,600,000
Avg shrs (diluted) 778,700,000 857,700,000
Shr earns
Inc cont op .54 .54
Inc dis op ... ...
Net income a .54 b .54
a. Includes charges of 7 cents a share for integrating Concord EFS Inc., which First Data bought in 2004, and for exiting the Encorus mobile payments business. Also includes a gain of 1 cent a share on the sale of First Data's remaining stake in International Banking Technologies.
b. Includes charges totaling 3 cents a share for integration expenses and other items.
In composite New York Stock Exchange trading Thursday, shares of First Data closed down 52 cents, or 1.3%, at $38.84. |
