PHOENIX -- eFunds Corporation (Nasdaq: EFDS), a provider of electronic payment, risk management and information technology services, announced record financial results for the third quarter of 2000, eFunds' second quarter of operations as a publicly traded company.
Total revenues increased 30.2 percent to $104 million in the third quarter from $79.9 million a year ago. Excluding special charges, operating income was $7.7 million, up from operating income of $1.3 million for the same period a year ago. Net income, excluding special charges was $4.4 million, or 10 cents per share, compared to a net loss of $9.2 million, or loss per share of 23 cents in the third quarter of 1999. EBITDA (earnings before interest, taxes, depreciation and amortization) was $15.5 million compared to $4.2 million in the third quarter of 1999.
These results exclude special charges of $1.3 million for transition costs related to eFunds' separation from Deluxe Corporation incurred during the third quarter of 2000.
Including these charges, operating income for the third quarter of 2000 was $6.4 million, an increase of approximately five-fold over the $1.3 million recorded in the same period in 1999. Net income was $3.9 million, or 9 cents per share compared to a net loss of $9.2 million, or loss per share of 23 cents in the third quarter of 1999.
According to J.A. Blanchard, chairman and CEO, qccomplishments during the quarter included signing an agreement with Arden Hills. Minn.-based ATM provider Access Cash, launching its first major South American EFT software system, entering into an greement to provide its first India-based outsourced call center, and disclosing its largest rollout to date of electronic check conversion services to a national retail clothing chain.
Blanchard said, "While a lot of new or expanded business was being generated, eFunds also focused on managing its costs effectively, resulting in notable improvements in earnings. Moreover, plans for consolidation of data and call centers as well as other administrative units continued to be developed which, as they are now being implemented, will yield improved productivity along with enhanced customer service."
