MEMPHIS, Tenn. -- Concord EFS, Inc. (Nasdaq: CEFT), an electronic commerce provider and owner of the MAC network, announced that net income and diluted earnings per share were up 43 percent and 39 percent, respectively, in the first quarter of 2001 as compared to the first quarter of 2000, excluding acquisition and restructuring charges incurred in both periods.
Diluted earnings per share of 24 cents in the first quarter of 2001, excluding charges, represents the combined earnings of Concord and Star Systems, Inc., which Concord acquired on Feb. 1, 2001. Historical financial results have been restated to reflect the Star acquisition, which was accounted for as a pooling of interests transaction.
Revenue for the first quarter was $375.6 million, an increase of 24 percent compared to $302.9 million in the first quarter of 2000.
Excluding charges, net income for the first quarter was $60.4 million, or 24 cents diluted earnings per share, compared to $42.2 million, or 17 cents diluted earnings per share in the first quarter of 2000.
A one-time charge of $86.4 million, net of taxes, was incurred in the first quarter of 2001 in association with a company-wide consolidation plan to expedite the integration of recent acquisitions. The consolidation plan charge includes costs to be incurred in combining operating platforms and facilities, communications conversion costs, asset-write-offs and acquisition costs. In the first quarter of 2000 an acquisition-related charge of $700,000, net of taxes, was incurred in the acquisition of Card Payment Systems.
Including the one-time charges, there was a net loss of $26 million for the first quarter of 2001, or 11 cents diluted loss per share, compared to net income of $41.5 million, or 17 cents diluted earnings per share, in the first quarter of 2000.
