News

First Data reports EPS of 56 cents in '04's final quarter

January 30, 2005

DENVER - First Data Corp. (NYSE: FDC) reported fourth quarter earnings per share of 56 cents. As anticipated, results included integration expenses of 3 cents, and the quarter also included other charges of 1 cent per share.

The Western Union money transfer business, which represents 34 percent of First Data revenue, achieved full-year revenue growth of 14 percent, to $3.4 billion, according to a news release.

Western Union money transfer revenue increased 15 percent in the fourth quarter to $908 million. Operating profits of $286 million for the quarter and $1.1 billion for the full year grew 10 percent and 13 percent, respectively.

Merchant Services, which represents 36 percent of First Data revenue, delivered year-over-year transaction growth of 13 percent including Concord's volume, when compared on a pro forma basis. 

Merchant Services' revenues grew 50 percent for the fourth quarter to $1.1 billion, with operating profit up 55 percent to $350 million. Full-year revenue increased 44 percent to $3.8 billion and operating profit grew 37 percent to $990 million.

Card Issuing Services posted revenue of $609 million for the quarter, up 14 percent year-over-year and operating profit of $122 million, up 41 percent due primarily to the acquisition of Concord. Full-year revenue of $2.4 billion and operating profit of $508 million were up 14 percent and 64 percent, respectively.

According to the release, First Data expects full-year EPS in the range of $2.34-$2.43, prior to the planned 11 cents EPS in estimated integration expenses, and $2.23-$2.32 after considering integration expenses.

Read the full earnings report...