Cass Information Systems, Inc. Posts 24% Increase in 3rd Quarter 2006 Earnings.ST. LOUIS -- Cass Information Systems, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on : CASS), the nation's leading provider of transportation, utility and telecom invoice An itemized statement or written account of goods sent to a purchaser or consignee by a vendor that indicates the quantity and price of each piece of merchandise shipped. A consular invoice is one used in foreign trade. payment and information services See Information Systems. , reported third quarter 2006 earnings of $.46 per fully diluted di·lute tr.v. di·lut·ed, di·lut·ing, di·lutes 1. To make thinner or less concentrated by adding a liquid such as water. 2. To lessen the force, strength, purity, or brilliance of, especially by admixture. share, a 24% increase over the $.37 per fully diluted share (adjusted for a September 15, 2006 50% stock dividend) reported for the third quarter of 2005. Net income for the period was $3,884,000 compared to $3,093,000 in 2005. Earnings from continuing operations continuing operations Parts of a business that are expected to be maintained as an ongoing segment of an overall business operation. Income and losses from continuing operations are reported separately if any segments have been discontinued during the were $.47 per fully diluted share, a 24% increase over the $.38 per fully diluted share earned from continuing operations in the same period of 2005. Net income from continuing operations was $3,972,000 and $3,265,000 respectively. (The assets, liabilities and results of a wholly-owned subsidiary sold by Cass in the fourth quarter of 2005 are shown as discontinued operations Discontinued operations Divisions of a business that have been sold or written off and that no longer are maintained by the business. .) Payment and processing fees increased 13% or $1,202,000 compared to the year-earlier period, as transportation invoices were up 6% and dollar volume rose 17% due to new business and heightened activity from existing accounts. Utility invoices processed were up 20%. Net investment income increased 23% or $1,911,000 due mainly to growth in funds generated from processing activities and to the rise in prevailing interest rates. Operating expenses Operating expenses The amount paid for asset maintenance or the cost of doing business, excluding depreciation. Earnings are distributed after operating expenses are deducted. were up 14% or $1,877,000 largely as a result of higher employee costs related to transaction growth. Nine-Month 2006 Results For the nine months ended September 30, 2006, the company earned $1.37 per fully diluted share from continuing operations, a 32% increase from the $1.04 per fully diluted share reported for the same period in 2005. Net income from continuing operations was $11,648,000, 32% higher than the $8,826,000 earned in 2005. Revenue rose $9,077,000 or 17% compared to the first nine months of 2005 due to increased processing volumes, fee revenues and investment income. Operating expenses were up 11% or $4,404,000 in the nine-month year-over-year period, mainly due to the increase in salaries and benefits required to support processing growth. Selected Consolidated Financial Data The following table presents selected unaudited consolidated financial data (in thousands, except per share data) for the periods ended September 30, 2006 and 2005: [TABLE OMITTED] About Cass Information Systems Cass Information Systems is the leading provider of transportation, utility and telecom invoice payment and information services. The company, which has been involved in the payables services and information support business since 1956, disburses over $16 billion annually on behalf of customers from processing centers in St. Louis, Mo., Columbus, Ohio Columbus is the capital and the largest city of the American state of Ohio. Named for explorer Christopher Columbus, the city was founded in 1812 at the confluence of the Scioto and Olentangy rivers, and assumed the functions of state capital in 1816. , Boston, Mass. and Greenville, S.C. The support of Cass Commercial Bank, founded in 1906, makes Cass Information Systems unique in the industry. Cass is part of the Russell 2000[R] Index. http://www.cassinfo.com Note to Investors Certain matters set forth in this news release may contain forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. that are provided to assist in the understanding of anticipated future financial performance. However, such performance involves risks and uncertainties that may cause actual results to differ materially from those in such statements. For a discussion of certain factors that may cause such forward-looking statements to differ materially from the company's actual results, see the company's reports filed from time to time with the Securities and Exchange Commission including the company's annual report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended December 31, 2005. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion