Printer Friendly

VERIFONE REPORTS FIRST-QUARTER RESULTS: $54.7 MILLION REVENUE; 18 CENTS EARNINGS PER SHARE

 REDWOOD CITY, Calif., April 22 /PRNewswire/ -- VeriFone Inc. (NASDAQ: VFIC), a leading supplier of Transaction Automation systems and solutions worldwide, today reported its results for the first quarter ended April 2, 1993.
 Net income was $4.2 million, a 20.2-percent increase over the $3.5 million reported a year ago. Earnings per share grew to 18 cents, compared with 15 cents in the first quarter of 1992. Net revenues increased 16.6 percent to $54.7 million, up from $46.9 million.
 "Our performance this quarter was driven by strong growth in our core business -- retail payment processing -- on a truly global scale," said Hatim Tyabji, VeriFone chairman, president and chief executive officer. "The domestic financial retail segment grew 18.3 percent, on the strength of increasing market demand for the automation of paper-based merchants and for the upgrade of installed systems to higher functionality. Our international segments grew 72.8 percent, fueled by the development of the German market and other business in Europe, the Middle East and Africa. In the aggregate, our global financial retail markets contributed nearly 84 percent of the company's net revenues, with balanced geographic strength in more than 70 countries."
 In VeriFone's other U.S. business, the petroleum/convenience segment accounted for 5.9 percent of net revenues, increasing 10.5 percent from a year earlier. The multi-lane retail segment grew 33.4 percent and contributed 4.2 percent. The electronic benefits transfer (EBT) market accounted for 2.8 percent of net revenues, declining from exceptionally strong performance a year ago.
 The company's international business contributed 22.3 percent of net revenues during the quarter. The Europe, Middle East and Africa regions grew 146.2 percent over first-quarter 1992, accounting for 63.3 percent of international revenue. The Asia-Pacific region increased 22.7 percent and contributed 15.7 percent of sales outside the United States. The Latin America region posted 11.5 percent of the international total, while Canada accounted for 9.5 percent.
 VeriFone's gross margins of 52.8 percent were modestly ahead of 52.4 percent a year earlier. Operating expenses were 43.3 percent of net revenues, compared with 43.2 percent in first-quarter 1992.
 Operating income increased 20.6 percent over the first quarter of 1992, from $4.3 million to $5.2 million, or 9.5 percent of net revenues. Net income of $4.2 million was 7.7 percent of net revenues.
 On VeriFone's balance sheet, cash and short-term investments at April 2, 1993, totaled $74.7 million, down from $82.5 million at the end of 1992. Accounts receivable declined $3.2 million from December levels. Inventories increased 20.7 percent from the same period. Stockholders' equity grew to $179.6 million.
 The Company
 VeriFone Inc., based in Redwood City, is a leading global provider of Transaction Automation solutions used to deliver payment processing and other transaction services to the retail, healthcare, and government markets. The company has more than 30 facilities -- including regional offices, development centers, and manufacturing and distribution centers -- located throughout the United States and in or near Frankfurt; London; Madrid; Milan; Paris; Singapore; Sydney; Taipei and Kaohsiung, Taiwan, R.O.C.; and Bangalore, India. To date, VeriFone has shipped more than 2.8 million Transaction Automation systems, which have been installed in more than 70 countries. The company's 1992 revenues totaled $226.1 million. VeriFone was named one of the 200 best small companies by Forbes in 1991 and 1992.
 VERIFONE INC.
 CONDENSED CONSOLIDATED STATEMENTS OF INCOME
 (Unaudited, dollars in thousands except per-share data)
 Three Months Ended
 April 2, April 3,
 1993 1992
 Net revenues $ 54,652 $ 46,880
 Costs and expenses
 Cost of revenues 25,775 22,303
 Research and development 7,853 6,147
 Selling, general and administrative 15,833 14,126
 Total costs and expenses 49,461 42,576
 Income from operations 5,191 4,304
 Interest income, net 658 771
 Income before income taxes 5,849 5,075
 Provision for income taxes 1,638 1,573
 Net income $ 4,211 $ 3,502
 Net income per share $ 0.18 $ 0.15
 Common and common equivalent shares
 used in computing per-share amounts 23,706 23,643
 CONDENSED CONSOLIDATED BALANCE SHEET
 (Dollars in thousands)
 April 2, Jan. 1,
 1993 1993
 (Unaudited)
 ASSETS
 Current assets:
 Cash and cash equivalents $ 13,714 $ 21,051
 Short-term investments 61,031 61,442
 Accounts receivable, net 57,982 61,214
 Other receivables 5,074 4,070
 Inventories 46,852 38,811
 Deferred income taxes 8,985 8,985
 Prepaid expenses 1,565 1,744
 Total current assets 195,203 197,317
 Property, plant and equipment, net 30,385 26,321
 Other assets, net 18,027 16,509
 Total $243,615 $240,147
 LIABILITIES AND STOCKHOLDERS' EQUITY
 Current liabilities:
 Accounts payable $ 18,516 $ 17,867
 Accrued compensation 3,747 5,377
 Other accrued liabilities 6,055 5,531
 Income taxes payable 7,367 8,338
 Deferred revenue 4,457 4,846
 Long-term debt, including capital
 lease obligations 1,108 1,006
 Total current liabilities 41,250 42,965
 Long-term debt, including capital
 lease obligations less current
 portion 1,875 2,216
 Deferred income taxes 20,898 21,175
 Stockholders' equity 179,592 173,791
 Total $243,615 $240,147
 -0- 4/22/93
 /CONTACT: Thomas W. Hubbs, 415-598-5548, or Tod Bottari, 415-598-5570, both of VeriFone/
 (VFIC)


CO: VeriFone Inc. ST: California IN: CPR SU: ERN

GT-TM -- SJ001 -- 9205 04/22/93 09:03 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Apr 22, 1993
Words:907
Previous Article:FILENET REPORTS PROFITABLE FIRST QUARTER ENDED APRIL 4, 1993
Next Article:HAWAIIAN ELECTRIC INDUSTRIES INC. DECLARES DIVIDEND, ELECTS SIX DIRECTORS
Topics:


Related Articles
VERIFONE REPORTS 1991 RESULTS: NET INCOME UP 54 PERCENT
VERIFONE ANNOUNCES FIRST QUARTER RESULTS: 15 CENTS EARNINGS PER SHARE, $46.9 MILLION IN REVENUE
VERIFONE ANNOUNCES FOURTH-QUARTER RESULTS: NET INCOME UP 32.9 PERCENT ON REVENUE OF $62.5 MILLION; 32 CENTS EARNINGS PER SHARE
VERIFONE EXPECTS SECOND-QUARTER EARNINGS TO BE COMPARABLE WITH YEAR-AGO EARNINGS
VERIFONE REPORTS THIRD-QUARTER RESULTS; $70.2 MILLION REVENUES, 22 CENTS EARNINGS PER SHARE
VERIFONE ANNOUNCES FIRST-QUARTER RESULTS: 18 CENTS EARNINGS PER SHARE ON NET REVENUES OF $64.7 MILLION
VERIFONE ANNOUNCES SECOND-QUARTER RESULTS: 31 CENTS EARNINGS PER SHARE ON NET REVENUES OF $77.7 MILLION
VERIFONE ANNOUNCES FIRST-QUARTER RESULTS: 22 CENTS EARNINGS PER SHARE ON NET REVENUES OF $77.6 MILLION
VERIFONE ANNOUNCES FOURTH-QUARTER AND FULL-YEAR 1995 RESULTS: NET REVENUES INCREASE 25.8 PERCENT IN Q4/95
VERIFONE ANNOUNCES FIRST-QUARTER 1996 RESULTS: NET INCOME INCREASES 28.7 PERCENT TO $6.7 MILLION, OR 26 CENTS PER SHARE

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters