DECATUR, Ga. – Lower debt service helped Harland Clarke Holdings report a doubling in third quarter earnings, even as revenues continued to slid for the nation’s largest check printer.
Harland Clarke reported$33.7 million in net income for the third quarter, compared to $15.5 million for the same period last year, as a result of a $13.4 million decline in interest expense related to the 2007 acquisition of John H. Harland Co. For the first three quarters, net income was $108.6 million, up from $37.3 million for the first nine months last year, as interest expense declined by $33.4 million.
At the same time, revenues declined by 6.2% in the third quarter to $425.7 million, and by 5% for the first three quarters to $1.29 billion. The decrease in revenues was most acute in the company’s core check printing operations, which declined by 5.5% in the third quarter and by 5.8% for the first three quarters.
Harland Clarke was formed by the acquisition of check printers Harland and Clarke American by M&F Worldwide, the holding company controlled by financier Ronald O. Perelman. The company is comprised of the check printing operations, as well as Harland Financial Co. and Scantron.
