Cost-Cutting Fuels First Quarter Surge at Deluxe

ST. PAUL, Minn. – Check-printer Deluxe Corp. said yesterday first quarter earnings rose more than 40% on lower expenses, even while revenues continued to erode. Deluxe posted net income of $35.2 million, or 68 cents a share, for the first quarter, up from $24.7 million, or 48 cents for the same period last year. First quarter results included a $3.8 million gain from the sale of the company’s industrial packaging product line. Deluxe reported revenue of $403.8 million, down nearly 2% from $411.4 million, a year earlier. Among its individual business segments, small business services fell to $231.8 million from $236.1 million, financial services fell to $113.5 million from $117 million and direct checks edged higher to $58.5 million from $58.3 million.