Fiserv Reports Sharply Lower Earnings
BROOKFIELD, Wis. – Fiserv, the biggest outsourcer for credit unions, said yesterday that net income for its fourth quarter declined by almost 30%, to $105.9 million, or 61 cents a share, due mainly to several one-time occurrences. That included $35 million in collected termination fees; the closing of a lending company and a sharp increase in flood insurance claims and processing because of Hurricane Katrina and other hurricanes which hit the Gulf Coast in 2005. As a result, the company reported a 13% decline in fiscal year earnings, to $449.9 million, or %2.53 a share, from the year before. Still, Fiserv continued to grow its revenues, by 11% in the fourth quarter, to $1.2 billion, and by 12% for the full year to $4.5 billion.