MONETT, Mo. – Jack Henry & Associates said growth in its support and services operations helped push net income for its fiscal first quarter up 16% to $42.5 million.
The company reported a 9% increase in revenue to $271 million for the quarter ending Sept. 30, up from $248.3 million for the first quarter of 2011.
“We experienced a very good start to our fiscal 2013 with record revenue, gross profit and operating income compared to any quarter in our history,” said Tony Wormington, president of Jack Henry. “Our Support and Services revenue was once again the primary driver of our revenue growth, which represented 90% of total revenue in the quarter. Within this line we saw strong growth in every component for the quarter compared to the prior year, which overall our Support and Services revenue grew 11% for the quarter compared to a year ago.”
Support and service revenue increased 11% to $244.6 million, or 90% of total revenue in first quarter, while license revenue increased to $12.9 million, or 5% of first quarter total revenue.
Within support and service revenue, electronic payment services (which include ATM/debit/credit card transaction processing, bill payment, remote deposit capture and ACH transaction processing services) had the largest growth of $12.3 million, or 15% in the first quarter compared to the same quarter a year ago. Hardware sales in the first quarter of fiscal 2013 decreased 14% to $13.6 million (5% of total revenue), from $15.8 million (6% of total revenue) in the first quarter of last fiscal year.
