Losses Widen at Cardtronics

HOUSTON – Cardtronics Inc. reported Friday that it continues to operate at a loss, even as it builds the nation’s biggest ATM network and a critical touchpoint for credit unions. The privately held company, which is in the process of acquiring 7-Eleven Financial Services and its 5,500 ATMs, said first quarter losses widened to $3.4 million, form $3.1 million for the first quarter last year. Revenues increased 8% to $74.5 million for the first quarter. For fiscal 2006, Cardtronics reported an $800,000 loss, compared to a $3.8 million loss for 2005. The 7-Eleven operations, which includes 3,500 ATMs and 2,000 Vcom self-service financial kiosks, reported $163.7 million in revenues for fiscal 2006, and net income of $11.2 million. For the first quarter of 2007, the 7-Eleven reported $41.5 million in revenues for the operations, and $2.5 million in net income. The 7-Eleven operations, which connect to the CO-OP Financial Services and are about to connect to Financial Service Centers Cooperative, have grown to be a critical touchpoint for credit unions. Cardtronics already provides ATM services to hundreds of credit unions through a deal with the Credit Union 24 network and through its wholly owned Allpoint network.