ST. PAUL, Minn. – Check printer Deluxe Corp. yesterday reported a 9% decline in second quarter earnings to $32.6 million, or 63 cents a share, fueled by an 8% fall in revenues.
Second quarter revenues declined to $367.7 million, as greater-than-expected weakness in its small business services segment offset cost cutting.
Quarterly revenue fell 8% in small business services to $211.5 million because of soft economic conditions and lower Canadian check volume, while revenue declined 7% in financial services and by 11% in direct checks.
For the first six months of the year revenues declined by 7% to $749 million, while net income fell by 16% to $59.9 million.
Separately, Deluxe announced it has agreed to acquire PartnerUp, a start-up online networking community for small businesses and entrepreneurs. Deluxe plans to promote the value of PartnerUp membership to its current small business customers. The PartnerUp community will have access to products and services from Deluxe and other brands.
Financial terms of the deal were not disclosed.
