ST. PAUL, Minn. – Deluxe Corp. said yesterday that third quarter earnings plummeted by 57%, as it was hurt by the weakening economy and charges to close plants and cut jobs.
Net income for the check printer fell to $13.8 million, or 27 cents per share, from $32.2 million, or 62 cents, a year earlier. Revenue fell 6% to $366.2 million.
For the first nine months of the year, Deluxe reported a 6% decline in revenues, to $1.15 billion, and a 29% drop in net income, to $73.7 million, or $1.43 per share.
Deluxe said results included 26 cents per share of restructuring charges, and an unexpected 12 cents per share charge to write down assets because of the recent economic downturn and turmoil in the broader U.S. capital markets.
On Sept. 3, Deluxe announced plans to close facilities in New Jersey, North Carolina and Pennsylvania, resulting in a loss of 570 jobs. It has said it expects $250 million of net savings through 2010.
