MONETT, Mo. – In the latest sign of an improving environment for credit unions, Jack Henry & Associates on Tuesday reported net income for its fiscal first quarter ended Sept. 30 rose 15%, while its sales backlog grew by 10% to $361.2 million.
First quarter revenue for the provider of back-office services to credit unions rose 6% to $248.3 million, resulting in a net of $36.5 million for the period.
“Our strong performance in the quarter reflects a gradually improving financial institution spending environment and continued strong focus and execution by our Associates,” said Jack Prim, CEO of Jack Henry. “We had solid organic growth and good leverage to both operating and net income.”
The company reported growth in all of its main product lines, including 5% increases for both support and services and for license revenue.
“There were nice contributions from all three lines of reported revenue, but the largest contributor continues to be our Support and Services line of revenue, which represents 89% of our total revenue,” said Tony Wormington, president of Jack Henry. “Within this line we continue to see strong growth in our payments business with approximately 12% growth compared to the same quarter a year ago.
