Bank technology stocks were mostly lower last week, in spite of the fact the overall market inched higher.
Boosted by economic news that signaled a continued low rate of inflation for the rest of this year, the Dow Jones industrial average flirted with the 4,000 mark last week but failed to reach it.
Software and systems integration firm American Management Systems Inc. reported significantly higher revenues and profits for the fourth quarter of 1994.
The Fairfax, Va.-based company reported net income of $7 million, or 27 cents per share, for the fourth quarter of last year. While the period's net profits rose 15% from the year-earlier quarter, the per-share earnings was a penny lower than the Wall Street analysts' consensus published by First Call Corp.
Fourth-quarter revenues reached $131 million, up 35% from the comparable period in 1993, AMS officials said.
Despite the small earnings disappointment, AMS experienced large increases in new business from telecommunications and financial firms, executives said.
Revenues from banks and other financial services firms rose 53% in 1994, to $91.5 million. The financial services sector is now the second-largest source of revenues for AMS, second only to the red-hot telecommunications market.
Peter F. DiGiammarino, executive vice president in charge of the financial services, said he expects his business to continue to grow robustly in 1995 as well. "We have a half dozen new, very long term engagements that are all clicking now," Mr. DiGiammarino said.
A unit of payments processor First Financial Management Corp., along with NationsBank Corp., won a contract with the U.S. Postal Service worth $45.8 million to equip post offices with credit and debit card systems.
Officials said the Postal Service contract would be the largest single installation of a card acceptance system in the country, involving over 33,000 locations and 50,000 terminals that will accept credit or debit cards for payment.
Check printer Deluxe Corp. announced last Friday that it had hired executive recruiting firm Heidrick & Struggles to advise it on a succession plan for its chief executive officer, Harold Haverty, who will be 65 years old this year.
Company officials said Mr. Haverty would remain as chief executive until a successor is found, then he will continue as chairman for St. Paul-based Deluxe.
Officials at a rival of Deluxe in the check printing business, John H. Harland Co. said they are also conducting an executive search, hiring Korn/Ferry International to help find a president and chief operating officer. Michael Rupe, Harland's previous president, left the company last year.