Foreign exchange rates helped boost second-quarter earnings at Euronet Worldwide Inc.
The Leawood, Kan., electronic payments processor last week reported net income of $15.6 million, up 164% from the year earlier, but revenue down 6%, to $248.6 million.
Euronet reported a gain of $9.6 million from foreign exchange rates, compared with a $400,000 loss the year earlier due to exchange rates.
"The declines in foreign currency exchange rates against the U.S. dollar were significant year over year … and have a big impact on our prior-year comparisons," Mike Brown, Euronet's chief executive, told analysts during a conference call.
Euronet's electronic funds transfer segment generated revenue of $45.6 million, down 13% from last year's second quarter. It processed 179.3 million EFT transactions in the quarter, up 6.3%.
Euronet operated 9,336 ATMs as of 30 June, down 8.1%.
Prepaid processing brought in $145.2 million in revenue, down 4.8%. Euronet processed 194.2 million prepaid transactions in the quarter, a gain of 14.6%.
Revenue in the funds-transfer business was $57.8 million, down 2.9%, and the company processed 4.5 million transfers, down 4.7%.