Bank technology stocks rose modestly last week, as a brief market rally on Monday and Tuesday petered out by the end of the week.
Despite the lackluster trading, several systems firms with financial companies reported higher quarterly earnings.
Software and systems integration firm Broadway & Seymour Inc. reported record earnings and revenues for the fourth quarter of 1994.
The Charlotte, N.C.-based company reported net income for the fourth quarter of 1994 of $2.5 million, or 29 cents per share, on revenues of $48.5 million. The results compare with a net loss of $351,000 on revenues of $13.5 million for the last two months of 1993. The abbreviated 1993 reporting period was due to the company's change to a calendar reporting year in 1994.
The upbeat results were "attributable to the continued strong performance in our integrated financial services and professional support services business units," said William W. Neal, Broadway & Seymour's chief executive officer. "With our substantially debt-free balance sheet, and the momentum created throughout 1994, the Company is in its best position ever to meet its customers' ever-changing business and technological requirements."
Trust systems developer and mutual fund administrator SEI Corp. announced fourth quarter net income of $6.3 million, or 27 cents per share, up slightly from the year earlier period.
Fourth-quarter revenues for the Wayne, Pa.-based company hit $69.3 million, up from $65.7 million in the same period during 1993.
SEI's trust and banking division reported fourth-quarter revenues of $48.2 million, with an operating profit of $13.7 million versus $47.2 million in sales and $12.6 million in profit for the last three months of 1993.
A competitor to SEI in the investment systems business, Sungard Data Systems Inc. reported a larger fourth-quarter earnings jump of $12.5 million, or 65 cents per share, representing an 18% increase over net income of $10.6 million, or 55 cents per share, in the last three months of 1993.
Fourth-quarter revenues reached $120.5 million, up 15% from the year- earlier period.
James L. Mann, Sungard's chairman and chief executive, said 1994 operating margins exceeded the company's expectations and he expected fully diluted earnings per share to the range of $2.56 to $2.63 per share.
Payment systems firm Concord EFS Inc. also reported significantly higher fourth-quarter net income of $6.0 million, a 40% increase over the $4.3 million in net profits reported in the last three months of 1993.
Revenues for Memphis, Tenn.-based Concord totalled $29.3 million in the fourth quarter, compared to $21.5 million for the year earlier period.