Declining check volumes slowed second quarter revenue growth for the Payment Solutions unit at Fidelity National Information Systems Inc., or FIS.
The banking and payments-technology company otherwise was aided by a boost in electronic transactions, FIS said in its July 17 earnings announcement.
The payments unit's revenue rose 0.4%, to $606.1 million from $603.6 million during the same period a year earlier. Revenue was up 2.7% when excluding the check-related businesses, whose revenue dropped 8.9%, to $108.9 million from $119.6 million.
Payment Solutions earnings before interest, taxes, depreciation and amortization increased 8.6%, to $249.6 million from $229.9 million. The EBITDA margin increased 310 basis points, to 41.2%, year over year, "reflecting continued transaction growth and an ongoing focus on cost management," FIS said.
Processing and Services revenues for the quarter were up 3.5%, to $1.46 billion from $1.41 billion.
As a company, revenue from continuing operations increased 3.1%, to $1.46 billion from $1.41 billion. Net earnings from continuing operations attributable to common stockholders rose to $155.8 million, or 52 cents per diluted share during the quarter, compared with $126.6 million, or 41 cents per diluted share, a year earlier.
