Global Payments Inc. this week reported $440.1 million in revenue for its fiscal first quarter ended Aug. 31, up 7.4% from $409.9 million in revenue during the same period last year.
Despite the revenue gain, Atlanta-based Global Payments reported a 14.5% drop in net income to $49.4 million from $57.8 million.
Difficult times in Canada contributed to that decline. “Transactions in Canada were flat for the quarter, while average ticket amounts were down 2% over last year and [were] flat with the fourth quarter of 2010,” David Mangum, Global Payments chief financial officer, told analysts during an Oct. 12 conference call.
In local currency, Canadian revenue declined 6%, reflecting a challenging environment that is squeezing profit margins, he says.
