Improving economic conditions and organic growth helped processor Total System Services Inc., or TSYS, on April 26 to report a 3.8% rise in first quarter revenue, to $429.4 million from $413.5 million during the same period last year. Net income was $49.4 million, down 4.6% from $51.8 million.
“The economic momentum generated during the last two quarters continues to move us forward and has reinforced our enthusiasm for 2011,” Philip W. Tomlinson, the Columbus, Ga.-based company’s chairman and chief executive, said in a news release announcing company earnings. “Our same-client cardholder transaction volumes increased 9.6%, marking the sixth consecutive quarter of growth. Organic revenue growth continues to improve with the first quarter at 3.9%.”
Among the quarter’s highlights was the completion of the purchase of the remaining 49% interest in TSYS Merchant Solutions in January for a net purchase price of $169.5 million, he noted (
For North America, TSYS reported total revenues of $230.6 million, down 9.3% from $254.2 million. Accounts on file were up 9.4%, to 309.6 million from 283 million. Transaction volume rose 11.6%, to 1.63 billion from 1.46 billion.
International Services generated revenues of $90.7 million, up 14.2% from $79.4 million. Accounts on file were up 17.4%, to 47.2 million from 40.2 million. Transaction volume was up 15.9%, to 326 million from 281.3 million.
TSYS’s Merchant Services segment generated $115.8 million in revenues, up 32.6% from $87.3 million. Point-of-sale transaction volume was down 7.6%, to $1.21 billion from $1.31 billion.
