Sector: Technology|Industry: Information Technology Services|Market Cap: $12.38B|Employees: 7K
Jack Henry & Associates, Inc., a financial technology company that connects people and financial institutions through technology solutions and payment processing services that reduce the barriers to financial health. It operates through four segments: Core, Payments, Complementary, and Corporate and Other. The Core segment provides core information processing platforms to banks and credit unions, which consist of integrated applications required to process deposit, loan, and general ledger transactions, and maintain centralized customer/member information. The Payments segment provides secure payment processing tools and services, including ATM, debit, and credit card processing services, online and mobile bill pay solutions, ACH origination and remote deposit capture processing, and risk management products and svervices. The Complementary segment provides additional software, hosted processing platforms, and services, including digital/mobile banking, treasury services, online account opening, fraud/anti-money laundering, and lending/deposit solutions. The Corporate and Other segment offers hardware and other products. The company offers specialized financial performance, imaging and payments processing, information security and risk management, retail delivery, and online and mobile solutions to financial services organizations and corporate entities. Its core banking platform offerings include SilverLake system, CIF 20/20, and Core Director, as well as core credit union platform under the Symitar name. In addition, the company provides digital products and services and electronic payment solutions; hardware systems; implementation, training, and support services; and software licensing and related services, as well as professional services, and data centers. Jack Henry & Associates, Inc. was founded in 1976 and is headquartered in Monett, Missouri.
Total revenue increased by 5.9% YoY to $538.562 million, driven by growth in data processing and hosting, Jack Henry digital, card, and payment processing revenues. Total revenue less deconversion revenue increased 7.0% quarter over quarter.
Operating expenses increased by 6.6% YoY to $426.463 million, primarily driven by higher personnel costs, higher direct costs, and increased internal licenses and fees. This offset some of the gains from revenue growth.
Net income increased by 6.8% YoY to $87.099 million. Removing the effects of deconversion activities results in a 12.2% increase quarter over quarter, primarily due to net organic growth in revenue lines.