eFunds Net Income Up 18%

Reported operating income increased to $15.2 million, or 10.9 percent of net revenue, as compared to operating income of $12.2 million, or 9.1 percent of net revenue, reported in the third quarter of 2003. Net revenue for the third quarter of 2004 increased 5.2 percent to $140.1 million, as compared to net revenue of $133.1 million recorded in the third quarter of 2003. For the nine months ended Sept. 30, 2004, eFunds reported net income of $29.5 million, or $0.60 per diluted share, compared with net income of $18.8 million, or $0.40 per diluted share, reported in the first nine months of 2003. Reported operating income for the first nine months of 2004 was $42.1 million, or 10 percent of net revenue, as compared to $25.7 million, or 6.5 percent of net revenue, for the same period in the prior year. Net revenue increased 6.3 percent to $421.7 million, as compared to $396.6 million reported in the first nine months of 2003. As of Sept. 30, 2004, the Company had $202.1 million in cash and cash equivalents. Capital expenditures for the first nine months of 2004 were approximately $21 million, compared with $15 million for the same period of 2003, primarily due to investments in the Companys disaster recovery and business continuity capabilities.