Euronet Worldwide Reports Revenue of $117.2 in First Quarter 2005

Consolidated operating income for the quarter was $11.7 million, compared to $6.5 million for the first quarter 2004. Adjusted EBITDA (operating income plus depreciation and amortization) was $16.7 million for first quarter 2005, compared to $10.1 million for the first quarter 2004. Net income for the first quarter 2005 was $4.8 million, or $0.13 diluted earnings per share, compared to a net income of $3.3 million, or $0.10 diluted earnings per share, for the first quarter 2004. The first quarter 2005 net income included a foreign exchange loss of $2.8 million. Excluding this loss, diluted earnings per share were $0.21, or $7.7 million. Net income for the first quarter 2004 included a foreign exchange translation gain of $0.2 million. Excluding this gain, diluted earnings per share were $0.09, or $3.1 million. The EFT Processing Segment posted first quarter 2005 revenues of $23.9 million, compared to $14.9 million reported for the first quarter 2004. Operating income for the first quarter was $5.6 million, compared to the prior years first quarter of $2.0 million. First quarter 2005 Adjusted EBITDA was $8.0 million, compared to $3.8 million for the first quarter 2004. The EFT Processing Segment processed 77.3 million transactions in the first quarter 2005 compared to 34.9 million transactions for the same period last year. The segment completed the quarter with 6,201 ATMs owned or operated, compared to 3,870 ATMs at the end of the first quarter 2004. The improved results of the first quarter 2005 over the same quarter last year are largely attributable to the continued growth in ATMs under management, primarily in our Indian, Polish and Romanian markets, together with transactional growth from those and all other managed ATMs. Euronet owns and/or operates ATMs in Hungary, Poland, Germany, Croatia, the Czech Republic, U.K., Greece, Romania, Slovakia, Kosovo, Albania, India, and Egypt. The Prepaid Processing Segment reported first quarter 2005 revenues of $89.4 million, compared to $62.9 million reported for the first quarter 2004. Operating income for the first quarter 2005 was $7.8 million, compared to the prior years first quarter results of $6.4 million. Adjusted EBITDA for the first quarter 2005 was $10.1 million, compared to $7.8 million for the first quarter 2004. Total transactions processed by the Prepaid Processing Segment in the first quarter 2005 were 67.2 million, compared to 48.5 million prepaid transactions processed in the first quarter 2004. The Prepaid Processing Segment processes electronic point-of-sale prepaid transactions at more than 205,000 point-of-sale terminals across more than 94,000 retailers in Europe, Asia Pacific and the U.S. As previously announced, the company intends to expand its Prepaid Processing Segment both domestically and internationally through internal sales and promotional efforts as well as, if appropriate, acquisitions. The Prepaid Processing Segments first quarters year-over-year revenue improvements were the result of a continuation of transaction growth together with benefits of acquisitions completed in periods after the first quarter 2004. Moreover, the Prepaid Processing Segment benefited to a marginal extent from the late first quarter 2005 contributions of three newly acquired companies: Telerecarga S.A. (Telerecarga), a Spanish prepaid wireless top-up company; ATX Software Ltd. (ATX), a U.K. based provider of electronic prepaid voucher solutions, in which we increased our ownership percentage to 51% by acquiring an additional 41% ownership share of that company; and Dynamic Telecom, Inc. (Dynamic), a prepaid wireless top-up company in the U.S. The quarterly Adjusted EBITDA and operating income improvements generally correlated to the increases in revenues. Offsetting operating income in the first quarter 2005 was approximately $0.5 million in incremental recurring sales and marketing costs to strengthen effo