Global Axcess Reports Record 2004 Annual Financial Results

Friday 1 April 2005 10:56 CET | News

Global Axcess Corp has reported revenue increase of 36.3% to $13.9 million from $10.2 million in the comparable twelve-month period in 2003;

For the year ended 2004, highlights included: - Revenues increased 36.3% to $13.9 million from $10.2 million in the comparable twelve-month period in 2003; - Gross profit margins increased to 41% from 37.5%; - Operating income increased by 242% from $158,125 to $541,005; - Net income increased by 268% to $1,139,889 versus $309,866 in the comparable twelve-month period of 2003. Net income for the current twelve- month period was positively impacted by the non-cash gain of $538,295 associated with a provision for income tax benefit. - Shareholders equity increases 158% to $13,218,475 from $5,122,430; - Completed the acquisition and integration of three significant ATM portfolios, adding an additional 1670 ATMs, which substantially added to annual revenues while expanding the Companys network. This expansion will be accretive to earnings in 2005. - ATMs Made Easy program added 286 new merchant customers - Branded cash program had a 110% increase in new financial institutions. For the fiscal year ended December 31, 2004 GLXS total revenues increased 36% to $13,907,950, from $10,201,765 for the fiscal year ended December 31, 2003, largely due to the added revenue generated from the three acquisitions and organic growth during fiscal 2004. Net income for the fiscal year 2004 was $1,139,889, or $0.014 cents per diluted share based on 82,445,916 fully diluted shares outstanding, compared to $309,866 thousand or $0.004 cents per diluted share in 2003, based on 72,572,835 fully diluted shares outstanding. Our total cost of revenues increased by 29% from $6,377,846, or 62.5% of revenue, to $8,204,890 or 59% of revenue in fiscal years ending December 31, 2003 and 2004, respectively. Gross profit as a percentage of revenues increased from 37.5% in 2003 to 41% in 2004, primarily related to increased efficiencies and successful cross-selling of additional higher-margin programs. The branded cash program saw an increase in the number of financial institutions to 66, an increase of 32 in fiscal 2004 from 34 at the end of fiscal 2003. The number of branded ATM sites increased from 352 in fiscal 2003, to over 583 branded sites in fiscal 2004. 2005 Outlook Management reiterated its expectations for 2005, expecting revenue to increase by 44% to $20 million and net income to increase by 100% to $1.2 million. This guidance anticipates improvement in the profitability from the Companys core ATM division, while including consideration for planned increased investment in marketing as well as increased infrastructure to support the Companys anticipated growth in the ATMS Made Easy program and the Easy Green Cash Card solution.

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Categories: Payments & Commerce | Payments General
Countries: World
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