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InterCept Reports Fourth Quarter and 2003 Year End Results

Wednesday 17 March 2004 20:37 CET | News

InterCept has reported financial results for the three months and year ended December 31, 2003. Net revenues for the three months ended December 31, 2003 totaled $65.1 million, which was consistent with the $65.1 million reported for the three months ended December 31, 2002.

During the three months ended December 31, 2003, revenues from InterCepts financial institution services segment were $48.3 million, a 17.0% increase compared with $41.3 million for the three months ended December 31, 2002. Revenues from the merchant services division were $13.8 million, a 28.8% decrease compared with $19.4 million for the three months ended December 31, 2002. Net income attributable to common shareholders, excluding unusual items of $108.2 million ($143.0 million on a pre-tax basis) that are described below, totaled $1.0 million, or $0.05 per share, on 21.2 million average shares outstanding for the three months ended December 31, 2003. For the three months ended December 31, 2002, net income available to common shareholders, excluding unusual items of $20.0 million that are described below, totaled $2.8 million, or $0.14 per share, on 20.3 million average shares outstanding. On a GAAP basis, including the unusual items, net loss available to common shareholders totaled $107.2 million, or $5.37 per share, for the three months ended December 31, 2003, versus a loss of $13.2 million, or $0.67 per share, for the three months ended December 31, 2002. Year Ended December 31, 2003 Net revenues for the year ended December 31, 2003 totaled $258.5 million, a 14.0% increase compared with $226.7 million for the year ended December 31, 2002. During the period, revenues from InterCepts financial institution services segment were $183.0 million, a 15.9% increase compared with $158.0 million for the year ended December 31, 2002. Revenues from the merchant services division were $61.4 million as compared with $54.7 million for the year ended December 31, 2002. Because InterCept completed the acquisitions of EPX and iBill in April and May 2002, those operations contributed revenues for only part of 2002. For the year ended December 31, 2003, net income attributable to common shareholders, excluding unusual items of $111.5 million ($148.2 million on a pre-tax basis) that are described below, totaled $6.5 million, or $0.32 per share, on 19.8 million average shares outstanding for the year ended December 31, 2003, versus $18.3 million, or $0.93 per share, on 19.7 million average shares outstanding for year ended December 31, 2002. On a GAAP basis, including the unusual items, net loss available to common shareholders totaled $105.0 million, or $5.29 per share for the year ended December 31, 2003, versus a loss of $2.3 million, or $0.12 per share, for the year ended December 31, 2002. Update on Sale of Merchant Services Division On February 11, 2004, InterCept announced that it had entered into a letter of intent for the sale of its merchant services division, InterCept Payment Solutions. The potential purchaser under that letter of intent was an independent provider of merchant payment services for both traditional and web-based merchants. Although that potential purchaser originally intended to purchase the entire division, InterCept is now negotiating with that potential purchaser and another independent bidder to sell to one of them the merchant division assets other than iBill. InterCept is now negotiating to sell iBill to another independent buyer. InterCept believes that it is close to reaching final agreements with the entity seeking to buy the iBill assets and one of the bidders for the remaining assets. InterCept believes that the aggregate sales price for the entire division is likely to be higher than the $37.4 million announced on February 11. If InterCept closes these sales in the near future as InterCept anticipates, it will disclose the material terms of the sales by press release and by filing a Current Report on Form 8-K with the SEC. New Directors InterCept also announced the addition of another independent director to its board of directors. Mr. Arthur G. (Buddy) Weiss, a private investor and the former Ch


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Categories: Payments & Commerce | Payments General
Countries: World
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Payments & Commerce