Research Desk Line-up: Aspen Technology Post Earnings Coverage
LONDON, UK / ACCESSWIRE / September 6, 2017 / Pro-Trader Daily has just published a free post-earnings coverage on Jack Henry & Associates, Inc. (NASDAQ: JKHY) ("Jack Henry"), which can be viewed by registering at http://protraderdaily.com/optin/'symbol=JKHY, following the Company's release of its fourth quarter and fiscal 2017 financial results on August 15, 2017. The payment processing Company met earnings forecasts. Our daily stock reports are accessible for free, and with those to look forward today you also will be signing up for a complimentary member's account at:
http://protraderdaily.com/register/
Get more of our free earnings reports coverage from other constituents of the Business Software & Services industry. Pro-TD has currently selected Aspen Technology, Inc. (NASDAQ: AZPN) for due-diligence and potential coverage as the Company announced on August 10, 2017, its financial results for Q4 FY17 and FY17 which ended on June 30, 2017. Register for a free membership today, and be among the early birds that get access to our report on Aspen Technology when we publish it.
At Pro-TD, we make it our mission to bring you news that matter about the stock you follow. Today, our research desk covers a blog story on JKHY; also brushing on AZPN. With the links below you can directly download the report of your stock of interest free of charge at:
http://protraderdaily.com/optin/'symbol=JKHY
http://protraderdaily.com/optin/'symbol=AZPN
Earnings Reviewed
Jack Henry's revenue for the quarter ended June 30, 2017 increased to $383.77 million, a 5% increase over Q4 FY16 revenue of $366.97 million. The Company's Q4 FY16 included revenue of $6.1 million from Alogent, which was sold near the end of that quarter. In addition, deconversion fees in Q4 FY17 decreased $8.9 million on a y-o-y basis. Excluding Alogent's revenue and costs from the prior year, and deconversion fees from both periods, Jack Henry's revenue increased 9%. The Company's revenue result beat analysts' expectations of $372.7 million.
Jack Henry's revenue for the year ended June 30, 2017, increased 6% to $1.43 billion on a y-o-y basis.
During Q4 FY17, Jack Henry's gross profit grew 2% to $164.37 million compared to gross profit of $161.70 million in Q4 FY16. The Company's gross profit margin totaled 43% compared to 44% in the year ago corresponding period. Jack Henry's operating income decreased 15% to $98.9 million, or 26% of revenue, for Q4 FY17 compared to $116.5 million, or 32% of revenue, in Q4 FY16, with the decline in operating income attributed to the gain on the sale of Alogent recognized in Q4 FY16, coupled with lower deconversion fees in Q4 FY17.
Jack Henry's net income decreased 23% to $64.7 million, or $0.83 per diluted share, in Q4 FY17 compared to $84.3 million, or $1.06 per diluted share, in Q4 FY16. The decrease was attributed to the aforementioned factors. The Company's earnings met Wall Street's estimates of $0.83 per share. Jack Henry's net income for the year ended June 30, 2017, decreased 1% to $245.8 million, or $3.14 per diluted share, compared to $248.9 million or $3.12 per diluted share in FY16.
Jack Henry's Segment Results
During Q4 FY17, the bank systems and services segment's revenue increased 2% to $277.4 million, with a gross margin of 40%, compared to $272.7 million, with a gross margin of 43%, in Q4 FY16. Excluding Alogent from the fourth quarter of fiscal 2016, the bank systems and services segment's revenue increased 4% for the reported quarter.
The Company's credit union systems and services segment's revenue increased 13% to $106.4 million, with a gross margin of 50%, for Q4 FY17 from $94.3 million, with a gross margin of 47%, in Q4 FY16. The growth in the credit union segment was mainly due to an increase in bundled services revenue caused by an increase in terminations of pending products and service obligations on certain contracts allowing for earlier recognition of revenue on the Company's bundled arrangements.
Balance Sheet and Cash Flow Review
At June 30, 2017, Jack Henry's cash and cash equivalents increased to $114.8 million from $70.3 million at June 30, 2016. The Company's trade receivables totaled $276.9 million at June 30, 2017, compared to $253.9 million at June 30, 2016.
Jack Henry's current and long-term debt totaled $50.0 million at June 30, 2017, an increase from $0.2 million at the end of the year ago same period. The Company's total deferred revenue decreased to $511.4 million at June 30, 2017, compared to $521.1 million from the year ago corresponding period.
Jack Henry's cash provided by operations totaled $357.3 million in FY17 compared to $366.4 million in FY16. Cash used in investing activities for FY17 totaled $141.6 million compared to $136.0 million for the same period in fiscal 2016. Financing activities used cash of $171.3 million in FY17 and $308.5 million in FY16.
On August 21, 2017, Jack Henry announced its Board of Directors declared a regular quarterly cash dividend of $.31 per share. The cash dividend on its common stock, par value $0.01 per share, is payable on September 28, 2017, to stockholders of record as of September 08, 2017.
Stock Performance
At the closing bell, on Tuesday, September 05, 2017, Jack Henry & Associates' stock fell slightly by 0.72%, ending the trading session at $101.81. A total volume of 346.01 thousand shares have exchanged hands. The Company's stock price surged 7.77% in the past six months and 14.47% in the previous twelve months. Moreover, the stock rallied 14.68% since the start of the year. The stock is trading at a PE ratio of 32.41 and has a dividend yield of 1.22%. The stock currently has a market cap of $7.90 billion.
Pro-Trader Daily:
Pro-Trader Daily (Pro-TD) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. PRO-TD has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles, and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.
PRO-TD has not been compensated; directly or indirectly; for producing or publishing this document.
PRESS RELEASE PROCEDURES:
The non-sponsored content contained herein has been prepared by a writer (the "Author") and is fact checked and reviewed by a third party research service company (the "Reviewer") represented by a credentialed financial analyst [for further information on analyst credentials, please email contact@protraderdaily.com. Rohit Tuli, a CFA® charter holder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by PRO-TD. PRO-TD is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.
NO WARRANTY
PRO-TD, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. PRO-TD, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, PRO-TD, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.
NOT AN OFFERING
This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither PRO-TD nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://protraderdaily.com/disclaimer/.
CONTACT
For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:
Email: contact@protraderdaily.com
Phone number: (917) 341.4653
Office Address: Mainzer Landstrasse 50 Frankfurt am Main, Germany 60325
CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.
SOURCE: Pro-Trader Daily
