We use cookies to understand how you use our site and to improve your experience.
This includes personalizing content and advertising.
By pressing "Accept All" or closing out of this banner, you consent to the use of all cookies and similar technologies and the sharing of information they collect with third parties.
You can reject marketing cookies by pressing "Deny Optional," but we still use essential, performance, and functional cookies.
In addition, whether you "Accept All," Deny Optional," click the X or otherwise continue to use the site, you accept our Privacy Policy and Terms of Service, revised from time to time.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Jack Henry (JKHY) Q4 Earnings Beat Estimates, Revenues Up Y/Y
Read MoreHide Full Article
Jack Henry & Associates, Inc. (JKHY - Free Report) posted fourth-quarter fiscal 2024 earnings of $1.38 per share, beating the Zacks Consensus Estimate by 6.1%. The bottom line increased 3% from the year-ago quarter’s reported figure.
Revenues rose 4.7% from the year-ago quarter’s reading to $559.9 million. The figure missed the Zacks Consensus Estimate of $563.4 million.
JKHY’s non-GAAP revenues were $553.2 million, up 6.4% from the year-ago quarter’s tally.
Higher processing revenues drove top-line growth.
Strong momentum across the Core, Payments, Complementary and Corporate segments contributed well.
Jack Henry & Associates, Inc. Price, Consensus and EPS Surprise
Services & Support: JKHY generated revenues of $316.7 million from the category (56.6% of revenues). The figure rose 1.5% from the year-ago quarter’s levels, owing to an 11.5% rise in data processing and hosting fees.
Processing: The category yielded $243.2 million in revenues (43.4% of revenues), up 9.2% from the year-ago quarter’s actual. The upside can be attributed to a 14% increase in Jack Henry's digital and transaction revenues and 8.3% growth in card revenues. Strength in payment processing and remote capture also contributed well.
Segments in Detail
Core: Revenues were $172.04 million (30.7% of the total revenues), rising 3% from the year-ago quarter’s figure. However, the metric lagged the Zacks Consensus Estimate of $177 million.
Payments: Revenues summed up to $212.6 (38% of the total revenues), increasing 7.7% from the year-ago quarter’s figure. The metric surpassed the consensus mark of $207 million.
Complementary: Revenues were $155.1 million (27.7% of the total revenues), up 2.7% from the year-earlier quarter’s levels. The figure missed the Zacks Consensus Estimate of $158 million.
Corporate & Other: Revenues grossed $20.1 million (3.6% of the total revenues) and rose 5.8% from the prior-year quarter. The figure surpassed the consensus mark of $19.96 million.
Operating Details
In fourth-quarter fiscal 2024, total operating expenses were $434.3 million, up 5.8% from the prior-year quarter’s figure.
As a percentage of revenues, the figure expanded 80 basis points (bps) from the year-ago quarter’s tally to 77.6%
The operating margin was 22.4%, contracting 80 bps from the year-ago quarter’s tally.
Balance Sheet
As of Jun 30, 2024, cash and cash equivalents totaled $38.3 million compared with $27.3 million as of Mar 31, 2024.
Trade receivables were $333.03 million in the reported quarter, up from $263.4 million registered in the previous quarter.
The current and long-term debt was $150 million at the end of fourth-quarter fiscal 2024 compared with $250 million at the end of the fiscal third quarter.
Guidance
For the fiscal 2025, Jack Henry expects GAAP revenues of $2.369-$2.391 billion. The Zacks Consensus Estimate for revenues is pegged at $2.37 billion.
GAAP operating margin is anticipated to be between 23% and 23.2%.
It expects non-GAAP revenues to be between $2.353 billion and 2.375 billion.
Management expects GAAP earnings per share within the range of $5.78-$5.87. The Zacks Consensus Estimate for earnings is pegged at $5.70 per share.
Zacks Rank & Stocks to Consider
Jack Henry currently carries a Zacks Rank #3 (Hold).
JKHY’s shares have inched up 1.3% year to date compared with the Zacks Computer & Technology sector’s increase of 22.5%.
Image: Bigstock
Jack Henry (JKHY) Q4 Earnings Beat Estimates, Revenues Up Y/Y
Jack Henry & Associates, Inc. (JKHY - Free Report) posted fourth-quarter fiscal 2024 earnings of $1.38 per share, beating the Zacks Consensus Estimate by 6.1%. The bottom line increased 3% from the year-ago quarter’s reported figure.
Revenues rose 4.7% from the year-ago quarter’s reading to $559.9 million. The figure missed the Zacks Consensus Estimate of $563.4 million.
JKHY’s non-GAAP revenues were $553.2 million, up 6.4% from the year-ago quarter’s tally.
Higher processing revenues drove top-line growth.
Strong momentum across the Core, Payments, Complementary and Corporate segments contributed well.
Jack Henry & Associates, Inc. Price, Consensus and EPS Surprise
Jack Henry & Associates, Inc. price-consensus-eps-surprise-chart | Jack Henry & Associates, Inc. Quote
Top Line in Detail
Services & Support: JKHY generated revenues of $316.7 million from the category (56.6% of revenues). The figure rose 1.5% from the year-ago quarter’s levels, owing to an 11.5% rise in data processing and hosting fees.
Processing: The category yielded $243.2 million in revenues (43.4% of revenues), up 9.2% from the year-ago quarter’s actual. The upside can be attributed to a 14% increase in Jack Henry's digital and transaction revenues and 8.3% growth in card revenues. Strength in payment processing and remote capture also contributed well.
Segments in Detail
Core: Revenues were $172.04 million (30.7% of the total revenues), rising 3% from the year-ago quarter’s figure. However, the metric lagged the Zacks Consensus Estimate of $177 million.
Payments: Revenues summed up to $212.6 (38% of the total revenues), increasing 7.7% from the year-ago quarter’s figure. The metric surpassed the consensus mark of $207 million.
Complementary: Revenues were $155.1 million (27.7% of the total revenues), up 2.7% from the year-earlier quarter’s levels. The figure missed the Zacks Consensus Estimate of $158 million.
Corporate & Other: Revenues grossed $20.1 million (3.6% of the total revenues) and rose 5.8% from the prior-year quarter. The figure surpassed the consensus mark of $19.96 million.
Operating Details
In fourth-quarter fiscal 2024, total operating expenses were $434.3 million, up 5.8% from the prior-year quarter’s figure.
As a percentage of revenues, the figure expanded 80 basis points (bps) from the year-ago quarter’s tally to 77.6%
The operating margin was 22.4%, contracting 80 bps from the year-ago quarter’s tally.
Balance Sheet
As of Jun 30, 2024, cash and cash equivalents totaled $38.3 million compared with $27.3 million as of Mar 31, 2024.
Trade receivables were $333.03 million in the reported quarter, up from $263.4 million registered in the previous quarter.
The current and long-term debt was $150 million at the end of fourth-quarter fiscal 2024 compared with $250 million at the end of the fiscal third quarter.
Guidance
For the fiscal 2025, Jack Henry expects GAAP revenues of $2.369-$2.391 billion. The Zacks Consensus Estimate for revenues is pegged at $2.37 billion.
GAAP operating margin is anticipated to be between 23% and 23.2%.
It expects non-GAAP revenues to be between $2.353 billion and 2.375 billion.
Management expects GAAP earnings per share within the range of $5.78-$5.87. The Zacks Consensus Estimate for earnings is pegged at $5.70 per share.
Zacks Rank & Stocks to Consider
Jack Henry currently carries a Zacks Rank #3 (Hold).
JKHY’s shares have inched up 1.3% year to date compared with the Zacks Computer & Technology sector’s increase of 22.5%.
Some better-ranked stocks from the broader sector are Nutanix (NTNX - Free Report) , NVIDIA (NVDA - Free Report) and Dell Technologies (DELL - Free Report) . Nutanix sports a Zacks Rank #1 (Strong Buy), while NVIDIA and Dell Technologies carry a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.
Nutanix’s shares have moved up 11.1% year to date. NTNX is set to report its fourth-quarter fiscal 2024 results on Aug 28.
NVIDIA’s shares have surged 157% year to date. NVDA is set to report its second-quarter fiscal 2025 results on Aug 28.
Dell Technologies’ shares have rallied 44.8% year to date. DELL is set to report its second-quarter fiscal 2025 results on Aug 25.