2nd Quarter 2016 Earnings Up 8% at Cass Information Systems, Inc.
Board Announces Cash Dividend
2nd Quarter |
YTD | ||||||||||||||||||
2016 | 2015 | % Change | 2016 | 2015 | % Change | ||||||||||||||
Transportation Dollar Volume | $5.8 billion | $6.5 billion | (11.3) | $11.2 billion | $12.6 billion | (10.8) | |||||||||||||
Facility Expense Dollar Volume* |
$2.8 billion | $2.8 billion | 0.7 | $5.6 billion | $5.7 billion | (2.8) | |||||||||||||
Revenues | $31.0 million | $30.1 million | 2.8 | $61.7 million | $59.9 million | 3.0 | |||||||||||||
Net Income | $5.9 million | $5.5 million | 5.8 | $11.7 million | $11.1 million | 5.5 | |||||||||||||
Diluted Earnings per Share | $.52 | $.48 | 8.3 | $1.03 | $.96 | 7.3 | |||||||||||||
*Includes Energy, Telecom and Waste |
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2016 2nd Quarter Recap
The growth in revenue and net income of 3% and 6%, respectively, was propelled by uncovering strong business opportunities that increased sales from new customers and broadened services offerings. This success was achieved despite a persistently challenging economic environment.
The facility expense group led the way to the solid quarterly performance with double-digit growth in transaction volume compared to the second quarter of 2015, the result of highly focused and successful marketing efforts that generated a number of new customers. Facility expense dollar volume was also up for the quarter.
In the transportation group, new accounts boosted transaction volume, but multiple factors offset the benefits of that growth. The foremost impediment was declining activity from existing customers, especially those involved in oil and gas production. Transportation dollar volume was also retarded by lower fuel prices which reduced average invoice amounts. The decrease in dollar volume generated smaller investable balances that reduced investment income, and more significantly, lowered fees from carrier services.
Consolidated operating expenses saw a
“We are pleased with how the company is executing its business strategy over the first half of 2016,” said Eric H. Brunngraber, Cass chairman and chief executive officer. “Although we continue to contend with economic challenges, including ongoing low interest rates, our ability to win and grow new business leaves us confident that our strategy is sound.”
Six-Month 2016 Recap
For the six-month period ended
Consolidated operating expenses were up 2%, or
Cash Dividend Declared
On
“Our history of dividend payments combined with the return of almost
About
Note to Investors
Certain matters set forth in this news release may contain
forward-looking statements that are provided to assist in the
understanding of anticipated future financial performance. However,
such performance involves risks and uncertainties that may cause actual
results to differ materially from those in such statements. For a
discussion of certain factors that may cause such forward-looking
statements to differ materially from the company’s actual results, see
the company’s reports filed from time to time with the
Selected Consolidated Financial Data |
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The following table presents selected unaudited consolidated financial data (in thousands, except per share data) for the periods ended June 30, 2016 and 2015: |
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Quarter
Ended June 30, 2016 |
Quarter
Ended June 30, 2015 |
Six Months
Ended June 30, 2016 |
Six Months
Ended June 30, 2015 |
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Transportation Invoice Volume | 8,776 | 8,969 | 16,888 | 17,094 | |||||||||||||||||
Transportation Dollar Volume | $ | 5,800,675 | $ | 6,541,917 | $ | 11,243,007 | $ | 12,598,628 | |||||||||||||
Facility Expense Transaction Volume | 5,667 | 5,021 | 10,955 | 10,062 | |||||||||||||||||
Facility Expense Dollar Volume | $ | 2,775,639 | $ | 2,755,930 | $ | 5,581,132 | $ | 5,739,120 | |||||||||||||
Payment and Processing Fees | $ | 20,880 | $ | 19,699 | $ | 40,425 | $ | 39,117 | |||||||||||||
Net Investment Income | 9,506 | 9,282 | 19,770 | 18,243 | |||||||||||||||||
Gain on Sales of Securities | 79 | 690 | 387 | 1,639 | |||||||||||||||||
Other | 498 | 449 | 1,150 | 914 | |||||||||||||||||
Total Revenues | $ | 30,963 | $ | 30,120 | $ | 61,732 | $ | 59,913 | |||||||||||||
Salaries and Benefits | $ | 18,102 | $ | 17,543 | $ | 35,948 | $ | 34,869 | |||||||||||||
Occupancy | 866 | 856 | 1,700 | 1,693 | |||||||||||||||||
Equipment | 1,110 | 1,070 | 2,165 | 2,141 | |||||||||||||||||
Other | 2,981 | 3,171 | 6,162 | 6,245 | |||||||||||||||||
Total Operating Expenses |
$ | 23,059 | $ | 22,640 | $ | 45,975 | $ | 44,948 | |||||||||||||
Income from Operations before Income Taxes | $ | 7,904 | $ | 7,480 | $ | 15,757 | $ | 14,965 | |||||||||||||
Income Tax Expense | 2,035 | 1,932 | 4,055 | 3,878 | |||||||||||||||||
Net Income | $ | 5,869 | $ | 5,548 | $ | 11,702 | $ | 11,087 | |||||||||||||
Basic Earnings per Share | $ | .53 | $ | .49 | $ | 1.05 | $ | .97 | |||||||||||||
Diluted Earnings per Share | $ | .52 | $ | .48 | $ | 1.03 | $ | .96 | |||||||||||||
Average Earning Assets | $ | 1,289,339 | $ | 1,209,959 | $ | 1,275,824 | $ | 1,235,878 | |||||||||||||
Net Interest Margin | 3.40 | % | 3.52 | % | 3.39 | % | 3.41 | % | |||||||||||||
Allowance for Loan Losses to Loans | 1.53 | % | 1.76 | % | 1.53 | % | 1.76 | % | |||||||||||||
Non-performing Loans to Total Loans | .05 | % | .47 | % | .05 | % | .47 | % | |||||||||||||
Net Loan (Recoveries) / Charge-offs to Loans | (.01 | %) |
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(.01 | %) |
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Provision for Loan Losses | $ |
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$ |
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$ | (1,000 | ) | $ |
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View source version on businesswire.com: http://www.businesswire.com/news/home/20160721005087/en/
Source:
Casey Communications, Inc.
Kenn Entringer, 314-721-2828
kentringer@caseycomm.com