Cass Information Systems, Inc. Reports 2nd Quarter Earnings and Declares Regular Quarterly Dividend
2nd Quarter |
% |
YTD |
% |
|||||||||
2009 | 2008 | 2009 | 2008 | |||||||||
Transportation Invoice Volume | 5.7 million | 6.8 million |
(16)% |
11.1 million | 12.7 million |
(13)% |
||||||
Utility Transaction Volume | 2.8 million | 2.6 million |
8% |
5.7 million | 5.2 million |
10% |
||||||
Revenues | $21.7 million | $22.7 million |
(4)% |
$43.4 million | $44.6 million |
(3)% |
||||||
Net Income | $3.7 million | $4.6 million |
(20)% |
$7.6 million | $8.6 million |
(12)% |
||||||
Diluted Earnings per Share | $.39 | $.48 |
(19)% |
$.81 | $.91 |
(11)% |
||||||
2009 2nd Quarter Recap
New transportation customer implementations helped off-set a 22% decline in base customer volumes as the global economic slowdown continued to impact the transportation industry. As a result, freight invoice volume was down 16% and dollar volume was down 22%. New business helped boost utility transaction volume by 8% and dollar volume by 0.3% to partially offset the drop in the freight business. Overall, payment and processing fees decreased 6% compared to the year-earlier period.
Net investment income decreased
Overall operating expenses were up 2%, or
“As one can expect, the difficult economic environment is putting
significant pressure on our transportation invoice processing operation.
Although we won new accounts, the volume they added failed to cover the
sharp decline in transaction volume from our base customers,” said
Six-Month 2009 Recap
New transportation customers helped off-set a 22% decline in base customer volumes causing freight invoice volume to decline 13% and dollar volume to decline 17%. Conversely, utility transaction volume was up 10% while dollar volume increased 6% for the first six months of 2009. The net effect was a 3% decrease in overall payment and processing fees compared to the first half of 2008.
Net investment income decreased
Operating expenses were up 0.7%, or
Cash Dividend Declared
On
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
The following table presents selected unaudited consolidated financial
data (in thousands, except per share data) for the periods ended
Quarter
Ended 6/30/09 |
Quarter
Ended 6/30/08 |
Six Months
Ended 6/30/09 |
Six Months
Ended 6/30/08 |
|||||||||
Transportation Invoice Volume | 5,716 | 6,765 | 11,111 | 12,737 | ||||||||
Transportation Dollar Volume | $ | 3,391,822 | $ | 4,355,522 | $ | 6,778,562 | $ | 8,213,095 | ||||
Utility Transaction Volume | 2,823 | 2,618 | 5,653 | 5,150 | ||||||||
Utility Dollar Volume | $ | 2,263,404 | $ | 2,257,471 | $ | 4,759,101 | $ | 4,493,361 | ||||
Payment and Processing Fees | $ | 12,036 | $ | 12,744 | $ | 23,980 | $ | 24,791 | ||||
Net Investment Income | 9,144 | 9,414 | 18,246 | 18,727 | ||||||||
Gain on Sales of Securities | 83 | ─ | 202 | ─ | ||||||||
Other | 479 | 560 | 1,018 | 1,124 | ||||||||
Total Revenues | $ | 21,742 | $ | 22,718 | $ | 43,446 | $ | 44,642 | ||||
Salaries and Benefits | $ | 12,730 | $ | 12,496 | $ | 25,179 | $ | 24,933 | ||||
Occupancy | 571 | 560 | 1,186 | 1,100 | ||||||||
Equipment | 833 | 872 | 1,674 | 1,696 | ||||||||
Other | 2,663 | 2,580 | 5,048 | 5,139 | ||||||||
Total Operating Expenses | $ | 16,797 | $ | 16,508 | $ | 33,087 | $ | 32,868 | ||||
Income from Operations before Income Taxes |
$ |
4,945 |
$ |
6,210 |
$ |
10,359 |
$ |
11,774 |
||||
Provision for Income Taxes | 1,284 | 1,644 | 2,775 | 3,189 | ||||||||
Net Income | $ | 3,661 | $ | 4,566 | $ | 7,584 | $ | 8,585 | ||||
Basic Earnings per Share | $ | .40 | $ | .50 | $ | .83 | $ | .94 | ||||
Diluted Earnings per Share | $ | .39 | $ | .48 | $ | .81 | $ | .91 | ||||
Average Earning Assets | $ | 831,669 | $ | 803,611 | $ | 817,884 | $ | 801,903 | ||||
Net Interest Margin | 5.02% | 5.59% | 5.16% | 5.48% | ||||||||
Allowance for Loan Losses to Loans |
1.14% |
1.07% |
1.14% |
1.07% |
||||||||
Non-performing Loans to
Total Loans |
.32% |
.57% |
.32% |
.57% |
||||||||
Net Loan (Recoveries) Charge-offs to Loans | (.01)% | .14% | .03% | .23% | ||||||||
Provision for Loan Losses | $ | 300 | $ | 650 | $ | 700 | $ | 1,100 |
Source:
Casey Communications, Inc.
Kenn Entringer, 314-721-2828
kentringer@caseycomm.com
http://www.cassinfo.com