- Revenue Increases Four Percent to $237 Million -
NEW YORK, Oct. 21 /PRNewswire-FirstCall/ -- BISYS, a leading provider of
business process outsourcing solutions for the financial services sector,
today reported the results of its fiscal first quarter ended
September 30, 2003.
For the fiscal first quarter, BISYS reported net income of $4.8 million or
$0.04 per diluted share, as compared to net income of $16.8 million or $0.14
per diluted share for the same period in fiscal 2003. Actual results for the
fiscal first quarter of 2004 include restructuring, impairment, and other
charges of $0.11 per diluted share or $13.1 million, including a net tax
charge of $0.5 million, primarily related to the integration, consolidation,
and reorganization of certain business operations, particularly in the
Company's European Fund Services division and the Insurance and Education
Services group. Actual results for the fiscal first quarter of 2003 include
restructuring charges of $0.06 per diluted share or $7.5 million, net of a tax
benefit of $4.5 million, related to the integration, consolidation, and
relocation of certain business operations, primarily as a result of
acquisition activity.
Excluding restructuring, impairment, and other charges, pro forma net
income was $17.9 million or $0.15 per diluted share for the fiscal 2004 first
quarter, as compared to $24.3 million or $0.20 per diluted share for the
comparable fiscal 2003 quarter.
Revenue for the fiscal first quarter 2004 increased to $237.4 million, up
four percent from $227.3 million in the same period last year.
The Company has included the above pro forma information concerning
restructuring, impairment, and other charges to assist investors in analyzing
BISYS' results of operations. The Company has elected to provide this
information to enable investors to perform meaningful comparisons of past,
present, and future operating results, and as a means to emphasize the results
of core, ongoing operations.
About BISYS
The BISYS Group, Inc. (NYSE: BSG), headquartered in New York City,
provides business process outsourcing solutions that enable investment firms,
insurance companies, and banks to capitalize on convergence by entering new
segments of the financial services industry. BISYS currently supports more
than 22,000 domestic and international financial institutions and corporate
clients through three business units. Its Investment Services group provides
administration and distribution services for approximately 370 clients,
representing approximately 2,100 mutual funds, hedge funds, private equity
funds, and other alternative investment products with approximately
$700 billion in assets under administration. BISYS' largest group also
provides retirement services to more than 17,000 companies in partnership with
40 of the nation's leading banks and investment management companies, and
offers analytical research and competitive intelligence through its Financial
Research Corporation (FRC) subsidiary. Through its Insurance and Education
Services group, BISYS is the nation's largest independent distributor of life
insurance and the premier provider of the support services required to sell
traditional and variable life, long-term care, disability, and annuity
products. BISYS is also the nation's third largest independent wholesale
broker of commercial property/casualty insurance. This group complements its
insurance distribution services with a comprehensive compliance management
solution that supports insurance and investment firms and professionals with
more than 215 certification and continuing education training courses, and a
sophisticated suite of products and services that automates the entire
licensing process. BISYS' Information Services group supports approximately
1,450 banks, insurance companies, and corporations with industry-leading
information processing and imaging solutions, turnkey asset retention
solutions, and specialized corporate banking solutions. Additional
information is available at http://www.bisys.com.
Except for the historical information contained herein, the matters
discussed in the press release are forward-looking statements within the
meaning of the safe-harbor provisions of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements are subject to risks and
uncertainties that may cause actual results to differ materially, including
but not limited to economic, competitive, governmental and technological
factors affecting the Company's operations, markets, services and related
products, prices and other factors discussed in the Company's periodic filings
with the Securities and Exchange Commission.
THE BISYS GROUP, INC.
SUMMARY CONSOLIDATED FINANCIAL DATA
(Unaudited)
(In thousands, except per share data)
THREE MONTHS ENDED
SEPTEMBER 30,
Income Statement Data: 2003 2002
Revenues $237,382 $227,344
Operating cost and expenses:
Service and operating 152,512 135,549
Selling, general and administrative 46,129 44,586
Amortization of intangible assets 5,806 4,272
Restructuring, impairment and other
charges 12,624 12,079
Total expenses 217,071 196,486
Operating earnings 20,311 30,858
Interest income 325 373
Interest expense (4,664) (4,385)
Income before income taxes 15,972 26,846
Income taxes 11,161 10,067
Net income $4,811 $16,779
Basic earnings per share $0.04 $0.14
Diluted earnings per share $0.04 $0.14
Weighted average shares outstanding 119,805 119,535
Weighted average equivalent shares
outstanding 121,467 122,647
Pro forma:
Reported net income $4,811 $16,779
Addback:
Restructuring, impairment and other
charges, net of tax 13,133 7,549
Pro forma net income $17,944 $24,328
Diluted earnings per share:
Reported net income $0.04 $0.14
Addback:
Restructuring, impairment and other
charges, net of tax 0.11 0.06
Pro forma net income $0.15 $0.20
THE BISYS GROUP, INC.
SUMMARY CONSOLIDATED FINANCIAL DATA
(Unaudited)
(In thousands)
THREE MONTHS ENDED
SEPTEMBER 30,
Business Segment Data: 2003 2002
Revenues:
Investment Services $128,171 $120,944
Insurance and Education Services 57,126 55,699
Information Services 52,085 50,701
Total $237,382 $227,344
Operating earnings (loss)*:
Investment Services $16,413 $16,084
Insurance and Education Services 8,815 19,669
Information Services 12,887 12,405
Corporate (5,180) (5,221)
Total $32,935 $42,937
* Excludes the impact of restructuring, impairment and other charges in
fiscal years 2004 and 2003.
SEPTEMBER 30, JUNE 30,
Balance Sheet Data: 2003 2003
Cash and cash equivalents $76,475 $79,558
Accounts receivable, net 94,532 96,237
Insurance premiums and commissions
receivable, net 149,999 169,780
Total assets 1,487,291 1,526,893
Insurance premiums and commissions
payable 53,407 79,398
Short-term borrowings 163,000 172,000
Long-term debt 300,000 300,000
Stockholders' equity 773,914 785,061
Other Financial Data: THREE MONTHS ENDED
SEPTEMBER 30,
2003 2002
Capital expenditures $9,487 $13,901
Net cash provided by operating activities $26,432 $16,804
Effective tax rate, excluding impact of
restructuring, impairment and other charges 37.25% 37.50%
SOURCE BISYS Group, Inc.
 back to top
Related links:
http://www.bisys.com
CONTACT:
James L. Fox, Executive Vice President and
Chief Financial Officer of BISYS Group, Inc., +1-212-907-6015
|
