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Blackhawk Network (HAWK) Tops Q3 EPS by 6c

October 8, 2014 8:32 AM

Blackhawk Network (NASDAQ: HAWK) reported Q3 EPS of $0.09, $0.06 better than the analyst estimate of $0.03. Revenue for the quarter came in at $269 million versus the consensus estimate of $254.8 million.

"Adjusted operating revenue growth was 30% during the third quarter, consistent with the first two fiscal quarters. Revenue growth has continued to be driven by strong sales of open loop gift cards in the U.S., the acquisitions of InteliSpend and Retailo and sales of digital media products in Japan," CEO Bill Tauscher commented. Worldwide load value grew 46%, or 34% excluding acquisitions, and international accounted for 23% of total load value during the third quarter.

CFO Jerry Ulrich added, "Load value growth outpaced adjusted operating revenue growth because of several fast growing programs where the average revenue to load value ratio is lower. While these programs, coupled with changes in product mix, are causing the overall revenue to load value ratio to decline, we're very pleased with the Company's revenue growth rate of 30%. During the quarter we also completed two contract amendments with our open loop gift issuing banks in Australia and Canada that favorably impacted year-to-date pre-tax income by $2.1 million. We had originally expected to complete these amendments during the fourth quarter of 2014."

For earnings history and earnings-related data on Blackhawk Network (HAWK) click here.

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