Fidelity Nat'l Information Services 4Q profit up
Fidelity National Information Services 4th-quarter profit rises, company boosts dividend
JACKSONVILLE, Fla. (AP) -- Fidelity National Information Services Inc. said Tuesday that its fourth-quarter net income climbed 17 percent, free of impairment charges as revenue for its financial solutions segment increased.
The payments technology company, known as FIS, earned $136.7 million, or 46 cents per share, for the three months ended Dec. 31. That's up from $117 million, or 39 cents per share, in the prior-year period.
The year-ago period included $9.1 million in impairment charges. There were no impairment charges in the current quarter.
Excluding acquisition-related costs and other items, earnings from continuing operations were 68 cents per share.
Analysts predicted slightly higher earnings of 69 cents per share, according to a FactSet poll.
Shares of FIS fell $1.28, or 3.4 percent, to $36.28 in afternoon trading. The stock has traded between $28.52 and $37.93 over the last year.
Revenue rose 3 percent to $1.5 billion from $1.46 billion. Wall Street expected revenue of $1.51 billion.
Financial services revenue rose 8.4 percent to $578.4 million, while international solutions revenue edged up slightly. Revenue for the payment solutions unit declined 1 percent to $601.3 million.
For the year, FIS earned $461.2 million, or $1.55 per share. In 2011 the company earned $469.6 million, or $1.53 per share. Adjusted earnings from continuing operations were $2.50 per share.
Annual revenue climbed 3 percent to $5.81 billion from $5.63 billion.
FIS predicts 2013 adjusted earnings will rise 11 percent to 15 percent from 2012's $2.50 per share, to a range of $2.77 to $2.87 per share. Revenue is expected to increase 4 percent to 6 percent from $5.81 billion, implying $6.04 billion to $6.16 billion.
Analysts anticipate full-year earnings of $2.81 per share on revenue of $6.09 billion.
The Jacksonville, Fla. company is also boosting its quarterly dividend by 10 percent to 22 cents per share from 20 cents per share. The dividend will be paid on March 29 to shareholders of record on March 15.