CoreCard Corporation Reports Third Quarter 2024 Results
CoreCard (NYSE: CCRD) reported strong Q3 2024 financial results with total revenue of $15.7 million, marking a 17% increase year-over-year. The company achieved net income of $2.2 million with earnings per diluted share of $0.27. For Q4 2024, CoreCard expects revenue between $13.3-13.7 million with EPS of $0.07-0.09. The FY2025 guidance projects revenue of $60-64 million with EPS of $0.88-0.94, expecting 30-40% revenue growth excluding their largest customer.
CoreCard (NYSE: CCRD) ha registrato risultati finanziari solidi per il terzo trimestre del 2024, con un fatturato totale di $15,7 milioni, marcando un aumento del 17% rispetto all'anno precedente. L'azienda ha raggiunto un reddito netto di $2,2 milioni con un utile per azione diluito di $0,27. Per il quarto trimestre del 2024, CoreCard prevede un fatturato compreso tra $13,3 e $13,7 milioni con un EPS di $0,07-0,09. Le previsioni per l'anno fiscale 2025 indicano un fatturato di $60-64 milioni con un EPS di $0,88-0,94, prevedendo una crescita del fatturato del 30-40% escludendo il loro cliente principale.
CoreCard (NYSE: CCRD) reportó sólidos resultados financieros para el tercer trimestre de 2024, con ingresos totales de $15.7 millones, lo que representa un aumento del 17% interanual. La empresa logró un ingreso neto de $2.2 millones con ganancias por acción diluida de $0.27. Para el cuarto trimestre de 2024, CoreCard espera ingresos entre $13.3 y $13.7 millones con un EPS de $0.07-0.09. La orientación para el año fiscal 2025 proyecta ingresos de $60-64 millones con un EPS de $0.88-0.94, esperando un crecimiento de ingresos del 30-40% excluyendo a su mayor cliente.
CoreCard (NYSE: CCRD)는 2024년 3분기 재무 실적에서 총 수익 $15.7백만 달러를 기록하며 전년 대비 17% 증가했다고 보고했습니다. 회사는 순이익 $2.2백만 달러와 희석주당 수익 $0.27을 달성했습니다. 2024년 4분기 동안 CoreCard는 $13.3~13.7백만 달러의 수익과 $0.07~0.09의 EPS를 예상하고 있습니다. 2025 회계연도에 대한 가이던스는 $60~64백만 달러의 수익과 $0.88~0.94의 EPS를 예상하며, 최대 고객을 제외하고 30~40%의 수익 성장을 기대하고 있습니다.
CoreCard (NYSE: CCRD) a annoncé de solides résultats financiers pour le troisième trimestre 2024, avec des revenus totaux de 15,7 millions de dollars, marquant une augmentation de 17 % par rapport à l'année précédente. L'entreprise a réalisé un bénéfice net de 2,2 millions de dollars avec un bénéfice par action diluée de 0,27 $. Pour le quatrième trimestre 2024, CoreCard s'attend à des revenus compris entre 13,3 et 13,7 millions de dollars avec un BPA de 0,07-0,09 $. Les prévisions pour l'exercice 2025 projettent des revenus de 60 à 64 millions de dollars avec un BPA de 0,88 à 0,94 $, s'attendant à une croissance des revenus de 30 à 40 % en excluant leur plus grand client.
CoreCard (NYSE: CCRD) hat im dritten Quartal 2024 starke Finanzergebnisse mit Gesamteinnahmen von $15,7 Millionen gemeldet, was einem Anstieg von 17% im Jahresvergleich entspricht. Das Unternehmen erzielte einen Nettogewinn von $2,2 Millionen und einen Gewinn pro verwässerter Aktie von $0,27. Für das vierte Quartal 2024 erwartet CoreCard Einnahmen zwischen $13,3 und $13,7 Millionen mit einem EPS von $0,07-0,09. Die Prognose für das Geschäftsjahr 2025 geht von einem Umsatz von $60-64 Millionen und einem EPS von $0,88-0,94 aus und prognostiziert ein Umsatzwachstum von 30-40%, wenn der größte Kunde ausgeschlossen wird.
- 17% year-over-year revenue growth to $15.7 million in Q3 2024
- Net income improved from -$0.2M to $2.2M year-over-year
- EPS increased from -$0.03 to $0.27 year-over-year
- Adjusted EBITDA doubled from $1.9M to $3.9M year-over-year
- Projected 30-40% revenue growth for FY2025 (excluding largest customer)
- Q4 2024 revenue guidance suggests sequential decline from Q3 ($13.3-13.7M vs $15.7M)
- Q4 2024 EPS guidance indicates lower earnings ($0.07-0.09 vs $0.27 in Q3)
Insights
CoreCard's Q3 results demonstrate robust financial performance with
The FY2025 guidance of
The credit technology sector is experiencing increasing demand for sophisticated card management platforms and CoreCard's results reflect this market trend. Their focus on large, complex modern card issuers is strategically sound given the growing fintech market. The company's investment in platform development and processing capabilities demonstrates adaptation to evolving market needs.
The sequential revenue guidance for Q4 2024 suggests some seasonality, but the strong full-year 2025 outlook indicates sustainable growth potential. The diversification of revenue streams and reduced dependency on their largest customer mitigates concentration risk and enhances long-term stability.
NORCROSS, Ga., Oct. 31, 2024 (GLOBE NEWSWIRE) -- CoreCard Corporation [NYSE: CCRD], the leading provider of innovative credit technology solutions and processing services to the financial technology and services market, announced today its financial results for the quarter ended September 30, 2024.
"Overall revenue of
“For the fourth quarter of 2024, we expect total revenue between
Financial Highlights for the three months ended September 30, 2024
Total revenues in the three-month period ended September 30, 2024, was
In the following table, revenue is disaggregated by type of revenue for the three months ended September 30, 2024 and 2023:
| Three Months Ended | ||||||
| September 30, | ||||||
| (in thousands) | 2024 | 2023 | ||||
| License | $ | 1,420 | $ | − | ||
| Professional services | 7,006 | 6,432 | ||||
| Processing and maintenance | 6,067 | 5,814 | ||||
| Third party | 1,210 | 1,153 | ||||
| Total | $ | 15,703 | $ | 13,399 | ||
Income from operations was
Net income (loss) was net income of
Earnings per diluted share was
Adjusted earnings per diluted share was
Adjusted EBITDA was
Use of Non-GAAP Financial Measures
Reconciliations of non-GAAP financial measures to the most directly comparable financial results as determined in accordance with GAAP are included at the end of this press release following the accompanying financial data. For a description of these non-GAAP financial measures, including the reasons management uses each measure, please see the section of the tables titled "Information Regarding Non-GAAP Financial Measures".
Investor Conference Call
The company is holding an investor conference call today, October 31, 2024, at 11:00 A.M. Eastern Time. Interested investors are invited to attend the conference call by accessing the webcast at https://www.webcast-eqs.com/register/corecard103124/en or by dialing 1-877-407-0890. As part of the conference call CoreCard will be conducting a question-and-answer session where participants are invited to email their questions to questions@corecard.com prior to the call. A transcript of the call will be posted on the company’s website at investors.corecard.com as soon as available after the call.
The company will file its Form 10-Q for the period ended September 30, 2024, with the Securities and Exchange Commission today. For additional information about reported results, investors will be able to access the Form 10-Q on the company’s website at investors.corecard.com or on the SEC website, www.sec.gov.
About CoreCard Corporation
CoreCard Corporation (NYSE: CCRD) provides the gold standard card issuing platform built for the future of global transactions in an embedded digital world. Dedicated to continual technological innovation in the ever-evolving payments industry backed by decades of deep expertise in credit card offerings, CoreCard helps customers conceptualize, implement, and manage all aspects of their issuing card programs. Keenly focused on steady, sustainable growth, CoreCard has earned the trust of some of the largest companies and financial institutions in the world, providing truly real-time transactions via their proven, reliable platform operating on private on-premise and leading cloud technology infrastructure.
Forward-Looking Statements
The forward-looking statements in this press release are made under the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. The Company’s actual results could differ materially from those indicated by the forward-looking statements because of various risks and uncertainties including those listed in Item 1A of the Company’s Annual Report on Form 10-K and in the Company’s other filings and reports with the Securities and Exchange Commission. All of the risks and uncertainties are beyond the ability of the Company to control, and in many cases, the Company cannot predict the risks and uncertainties that could cause its actual results to differ materially from those indicated by the forward-looking statements. When used in this press release, the words “believes,” “plans,” “expects,” “will,” “intends,” “continue,” “outlook,” “progressing,” and “anticipates” and similar expressions as they relate to the Company or its management are intended to identify forward-looking statements. Except as required by law, the Company is not obligated to publicly release any revisions to these forward-looking statements to reflect the events or circumstances after the date of this press release or to reflect the occurrence of unanticipated events.
For further information,
email CoreCardIR@icrinc.com
| CoreCard Corporation CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited, in thousands, except share and per share amounts) | ||||||||||||
| Three Months Ended September 30, | Nine Months Ended September 30, | |||||||||||
| 2024 | 2023 | 2024 | 2023 | |||||||||
| Revenue | ||||||||||||
| Services | $ | 14,283 | $ | 13,399 | $ | 41,156 | $ | 42,053 | ||||
| Products | 1,420 | - | 1,420 | 1,794 | ||||||||
| Total net revenue | 15,703 | 13,399 | 42,576 | 43,847 | ||||||||
| Cost of revenue | ||||||||||||
| Services | 8,999 | 9,279 | 27,588 | 28,380 | ||||||||
| Products | − | - | − | - | ||||||||
| Total cost of revenue | 8,999 | 9,279 | 27,588 | 28,380 | ||||||||
| Expenses | ||||||||||||
| Marketing | 79 | 63 | 309 | 237 | ||||||||
| General and administrative | 1,339 | 1,155 | 4,256 | 4,220 | ||||||||
| Development | 2,501 | 2,489 | 5,961 | 6,094 | ||||||||
| Income from operations | 2,785 | 413 | 4,462 | 4,916 | ||||||||
| Investment income (loss) | (90 | ) | (1,015 | ) | (528 | ) | (1,701 | ) | ||||
| Other income (loss), net | 233 | 308 | 758 | 653 | ||||||||
| Income (loss) before income taxes | 2,928 | (294 | ) | 4,692 | 3,868 | |||||||
| Income tax expense (benefit) | 732 | (72 | ) | 1,170 | 959 | |||||||
| Net income (loss) | $ | 2,196 | $ | (222 | ) | $ | 3,522 | $ | 2,909 | |||
| Earnings (loss) per share: | ||||||||||||
| Basic | $ | 0.28 | $ | (0.03 | ) | $ | 0.44 | $ | 0.34 | |||
| Diluted | $ | 0.27 | $ | (0.03 | ) | $ | 0.43 | $ | 0.34 | |||
| Basic weighted average common shares outstanding | 7,957,571 | 8,460,473 | 8,092,681 | 8,485,416 | ||||||||
| Diluted weighted average common shares outstanding | 8,017,870 | 8,460,473 | 8,142,972 | 8,509,825 | ||||||||
| CoreCard Corporation CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share amounts) | ||||||
| As of | September 30, 2024 | December 31, 2023 | ||||
| ASSETS | (unaudited) | (audited) | ||||
| Current assets: | ||||||
| Cash and cash equivalents | $ | 22,498 | $ | 26,918 | ||
| Marketable securities | 5,511 | 5,230 | ||||
| Accounts receivable, net | 7,320 | 7,536 | ||||
| Other current assets | 6,522 | 4,805 | ||||
| Total current assets | 41,851 | 44,489 | ||||
| Investments | 3,632 | 4,062 | ||||
| Property and equipment, at cost less accumulated depreciation | 11,954 | 11,319 | ||||
| Other long-term assets | 5,371 | 3,956 | ||||
| Total assets | $ | 62,808 | $ | 63,826 | ||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||
| Current liabilities: | ||||||
| Accounts payable | $ | 1,628 | $ | 1,557 | ||
| Deferred revenue, current portion | 1,264 | 2,310 | ||||
| Accrued payroll | 2,459 | 2,172 | ||||
| Accrued expenses | 1,050 | 971 | ||||
| Other current liabilities | 2,143 | 2,530 | ||||
| Total current liabilities | 8,544 | 9,540 | ||||
| Noncurrent liabilities: | ||||||
| Deferred revenue, net of current portion | 161 | 265 | ||||
| Other long-term liabilities | 372 | 196 | ||||
| Long-term lease obligation | 2,044 | 1,121 | ||||
| Total noncurrent liabilities | 2,577 | 1,582 | ||||
| Stockholders’ equity: | ||||||
| Common stock, | ||||||
| Issued shares – 9,026,940 and 9,016,140 at September 30, 2024 and December 31, 2023, respectively; | ||||||
| Outstanding shares – 7,901,148 and 8,295,408 at September 30, 2024 and December 31, 2023, respectively | 91 | 90 | ||||
| Additional paid-in capital | 17,479 | 16,621 | ||||
| Treasury stock, 1,125,792 and 720,732 shares at September 30, 2024 and December 31, 2023, respectively, at cost | (25,825 | ) | (20,359 | ) | ||
| Accumulated other comprehensive income (loss) | 100 | 32 | ||||
| Accumulated income | 59,842 | 56,320 | ||||
| Total stockholders’ equity | 51,687 | 52,704 | ||||
| Total liabilities and stockholders’ equity | $ | 62,808 | $ | 63,826 | ||
Reconciliation of GAAP to NON-GAAP Measures
Information Regarding Non-GAAP Measures
In addition to the financial measures prepared in accordance with generally accepted accounting principles in the United States (“GAAP”), this press release contains certain non-GAAP financial measures. CoreCard considers Adjusted EBITDA and Adjusted earnings per diluted share (“Adjusted EPS”) as supplemental measures of the company’s performance that is not required by, nor presented in accordance with GAAP.
We define Adjusted EBITDA as net income (loss) adjusted to exclude depreciation and amortization; share-based compensation expense; income tax expense (benefit); investment income (loss); and other income (expense), net. We believe that Adjusted EBITDA is an important measure of operating performance because it allows management and our board of directors to evaluate and compare our core operating results from period to period.
We define Adjusted EPS as diluted earnings per share adjusted to exclude the impact of share-based compensation expense and non-operating investment gains or losses. We believe that Adjusted EPS is an important measure of operating performance because it allows management and our board of directors to evaluate and compare our core operating results from period to period.
Adjusted EPS and Adjusted EBITDA should not be considered in isolation, or construed as an alternative to net income, or any other performance measures derived in accordance with GAAP, or as an alternative to cash flow from operating activities or as a measure of the company's liquidity. In addition, other companies may calculate Adjusted EPS and Adjusted EBITDA differently than CoreCard, which limits its usefulness in comparing CoreCard’s financial results with those of other companies.
The following table shows CoreCard’s GAAP results reconciled to non-GAAP results included in this release:
| Three Months Ended | Nine Months Ended | |||||||||||
| September 30, | September 30, | |||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||
| GAAP net income (loss) | $ | 2,196 | $ | (222 | ) | $ | 3,522 | $ | 2,909 | |||
| Investment loss | - | 1,000 | - | 1,000 | ||||||||
| Share-based compensation | 274 | - | 859 | - | ||||||||
| Income tax benefit | (68 | ) | - | (215 | ) | - | ||||||
| Adjusted net income | $ | 2,402 | $ | 778 | $ | 4,166 | $ | 3,909 | ||||
| Adjusted EPS | $ | 0.30 | $ | 0.09 | $ | 0.51 | 0.46 | |||||
| Weighted-average shares | 8,018 | 8,480 | 8,143 | 8,510 | ||||||||
| Three Months Ended | Nine Months Ended | |||||||||||
| September 30, | September 30, | |||||||||||
| (in thousands) | 2024 | 2023 | 2024 | 2023 | ||||||||
| GAAP net income (loss) | $ | 2,196 | $ | (222 | ) | $ | 3,522 | $ | 2,909 | |||
| Depreciation and amortization | 849 | 1,356 | 2,776 | 5,011 | ||||||||
| Share-based compensation | 274 | 150 | 859 | 150 | ||||||||
| Investment loss | 90 | 1,015 | 528 | 1,701 | ||||||||
| Other income, net | (233 | ) | (308 | ) | (758 | ) | (653 | ) | ||||
| Income tax expense (benefit) | 732 | (72 | ) | 1,170 | 959 | |||||||
| Adjusted EBITDA | $ | 3,908 | $ | 1,919 | $ | 8,097 | $ | 10,077 | ||||
| Total Revenue | $ | 15,703 | $ | 13,399 | $ | 42,576 | $ | 43,847 | ||||
| Adjusted EBITDA Margin | 24.9 | % | 14.3 | % | 19.0 | % | 23.0 | % | ||||
FAQ
What was CoreCard's (CCRD) revenue growth in Q3 2024?
What is CoreCard's (CCRD) earnings guidance for Q4 2024?
What is CoreCard's (CCRD) revenue forecast for fiscal year 2025?
