Usio, Inc. Card Issuing Division Launches Its First State-Administered Prepaid Card Program

Rhea-AI Summary

Usio, Inc. achieved an all-time record by loading over $100 million onto prepaid cards in the third quarter of 2023. The company launched its first card program administered by a state and expects to grow revenues by over 100% this year. Load volumes for the quarter were up 239% and purchase volumes were up 152% compared to the same period last year.

Achieves an Usio All-time Record by Exceeding $100 Million Dollars in Funds Loaded onto Prepaid Cards in the Third Quarter of 2023

SAN ANTONIO--(BUSINESS WIRE)-- Usio, Inc. (NASDAQ:USIO), a leading FinTech company that operates a full stack of integrated, cloud-based electronic payment and embedded financial solutions, today announced it launched its first card program administered by one of the country’s largest states.

The Company also announced that dollars loaded on to prepaid cards in the three months ended September 30, 2023 exceeded $100 million dollars, the first time in history we loaded more than $100 million onto prepaid cards in a single quarter.

Louis Hoch, President and CEO, stated, “We are thrilled to be supporting our first state-administered prepaid incentive program. While our prepaid card platform is operational with many cities, counties and other governmental and quasi-governmental entities, this is our first card program administered by a state. We believe our success with the majority of the country’s largest cities, our ability to customize the program, and our high levels of customer service provided the state with the confidence to trust Usio to manage this important and highly-visible program that will disburse almost $100 millions of dollars to their citizens.”

Houston Frost, Usio’s SVP of Card Issuing, said, “Our card issuing division is positioned to grow 2023 revenues over 100% this year as compared to 2022 and this program positions us well for continued growth. Dollars loaded on to our various prepaid card programs in the three months ended September 30, 2023 exceeded $100 million dollars, the first time in history we loaded more than $100 million onto prepaid cards in a single quarter. In contrast, we loaded $210 million dollars onto prepaid cards in all of fiscal 2022. Consequently, load volumes for the third quarter were up 239% and purchase volumes were up 152% from the comparable volumes in the third quarter of last year.”

Usio will release third quarter fiscal 2023 financial results for the period ended September 30, 2023, after the market closes on Wednesday, November 8, 2023. Usio’s management will host a conference call the same day, November 8, 2023, beginning at 4:30 p.m. Eastern time to review financial results and provide a business update. Following management’s formal remarks, there will be a question-and-answer session.

​​About Usio, Inc.

Usio, Inc. (Nasdaq:USIO), is a leading Fintech that operates a full stack of proprietary, cloud-based integrated payment and embedded financial solutions in a single ecosystem to a wide range of merchants, billers, banks, service bureaus and card issuers. The Company operates credit/debit and ACH payment processing platforms, as well as a turn-key card issuing platform to deliver convenient, world-class payment solutions and services to their clients. The company, through its Usio Output Solutions division offers services relating to electronic bill presentment, document composition, document decomposition and printing and mailing services. The strength of the Company lies in its ability to provide tailored solutions for card issuance, payment acceptance, and bill payments as well as its unique technology in the prepaid sector. Usio is headquartered in San Antonio, Texas, and has a development office in Austin, Texas.

Websites: www.usio.com, www.akimbocard.com and www.usiooutput.com. Find us on LinkedIn, Facebook® and Twitter.

Forward-Looking Statements

Except for the historical information contained herein, the matters discussed in this release include forward-looking statements which are covered by safe harbors. Those statements include, but may not be limited to, all statements regarding management's intent, belief, and expectations, such as statements concerning our future and our operating and growth strategy. These forward-looking statements are identified by the use of words such as "believe," "intend," "look forward," "anticipate," "schedule,” and "expect" among others. Forward-looking statements in this press release are subject to certain risks and uncertainties inherent in the Company's business that could cause actual results to vary, including such risks related to an economic downturn as a result of the COVID-19 pandemic, the realization of opportunities from the IMS acquisition, the management of the Company's growth, the loss of key resellers, the relationships with the Automated Clearinghouse network, bank sponsors, third-party card processing providers and merchants, the security of our software, hardware and information, the volatility of the stock price, the need to obtain additional financing, risks associated with new tax legislation, and compliance with complex federal, state and local laws and regulations, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission including its annual report on Form 10-K for the fiscal year ended December 31, 2022. One or more of these factors have affected, and in the future, could affect the Company’s businesses and financial results in the future and could cause actual results to differ materially from plans and projections. The Company believes that the assumptions underlying the forward-looking statements included in this release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that the objectives and plans will be achieved. All forward-looking statements made in this release are based on information presently available to management. The Company assumes no obligation to update any forward-looking statements, except as required by law.

View source version on businesswire.com: https://www.businesswire.com/news/home/20231101348461/en/

Company Contact

Paul Manley

Senior Vice President, Investor Relations

Paul.Manley@usio.com

612-834-1804

Source: Usio, Inc.

FAQ

What is the achievement announced by Usio, Inc.?

Usio, Inc. loaded over $100 million onto prepaid cards in the third quarter of 2023, setting an all-time record.

What is the significance of the first state-administered card program launched by Usio, Inc.?

The launch of the first state-administered card program demonstrates Usio's ability to customize programs and provide high levels of customer service. It will disburse almost $100 million to the state's citizens.

How does Usio, Inc.'s card issuing division expect to grow revenues?

Usio's card issuing division is positioned to grow revenues by over 100% in 2023 compared to 2022.

What were the load and purchase volumes for the third quarter of 2023?

Load volumes for the third quarter were up 239% and purchase volumes were up 152% compared to the same period last year.

When will Usio, Inc. release its third quarter fiscal 2023 financial results?

Usio will release its third quarter fiscal 2023 financial results on Wednesday, November 8, 2023, after the market closes.

When will Usio, Inc. host a conference call to review financial results?

Usio's management will host a conference call on November 8, 2023, at 4:30 p.m. Eastern time to review financial results and provide a business update.