CoreCard Corp (CCRD, Financial), a leading provider of credit technology solutions and processing services, released its financial results for the quarter ended September 30, 2023, on November 1, 2023. The company reported an overall revenue of $13.4 million for the third quarter, reflecting a 10% growth in processing and maintenance revenue. However, this was offset by lower professional services revenue, primarily driven by the company's largest customer.
Financial Highlights
For the three months ended September 30, 2023, total revenues were $13.4 million compared to $14.5 million in the same period in 2022. The company reported income from operations of $0.4 million for the third quarter compared to $1.7 million in the comparable prior year quarter. Net income was a loss of $0.2 million for the third quarter compared to a net income of $1.4 million in the same period last year. Earnings per diluted share was a loss of $0.03 for the third quarter compared to earnings per share of $0.16 in the comparable prior year quarter. Adjusted earnings per diluted share was $0.09 for the third quarter compared to $0.16 in the comparable prior year quarter.
Revenue Breakdown
The revenue for the three months ended September 30, 2023, and 2022, was disaggregated by type of revenue as follows: professional services revenue was $6.4 million in 2023 compared to $7.8 million in 2022; processing and maintenance revenue was $5.8 million in 2023 compared to $5.3 million in 2022; and third-party revenue was $1.2 million in 2023 compared to $1.4 million in 2022.
Company Outlook
CEO of CoreCard Corporation, Leland Strange, stated, "We expect the lower level of professional services revenue to continue in the fourth quarter and into 2024. As a result, we now expect full-year services revenue to be approximately flat for 2023 as compared to 2022. We anticipate additional license revenue during the first half of 2024.”
About CoreCard Corp (CCRD, Financial)
CoreCard Corporation (NYSE: CCRD) provides the gold standard card issuing platform built for the future of global transactions in an embedded digital world. The company is dedicated to continual technological innovation in the ever-evolving payments industry backed by decades of deep expertise in credit card offerings.
Explore the complete 8-K earnings release (here) from CoreCard Corp for further details.
