Broadridge Financial Solutions, Inc. Earnings: Beats Estimates
Broadridge Financial Solutions, Inc. (NASDAQ:BR) reported net income above Wall Street’s expectations for the third quarter. Broadridge Financial Solutions Inc. is a global provider of investor communication, securities processing, and clearing and outsourcing solutions to the financial services industry.
Broadridge Financial Solutions Earnings Cheat Sheet for the Third Quarter
Results: Net income for Broadridge Financial Solutions, Inc. rose to $29.7 million (23 cents/share) vs. $24.9 million (18 cents/share) in the same quarter a year earlier. A rise of 19.3% from the year earlier quarter.
Revenue: Rose 7.4% to $527.1 million YoY.
Actual vs. Wall St. Expectations: BR beat the mean analyst estimate of 20 cents/share. Estimates ranged from 18 cents per share to 21 cents per share.
Quoting Management: Commenting on the results, Richard J. Daly, Chief Executive Officer, said, “Overall, I am satisfied with our third quarter results. The core recurring revenues of the business are solid and performed as expected and our client revenue retention rate was 99%. As anticipated, event-driven revenues remain weak; however, we continue to make good progress on our key initiatives and the momentum from our acquisitions continues to build.”
Last quarter’s profit increase breaks a streak of four consecutive quarters of year-over-year profit drops. In second quarter, net income fell 69% from the year earlier while the figure fell 49.6% in the first quarter, 10.1% four quarters ago and 39.1% five quarters back.
A year-over-year revenue increase last quarter snaps a streak of two consecutive quarters of revenue declines. Revenue fell 16.4% in the second quarter and fell 7.8% in the first quarter.
Competitors to Watch: ExlService Holdings, Inc. (NASDAQ:EXLS), Thomson Reuters Corp. (NYSE:TRI), DST Systems, Inc. (NYSE:DST), CoreLogic Inc. (NYSE:CLGX), WNS (Holdings) Ltd. (NYSE:WNS), Morgan Stanley (NYSE:MS), Stream Global Services, Inc. (AMEX:SGS), Sykes Enterprises, Inc. (NASDAQ:SYKE), and Innotrac Corporation (NASDAQ:INOC)
Stock Performance: Shares of BR are unchanged after hours.