Broadridge Financial Solutions Inc. Earnings: Three Straight Quarters of Rising Profit Snapped
Broadridge Financial Solutions Inc. (NYSE:BR) reported its results for the second quarter. Broadridge Financial Solutions is a global provider of investor communication, securities processing, and clearing and outsourcing solutions to the financial services industry.
Investing Insights: Will the iPad 3 Be the Next Catalyst for Apple’s Stock?
Broadridge Financial Solutions Earnings Cheat Sheet for the Second Quarter
Results: Net income for Broadridge Financial Solutions Inc. fell to $6.8 million (5 cents per share) vs. $10.4 million (8 cents per share) a year earlier. This is a decline of 34.6% from the year earlier quarter.
Revenue: Rose 8.5% to $479.8 million from the year earlier quarter.
Actual vs. Wall St. Expectations: Broadridge Financial Solutions Inc. reported adjusted net income of 12 cents per share. By that measure, the company fell in line with the mean estimate of 12 cents per share. It fell short of the average revenue estimate of $498.7 million.
Quoting Management: Richard J. Daly, Chief Executive Officer, said, “Overall, I am satisfied with our second quarter results. The core recurring revenues of the business are solid, recurring revenue closed sales are strong and our client revenue retention rate remains excellent. We did not include any significant improvement in event-driven revenues in our previous guidance, and we have not seen any such improvement to date as this activity still remains weak in this economic environment.”
Last quarter’s profit decrease breaks a streak of three consecutive quarters of year-over-year profit increases. Net income rose 25.6% in the first quarter from the year earlier, while the figure rose 10.6% in the fourth quarter of the last fiscal year and 19.3% in the third quarter of the last fiscal year.
The company fell in line with estimates last quarter after topping expectations in the previous two quarters. In the first quarter, it topped the mark by 4 cents, and in the fourth quarter of the last fiscal year, it was ahead by 3 cents.
Looking Forward: The average estimate for the third quarter is steady at 27 cents a share. For the fiscal year, the average estimate has moved up from $1.50 a share to $1.57 over the last ninety days.
(Company fundamentals provided by Xignite Financials. Earnings estimates provided by Zacks)
Don’t Miss These Additional Hot Stories:
To contact the reporter on this story: Derek Hoffman at email@example.com
To contact the editor responsible for this story: Damien Hoffman at firstname.lastname@example.org