Jack Henry (JKHY) Q4 Earnings Beat Estimates, Revenues Up Y/Y

Core Insights - Jack Henry & Associates, Inc. (JKHY) reported fourth-quarter fiscal 2024 earnings of $1.38 per share, exceeding the Zacks Consensus Estimate by 6.1% and reflecting a 3% increase from the previous year [1] - Total revenues for the quarter were $559.9 million, a 4.7% increase year-over-year, but fell short of the Zacks Consensus Estimate of $563.4 million [1] - Non-GAAP revenues reached $553.2 million, marking a 6.4% increase from the same quarter last year, driven by higher processing revenues [1] Revenue Breakdown - Services & Support generated $316.7 million, accounting for 56.6% of total revenues, with a 1.5% increase year-over-year, supported by an 11.5% rise in data processing and hosting fees [3] - Processing revenues totaled $243.2 million, representing 43.4% of total revenues, up 9.2% from the prior year, attributed to a 14% increase in digital and transaction revenues and 8.3% growth in card revenues [4] - Core segment revenues were $172.04 million (30.7% of total revenues), a 3% increase year-over-year, but below the Zacks Consensus Estimate of $177 million [5] - Payments segment revenues reached $212.6 million (38% of total revenues), increasing 7.7% year-over-year and surpassing the consensus estimate of $207 million [5] - Complementary segment revenues were $155.1 million (27.7% of total revenues), up 2.7% year-over-year, but missed the Zacks Consensus Estimate of $158 million [6] - Corporate & Other revenues totaled $20.1 million (3.6% of total revenues), a 5.8% increase from the prior year, exceeding the consensus mark of $19.96 million [6] Operating Performance - Total operating expenses for the quarter were $434.3 million, a 5.8% increase from the previous year, with operating margin contracting to 22.4%, down 80 basis points year-over-year [7] Balance Sheet Highlights - As of June 30, 2024, cash and cash equivalents stood at $38.3 million, up from $27.3 million as of March 31, 2024 [8] - Trade receivables increased to $333.03 million from $263.4 million in the previous quarter [8] - Current and long-term debt decreased to $150 million from $250 million at the end of the fiscal third quarter [9] Future Guidance - For fiscal 2025, Jack Henry expects GAAP revenues between $2.369 billion and $2.391 billion, with the Zacks Consensus Estimate at $2.37 billion [10] - Anticipated GAAP operating margin is projected to be between 23% and 23.2% [10] - Expected GAAP earnings per share are within the range of $5.78 to $5.87, compared to the Zacks Consensus Estimate of $5.70 per share [10]