Payments processor ACI Worldwide has reported a net loss of $0.4 million for the quarter ended March 2007 as organic revenues slipped by $9.5 million.
The net loss compares to income of $15 million during the same period last year. Revenue was essentially flat at $89.9 million or down $9.5 million excluding the impact of acquisitions. Operating expenses shot up to $89.7 million from $68.6 million, lifted by one-off acqusition expenses and stock option recalibration activity. Organic operating expenses for the quarter were down $0.2 million year over year.
The company recently rebranded from Transaction Systems Architects in an effort to cash in on the better known ACI Worldwide brand in the electronic payments space.
Chief executive officer, Philip Heasley, is upbeat about the company's prospects. He says the need for banks to globalise their payments infrastructures, combined with continued regulatory demands, is putting pressure on legacy systems and creating opportunities for the firm around the world.
"The fact that we are now delivering our solutions on an open-systems architecture and working very closely with strategic partners like IBM makes us even more relevant to customers who want to leverage their investment in infrastructure and increase their overall payments productivity," he states.
The stock shipped 20 cents in after-hours trading to stand at $32.53 ahead of the opening bell Thursday.