Diebold raises guidance despite Q2 revenue decline
23 July 2003 | 3091 views | 0
Diebold is reporting second quarter net income of $41.3 million on revenue of $480.9 million, marked by double digit growth in financial self-service and security product orders.
Total revenue for the quarter was down $2.6 million on the corresponding period, or 0.5 percent and 1.1 percent on a fixed exchange rate basis. Net income for Q2 2003 was $1.5 million ahead of the $39.8 million earnings figure reported in last year's second quarter.
The revenue decline was attributed to a significant fall-off in voting revenue due to the delay of a large previously announced contract, which instead closed in the third quarter.
Total financial self-service revenue increased 0.4 percent and decreased 0.4 percent on a fixed exchange rate basis. Security solutions revenue grew 21.9 percent as a result of across-the-board growth in finance, government and retail markets. Total financial self-service & security revenue increased by 5.2 percent and increased by 4.6 percent on a fixed exchange rate basis.
Raising full-year earnings per share guidance to $2.35-$2.45 compared to previous guidance of $2.32-$2.42, Walden O'Dell, Diebold chairman, president and chief executive officer, says he is encouraged by the strength in overall orders. In particular, he points to "increased demand for branch and self-service equipment and the high acceptance level of our new Opteva ATM line around the world".