Revenue increased 13% to $558.4 million in the fourth quarter as compared to $494.1 million in the prior year period. Net revenue increased 14% to $308.6 million in the fourth quarter as compared to $271.2 million in the prior year period. On a GAAP basis, net income attributable to Vantiv, Inc. was $42.8 million or $0.26 per diluted share during the fourth quarter, compared with $28.8 million or $0.22 per diluted share in the prior year period. Pro forma adjusted net income increased 11% in the fourth quarter to $90.4 million as compared to $81.6 million in the prior year period. Pro forma adjusted net income per share increased 18% to $0.45 for the fourth quarter as compared to $0.38 in the prior year period. (See Schedule 2 for pro forma adjusted net income and Schedule 6 for GAAP net income reconciliation to pro forma adjusted net income.)

For the full-year, revenue increased 13% to $2,108.1 million as compared to $1,863.2 million in the prior year. Net revenue increased 15% to $1,172.6 million in 2013 as compared to $1,022.6 million in the prior year. On a GAAP basis, net income attributable to Vantiv, Inc. in 2013 was $133.6 million, or $0.87 per diluted share, compared with $57.6 million, or $0.47 per diluted share, in the prior year. Pro forma adjusted net income increased 23% in 2013 to $320.5 million as compared to $260.0 million in the prior year. Pro forma adjusted net income per share increased 28% to $1.56 for the full-year 2013 as compared to $1.22 in the prior year period. (See Schedule 2 for pro forma adjusted net income and Schedule 7 for GAAP net income reconciliation to pro forma adjusted net income.)

Transaction growth was 8% and 10% for the fourth quarter and full-year, respectively; primarily due to strong transaction growth in the Merchant Services segment of 9% and 12% during the same periods. The Financial Institutions Services segment also experienced strong transaction growth with a 5% increase for both the fourth quartrease for both the fourth quarter and full-year.

Vantiv's scale and superior cost structure continue to drive high levels of profitability as reflected by the Company's fourth quarter adjusted EBITDA margin of 50.9%. Adjusted EBITDA increased to $157.0 million in the fourth quarter from $144.0 million in the prior year period. Adjusted EBITDA increased to $583.1 million in the full-year 2013 from $509.8 million in the prior year. (See Schedule 8 for a reconciliation of GAAP net income to adjusted EBITDA.)

"Our double-digit growth in the fourth quarter and full-year 2013 demonstrates the strength of our business model," said Charles Drucker, president and chief executive officer at Vantiv. "Our single integrated processing platform, comprehensive suite of solutions, and diverse distribution channels are competitive advantages that have consistently enabled us to win market share. As we enter 2014, we will continue to win new business and invest for growth, including expansion into strategic channels and high-growth segments and verticals. We finished the year strong and look forward to continued success in 2014."

Merchant Services
Net revenue increased 20% to $225.6 million in the fourth quarter as compared to $188.4 million in the prior year period, primarily due to a 9% increase in transactions and a 10% expansion in net revenue per transaction. On a full-year basis, net revenue increased 20% to $837.7 million as compared to $699.8 million in the prior year, primarily due to a 12% increase in transactions and a 7% increase in net revenue per transaction. Expansion in net revenue per transaction during 2013 primarily reflects beneficial changes in customer mix and increased net revenue from strategic channels, including ecommerce, merchant bank and technology partner channels. Sales and marketing expenses increased to $73.2 million in the fourth quarter from $62.5 million in the prior year period and to $286.2 million for the full-year from $255.9 million in the prior year, principally driven by growth in net revenue and expansion in strategic channels.

Financial Institution Services
Fourth quarter net revenue of $83.1 million was flat with prior year period net revenue of $82.8 million as a 5% increase in transactions was largely offset by a shift in the mix of our client portfolio that resulted in a lower average rate per transaction. On a full-year basis, net revenue increased 4% to $334.9 million, primarily due to a 5% increase in transactions. Sales and marketing expenses increased to $6.9 million in the fourth quarter from $5.6 million in the prior year period and to $25.8 million for the full-year from $24.8 million in the prior year.

Newly Authorized $300 Million Share Repurchase Program
Vantiv's Board of Directors authorized the return of up to $300 million to shareholders through a share repurchase program. This $300 million repurchase program is in addition to the $137 million share repurchase program authorized by the Board of Directors in October 2013. As of December 31, 2013, Vantiv had utilized $103 million of the prior authorization to repurchase shares.

"Strategic capital allocation is a priority," said chief financial officer Mark Heimbouch. "Since going public, we have strategically deployed over $1 billion of capital through strategic acquisitions, TRA terminations, and share repurchases. The Board's authorization of an additional $300 million share repurchase program reflects our confidence in Vantiv's future. These actions underscore our commitment to driving shareholder value."

First Quarter and Full-Year 2014 Financial Outlook
Based on the current level of transaction trends and new business activity, including recent impacts from inclement weather conditions across several regions of the country as well as impacts from the Easter holiday moving into the second quarter during 2014 as compared to the first quarter during 2013, net revenue for the first quarter of 2014 is expected to be $285 to $291 million, representing growth of 5 to 7 percent above the prior year period. Pro forma adjusted net income per share for the first quarter of 2014 is expected to be $0.36 to $0.37, an increase of 16 to 19 percent above the prior year period. GAAP net income per share attributable to Vantiv, Inc. is expected to be $0.16 to $0.18 for the first quarter of 2014.

For the full-year, net revenue is expected to be $1,255 to $1,285 million, representing growth of 7 to 10 percent year-over-year. Pro forma adjusted net income per share is expected to be $1.77 to $1.83 for 2014, an increase of 14 to 17 percent. GAAP net income per share attributable to Vantiv, Inc. is expected to be $1.01 to $1.07 for the full-year.