Vantiv, Inc. (VNTV) has reported 27.31 percent fall in profit for the quarter ended Mar. 31, 2017. The company has earned $28.88 million, or $0.17 a share in the quarter, compared with $39.74 million, or $0.25 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $134.69 million, or $0.68 a share compared with $110.40 million or $0.56 a share, a year ago. Revenue during the quarter grew 13.39 percent to $928.20 million from $818.62 million in the previous year period. Gross margin for the quarter contracted 203 basis points over the previous year period to 50.65 percent. Total expenses were 92.05 percent of quarterly revenues, up from 86.60 percent for the same period last year. That has resulted in a contraction of 545 basis points in operating margin to 7.95 percent.
Operating income for the quarter was $73.76 million, compared with $109.66 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $209.96 million compared with $193.40 million in the prior year period. At the same time, adjusted EBITDA margin contracted 100 basis points in the quarter to 22.62 percent from 23.63 percent in the last year period.
“Vantivs strategy to expand into high-growth channels and verticals continues to drive strong results for our shareholders," said Charles Drucker, president and chief executive officer at Vantiv. “Being ranked as the largest acquirer by transactions in The Nilson Report demonstrates that our strategy is working, and our acquisition of Paymetric will build upon our success by further enhancing our leading ecommerce capabilities and by enabling us to enter the rapidly growing B2B payments vertical in a unique and differentiated way."
Vantiv, Inc. projects revenue to be in the range of $2,080 million to $2,120 million for financial year 2017. For financial year 2017, the company forecasts diluted earnings per share to be in the range of $1.51 to $1.58. For financial year 2017, the company forecasts diluted earnings per share to be in the range of $3.22 to $3.29 on adjusted basis.
Operating cash flow improves significantlyVantiv, Inc. has generated cash of $143.67 million from operating activities during the quarter, up 390.62 percent or $114.38 million, when compared with the last year period. The company has spent $32.21 million cash to meet investing activities during the quarter as against cash outgo of $49.48 million in the last year period.
The company has spent $112.32 million cash to carry out financing activities during the quarter as against cash outgo of $94.34 million in the last year period.
Cash and cash equivalents stood at $138.28 million as on Mar. 31, 2017, up 67.50 percent or $55.73 million from $82.55 million on Mar. 31, 2016.
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