VeriFone Reports Results for the Third Quarter of Fiscal 2011



VeriFone Systems, Inc. (NYSE:PAY), the global leader in secure electronic payment solutions, announced financial results for the three months ended July 31, 2011 (“Q3 FY11”).

Net revenues for Q3 FY11 were $317 million, compared to $292 million in the previous quarter and $261 million in the third quarter of fiscal year 2010 (“Q3 FY10”), a 21% year-over-year increase and the fifth straight quarter that net revenues grew more than 20% from the prior year.

Non-GAAP gross margins were 43% for Q3 FY11, compared to 43% in the prior quarter and 39% in Q3 FY10. GAAP gross margins for the latest quarter were 42% compared to 42% in the prior quarter and 37% in Q3 FY10.

Non-GAAP net income per diluted share for Q3 FY11 was $0.49, compared to $0.46 in the prior quarter and $0.36 for Q3 FY10, a 36% year-over-year increase. GAAP net income per diluted share for the latest quarter was $0.28, compared to $0.27 in the prior quarter and $0.21 in the year-earlier period. Cash balances increased $53 million in Q3 FY11 to $584 million.

“With the acquisition of Hypercom, VeriFone is stronger than at any point in our 30-year history,” said Douglas G. Bergeron, Chief Executive Officer. “We will continue to aggressively grow and develop innovative services and solutions in all regions of the world,” Mr. Bergeron continued. “We are well on our way to driving significant operating synergies and gross margin expansion through the elimination of overlapping expenses and through business process re-engineering.”

VeriFone Systems, Inc. is the global leader in secure electronic payment solutions. VeriFone provides expertise, solutions and services that add value to the point of sale with merchant-operated, consumer-facing and self-service payment systems for the financial, retail, hospitality, petroleum, government and healthcare vertical markets. VeriFone solutions are designed to meet the needs of merchants, processors and acquirers in developed and emerging economies worldwide.

More about PAY at www.verifone.com

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