Citing several difficult market dynamics, including the slowdown in EMV for the third fiscal quarter, ended 7/31/16, (3Q/16) Verifone is reviewing underperforming businesses and a possible restructuring. The Company says it is relentlessly executing the long-term vision for Verifone to transform from a box shipper to a services provider.
Verifone reported 3Q/16 gross revenue of $488 million, down 4.3% YOY or 5.3% on a currency adjusted basis (FX), compared to $526 million for 2Q/16, and $510 million for 3Q/15.
Net income for the third quarter sunk to a loss of $31.1 million, compared to a profit of $2.9 million in the prior quarter, and $9.5 million for the year ago quarter.
North America revenue decreased 8.1%, or down 9.3% FX, YOY to $192 million for 3Q/16, compared $209 million for 2Q/16 and $209 million for 3Q/15.
Latin America revenue slipped 25.7%, or 16.9% FX, YOY to $55 million for the third quarter, compared to $70 million for the prior quarter and $74 million for the year ago quarter.
EMEA revenue increased 9.8%, or 3.6% FX, YOY to $190 million for 3Q/16, compared $197 million for 2Q/16 and $173 million for 3Q/15.
Asia-Pacific revenue dipped 5.5%, or 2.5% FX, YOY to $52 million for the third quarter, compared $50 million for the prior quarter and $55 million for the year ago quarter.
During the third quarter Verifone
Launched Curb in Five New U.S. Cities; Signed French Supermarket Retailer Aldi for Verifone Payment Devices and Mobile Wallet Acceptance; Teamed with Wirecard to Bring Complementary Payment Services and Solutions to Fast-Growing Indonesian Market; and Certified with First Data to Provide U.S. Gas Stations & Convenience Stores a Fast Path to EMV Acceptance;
Verifone projects fourth quarter revenue to be around $460 million.
For additional analysis, charts and graphs on Verifone’s 3Q/16 performance access CardData.
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