SAN ANTONIO, May 15, 2013 (GLOBE NEWSWIRE) -- Payment Data Systems, Inc. (OTCBB:PYDS) an integrated electronic payments solutions provider, today announced financial results for the quarter ended March 31, 2013.
Revenues were $1,059,503 for the first quarter of 2013 down from $1,295,870 for the first quarter of 2012 due to lower transaction volumes in echeck processing. The operating loss for the quarter ending March 31, 2013 was $222,658 when compared to an operating income of $58,981 for the first quarter of 2012. Net loss for the quarter ended March 31, 2013 was $232,432 down from a net income of $69,072 for the first quarter of 2012.
Highlights for the first quarter of 2013 include:
- Credit card and debit card processing transactions were the highest the Company has ever experienced in any previous quarter in our history and represented an 18% growth in dollars processed over the same period in 2012.
- Prepaid card sales were also up significantly as compared to the volumes in the same period in the prior year and represented an increase of 165% in sales over the same period in 2012.
- Cash and cash equivalents grew to $2,401,047 in the first quarter of 2013 from $2,179,657 the first quarter of 2012.
- Total current assets grew to 2,630,415 in the first quarter of 2013 from 2,381,561 in the first quarter of 2012.
- Total current liabilities improved to $1,895,012 for the first quarter of 2013 as compared to $2,428,271 in the first quarter of 2012.
- Working capital improved to $735,402 in the first quarter of 2013 as compared to negative working capital of $46,709 in the first quarter of 2012.
- Total transaction dollar volume processed exceeded sixty million dollars.
For complete financial results, please view our 10Q which was filed with the SEC today.
Commenting on the results for the quarter, Michael R. Long, Chairman and Chief Executive Officer of Payment Data Systems, said, "This quarter was one that we focused on positioning the company for a potential national stock listing. We believe that the national listing, if achieved, will allow us to seek acquisitions to accelerate our growth. We continue to be debt free and are seeing continued interest by new prospective customers in our services including financial institutions. We remain excited about our outlook for 2013."
Mr. Long continued, "Also during the quarter, we made investments to upgrade our technology and transaction-processing systems and enhanced contact center technology. We also invested in the development an innovative product line to allow for financial institutions to offer turn-key prepaid card programs with the ability for their customers to upload their personal photos to the image on the front of the card. Early sales discussions with bank prospects have been positive. We expect to earn revenue from this prepaid offering at the end of the second quarter of 2013.
|PAYMENT DATA SYSTEMS, INC.|
|CONSOLIDATED STATEMENTS OF OPERATIONS|
|Three Months Ended March 31,|
|Cost of services||826,299||772,477|
|Selling, general and administrative:|
|Total operating expenses||1,282,161||1,236,889|
|Operating income (loss)||(222,658)||58,981|
|Other income (expense), net||(9,774)||10,091|
|Income (loss) before income taxes||(232,432)||69,072|
|Net income (loss)||$ (232,432)||$69,072|
|Basic and diluted earnings (net loss) per common share:||$0.00||$0.00|
|Weighted average common shares outstanding|
About Payment Data Systems, Inc.
Payment Data Systems is an integrated payment solutions provider to merchants and billers. The organization provides an extensive set of products to deliver world-class payment acceptance. Payment Data has solutions for merchants, billers, banks, service bureaus and card issuers. The strength of the Company is its ability to offer specifically tailored solutions for card issuance, payment acceptance and bill payments.
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FORWARD-LOOKING STATEMENTS DISCLAIMER
Except for the historical information contained herein, the matters discussed in this release include certain forward-looking statements, which are intended to be covered by safe harbors. Those statements include, but may not be limited to, all statements regarding our and management's intent, belief and expectations, such as statements concerning our future and our operating and growth strategy. Investors are cautioned that all forward-looking statements involve risks and uncertainties including, without limitation, the factors detailed from time to time in our filings with the Securities and Exchange Commission. One or more of these factors have affected, and in the future could affect, our businesses and financial results and could cause actual results to differ materially from plans and projections. We believe that the assumptions underlying the forward-looking statements included in this release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that our objectives and plans will be achieved. All forward-looking statements made in this release are based on information presently available to our management. We assume no obligation to update any forward-looking statements, except as required by law.
Source:Payment Data Systems, Inc.