DALLAS, Jan. 20 /PRNewswire/ -- ACE Cash Express, Inc. (Nasdaq: AACE), the nation's largest check-cashing chain and a significant provider of related retail financial services, recorded revenue gains from nearly all of its product categories and services during its second fiscal quarter ended December 31, 1999, resulting in a 26 percent increase in net income and a 27 percent increase in earnings per share from the second quarter of the prior fiscal year.
During the second quarter of fiscal 2000, total revenue increased 13 percent, to $32.3 million from $28.7 million in the second quarter of fiscal 1999. The increased revenue and net income produced diluted earnings per share of 14 cents, a 27 percent increase over diluted earnings per share of 11 cents in last year's second quarter. Earnings before interest, taxes, depreciation and amortization increased 25 percent, to $6.2 million for the fiscal 2000 second quarter from $5.0 million for the fiscal 1999 second quarter.
ACE's core revenue categories showed continued growth in the fiscal 2000 second quarter compared to the fiscal 1999 second quarter; check cashing fees increased 12 percent to a record quarterly high in excess of $20 million, and loan and bill payment fees each increased 11 percent. The ACE network expanded by 13 company-owned stores and 11 franchised locations during the second quarter. Same store sales recorded a 7 percent increase over last year's second quarter.
"ACE had a strong second quarter of fiscal 2000," said Jay B. Shipowitz, president and chief operating officer of ACE. "We expanded our total credit facility to $165 million, continued to build our management team with the addition of a chief marketing officer, and announced an alliance to provide prepaid internet services through the ACE retail network."
Three-Month Financial Highlights
(in thousands, except per share data)
Three Months Ended Increase in Fiscal 2000
December 31, from Fiscal 1999
1999 1998 $ %
(unaudited)
Revenues $32,284 $28,656 $3,628 13%
Net income $ 1,403 $ 1,116 $ 287 26%
Earnings before
interest, taxes,
depreciation and
amortization $ 6,212 $ 4,987 $1,225 25%
Diluted earnings
per share $.14 $ .11 $ .03 27%
Six Month Results
Since the 2000 fiscal year began on July 1, 1999, revenue has grown 15 percent, to $62.9 million from $54.7 million for the first six months of fiscal 1999. Similarly, before reflection of ACE's adoption of a new accounting standard, net income increased 27 percent, resulting in earnings per share growth of 26 percent and earnings before interest, taxes, depreciation and amortization growth of 25 percent.
ACE opened 31 company-owned stores and acquired 3 stores during the first six months of fiscal 2000. In addition, 25 new franchises have opened in the same six months. Same store sales increased by 7 percent in the first six months of fiscal 2000 over the first six months of fiscal 1999.
