NetSpend Announces Q2 2012 Financial Results with a Beat and Raise
Millennium portfolio company NetSpend (NASDAQ: NTSP) announced second quarter 2012 financials on August 2. Excerpts from the Company’s press release follow:
August 2, 2012
PRESS RELEASE – NetSpend, a leading provider of general-purpose reloadable prepaid debit cards and related financial services, today announced financial results for the quarter ended June 30, 2012.
Q2 2012 Highlights
- Gross Dollar Volume up 15% YoY to $3.0 billion
- Number of active cards with direct deposit up 24% YoY to 957,000
- Revenues up 15% YoY to $85.3 million
- Adjusted EBITDA up 27% YoY to $25.1 million
- Adjusted EPS up 36% YoY to $0.15
“We had strong results in the second quarter with all key metrics beating expectations. We are seeing steady growth of our core business by staying focused on our mission to empower consumers with the convenience, security and freedom to be self-banked. As a result, our number of accounts on direct deposit continues to grow, which contributed to higher revenues. During the second quarter, we also made further progress on our retail expansion plans. With the addition of several new partners, our retail distribution footprint has the opportunity to grow to more than 25,000 locations. Based on our positive results in the first half of this year and the momentum we are seeing across all channels of our business, we are raising our full year guidance for 2012,” said Dan Henry, CEO of NetSpend.
NetSpend’s Revised Full Year 2012 Guidance Range
- Revenue: $347 – $353 million
- Adjusted EBITDA: $93 – $97 million
- Adjusted EPS: $0.54 and $0.58.
For the full press release, click here.
NetSpend is a leading provider of general-purpose reloadable (GPR) prepaid debit cards and related financial services to the estimated 60 million underbanked consumers in the United States who do not have a traditional bank account or who rely on alternative financial services. The Company’s mission is to develop products and services that empower underbanked consumers with the convenience, security and freedom to be self-banked. Headquartered in Austin, TX, NetSpend is traded on the NASDAQ stock exchange under the symbol NTSP.