Jack Henry & Associates Announces Fiscal Third Quarter 2025 Deconversion Revenue Results
Jack Henry has reported its fiscal third quarter 2025 deconversion revenue of $9.6 million for the period ending March 31, 2025. The company has updated its full-year fiscal 2025 deconversion revenue guidance to range between $22 million and $28 million.
Deconversion revenue primarily occurs when a Jack Henry client is acquired by another financial institution, leading to contract termination. The company emphasizes that this revenue stream is outside their control and does not reflect their core business operations of providing services to clients. As such, Jack Henry excludes deconversion revenue from non-GAAP revenue in their quarterly and annual earnings releases.
This forward-looking statement is subject to inherent risks and uncertainties that could affect actual results, as detailed in Jack Henry's SEC filings, particularly under the Risk Factors section.
Jack Henry ha comunicato un ricavo da deconversione di 9,6 milioni di dollari per il terzo trimestre fiscale 2025, chiuso al 31 marzo 2025. L'azienda ha aggiornato la previsione dei ricavi da deconversione per l'intero anno fiscale 2025, stimandoli tra 22 e 28 milioni di dollari.
I ricavi da deconversione si verificano principalmente quando un cliente di Jack Henry viene acquisito da un'altra istituzione finanziaria, comportando la cessazione del contratto. L'azienda sottolinea che questa fonte di ricavo è al di fuori del loro controllo e non riflette le attività principali di fornitura di servizi ai clienti. Per questo motivo, Jack Henry esclude i ricavi da deconversione dai ricavi non-GAAP nelle comunicazioni trimestrali e annuali sui risultati economici.
Questa dichiarazione previsionale è soggetta a rischi e incertezze intrinseche che potrebbero influenzare i risultati effettivi, come descritto nei documenti SEC di Jack Henry, in particolare nella sezione sui Fattori di Rischio.
Jack Henry ha informado ingresos por deconversiones de 9.6 millones de dólares en el tercer trimestre fiscal de 2025, correspondiente al periodo que finaliza el 31 de marzo de 2025. La compañía ha actualizado su guía de ingresos por deconversiones para todo el año fiscal 2025, estimándolos entre 22 y 28 millones de dólares.
Los ingresos por deconversiones ocurren principalmente cuando un cliente de Jack Henry es adquirido por otra institución financiera, lo que provoca la terminación del contrato. La empresa enfatiza que esta fuente de ingresos está fuera de su control y no refleja sus operaciones principales de prestación de servicios a clientes. Por ello, Jack Henry excluye los ingresos por deconversiones de los ingresos no GAAP en sus informes trimestrales y anuales.
Esta declaración prospectiva está sujeta a riesgos e incertidumbres inherentes que podrían afectar los resultados reales, como se detalla en los documentos presentados por Jack Henry ante la SEC, especialmente en la sección de Factores de Riesgo.
잭 헨리(Jack Henry)는 2025 회계연도 3분기(2025년 3월 31일 종료) 디컨버전 수익이 960만 달러였다고 보고했습니다. 회사는 2025 회계연도 전체 디컨버전 수익 가이드를 2,200만 달러에서 2,800만 달러 사이로 업데이트했습니다.
디컨버전 수익은 주로 잭 헨리 고객이 다른 금융기관에 인수되어 계약이 종료될 때 발생합니다. 회사는 이 수익원이 자사 통제 범위를 벗어나 있으며, 고객에게 서비스를 제공하는 핵심 사업 운영을 반영하지 않는다고 강조합니다. 따라서 잭 헨리는 분기 및 연간 실적 발표 시 비-GAAP 수익에서 디컨버전 수익을 제외합니다.
이 미래 예측 성명은 잭 헨리의 SEC 제출 문서, 특히 위험 요소 섹션에 상세히 설명된 고유한 위험과 불확실성에 영향을 받을 수 있습니다.
Jack Henry a annoncé un chiffre d'affaires de déconversion de 9,6 millions de dollars pour le troisième trimestre fiscal 2025, se terminant le 31 mars 2025. La société a révisé ses prévisions de chiffre d'affaires de déconversion pour l'ensemble de l'exercice fiscal 2025, estimant une fourchette comprise entre 22 et 28 millions de dollars.
Le chiffre d'affaires de déconversion survient principalement lorsqu'un client de Jack Henry est acquis par une autre institution financière, entraînant la résiliation du contrat. La société souligne que cette source de revenus échappe à leur contrôle et ne reflète pas leurs activités principales de fourniture de services aux clients. Par conséquent, Jack Henry exclut les revenus de déconversion des revenus non-GAAP dans ses communiqués trimestriels et annuels.
Cette déclaration prospective est soumise à des risques et incertitudes inhérents qui pourraient affecter les résultats réels, comme détaillé dans les dépôts auprès de la SEC de Jack Henry, notamment dans la section Facteurs de Risque.
Jack Henry meldete für das dritte Quartal des Geschäftsjahres 2025 einen Deconversion-Umsatz von 9,6 Millionen US-Dollar für den Zeitraum bis zum 31. März 2025. Das Unternehmen hat seine Prognose für den Deconversion-Umsatz im gesamten Geschäftsjahr 2025 auf eine Spanne von 22 bis 28 Millionen US-Dollar aktualisiert.
Deconversion-Umsätze entstehen hauptsächlich, wenn ein Kunde von Jack Henry von einer anderen Finanzinstitution übernommen wird, was zur Vertragsbeendigung führt. Das Unternehmen betont, dass diese Umsatzquelle außerhalb ihrer Kontrolle liegt und nicht ihre Kerngeschäftstätigkeit widerspiegelt, Kunden Dienstleistungen bereitzustellen. Daher schließt Jack Henry Deconversion-Umsätze in seinen vierteljährlichen und jährlichen Ergebnismeldungen aus den Non-GAAP-Umsätzen aus.
Diese zukunftsgerichtete Aussage unterliegt inhärenten Risiken und Unsicherheiten, die die tatsächlichen Ergebnisse beeinflussen können, wie in den SEC-Einreichungen von Jack Henry, insbesondere im Abschnitt zu Risikofaktoren, beschrieben.
- Q3 2025 deconversion revenue of $9.6M realized
- Full year fiscal 2025 deconversion revenue guidance maintained between $22M-$28M
- Deconversion revenue primarily comes from client loss due to acquisitions
- Revenue stream is outside company's control and not representative of core business operations
- Company excludes deconversion revenue from non-GAAP reporting due to its unpredictable nature
Insights
Jack Henry reports $9.6M in Q3 deconversion revenue and updates FY2025 guidance to $22-28M for this non-core revenue stream.
Jack Henry & Associates has reported
This disclosure highlights an important aspect of Jack Henry's financial reporting structure. Deconversion revenue, which occurs primarily when client financial institutions are acquired by other entities and terminate their Jack Henry contracts, represents a non-operational revenue stream that the company explicitly excludes from its non-GAAP financial reporting.
The company's approach to separating deconversion revenue from its non-GAAP metrics demonstrates prudent financial transparency. Since this revenue stream is:
- Generated by factors outside Jack Henry's control
- Irregular and unpredictable in timing
- Not representative of ongoing business operations
By isolating these termination fees in their reporting, management provides investors with clearer visibility into the company's sustainable revenue streams versus one-time contract termination payments. The updated guidance range suggests management now has improved visibility into potential client acquisition activity for the remainder of fiscal 2025.
Without comparative figures from previous periods in this press release, it's difficult to determine whether the current figures represent an increase or decrease in deconversion activity, which would correlate with financial institution consolidation rates affecting Jack Henry's client base.
The majority of deconversion revenue is generated when one of Jack Henry's clients agrees to be acquired by another financial institution, resulting in the termination of the client's contract with Jack Henry. In these circumstances, Jack Henry's recognition of deconversion revenue is driven by factors outside Jack Henry's control, and this revenue does not represent the true operations of Jack Henry's ongoing business of providing services to clients. As a result, Jack Henry excludes deconversion revenue from non-GAAP revenue reported in its quarterly and annual earnings releases.
Statements made in this press release that are not historical facts are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Because forward-looking statements relate to the future, they are subject to inherent risks and uncertainties that could cause actual results to differ materially from those expressed or implied by such statements. Such risks and uncertainties include, but are not limited to, those discussed in Jack Henry's Securities and Exchange Commission filings, including Jack Henry's most recent reports on Form 10-K and Form 10-Q, particularly under the heading Risk Factors. Any forward-looking statement made in this current report speaks only as of the date of the current report, and Jack Henry's expressly disclaims any obligation to publicly update or revise any forward-looking statement, whether because of new information, future events or otherwise.
About Jack Henry & Associates, Inc.®
Jack HenryTM (Nasdaq: JKHY) is a well-rounded financial technology company that strengthens connections between financial institutions and the people and businesses they serve. We are an S&P 500 company that prioritizes openness, collaboration, and user centricity – offering banks and credit unions a vibrant ecosystem of internally developed modern capabilities as well as the ability to integrate with leading fintechs. For more than 48 years, Jack Henry has provided technology solutions to enable clients to innovate faster, strategically differentiate, and successfully compete while serving the evolving needs of their accountholders. We empower approximately 7,500 clients with people-inspired innovation, personal service, and insight-driven solutions that help reduce the barriers to financial health. Additional information is available at www.jackhenry.com.
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SOURCE Jack Henry & Associates, Inc.
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