Jack Henry & Associates Stock Price, News & Analysis

Jack Henry & Associates (NASDAQ: JKHY) announced an expanded partnership with Native American Bank to enhance digital banking services. The Denver-based bank will implement JHA OpenAnywhere for digital account openings and Branch Anywhere for mobile access to banking functionalities, improving customer experience and accessibility. Native American Bank, the only national American Indian-owned CDFI, aims to provide better services for its community, where accessing traditional banking can be inconvenient. This partnership reflects Jack Henry's commitment to modernize banking for underserved markets.

On October 1, 2020, Computer Service Professionals, Inc. (CSPI) announced the acquisition of the CruiseNet® core solution and related operations from Jack Henry & Associates, Inc. This deal positions CSPI to enhance its market share and product offerings in the credit union sector. The CruiseNet platform, built on .Net architecture, will be rebranded as Aurora Advantage CU, with plans to introduce a new digital banking platform in 2021. CSPI aims to retain all employees from the Charlotte, North Carolina office to ensure a seamless transition for clients.

Jack Henry & Associates (NASDAQ: JKHY) announced that Seacoast Commerce Bank has outsourced its IT infrastructure to enhance security and efficiency. The decision came after dissatisfaction with the previous provider's costly and unreliable services. Despite challenges from the pandemic and a security breach at the former provider, Jack Henry successfully completed the conversion on time. This partnership allows the bank to focus on strategic initiatives and improve customer experience, supported by Jack Henry's Gladiator Hosted Network Solutions™.

Jack Henry's Symitar division announced BCU's successful migration of its Episys core system to the company's private cloud. This $4.2 billion asset credit union undertook a five-year initiative to enhance its technology, resulting in improved security and performance. Despite the COVID-19 pandemic, the migration proceeded smoothly, allowing BCU to transition employees to remote work without compromising productivity. With over 60% of Jack Henry's core clients on the cloud, this move validates the benefits of cloud solutions for the financial services industry.

Jack Henry & Associates (NASDAQ: JKHY) has successfully partnered with Guilford Savings Bank in Connecticut to launch the Commercial Lending Center Suite™. This advanced platform streamlines the commercial lending process, enhancing operational efficiency and borrower experience. The transition from a manual system to this digital solution has allowed the bank to process more PPP loans efficiently, doubling their output during the second wave. Additionally, Guilford Savings Bank adopted the SilverLake System® and Banno Digital Platform™, enabling a swift transition to remote operations and improved flexibility.

Jack Henry & Associates (NASDAQ: JKHY) announced that The Bank of Missouri successfully utilized its BusinessManager A/R financing program to provide a $40 million loan to a major regional food service business. This represents the largest line of funding through the program to date. The financing helped the business improve cash flow, pay temporary staff, and manage financial health during the pandemic. The president of the bank noted that this partnership allows them to support local businesses and manage portfolio risk effectively during economic uncertainty.

Jack Henry & Associates (NASDAQ: JKHY) announced that 1st United Credit Union has selected its Episys core platform and Banno Digital Platform. This partnership aims to enhance member services by offering a flexible, customizable banking experience. The $1.2 billion credit union anticipates immediate efficiency gains and a new level of integration across services, particularly in bill pay. Joanna Uhl, CIO of 1st United, expressed confidence in Jack Henry's innovative solutions, while Shanon McLachlan of Symitar emphasized the importance of innovation in financial services.

Jack Henry & Associates declared a quarterly cash dividend of $.43 per share, effective September 28, 2020. Stockholders of record by September 9, 2020, will receive this dividend. As of August 19, 2020, there were 76,641,833 shares of common stock outstanding. This action reflects the company's ongoing commitment to returning value to its shareholders and signifies a positive outlook on financial sustainability.

Jack Henry & Associates reported a 9% increase in GAAP revenue and a 10% increase in operating income for the fiscal year ending June 30, 2020, amounting to $1.697 billion in revenue. GAAP EPS rose to $3.86 from $3.52 in the previous year. Cash surged to $213.3 million, a 128% increase. For FY 2021, guidance expects revenue between $1.75B and $1.77B and EPS between $3.70 and $3.75. However, Q4 saw a 3% decline in operating income with revenue growth slowing due to COVID-19 impacts.