Innovative New Prepaid Programs Drive 64% Increase in Load Volumes, 47% Increase in Transaction Volumes
Product Diversification Enables Continued Growth in Card Processing, Including PayFac, Surmounting Industrywide Weakness
SAN ANTONIO, July 29, 2020 (GLOBE NEWSWIRE) -- Usio, Inc. (Nasdaq: USIO), an integrated electronic payment solutions provider, today announced transaction processing results for the second quarter of fiscal 2020.
Second Quarter 2020 Compared to Second Quarter 2019 Processing Results:
Card Processing, Including PayFac
| Credit Card Dollars Processed | + 2% | ||
| Credit Card Transactions Processed | + 26% | ||
| Credit card transactions processed were the highest in the Company’s history and dollars processed were the second highest in the Company’s history despite widespread second quarter industry weakness. | |||
| ACH | |||
| Electronic Check Transaction Volume | - 21% | ||
| Returned Check Transactions Processed | - 50% | ||
| Prepaid | |||
| Prepaid Card Load Volume | + 64% | ||
| Prepaid Card Transaction Volume | + 47% | ||
Total Dollars processed in the second quarter of 2020 were $694 million.
Management’s Comments
Louis Hoch, President and Chief Executive Officer of Usio, said, “I am pleased to report outstanding performance in our Card and Prepaid businesses, where our innovative technology and well diversified portfolios continue to gain market share. Compared to the strong sequential growth of the last few quarters, card processing volume growth was temporarily slowed in the second quarter by the global pandemic. However, that impact diminished as we moved through the quarter. Prepaid is finding its stride, and we believe its tailored solutions and strong customer relationships will lead to continued growth. As anticipated, our ACH business was impacted by ongoing weakness in consumer lending. Partially offsetting that weakness has been strong growth in ancillary products, the addition of new accounts, and virtually 100% retention of existing customers, all of which are expected to contribute to growth as consumer lending practices gradually return to normal.”
About Usio, Inc.
Usio, Inc. (Nasdaq: USIO), a leading integrated payment solutions provider, offers a wide range of payment solutions to merchants, integrated software vendors, and card issuers. The Company operates credit, debit/prepaid, and ACH payment processing platforms to deliver convenient, world-class payment solutions and services to their clients. The strength of the Company lies in its ability to provide tailored solutions for card issuance, payment acceptance, and bill payments as well as its unique technology in the prepaid sector. Usio is headquartered in San Antonio, Texas, and has offices in Austin, Texas, and Franklin, Tennessee, just outside of Nashville.
Websites: www.usio.com, www.singularpayments.com, www.payfacinabox.com, www.akimbocard.com, and www.ficentive.com. Find us on Facebook® and Twitter.
FORWARD-LOOKING STATEMENTS DISCLAIMER
Except for the historical information contained herein, the matters discussed in this release include forward-looking statements which are covered by safe harbors. Those statements include, but may not be limited to, all statements regarding management's intent, belief and expectations, such as statements concerning our future and our operating and growth strategy. These forward-looking statements are identified by the use of words such as "believe," "intend," "look forward," "anticipate," "schedule,” and "expect" among others. Forward-looking statements in this press release are subject to certain risks and uncertainties inherent in the Company's business that could cause actual results to vary, including risks related to the COVID-19 pandemic and its effect on the economy, risks related to the realization of the anticipated opportunities from the Singular acquisition, the management of the Company's growth, the loss of key resellers, the relationships with the Automated Clearinghouse network, bank sponsors, third-party card processing providers and merchants, the security of our software, hardware and information, the volatility of the stock price, the need to obtain additional financing, risks associated with new tax legislation, and compliance with complex federal, state and local laws and regulations, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission including its annual report on Form 10-K for the fiscal year ended December 31, 2019. One or more of these factors have affected, and in the future, could affect the Company’s businesses and financial results in the future and could cause actual results to differ materially from plans and projections. The Company believes 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 the objectives and plans will be achieved. All forward-looking statements made in this release are based on information presently available to management. The Company assumes no obligation to update any forward-looking statements, except as required by law.
Contact
Investor Relations:
Joe Hassett
Gregory FCA
joeh@gregoryfca.com
484-686-6600