Fiserv Revenues Up 11 Percent; Wade Named President
Brookfield, Wis.-based Fiserv Inc. announced processing and services revenues of $624.8 million, an 11 percent increase over the $560.7 million for the first quarter of 2002. Net income per share-diluted for the first quarter of 2003 was 38 cents per share, compared to 33 cents per share for the first quarter of 2002.
The company, which makes automation products for the insurance industry, estimates full-year 2003 earnings between $1.58 and $1.62 per share.
In other news, Terry Wade was named president of Fiserv Insurance Solutions Group.
Wade, who has extensive experience in the insurance, technology and outsourcing industries, most recently worked with a large private equity firm providing advice on opportunities in the insurance technology and services market.
Wade was a former senior vice president at Policy Management Systems Corp. (now part of Computer Sciences Corp.), where he managed the outsourcing services unit of Cybertek, a provider of software and services to the life and annuity markets. Wade also was Vice President of Finance at Policy Management Systems.
At other times in his career, Wade was chief operating officer of Conita Technologies Inc.; executive vice President and chief financial officer of First Image Management Co.; chief financial officer and vice president of finance/treasurer for units of BET Plc.; and a manager with the accounting firm of Deloitte & Touche.
Significant client relationships signed in the first quarter include the following: KeyCorp, one of the nation’s largest automotive lending institutions, expanded an agreement with Fiserv to manage its entire portfolio of automotive leases; Ohio Savings Bank, a $14 billion financial institution based in Cleveland, selected Fiserv to provide a full complement of products and services including core processing, teller and sales automation, and call center support technology; and Southwire Co. of Carrollton, Ga., one of the world’s leading cable and wire manufacturers, signed a three-year agreement for medical claims processing and related services.
Under an agreement with Bank Millennium in Warsaw, Poland,, Fiserv led a technology project to centralize the bank’s processing systems in 367 branches across the country.
During the first quarter of 2003, Fiserv completed previously announced plans to acquire AVIDYN, Inc., a Dallas-based provider of specialized health care industry services, and also
acquired Precision Computer Systems (PCS), a provider of bank processing solutions located in Sioux Falls, South Dakota.
Since the close of the first quarter, Fiserv has announced three more acquisitions to complement its growing presence in the insurance processing business. ReliaQuote, Inc., which closed in early April, is located in Falls Church, Va., and specializes in the marketing and sale of fully underwritten term life insurance policies primarily through the Internet.
Insurance Management Solutions Group Inc., which is expected to close in June, is located in St. Petersburg, Fla., and serves the flood insurance market with a complete range of policy and claims administration services and financial and statistical reporting. Wausau Benefits, which is expected to close in April, is a third-party employee benefits administrator located in Wausau, Wis., providing a full range of health and related employee benefit plan administration services nationwide.
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