Jack Henry & Associates Announces Deconversion Revenue For Q3 Was $0.8M, Estimates Remain At $16M For FY24 Guidance
Portfolio Pulse from Benzinga Newsdesk
Jack Henry & Associates, Inc. (NASDAQ:JKHY) reported Q3 deconversion revenue of $0.8M, with FY24 guidance remaining at $16M. Deconversion revenue, often resulting from customer acquisitions, is excluded from non-GAAP revenue as it does not reflect ongoing operations.
April 29, 2024 | 8:39 pm
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Jack Henry & Associates announced Q3 deconversion revenue of $0.8M, with FY24 guidance unchanged at $16M. This revenue, not reflecting core operations, is excluded from non-GAAP earnings.
The announcement of Q3 deconversion revenue and the confirmation of FY24 guidance at $16M is significant but not directly indicative of Jack Henry's core operational performance. Since deconversion revenue results from customer acquisitions and contract terminations, it's a variable and less predictable source of income. This revenue is also excluded from non-GAAP earnings, suggesting it's not a primary focus for the company's financial health assessment. Therefore, while the news provides clarity on financial expectations, it may not significantly impact investor sentiment or stock price in the short term.
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