BISYS, a provider of outsourcing applications for the financial services industry, has filed its quarterly report on Form 10-Q for the third quarter of fiscal 2007 ended March 31.
Consolidated revenues for the quarter grew 9.4 percent year-on-year, to $231.6 million from $211.7 million a year ago. Year-to-date for the first nine months of fiscal 2007, revenues have grown 6.4 percent, to $664.4 million from $624.7 million for same period last year.
Pre-tax income from continuing operations for Q3 fiscal 2007 declined from $29.1 million to $23.9 million year-on-year, due primarily to the effect of $9.0 million in insurance recoveries received in Q3 fiscal 2006, which reduced litigation and regulatory expenses in the prior period. Income from continuing operations was similarly affected, and totaled $16.8 million versus $20.0 million in the prior year.
Third quarter included $4.1 million relating to the strategic alternatives process and other legal expenses. In Q3 fiscal 2006, corporate expenses included $4.5 million of restructuring and other charges associated with moving the Company’s corporate headquarters to New Jersey, and professional fees and severance associated with the Company’s restatement process, but these were offset by the $9.0 million insurance recoverable discussed above.
Year-to-date fiscal 2007, the company reported income from continuing operations of $64.8 million compared to $63.7 million for the same period of fiscal year 2006. Year-to-date fiscal 2006 included $10.3 million of net excess corporate expenses, primarily related to the strategic alternatives process, offset by insurance recoveries received, versus $6.7 million in net excess corporate expense in the prior year.