JKHY · 10-Q · 2026Q3

JACK HENRY & ASSOCIATES INC

Filed 2026-11-06 · Technology · View original filing on EDGAR

Everything JKHY's SEC filings said, ranked

Ranked Events

• Capital Expenditures ProgramImportance 73 · Surprise 64
  Capital expenditures for facilities and equipment were $26.960 million in the three months ended September 30, 2026, compared with $8.880 million in the prior-year period.,The expenditures primarily funded additional equipment and improvements to existing facilities and were funded from available liquidity, including operating cash and credit-facility borrowings.,Fiscal 2027 facilities and equipment capital expenditures are expected to total approximately $70 million to $80 million.
• Interest Rate ExposureImportance 70 · Surprise 82
  On March 25, 2026, the company entered a five-year, unsecured revolving credit agreement allowing borrowings up to $1 billion. Borrowings bear variable interest based on adjusted Term SOFR or an alternate base rate,…
• Acquisition / Partnership / DivestitureImportance 59 · Surprise 60
  On September 30, 2025, Jack Henry acquired substantially all assets of Victor for $42.390 million in cash. The company said the acquisition was intended to expand its capabilities in the Payments-as-a-Service market.…
• Share Repurchase ProgramImportance 59 · Surprise 40
  Jack Henry repurchased 462 shares during the first three months of fiscal 2027, compared with 389 shares in the prior-year quarter.,The company spent $70.903 million on treasury-stock purchases in fiscal 2027’s first quarter.,At September 30, 2026, the company had authority to repurchase up to 5.002 million additional shares and held 34.989 million shares in treasury stock.
• Operating Cash Flow TrendsImportance 58 · Surprise 56
  Net cash provided by operating activities increased 34% to $161.253 million in the first three months of fiscal 2027 from $120.590 million in the prior-year period.,The increase was primarily due to year-over-year changes in income taxes and deferred income taxes.,Cash and cash equivalents increased to $25.356 million at September 30, 2026, from $12.056 million at June 30, 2026.
• Guidance / OutlookImportance 54 · Surprise 24
  Management said it expects fiscal 2027 capital expenditures on facilities and equipment to be approximately $70 million to $80 million. The spending is primarily for additional equipment and improvements to existing…
• Debt and Liquidity PositionImportance 51 · Surprise 64
  Outstanding borrowings under the company’s revolving credit facility were $85 million at September 30, 2026, up from $40 million at June 30, 2026.,The five-year unsecured revolving credit agreement permits borrowings up to $1 billion and terminates on March 25, 2031.,The company repaid $143 million and borrowed $188 million under credit facilities during the first three months of fiscal 2027, and reported compliance with all credit-agreement financial covenants at quarter-end.
• Revenue Performance and MixImportance 43 · Surprise 32
  First-quarter fiscal 2027 revenue increased 8.8%, or $56.809 million, to $701.547 million year over year; excluding deconversion and acquisition revenue in the current quarter and deconversion revenue in the prior-year quarter, growth was 7.2%.,Services and support revenue grew 7.5% to $404.961 million, or 5.1% excluding deconversion revenue, primarily from hosting growth as clients migrated to the cloud and processing volumes expanded, partly offset by Connect conference timing.,Processing revenue increased 10.7% to $296.586 million, or 10.2% excluding the acquired company’s revenue, driven by card service and risk-management fees, digital and transaction activity, and faster payments volumes.
• Operating Income and MarginsImportance 42 · Surprise 40
  Operating income increased 12.5%, or $23.006 million, in the first quarter of fiscal 2027 compared with the prior-year quarter.,After adjusting for deconversion operating income and expenses and the prior-year gain on certain assets, operating income increased 11.2%, primarily from organic revenue growth.,Operating expenses increased 7.3%, or $33.803 million; excluding specified deconversion, acquisition, and prior-year asset-gain effects, the increase was 5.7%.,Cost of revenue increased 7.9% to $376.046 million, with higher direct and personnel costs, cloud consumption including AI and security costs, intangible amortization, and infrastructure licenses and fees partly offset by increased labor-cost deferral; cost of revenue remained consistent as a percentage of revenue.
• Interest Income and ExpenseImportance 38 · Surprise 46
  Interest income decreased 28.7% to $5.092 million for the three months ended September 30, 2026, from $7.139 million in the prior-year period.,Interest expense increased 72.5% to $1.528 million from $0.886 million.,The filing attributed lower interest income to reduced interest-earning balances and higher interest expense to increased credit-line balances.
• Dividend DeclarationImportance 36 · Surprise 14
  Jack Henry paid $42.768 million in dividends to stockholders during the first three months of fiscal 2027.,Dividend payments in the comparable fiscal 2026 quarter were $42.145 million.,The company identifies dividends as a use of cash from operations alongside debt repayment, share repurchases, capital expenditures, and acquisitions.
• Net Income and EPS PerformanceImportance 36 · Surprise 40
  Net income increased 11.4% to $160.412 million in the first quarter of fiscal 2027 from $143.986 million in the prior-year quarter.,Diluted earnings per share increased 15.6% to $2.28 from $1.97, with EPS growth exceeding net income growth primarily because diluted weighted-average shares declined following share repurchases.,The increase, excluding deconversion and acquisition-related effects and the prior-year asset gain, was driven by organic revenue growth, partly offset by higher operating expenses and income taxes.
• Segment Revenue PerformanceImportance 36 · Surprise 40
  Core revenue increased 7.1% to $203.411 million, or 4.9% excluding deconversion revenue, with organic hosting growth and expanding processing volumes; Core cost of revenue rose 6.4% and its share of revenue decreased 1%.,Payments revenue rose 9.2% to $252.111 million, or 8.3% excluding deconversion and acquisition revenue, driven by card fees and faster payments volumes; Payments cost of revenue increased 5.6% and its share of revenue decreased 1%.,Complementary revenue increased 10.4% to $220.176 million, or 8.4% excluding deconversion revenue, driven by hosting and digital and transaction growth; cost of revenue rose 2.4% and its share of revenue decreased 3%.,Corporate Services revenue increased 6.2% to $25.849 million, or 5.2% excluding deconversion revenue, while cost of revenue rose 17.0% to $99.748 million, reflecting higher cloud consumption including AI, personnel costs, infrastructure licenses and fees, hardware costs, and intangible amortization.
• Cloud Adoption and Payment VolumesImportance 23 · Surprise 24
  New and existing clients continue migrating to Jack Henry’s cloud services, while processing volumes expand, supporting hosting growth in the Core and Complementary segments. Complementary digital and transaction…
• Research and Development ExpenseImportance 23 · Surprise 22
  Research and development expense increased 16.6% to $45.781 million in the first quarter of fiscal 2027 compared with the prior-year quarter.,Excluding $0.658 million of research and development costs for the company acquired in the prior fiscal year, the increase was 14.9%.,The increase was primarily due to higher personnel costs, net of capitalization, partly related to trailing-twelve-month headcount growth; research and development remained consistent as a percentage of revenue.
• Macroeconomic Factors ImpactImportance 20 · Surprise 24
  Entering the second quarter of fiscal 2027, management said it remained confident about delivering durable, consistent growth and attractive results for stockholders. It reported strong technology spending by financial…
• Market Demand TrendsImportance 10 · Surprise 6
  Jack Henry says technology spending by financial institutions remains strong and demand is clear for its differentiated technology solutions. The company reports a healthy sales pipeline and says it continues to…

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