JKHY
Jack Henry & Associates, Inc.186.91
-0.74-0.39%
Dec 16, 4:00:00 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q2 '26
Pipelines surge from rival consolidation
Q&A highlighted pipelines expanding from a rival's core consolidation announcement, minimally impacting Q2's 22 wins but fueling Q3's strong start and larger deals ahead. Management waved off AI disruption fears, positioning it as an accelerant for their cloud-native modernization after five years of groundwork. Payments growth to moderate in H2 on tougher comps; margins pressured by medical costs normalizing. Renewal pricing shifts are delivering firmer terms. Q3 off to a hot start. Optimism runs high on execution, with eyes on SMB adoption like Tap2Local.
Key Stats
Market Cap
13.58BP/E (TTM)
28.41Basic EPS (TTM)
6.58Dividend Yield
0.01%Recent Filings
10-Q
Q2 FY2026 results
Jack Henry posted solid Q2 FY2026 results ended December 31, 2025, with revenue up 7.9% y/y to $619.3M and 7.6% YTD to $1.264B, driven by Payments (up 8.0% y/y to $232.0M), Core, and Complementary segments amid cloud migrations and payment volumes. Operating income jumped 29.4% y/y to $159.1M (25.7% margin vs 21.4%), while diluted EPS rose 28.6% y/y to $1.72, reconciling to 72,413 diluted shares. Operating cash flow hit $273.3M YTD (FCF $243.2M derived); cash fell to $28.2M after $42.4M Victor acquisition (Sep 2025, $22.9M goodwill, $18.8M intangibles over 10 years), yet $20M debt on $600M facility (covenants met). Share repurchases accelerated. Payments competition looms.
8-K
Q2 revenue +7.9%, income +29.4%
8-K
Q2 deconversion revenue up
Jack Henry reported $6.2 million in deconversion revenue for fiscal Q2 ended December 31, 2025, prompting an upward revision of full-year fiscal 2026 guidance to $28 million. This non-core revenue stems from client contract terminations due to acquisitions by other institutions. Deconversion revenue sits outside ongoing operations. Forward-looking estimates carry inherent risks.
8-K
New equity plan approved
10-Q
Q1 FY2026 results
Jack Henry posted Q1 FY2026 revenue of $644.7M, up 7.3% y/y from $601.0M, with operating income jumping 21.7% y/y to $184.1M and diluted EPS rising 21% y/y to $1.97 on 72,909 diluted shares. Payments revenue led at +9.0% y/y to $230.9M while Core grew 0.5% y/y; gross margins improved as cost of revenue edged up just 1.5% y/y. Cash from operations hit $120.6M; free cash flow (derived) was $111.7M after $8.9M capex. Drew $20M on $600M revolver (matures 2027, covenants met); $36.2M cash. Closed Victor assets Sep 30 for $42.4M cash, recognizing $21.9M goodwill and $20.2M intangibles (10-year life). Strong margins persist. Competition shadows growth.
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