Alliance Data Systems Q2 Profit Up; Lifts FY14 Outlook - Quick Facts

(RTTNews) - Alliance Data Systems Corp (ADS), a provider of data-driven marketing and loyalty solutions, Thursday announced a rise in second-quarter net income to stockholders to $137.4 million, or $2.19 per share, from $116.4 million, or $1.71 per share, last year.

Core earnings attributable to Alliance Data stockholders per share were $2.90 for the second quarter of 2014. On average, 24 analysts polled by Thomson Reuters expected earnings of $2.73 per share for the quarter. Analysts' estimates typically exclude special items.

Revenue for the quarter grew 23 percent to $1.265 billion from $1.03 billion in the prior-year quarter. Twenty-two analysts had a consensus revenue estimate of $1.25 billion for the quarter.

Looking ahead to third quarter, the firm sees around $1.30 billion in revenue and $3.25 in core EPS, increases of 19 percent (9 percent organic) and 22 percent, respectively, for the third quarter of 2014. Analysts project third-quarter earnings of $3.49 per share, and revenue of $1.35 billion. It expects acceleration in core EPS growth for the remainder of 2014 as the diluted share count drops following the maturity of the convertible notes in May 2014.

For the year, Alliance Data Systems boosted its guidance from $5.25 billion to $5.30 billion in revenue, and from $12.25 to $12.35 in core EPS. Analysts currently expect revenue of $5.27 billion and earnings of $12.35 per share for 2014.