CSG Systems Q4 Profit Rises; Lifts 2020 Revenues Outlook

(RTTNews) - CSG Systems International Inc. (CSGS) reported that its net income for the fourth quarter rose to $22.58 million or $0.70 per share from $20.90 million or $0.64 per share in the previous year.

The latest-quarter result was positively impacted by a 7% effective income tax rate for the quarter resulting primarily from an about $4 million net income tax benefit related to Comcast's exercise of 0.4 million vested common stock warrants in December 2019.

Non-GAAP earnings per share for the fourth quarter of 2019 was $0.98, compared to $0.95 for the fourth quarter of 2018.

Total revenues for the fourth quarter were $254.7 million, a 3% increase from $247.3 million last year.

Analysts polled by Thomson Reuters expected the company to report earnings of $0.83 per share and revenues of $230.5 million for the quarter. Analysts' estimates typically exclude special items.

Non-GAAP adjusted revenues for the fourth quarter of 2019 were $236.9 million, a 2% increase when compared to $231.7 million for the fourth quarter of 2018,

For 2020, the company projects earnings per share to be in the range of $2.13 - $2.46, and non-GAAP earnings per share of $2.96 - $3.29.

The company raised its annual revenues outlook to a range of $990 million - $1.03 billion from the prior estimation of $980 million - $1.02 billion. It also increased its annual non-GAAP revenues guidance to a range of $917 million - $950 million from the prior outlook of $907 million - $940 million.

Wall Street currently is looking for fiscal year 2020 earnings of $3.29 per share on annual revenues of $929.37 million.