Western Union Q4 Profit Rises; Approves $1.2 Bln Share Repurchase Authorization

(RTTNews) - The Western Union Company (WU) reported fourth-quarter net income of $221.5 million or $0.42 per share, compared to $173.4 million or $0.31 per share, prior year.

On average, 28 analysts polled by Thomson Reuters expected the company to report profit per share of $0.34 for the quarter. Analysts' estimates typically exclude special items.

Revenues decreased to $1.41 billion from $1.42 billion last year. Analysts expected revenue of $1.44 billion for the quarter. In the fourth quarter, revenues declined 1%, or increased 4% on a constant currency basis, the company said.

For 2015, the company expects: low single digit constant currency revenue increase; low to mid-single digit GAAP revenue decrease; and earnings per share in a range of approximately $1.58 to $1.65. Analysts expect the company to report fiscal 2015 earnings per share of $1.59. The company anticipates foreign currency translation will negatively impact revenues by approximately $300 million compared to 2014 rates.

The Western Union board of directors declared a quarterly cash dividend of $0.155 per common share, which represents a 24% increase over the previous quarterly dividend of $0.125 per common share. The dividend is payable March 31, 2015, to stockholders of record at the close of business on March 17, 2015. The board of directors also approved a new $1.2 billion share repurchase authorization, which expires December 31, 2017.