Cass Information Systems (CASS) Q4 1998 earnings summary

Executive summary

• Record 1998 net income of $7.408 million, up 5.7% YoY; basic EPS was $1.92 versus $1.82 in 1997.

• Total assets topped $500 million for the first time; average assets grew 5.8% YoY, while average loan balances rose $10.8 million, or 5.5%.

Financial highlights

• Total net revenue was $52.491 million, versus $50.796 million in 1997; income before tax was $11.585 million, versus $10.637 million.

• Net interest income reached $25.763 million, up from $25.035 million; noninterest income was $22.447 million, versus $21.813 million.

• Year-end assets were $503.912 million, loans net of allowance were $220.460 million, and deposits totaled $190.982 million.

Outlook and guidance

• 1999 priorities included stronger utility-market leadership, enhanced energy information, expanded EDI and electronic payments, Internet invoice retrieval, CD-ROM archiving, and online reporting.

• Growth plans centered on investing capital and resources in technology, operating capabilities, market share, and customer service across primary business units.

• Energy deregulation and continued outsourcing were identified as opportunities for utility-payment and freight-processing growth.