TRM reports net income of $2.2M in '04's 3Q

PORTLAND, Ore. — TRM Corporation reported that net income increased to $2.2 million, in 2004's third quarter, as compared to $1.5 million for the same period in 2003. For the nine-month period ended Sept. 30, net income more than doubled to $7.4 million, compared to $3.4 million for the same period in 2003.

During the latest quarter, TRM said ATM gross sales increased by 51.1 percent to exceed $17 million, surpassing photocopier gross sales of $11.9 million. ATM operations produced net sales of $12.6 million during the latest quarter, an increase of $3.3 million as compared to the same period in 2003; for the first nine months of 2004, ATM net sales increased by $8.2 million to $33.7 million, as compared to the same period in 2003.

Transacting ATMs grew to 4,868 in 2004's third quarter, an increase of 1,516 units over the prior year, representing both internal growth and acquisitions. Four ATM network acquisitions totaling $10.9 million were completed during the first nine months of 2004 and funded through internally generated cash flow.

Total ATM withdrawals increased from 4.1 million to 5.7 million. Average monthly sales per unit increased from $1,047 to $1,139, and average sales per withdrawal increased from $2.54 to $2.83. ATM operating income increased 28.9 percent to $2.5 million in the latest quarter; and year-to-date ATM operating income increased 101.7 percent to $6.5 million.

Photocopier operations produced net sales of $9.9 million during 2004's third quarter, down $600,000 as compared to the same period in 2003; for the nine-month period ended Sept. 30, photocopier net sales remained flat at $32.4 million. Also during the quarter, a follow-on public offering of common stock generated proceeds in excess of $50 million.

On Sept. 20, TRM entered into a $150 million definitive agreement with eFunds Corporation to acquire more than 17,000 ATM contracts. Following the acquisition, scheduled to close prior to year end, TRM will become the single largest international ATM deployer with more than 22,000 locations in the U.S., Canada and Europe.