WEX beats analyst projections in Q3
WEX Inc. outperformed analyst projections in its third-quarter financial statement, boosting earnings per diluted share to $1.29, nine cents above consensus estimates.
The company reported continued growth in adjusted net income from $42 million in the third quarter of last year to $50.4 million in the most recent quarter. The company reported a substantial rise in net income, tallied according to generally accepted accounting principles, from $14.3 million for the third quarter of 2012 to $43.8 million in the most recent quarter.
Mike Dubyak, the South Portland company’s CEO, told Mainebiz that the last quarter’s performance shows a return on investments the company made in new products domestically and on expansions internationally, in part through acquisitions.
Dubyak cited an agreement to provide fleet card services to Citgo Petroleum Services and to approximately 200,000 vehicles through the U.S. General Services Administration as key deals reached recently.
Melissa Smith, WEX president, said the international expansions increase the company’s ability to deal in local currencies, reducing some of the fees it would otherwise pay for transactions in places like Hong Kong, Singapore and the European countries where she expects the company will grow. Right now, she said, international operations make up around 15% of WEX’s business and she expects that to increase through 2014.
Starting Jan. 1, Smith will become the 1,400-employee company’s CEO, taking over for Dubyak, who will stay on the company’s payroll as executive chairman of the company's board of directors.
Shares of WEX were up $3.61 on the New York Stock Exchange in mid-day trading after the earnings announcement.
Correction: A previous version of this story incorrectly stated the number of U.S. General Service Administration vehicles for which WEX provides fleet card services.
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