Verifone Systems Inc. on Dec. 11 sold its taxi business for $30 million in cash consideration.
The company retained a minority equity interest in the divested business. The net proceeds from the transaction, along with available cash, will be used to complete the remaining $50 million authorized under its $200 million share buyback program. The company's board has also authorized an additional $100 million share buyback program, which the company plans to execute over the coming 12 to 18 months.
Additionally, Verifone has disclosed its financial outlook for first fiscal quarter and full fiscal year of 2018. For the first fiscal quarter of 2018, the company expects GAAP net income per share of about 2 cents and non-GAAP net income per share of 22 cents.
The S&P Capital IQ consensus normalized EPS estimate for the fiscal quarter is 34 cents.
GAAP net revenues for the fiscal quarter are expected to be about $431 million to $433 million, and non-GAAP net revenues are projected to be about $418 million to $420 million, adjusted to exclude divested businesses.
For the fiscal year, the company anticipates GAAP net income per share of about 66 cents to 69 cents and non-GAAP net per share of $1.47 to $1.50.
The S&P Capital IQ consensus normalized EPS estimate for the fiscal year is $1.58.
Verifone posted net income attributable to shareholders of $3.1 million, or 3 cents per share, for the fourth fiscal quarter of 2017, compared with a net loss of $4.5 million, or a loss of 4 cents per share, in the prior-year quarter. Non-GAAP net income attributable to shareholders for the fiscal quarter was $50.2 million, or 44 cents per share, compared with $33.1 million, or 30 cents per share, in the year-ago quarter.
The S&P Capital IQ consensus normalized EPS estimate for the fiscal quarter was 43 cents.
For the fiscal year of 2017, the company reported a net loss attributable to shareholders of $173.9 million, or a loss of $1.55 per share, compared with a loss of $9.3 million, or a loss of 8 cents per share, in the prior year. Non-GAAP net income attributable to shareholders for the fiscal year was $147.2 million, or $1.31 per share, compared with $185.0 million, or $1.66 per share, a year ago.
The S&P Capital IQ consensus normalized EPS estimate for the fiscal year was $1.30.
