Following the sale of its payments business to VeriFone for US$12.1m, Irish e-commerce firm Trintech today reported an increase in revenues at its remaining funds business from US$5.3m to US$6m. It reported a loss of US$94,000 for the quarter.
Revenues at the business it sold to VeriFone amounted to US$6.5m, down from US$7.3m a year ago.
The overall net loss incurred during the second quarter for the remaining business and the business Trintech sold to VeriFone amounted to US$2.1m.
The company said it increased its expenditure on research and development for the funds management systems (FMS) business from US$587,000 in Q2 last year to US$1.1m this year.
Trintech says it is targeting its R&D strategy at growing the sales and distribution network for Trintech’s reconciliation products both in the US and globally.
The second quarter for Trintech saw key deals struck with large US retail firms and financial institutions such as Provident Bank, Beall’s Inc, North Fork Bancorporation and Smart & Final Inc.
The company also set up a new strategic unit focusing on the healthcare business, specifically helping healthcare providers and financial institutions to optimise the claim-to-payment transaction process.
Trintech’s balance sheet appears strong with some US$29.7m in the bank.
Trintech president Paul Byrne said the remaining funds business at Trintech is focused on the financial reconciliation business.
“We are committing significant investment to the reconciliation business as we seek to drive and accelerate growth in our existing commercial market,” said Byrne.
“The recent hiring of industry veterans in both financial services and healthcare, combined with investment to date and future acquisitions, will position Trintech to drive profitable growth in new vertical markets.”
By John Kennedy
