Deluxe Income Plummets
Deluxe Corp. posted net income of $27.9 million for the fourth quarter, a drop from $40.2 million in the prior year.
The cataloger and check printer reported revenue of $364.9 million for the quarter ended Dec. 31, a decline from $409.8 million the year before.
The St. Paul, MN firm posted small business services revenue of $28.5 million for the quarter, a decline from the previous year.
Management attributed this primarily to continued economic softness.
The firm said that gross margin was 62.6% of revenue compared to 63.9% in 2007. The company attributed this to restructuring related costs and lower revenue per order.
“The difficult economy created unprecedented net income of challenges for our business, “said Lee Schram, CEO, in a statement. “Despite these challenges, our focus on our cost structure enabled us to meet our previous adjusted earnings-per-share outlook and increase our cost reduction program to $300 million through 2010.
