Segment Information

6 Months Ended

Jun. 30, 2015

Segment Reporting [Abstract]

Segment Information

Note 11 – Segment Information

The Company operates in three business segments: Merchant Acquiring, Payment Processing and Business Solutions.

The Company’s business segments are organized based on the nature of products and services. The Chief Operating Decision Maker (“CODM”) reviews their individual financial information to assess performance and to allocate resources.

The following tables set forth information about the Company’s operations by its three business segments for the periods indicated:

(Dollar amounts in thousands)	Merchant Acquiring, net		Payment Processing		Business Solutions		Other			Total
Three months ended June 30, 2015
Revenues		21,165		33,702		45,317		(6,943	)(1)		93,241
Income from operations		9,626		14,511		13,467		(9,982	)(2)		27,622
Three months ended June 30, 2014
Revenues		19,827		33,252		44,888		(6,634	)(1)		91,333
Income from operations		8,777		15,314		12,113		(10,775	)(2)		25,429

⁽¹⁾  Represents the elimination of intersegment revenues for services provided by the Payment Processing segment to the Merchant Acquiring segment, and other miscellaneous intersegment revenues.

⁽²⁾  Primarily represents non-operating depreciation and amortization expenses generated as a result of the Merger and certain non-recurring fees and expenses.

(Dollar amounts in thousands)	Merchant Acquiring, net		Payment Processing		Business Solutions		Other			Total
Six months ended June 30, 2015
Revenues		41,256		66,802		90,181		(13,666	)(1)		184,573
Income from operations		19,017		28,220		27,241		(19,850	)(2)		54,628
Six months ended June 30, 2014
Revenues		39,118		65,094		87,805		(13,251	)(1)		178,766
Income from operations		17,181		30,031		23,537		(20,431	)(2)		50,318

⁽¹⁾  Represents the elimination of intersegment revenues for services provided by the Payment Processing segment to the Merchant Acquiring segment, and other miscellaneous intersegment revenues.

⁽²⁾  Primarily represents non-operating depreciation and amortization expenses generated as a result of the Merger and certain non-recurring fees and expenses.

The reconciliation of income from operations to consolidated net income for the three and six months ended June 30, 2015 and 2014 is as follows:

	Three months ended June 30,						Six months ended June 30,
(Dollar amounts in thousands)	2015			2014			2015			2014
Segment income from operations
Merchant Acquiring	$	9,626		$	8,777		$	19,017		$	17,181
Payment Processing		14,511			15,314			28,220			30,031
Business Solutions		13,467			12,113			27,241			23,537
Total segment income from operations		37,604			36,204			74,478			70,749
Merger related depreciation and amortization and other unallocated expenses (1)		(9,982	)		(10,775	)		(19,850	)		(20,431	)
Income from operations	$	27,622		$	25,429		$	54,628		$	50,318
Interest expense, net		(6,083	)		(6,422	)		(12,180	)		(13,256	)
Earnings of equity method investment		84			343			199			664
Other income		764			385			1,049			2,376
Income tax expense		(2,120	)		(1,962	)		(4,366	)		(4,123	)
Net income	$	20,267		$	17,773		$	39,330		$	35,979

⁽¹⁾  Primarily represents non-operating depreciation and amortization expenses generated as a result of the Merger and certain non-recurring fees and expenses.