News

Amid strong fourth quarter, Diebold posts mixed numbers for 2002

January 28, 2003

NORTH CANTON, Ohio -- Diebold, Inc., (NYSE: DBD) reported fourth quarter record revenue of $525.8 million and net income of $21.9 million or diluted earnings per share of 30 cents. The numbers include the previously announced impact of settling an IRS dispute over the deductibility of interest on debt related to corporate owned life insurance (COLI).

According to a news release, Diebold's fourth quarter 2002 net income was $48.4 million (67 cents per diluted share), excluding the impact from settling the COLI claim. This compares to fourth quarter 2001 net income of $17.2 million or diluted 24 cents per share on revenue of $508.2 million.

Financial self-service revenue, including ATM sales and service was $1.3 billion for 2002, down from $1.4 billion in 2001.

In 2002's fourth quarter, financial self-service product sales were $209.9 million, down 12 percent from $240 million in 2001's fourth quarter. The decline was offset by services revenue of $182.6 million, a 5 percent increase from $173.6 million in 2001's fourth quarter. For the 2002 quarter, total self-service revenue was $392.5 million, a 5 percent drop from $413.8 million in 2001's fourth quarter.

For the year, financial self-service product sales were $686 million, a 9.5 percent drop from $758 million in 2001. Service revenue grew 9 percent, from $648 million in 2001 to $707 million in 2002. Total self-service revenue was $1.3 billion in 2002, a slight drop from $1.4 billion in 2001.

Gains in security and voting revenues were strong for 2002. Security revenues were $436.2 million, up 30.6 percent from $333.9 million in 2001; voting revenues rose to $111.1 million from $2.1 million in 2001.

Walden O'Dell, Diebold's chairman, president and chief executive, said in the release that voting revenue far exceeded the company's initial expectations of $60 million.

Diebold expects its recent acquisition of Data Information Management Systems (DIMS), a voter registration company, to lead to further growth in its voting division

Diebold confirmed its 2003 earnings guidance of $2.32 to $2.45 per share.

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Diebold acquires leading voter registration company