News

PayStar adjusts revenue estimate

March 12, 2002

LODI, Calif. - PayStar Corp. (OTCBB:PYST), which reported soaring revenues in the second quarter of fiscal year 2001, ending June 30, has been forced to diminish its third quarter revenue estimates due in part to a reduction in business orders.

The Internet kiosk and financial services provider said that the recent economic downturn and a reduction in order of cashless teller machines from its U.S. Cash Exchange Business Unit led to the drop. The shuttering of one of its leading dealers was blamed for the reduction. Negotiations are ongoing with new dealers, PayStar said in a news release.

PayStar did not say how substantial the dip in revenue would be. The company reported revenues of $5.3 million in the second quarter, a 167 percent increase over last year's $2 million. PayStar reported revenue of $3.1 million in the first quarter.

In early trading on Sept. 18, the company's stock was down a cent to 72 cents, a drop of 1.4 percent.