WOBURN, Mass.-Positive earnings, a new contract and a new business line were among Boston Communications Group Inc.’s announcements this week.
The company said its net income for the second quarter totaled $1.4 million, or 8 cents per share-well above the projected 3 to 4 cents per share and a 33-percent increase from the year-ago quarter. In addition, BCGI’s total revenues for the quarter were $17.4 million, compared with $15 million reported for the first quarter 2002, which BCGI attributes to an 18-percent growth in its prepaid wireless services revenues.
On another positive note, BCGI announced Cingular Wireless has signed a multi-year contract under which it will expand its implementation of BCGI’s prepaid wireless service to its entire market. In addition, the company said it is forming a new line of business to offer electronic payment processing and management to carriers. To kick off the new Payment Services solutions line, BCGI plans to: launch an ATM recharge solution, which will allow wireless users to replenish prepaid accounts via an ATM or debit card; designate locations where transactions can be made with the newly established Wireless Wallet trademark; and offer subscribers the BCGI Mobile Commerce Payment Service for m-commerce transactions.
The positive quarter and the expanded Cingular contract led BCGI to raise its earnings estimates for the full year 2002 to between 27 and 31 cents per share, including third-quarter estimates between 7 and 9 cents per share.
