CBIZ BUYS PAYROLL COMPANY CBiz has acquired certain assets of Computer Payroll Co., a payroll processing company based in Palm Desert, Calif.
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CPC had about $2.5 million in revenue in 2007. It employed 18 and served about 800 clients, primarily in California and Arizona. Founders Rick Pinkerman and Robert Luzzi, along with their employees, have joined CBiz, which is based in Cleveland. In December, CBiz sold its interest in Albridge Solutions to PNC Financial Services. Albridge makes portfolio accounting and enterprise wealth management services. CBiz recognized a pre-tax gain of $1.1 million on the sale during the fourth quarter.
TAL HAS STRONG YEAR
The Tax, Accounting & Legal Division of Wolters Kluwer, which includes CCH, reported a 36 percent rise in EBITA while revenue went up 7 percent for the year ended Dec. 31.
The increases in EBITA would have been 47 percent and revenue 14 percent, in constant currencies. EBITA reached roughly $302.1 million for the most recently ended year, up from $223.9 million. Revenue was about $1.34 billion for 2007, up from about $1.267 billion the prior year. The company noted that during 2007, it cut the number of data centers in the United States from 39 to two. Chief Executive Nancy McKinstry said the company would continue to focus on improving operations through a new program called Springboard.
MORNINGSTAR NET RISES
Morningstar ended 2007 with a 40 percent increase in net income on a 36 percent rise in revenue for the year ended Dec. 31.
Earnings for the most recently ended period were $20 million, up from $13.6 million in last year’s corresponding period. Fourth-quarter revenue was $118.1 million, up from $87 million a year earlier. Net income for 2007 reached $73.9 million, an increase of 42.7 percent. The revenue for the most recently ended period included $8.9 million from the acquisition of Standard & Poor’s fund data business.
INTUIT TAX REVENUE SHIFTS
The congressional delay in extending the Alternative Minimum Tax meant about $23 million in revenue for Intuit’s ProTax Group, were expected to be realized in the current quarter, instead of in the second quarter ended Jan. 31.
The delay rippled through the tax industry since companies were late in getting the information needed to complete their tax software. ProTax revenue dropped to $105.4 million, down from $130.7 million. CFO Neil Williams said that decline also reflected the discontinuance of ProSeries Express, which produced $4 million in revenue a year ago.
JACKSON HEWITT RESULTS DROP
Jackson Hewitt saw a drop in net income on a decline in revenue for the third quarter ended Jan. 31, as the tax franchisor saw a drop in the number of returns prepared during the quarter.
Net income in the most recently ended period was $18.5 million, down from $27.5 million a year earlier. Meanwhile, revenue fell to $97.6 million, down from $114.4 million. While the company termed January tax return volume disappointing, it said it had seen a significant improvement in February. The company said customers are shifting to later filings and the lack of a pre-season product.
GILMAN+CIOCIA NARROWS LOSS
The loss for Gilman+Ciocia narrowed to $204,000, from $298,000 for the second quarter ended Dec. 31, as revenue rose by 3.3 percent.
Revenue reached $12.4 million, up from just over $12 million a year earlier. Financial planning revenue rose to $11.9 million from $11.7 million. Meanwhile, tax preparation and accounting fees hit $414,000, up from $302,000. The company said that increase stemmed from the purchase of five tax businesses early in 2007.