Jack Henry & Associates JKHY

Jack Henry & Associates, Inc. is a financial technology company that provides technology solutions to community and regional banks and credit unions. The company offers core processing systems, complementary products, and services that help clients innovate, differentiate, and serve their accountholders more effectively.

Revenue is generated primarily through recurring sources such as private and public cloud services for hosted clients under six year contracts, electronic payment solutions under similar six year agreements, and annual support and maintenance fees from on premise clients. Additional revenue comes from software license fees, hardware sales, and professional services including implementation and training.

The company operates through the following segments: Banking, Credit Union, Payments, and Corporate.

• Banking: This segment provides core bank integrated data processing systems, including three distinct core platforms and a suite of complementary solutions such as business intelligence, digital banking, and payment processing, to community and regional banks.

• Credit Union: This segment offers a flagship core processing platform and integrated complementary products and services, including digital banking, payment solutions, and risk management tools, to credit unions of all sizes.

• Payments: This segment delivers electronic payment solutions such as CPS, EPS, Payrailz, PayCore, and PaaS, enabling secure and innovative payment processing for banks, credit unions, and corporate clients.

• Corporate: This segment supplies non core, core agnostic products and services, including treasury management, risk and compliance tools, and other specialized solutions, to banks, credit unions, and diverse corporate entities.

Jack Henry & Associates, Inc. holds a strong position in the financial technology market, competing with established providers such as Fidelity National Information Services, Inc., Fiserv, Inc., Corelation, Inc., and Finastra. The company differentiates itself through long term client relationships, high retention rates, a broad portfolio of integrated solutions, and a commitment to service that consistently exceeds expectations.

The company serves approximately 7,400 financial institutions, including about 950 banks and 715 credit unions, as well as over 5,710 non core clients that comprise banks, credit unions, and diverse corporate entities. Its customer base consists of community and regional banks, and various corporate entities seeking technology and payment solutions.