Formula Systems Q3 Profit Down

(RTTNews) - Formula Systems (1985) Ltd. (FORTY) reported that its net income attributable to shareholders for the third quarter declined to $5.4 million, or $0.36 per share, from $5.7 million, or $0. 38 per share, in the same period last year.

The decrease in net income attributable to Formula's shareholders was mainly attributable to a decrease in Sapiens' net income from $5.5 million in the third quarter of 2016 to $1.6 million in the third quarter of 2017 offset by devaluation of long term liabilities to banks and others denominated in New Israeli Shekels, following the erosion of the New Israeli Shekel against the US dollar amounting to $0.4 million compared to an appreciation of long term liabilities to banks and others denominated in New Israeli Shekels amounting to $1.2 million recorded in the same period last year.

Excluding the negative impact of Sapiens' results and the positive impact of the devaluation of Formula's long term liabilities to banks and others denominated in New Israeli Shekels, Formula net income increased by approximately 2% year over year.

Revenues for the third quarter increased by 22.3% to $348.6 million, from $285.1 million in the same period last year.

Analysts polled by Thomson Reuters expected the company to report earnings of $ per share and revenues of $ million. Analysts' estimates typically exclude special items.