Black Knight's total revenue up 7%, but earnings were flat
Black Knight's third-quarter net earnings were slightly below the same period last year, although total revenue increased by 7% compared with one year prior.
The third quarter of 2017 was the final period that Fidelity National Financial owned a majority stake in the company.
For the most recent quarter, Black Knight earned $43 million, compared with $43.9 million for the third quarter of 2017. Net earnings attributable to Black Knight common stockholders for the year-ago period were $14.7 million, which included expenses associated with the Sept. 29, 2017 spin-out from FNF.
"Our third-quarter results are reflective of the ongoing strength and momentum of our strategic initiatives across the enterprise," said Executive Chairman Bill Foley in a press release. "In particular, we were able to drive organic growth by winning new clients in existing markets, cross-selling and continuing to develop innovative solutions to enhance Black Knight's leading end-to-end integrated technology, data and analytics offering."
Black Knight had total revenue of $281.7 million, up 7% over the previous year. The software solutions division's revenue of $243.9 million and operating income of $116.7 million topped the previous year's $227.7 million and $104.7 million, respectively.
Operating income at the data and analytics division was flat, at $6.4 million, although revenue grew slightly to $38.4 million from $37.6 million.
However, the operating loss associated with the corporate and other segment increased to $56.1 million from $43.3 million one year prior.
"We are pleased with our solid results in the third quarter. We delivered adjusted revenue growth of 7% and adjusted EBITDA growth of 8%, which drove margin expansion of 60 basis points to 49%," said CEO Anthony Jabbour.
"The underlying fundamentals of our business remain strong, and we remain focused on our clients and driving the business to win market share, generate superior returns and create sustainable, long-term shareholder value."