04 de Oct de 2022

Nacional

Cash transfer profits are up

NEW YORK. Western Union Co, the world’s biggest money-transfer business, which is expanding in Panama said first-quarter profit rose ei...

NEW YORK. Western Union Co, the world’s biggest money-transfer business, which is expanding in Panama said first-quarter profit rose eighth percent on an increase in consumer transfers and savings from closing call centers and lowering commissions.

Western Union rose the most in almost six months in New York trading after the company reported net income of $223.9 million, or 32 cents a share, up from $207.1 million, or 27 cents, in the same period a year earlier. Revenue fell 5 percent to $1.2 billion and expenses declined 10 percent to $860.3 million.

The company which gets more than half of its revenue outside the US, is expanding into Brazil and Panama, and accelerating growth in Europe after buying the money-transfer business Fexco in February. The company has pared costs by closing call centers in the US, cutting jobs and reducing agent commissions.

“We’re always looking at opportunities in terms of where we can cut costs” Chief Executive Officer Christina Gold said in an interview. “Our focus also being very prudent, but also investing in key strategies for growth.” In February, Western Union said the global money transfer market will grow more slowly in 2009.