Harte-Hanks Inc., San Antonio, TX, had first quarter operating revenue of $232.1 million, up 2.7% from $226.1 million in first quarter 2000. Its net income rose 3.4%, from $17.8 million to $18.4 million. The quarter ended March 31.
While the company’s direct marketing segment saw revenue growth of only 1%, in comments accompanying the earnings report Larry Franklin, chairman and CEO, said this compared favorably with an 11% decline in the retail sector, the segment’s largest vertical market.
According to Franklin, the direct marketing segment’s high tech/telecom and financial vertical markets also experienced slowdowns, while the financial sector’s performance was flat, with declines in banking and mutual funds offset gains seen among non-bank financial marketing. The pharmaceutical, healthcare, and automotive sectors all performed strongly for this market.
Harte-Hanks shoppers had operating income growth of 15.3% on revenue growth of 6.4%, “although we are beginning to see signs of slowdown in this business as well,” Franklin said.
