First Data 2014 Annual Report Download - page 33

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








Revenues:
Transaction and processing service fees
$ 1,412.6
$ 1,320.3
$ 1,350.0
7%
(2)%
Product sales and other
48.9
48.2
40.1
1%
20 %
Segment revenue
$ 1,461.5
$ 1,368.5
$ 1,390.1
7%
(2)%
Segment EBITDA
$ 741.3
$ 617.9
$ 603.1
20%
2 %
Segment margin
51%
45%
43%
600 bps
200 bps
Key indicators:
Domestic debit issuer transactions (a)
11,697.0
11,313.9
12,113.8
3%
(7)%
Domestic active card accounts on file (average
for the period) (b)
164.1
147.0
132.4
12%
11 %
(a) Domestic debit issuer transactions include signature and PIN-debit transactions, STAR, and non-STAR branded.
(b) Domestic active card accounts on file reflect the average number of bankcard and retail accounts that had a balance or any monetary posting or authorization activity during the
periods presented.
Transaction and processing service fees revenue








Credit card, retail card, and debit processing
$ 955.0
$ 887.0
$ 911.5
8 %
(3)%
Output services
268.6
243.7
229.8
10 %
6 %
Other revenue
189.0
189.6
208.7
— %
(9)%
Total transaction and processing service fees
revenue
$ 1,412.6
$ 1,320.3
$ 1,350.0
7 %
(2)%
Credit card, retail card, and debit processing revenue increased in 2014 compared to 2013. Growth in credit card and retail card processing revenue
outpaced debit processing revenue growth in 2014 compared to 2013. Credit card and retail card processing revenue increased due to net new business and
growth from existing customers, partially offset by price compression on contract renewals and other net pricing incentives. Domestic active card accounts on
file increased in 2014 versus 2013 primarily from net new account conversions and growth from existing customers. Debit processing revenue increased in
2014 compared to 2013 due to internal growth and a new transaction routing program that was introduced in the first quarter of 2014, partially offset by net
lost and disposed business and price compression on contract renewals.
Credit card, retail card, and debit processing revenue decreased in 2013 compared to 2012 as decreases in debit processing revenue offset growth in credit
card and retail card processing revenue. Credit card and retail card processing revenue increased due primarily to growth from existing customers and net new
business, partially offset by price compression on contract renewals as well as volume based pricing incentives. Domestic active card accounts on file
increased in 2013 versus 2012 primarily from net new account conversions and growth from existing customers. Debit processing revenue decreased in 2013
compared to 2012 due to net lost business, including the loss of a large financial institution that completed its final deconversion in the third quarter of 2012,
and price compression on contract renewals and other net pricing incentives.
Debit issuer transactions increased in 2014 compared to 2013 due to growth from existing customers, partially offset by net lost business.
Debit issuer transactions decreased in 2013 compared to 2012 due to net lost business and a decline in gateway transactions, partially offset by growth from
existing customers.
Output services revenue increased in 2014 compared to 2013 due to growth in the print business, derived from new and existing customers, and growth in the
plastics business, derived from new and existing customers, which includes EMV personalization charges.
33