Continued softness in demand for chip cards walloped a Colorado chip-card maker in the third quarter.
CPI Card Group Inc. reported Wednesday afternoon that third-quarter revenues fell nearly 25 percent in the latest quarter compared with a earlier, and third-quarter net income also plummeted.
Littleton-based CPI Card Group reported third-quarter net income fell to $4 million, or 7 cents per share, from $14.8 million, or 19 cents a share a year earlier.
“Our third quarter results were below expectations, primarily due to continued softness in demand for EMV chip cards and unfavorable foreign currency exchange rates,” said Steve Montross, president and CEO of CPI Card Group, in a statement. He added that he doesn't see "card shipments materializing at the improved rates we assumed in our prior guidance and, as a result, we are reducing the 2016 full year guidance range, primarily to reflect this softness.”
Read more at the Denver Business Journal: http://bit.ly/2fjaVnJ