First Data, the Sandy Springs-based payment technology firm, reduced its loss sharply in the third quarter, as revenue grew and the company took advantage of increases in the value of certain holdings.
First Data, which is not publicly traded, lost $53.9 million in the third quarter, compared with a $431.3 million loss in the third quarter last year.
The prior year’s result included a $178 million charge related to changes in U.S. tax legislation.
This year’s results were aided in part by some pre-tax gains, including a $111 million increase in the value of interest rate swaps, which companies commonly use to limit their exposure to changes in interest rates or to get help in obtaining more attractive ones.
Revenue rose 4 percent to $2.73 billion, including a 13 percent increase in international revenue. Business from financial services companies dipped 3 percent.
First Data said consumers continue to move to electronic payment technologies, while use of checks declines.
During the second quarter, First Data announced its partnership with Google, Citibank, MasterCard and Sprint on Google Wallet, a smartphone payment system that will link a cellular phone to a credit card or a reloadable prepaid card. The first version of the system launched in September.
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