WS might not like this, but I don't see anything spooky in it. They up'd commissions and medical expenses. They take care of their people. That's good. They still have a 22% net margin. What's a few bips.
________
Cost of revenue increased for the three months ended June 30, 2024, primarily due to higher direct costs generally consistent with increases in the related revenue, higher personnel costs, and increased internal licenses and fees. Cost of revenue increased for the fiscal year ended June 30, 2024, primarily due to increased personnel costs, higher direct costs generally consistent with increases in the related revenue, and increased internal licenses and fees.
Research and development expense increased for the three months ended June 30, 2024, primarily due to higher consulting and other professional services (net of capitalization) and increased cloud consumption costs (net of capitalization). Research and development expense increased for the fiscal year ended June 30, 2024, primarily due to higher cloud consumption (net of capitalization) and increased personnel costs (net of capitalization) related to the Jack Henry Platform and Payrailz, LLC ("Payrailz").6
Selling, general, and administrative expense increased for the three months ended June 30, 2024, primarily due to higher personnel costs, including increased commissions, payroll taxes, and medical benefits expenses. Selling, general, and administrative expense increased for the fiscal year ended June 30, 2024, primarily due to higher personnel costs, including the voluntary employee departure incentive payment (VEDIP) program7 and commissions expenses.
______________
What are "internal licenses?"
EDIT:
Oops, Stoneys in. This was in reference to JKHY
JKHY--->$165
This might dip out of the gate, if it does but closes the day above $166, it should be a solid hold.
It's not cheap, but it's solid. I don't care for the chart however. That's why I want to see a close above $166. On volume.