ADS - Alliance Data Systems trades high on sequential revenue growth

Alliance Data Systems ([[ADS]] +8.6%) Q4 revenue drop of 24% was led by a drop of 22% in card services, credit sales dip of 18% and LoyaltyOne revenue decline of 31%.Sequential revenue growth of 6% is led by the seasonal increase in receivables and a relatively stable gross yield.In its Card services segment, average receivables for the year ended Dec.31, 2020 decreased 5% to $16.4B while net charge-offs as a percentage of average receivables stood at 6.6%.Issuance of AIR MILES reward miles decreased 9% Y/Y indicating a decline in discretionary spending, including credit card spend and delays in promotions by Sponsors; however, on a sequential basis AIR MILES reward miles issued and redeemed improved 9% and 22%, respectively.Net income dropped 88% Y/Y to $12M or $0.25/share, negatively impacted by the aforementioned after-tax charge of $81M in discontinued operations.The company declared a $0.21/share quarterly dividend.FY21 financial outlook:"...the company's digitization efforts, which could help grow the

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Alliance Data Systems trades high on sequential revenue growth