CSG Systems International Inc. reported unaudited consolidated earnings results for the third quarter and nine months ended September 30, 2009. Total revenues for the third quarter of 2009 were $124.5 million, a 6% increase from the $118.0 million for the same period in 2008, with the year-over-year increase related primarily to organic growth factors, and relatively consistent when compared to the $124.8 million for the second quarter of 2009. Non-GAAP operating income for the third quarter of 2009 was $22.5 million, or 18.0% of total revenues, which compares to 17.9% for the same period last year. Non-GAAP operating income excludes $5.2 million of expenses related to CSG's transition of its data center, which began in the first quarter of 2009. GAAP operating income for the third quarter of 2009 was $17.3 million, or 13.9% of total revenues. Non-GAAP EPS for the third quarter of 2009 was $0.43 per diluted share, compared to non-GAAP EPS of $0.39 per diluted share for the third quarter of 2008. The third quarter of 2009 reflects an unexpected benefit of $0.03 per share as a result of a better than expected income tax rate for the quarter. GAAP EPS from continuing operations for the third quarter of 2009 was $0.29, compared to $0.34 for the same period last year. Adjusted EBITDA: Non-GAAP adjusted EBITDA for the third quarter of 2009 was $33.5 million, compared to $31.4 million in the same period last year. For the period, the company reported net cash provided by operating activities of $37.8 million and purchase of property and equipment of $10.0 million compared to net cash provided by operating activities of $27.5 million and purchase of property and equipment of $9.6 million for the same period a year ago. For the nine months, the company reported total revenues of $372.9 million and operating income of $58.4 million and income before income taxes of $50.2 million and net income of $34.8 million or $1.01 per diluted share compared to total revenues of $348.4 million and operating income of $66.2 million and income before income taxes of $57.3 million and net income of $37.3 million or $1.07 per diluted share for the same period a year ago. For the nine months, the company reported net cash provided by operating activities of $97.4 million and purchase of property and equipment of $34.4 million compared to net cash provided by operating activities of $95.6 million and purchase of property and equipment of $19.5 million for the same period a year ago. Non-GAAP adjusted EBITDA was $100.9 million for the first nine months of 2009, compared to $99.8 million for the same period in 2008. The company provided earnings guidance for the year 2009. The company expects revenues in a range of $498 million to $500 million and Non-GAAP EPS of $1.62 to $1.64 and GAAP EPS from continuing operations in a range of $1.19 to $1.21.

CSG Systems International Inc. provides earnings guidance for the fourth quarter of 2009. The company anticipates that fourth quarter operating margins will decline slightly from third quarter levels to reflect certain operational investments related to personnel and equipment that anticipate making as head into 2010. For the full year, the company expects non-GAAP operating margin percentage to be approximately 18%, which is a slight increase to prior guidance, which reflects the strength of third quarter results and spending expectations for the remainder of the year. The 2009 non-GAAP operating margin guidance excludes the impact of the Data Center Transition Expenses that are estimated to be $15 million to $16 million for the full year. This represents a slight improvement over the previous expectations, which reflect the progress being made on the project, which remains on target to be completed in the first half of 2010. The negative impact of these costs on GAAP operating margin is 300 basis points, resulting in an unexpected GAAP operating income margin of approximately 15% for 2009. The company is increasing expectations for cash flows from operations to range between $120 million and $125 million while maintaining expectation for capital expenditures for 2009 in the $40 million to $45 million range with approximately $20 million of this capital expenditure related to data center transition efforts.

CSG Systems International Inc. announced that former CSG Systems executive Liz Bauer has returned to the company to direct its investor relations initiatives, including shareholder relations and activities with the financial community. Bauer has more than 11 years of prior experience with CSG and was instrumental in the early growth of the company through the time she left in 2006 to pursue other initiatives. She brings more than two decades of combined business management, investor relations and marketing communications experience to her role.