THEN & NOW
- From one client to approximately 9,000.
- From two associates to more than 6,300.
- From one core processing system to five industry-leading platforms that are surrounded by approximately 300 complementary products and services.
- From rented space in an engine repair shop to a 134-acre corporate headquarters and 38 locations nationwide.
- From one acquisition to more than 50.
- From annual revenue of $9,360 in fiscal 1977 to $1.4 billion in fiscal 2017.
Click a link below to view the year's milestone.
Early 1970s > The story begins.
Jack Henry and Jerry Hall were believed to have been the only two computer users in Monett, Missouri – a small town in the picturesque lake region of the Ozark Mountains.
As a self-proclaimed "broken down accountant" working in public and private accounting practices, Jack Henry entered the banking industry as the data processing manager for Gillioz Bank & Trust. "There were two software packages available for the banking industry," Jack said. "I know because I purchased one of them … and it didn't work."
Jerry Hall was data processing manager for the Jumping Jacks division of the U.S. Shoe Company. "Jack and I would often ride to meetings in Springfield together and discuss the good opportunities to be had in the software business," Jerry recalled.
According to Jack, "At that time, in-house computer systems were very expensive and only the largest banks could afford them. As a result, all of the smaller banks had to send their information to the larger ones for processing. We knew the smaller banks were tired of having their computer work done elsewhere and we actually created this business to equip those banks with everything they need to do their own data processing."
Gillioz Bank & Trust was acquired and Jack's position was eliminated. "I started stirring around for another way to make a living," Jack said. "I enjoyed data processing and was a reasonably strong programmer. So I decided there was an outside chance to make a living helping small banks."
An integrated software system that allowed banks to tie customer accounts together for inquiry and management purposes had not been developed. The state-of-the-art IBM® computer at the time was the System/32. "The System/32 was about the size of a large desk and it had 16K and about 16MB of disk storage," Jack recalled. "It did one job at a time and the printer, CPU, and console were one unit. The screen was a reflection in a hole about three by five inches."
1976 > Jack Henry & Associates (JHA) is born.
"The plan for the formation of Jack Henry & Associates (JHA) was carefully conceived on the back of a napkin," Jack Henry remembered.
Jack Henry & Associates opened for business in space rented from an engine repair shop for $40 a month. A computer was borrowed, and Jerry's decision to join the venture made "associates" a reality.
On that borrowed computer, Jack wrote the first software package – CIF 32, the genesis of today's CIF 20/20® – based on intuition, common sense, and the innovative customer information file concept.
According to Jerry, "In the early days, we did everything ourselves. We developed the software and we installed the systems. It was hard work."
1977 > JHA is incorporated and generates $115,222 in revenue.
"According to Jack, "We were able to cash most of our paychecks and buy a company car that had been repossessed by the First State Bank of Purdy … no lights."
Progress continued, "associates" were added, and more office space was needed. JHA relocated to an unused corner of the Friend Tire Company. The borrowed computer was replaced with a System/32 that JHA shared with the First State Bank of Purdy – a loyal JHA client to this day. Since the computer had only one library and limited disk space, Jack and Jerry had to take all of the bank's files off at night and put them back on before the bank opened the next morning.
According to Jack, as the demand for human resources grew, "We hired and trained quite a few kids just out of school because we couldn't afford experienced personnel." And this recruiting strategy worked. In 1979, Mike Henry joined his father's company after graduating from Monett High School.
"We did whatever it took to make our software work," Mike recalls, "and sometimes that meant working for days straight. A lot of time was spent sleeping on banks' computer room floors."
1981 > JHA's first building is constructed.
JHA's first building – J1 – was built on the 52-acre Monett campus. The campus, now 154 acres, still houses the company's headquarters.
Consistent with Jack and Jerry's practical natures, that first building was built so it could serve as the residence for Jack or Jerry if the company's progress did not continue. Today, J1 encompasses the offices of JHA's CEO, President, and CFO.
1985 > JHA becomes a public company.
An Initial Public Offering made JHA a public company trading 3,125,000 common shares on the NASDAQ exchange under the symbol JKHY.
JHA also entered the hardware business that year and began remarketing IBM computer equipment directly to its clients.
1986 > JHA introduces its CIF 38 core processing system.
In 1986, JHA expanded its market presence by introducing CIF 38, a core processing system designed to run on IBM's System/38. This system supported the specific functional requirements of the next tier of larger banks.
JHA also made its first in a series of more than 50 acquisitions, purchasing FinSer Capital Corporation, a Texas-based brokerage firm. Unfortunately, there was no beginners luck and this acquisition lost money and was divested in 1989.
Based on the "short but sweet" life span of the System/38, by 1988 CIF 38 had evolved into the AS/400-based SilverLake System, and was being successfully installed in larger banks.
1992 > JHA enters the outsourcing business.
JHA began to aggressively acquire companies that expanded its product offering and its client base. Among those acquisitions was the 1995 purchase of Liberty™ (a division of Broadway & Seymour). This acquisition marked two important milestones: Jack Prim, Executive Chairman of the Board, joined JHA through this acquisition; and JHA entered the outsourcing business, which significantly increased its recurring revenue and expanded its sales opportunities.
1998 > Kevin Williams joins JHA.
Williams joined JHA as Corporate Controller after a successful career in public accounting practices, where JHA was his client. He was named Chief Financial Officer and Treasurer in January 2001.
1999 > JHA acquired the Financial Systems Division of BancTec, Inc., and David Foss joins the company.
Foss arranged the acquisition of the Financial Systems Division of BancTec, Inc., and joined JHA at that time. BancTec's Core Director® core processing system enabled JHA to complement its CIF 20/20 and SilverLake systems with a Windows®-based core processing solution.
2000 > JHA completed a secondary public offering and acquires Symitar brand.
JHA completed a secondary public offering of 1.5 million additional shares of JKHY.
That same year, JHA materially expanded its presence in the credit union marketplace by acquiring San Diego-based Symitar®. The acquisition of Symitar and its Episys® core processing solution immediately positioned JHA as the leading provider of core systems for credit unions with assets exceeding $50 million.
2002 > JHA acquires the Cruise core processing system for credit unions.
JHA acquired South Carolina-based CU Solutions, adding the Cruise (now CruiseNet) core processing system to its credit union offering. The ability to support the small and mid-size credit union marketplace with Cruise strategically positioned JHA with a core processing solution for credit unions of all sizes – from the very smallest to the largest.
2004 > Jack Prim is named CEO.
After serving in multiple roles including General Manager of JHA OutLink Processing Services, Chief Operating Officer, and President, Jack Prim was appointed to the position of Chief Executive Officer.
2004 > JHA begins a targeted acquisition strategy.
This strategy, dubbed the "focused diversification acquisition strategy" resulted in the acquisition of a number of companies and products that can be sold outside JHA's core client base to all financial services organizations regardless of charter, asset size, core processing platform. These products can also be sold outside the financial services industry and selectively sold internationally.
2006 > JHA launches its third brand, ProfitStars.
The ProfitStars was officially launched to encompass the specialized products and services assembled through the focused diversification acquisition strategy.
2007 > The industry loses a pioneer in Jack Henry.
John W. "Jack" Henry, the company's highly revered co-founder, acting Vice Chairman and Senior Vice President, died of natural causes at the age of 71.
Jack was one of the early pioneers in community bank software and was known for his vision, intelligence, quick wit, and down-home demeanor. His common sense approach to business and his single vision of doing what is best for JHA customers continue to guide the company's direction.
2007 > Symitar signs its 500th client.
Symitar signed its 500th Episys client, positioning the company with the largest organic user base in the industry. Five hundred unique credit unions, 500 very diverse evaluations, and 500 individual decisions based on distinct selection criteria provide an unprecedented endorsement of the functionality Episys provides.
2008 > "You Don't Know Jack ... or Jerry" is released.
"You Don't Know Jack … or Jerry," a book written by Robert O. Babcock, is a fascinating book that details the story of how the founders of JHA took a leap of faith that led to unprecedented success in the financial services industry.
2009 > JHA acquires Goldleaf Financial Solutions, Inc.
Goldleaf was a leading provider of integrated technology-based solutions designed to improve the performance of financial institutions. This strategic acquisition expanded JHA's product and service offering and enabled the company to expand its market presence, capitalize on increased market potential, and enhance its competitive position.
2009 > JHA acquires Pemco Technologies
Pemco, a leading provider of payment processing solutions primarily for the credit union industry, was acquired in 2009 to support JHA's strategic expansion in the growing electronic payments segment of the financial services industry by adding credit card solutions and broadening its ATM and debit card offering.
2010 > JHA acquires iPay Technologies.
JHA made its largest acquisition to-date with iPay Technologies, the largest independent electronic bill pay provider in the United States. This acquisition added turnkey online bill pay services, technology, and expertise to support JHA's ongoing expansion in the payments industry.
2012 > JHA announces $1 billion in annual revenue and celebrates with charity project.
JHA celebrated its $1 billion revenue milestone and its 36-year anniversary with a company-wide benevolence initiative called the "36 Hours" project. The 36 Hours project was an 11-month volunteer initiative in which JHA employees were encouraged to donate 36 hours of their personal time to charitable causes. More than 230 associates contributed at least 36 individual or team volunteer hours to various charities, among which were the Boy Scouts of America and the Humane Society.
2013 > JHA co-founder, Jerry Hall, passes away.
JHA lost a true leader when highly esteemed co-founder Jerry Hall passed away on February 11, 2013. Jerry often inspired others with his work ethic, ability to recognize the best in people, and willingness to help others. After his passing, customers, vendors, friends, family, and associates gathered to share many stories of Jerry’s business acumen, his generosity, sense of humor, and his love for JHA. Jerry’s legacy of giving continues through JHA charitable events such as a fundraiser for St. Jude Children’s Research Hospital, the annual Jack and Jerry Memorial Charity Golf Classic, and the annual Jack and Jerry Memorial Runs in Monett and Springfield, Missouri.
2014 > David Foss becomes JHA President.
On July 1, 2014, David Foss, President of Jack Henry's ProfitStars division, became JHA's President. Foss, who joined the company in 1999 through the acquisition of BankTec, served as the ProfitStars President since 2009, leading that division to become a globally recognized brand.
2014 > JHA acquires Banno.
Banno, an Iowa-based company that provided data-enriched web and transaction marketing services with a focus on the mobile medium, expanded ProfitStars' online and mobile suite to support clients who are hungry for additional competitive web and mobile banking options.
2014 > Symitar turns 30.
Symitar, acquired by JHA in 2000, reached a milestone by celebrating 30 years of supporting credit unions with leading technology solutions.
2014 > In 2014, our co-founders Jack Henry and Jerry Hall were named as recipients of the Missourian Award.
This award acknowledges the most accomplished citizens of Misouri and their outstanding contributions to business in the state.
2015 > On July 1, 2015, JHA announced the acquisition of Bayside Business Solutions.
Bayside is a provider of complete portfolio management systems for commercial lenders and industry leader in providing factoring
software. As part of ProfitStars' Lending Solutions Group, this acquisition further expands JHA's diverse suite of commercial
2015 > Jack Prim was honored with the prestigious Missourian Award in August of 2015.
Past award recipients include JHA's co-founders, Jack Henry and Jerry Hall, as well as Walter Cronkite, John Q. Hammons, Thomas
Hart Benton, George Washington Carver, Harry S. Truman, Walt Disney, and Mark Twain, among others.
2017 and Beyond > Jack Henry's Legacy Continues.
In an interview conducted in 1983, Jack Henry asserted, "There must be thousands of suppliers catering to the financial institutions market. Many ill-conceived ventures with little real chance of success have been brought into being by public or venture capital financial. We're going to see, I'm afraid, a big shakeout of large numbers of them in the future. A relative few will survive and participate in a very lucrative and exciting marketplace. We sure plan to be one of them."
Jack's speculations about the "big shakeout" were correct and his plan for survival worked.
More than four decades of planned progress have led to material growth for JHA and taken us from an unknown entity to an undisputed industry leader.