Net income was $6.3 million, an increase of 80% over net income of $3.5 million for the quarter ended December 31, 2009. NetSpend's net income for the quarter ended December 31, 2010 includes an aggregate amount of $6.5 million of net interest expense, income tax expense, and depreciation and amortization. NetSpend's net income for the quarter ended December 31, 2010 also includes approximately $2.9 million in stock-based compensation expense. For the quarter ended December 31, 2009, the comparable amount of net interest expense, income tax expense, and depreciation and amortization was $6.8 million, and we incurred approximately $1.1 million in stock-based compensation.2011 Outlook NetSpend reported that it expects full year 2011 revenue to be between $323 and $333 million, its adjusted EBITDA to fall between $85 and $90 million and its adjusted net income per fully diluted share to be between $0.44 and $0.49. The foregoing expectations reflect the following assumptions:
- An effective tax rate of approximately 40%;
- Non-cash equity compensation of between approximately $9.5 and $10.5 million;
- Cash outlays for capital expenditures for the full year of between approximately $7 and 9 million;
- An effective cost of debt capital of approximately 3.5%; and
- Fully diluted shares outstanding for the full year of approximately 95 million.