UPDATE 2-Fiserv's Q4 profit meets Street, Jack Henry beats

* Fiserv Q4 adj EPS from cont ops $0.94 vs est EPS $0.94

* Fiserv sees 2010 adj EPS from cont ops between $3.96-$4.07

* Jack Henry Q2 EPS $0.35 vs est EPS $0.33

* Alliance Data Q4 profit $40.7 mln vs $45.3 mln last yr

(Recasts, adds conference call details, analyst comments, Alliance Data and Jack Henry results, updates share movement)

By Brenton Cordeiro

BANGALORE, Feb 2 (Reuters) - Fiserv Inc (FISV.O) reported quarterly profit in line with market expectations, while rival Jack Henry & Associates Inc's (JKHY.O) profit came in above analysts' view, helped by an increase in revenue from support and services.

Fiserv continues to see growth in its debit, online banking and bill payment businesses, which makeup the majority of its payment segment, Chief Financial Officer Thomas Hirsch said on a post earnings call with analysts.

The company expects financial institutions to continue to be "pragmatic with their decisions," with overall budgets to be "flat to slightly up."

Payment processors like Fiserv, Fidelity National Information Services Inc (FIS.N) and Jack Henry primarily provide IT services and systems that enable banks and financial companies to carry out day-to-day operations.

Jack Henry reported a second-quarter profit of 35 cents a share, ahead of market expectations of 33 cents. [ID:nnWNAB1961]

On the call, Fiserv also said it was looking for acquisition opportunities.

For the full year 2010, the company expects adjusted earnings per share from continuing operations of $3.96 to $4.07.

For the fourth quarter, net income was $118 million, or 76 cents a share, compared with $62 million, or 39 cents a share last year.

Adjusted earnings from continuing operations were up 6 percent at 94 cents a share, Fiserv said.

Revenue rose 2 percent to $1.06 billion in the quarter.

Analysts on average were looking for a profit of 94 cents a share, before items, on revenue of $1.04 billion, according to Thomson Reuters I/B/E/S.

Revenue from processing and services was $844 million, up from $831 million a year earlier.

"Organic growth was a little bit better, so virtually all the things that really matter were in line to slightly better," analyst John Kraft of D.A. Davidson & Co said."It was a relief, because I think expectations were pretty low."

Separately, credit card processor Alliance Data Systems Corp (ADS.N) reported fourth-quarter profit of $40.7 million, or 73 cents a share, and said its board approved a new stock repurchase program to acquire up to $275.1 million of the company's common stock through Dec. 31, 2010. [ID:nWNAB1864]

Shares of Brookfield, Wisconsin-based Fiserv were up 3 percent to $47.90, while Alliance Data's shares fell 4 percent to $59 in after-market trading.

For the alerts, please double-click [ID:nWNAB1869] (Reporting by Brenton Cordeiro in Bangalore; Editing by Jarshad Kakkrakandy)