The Short Answer
JKHY is doubtful under a strict end-market screen, despite passing the disclosed financial ratios. Jack Henry sells software and processing services rather than lending itself, but its customers primarily operate conventional banking products.
Current quantitative Sharia screen
Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-13.
90 / 3,050.557
20.573 / 3,050.557
303.036 / 3,050.557
3.494 / 636.245
- Financial
- Pass
- Overall
- Incomplete
Debt/assets is 2.95%, liquidity/assets 0.67%, receivables plus cash/assets 9.93% and interest income/revenue is 0.55%; the core-banking activity remains a qualitative question.
- Financial
- Pass
- Overall
- Incomplete
Debt, liquidity and receivables-plus-cash ratios are below the examined MSCI limits; business activity remains separately incomplete.
- Financial
- Pass
- Overall
- Incomplete
Debt/assets and liquidity/assets are below the examined Malaysia SAC limits; no universal prohibited-revenue numerator is asserted.
- Financial
- Not calculated
- Overall
- Incomplete
No licensed historical market-cap series is stored.
Business-activity disclosure
Jack Henry sells software and processing services rather than lending itself. Its core processing, payments and lending workflows are primarily used by conventional banks and credit unions, creating a material school- and board-dependent qualitative concern.
Limitation: The filing does not allocate revenue into a universal prohibited-activity numerator for conventional banking workflows or downstream customer use.
Purification
The filing discloses $3.494 million of interest income; ZakatInvest does not prescribe a fixed scholar-approved purification percentage.
Inputs, assumptions and primary sources
- Amounts are USD millions from Jack Henry's March 31, 2026 Form 10-Q.
- The filing reports $90.000 million of outstanding variable-rate debt, $20.573 million of cash and $282.463 million of receivables.
- Third-quarter fiscal 2026 revenue was $636.245 million and interest income was $3.494 million.
- Jack Henry provides core processing, payments, lending, digital banking and related technology primarily to community and regional banks and credit unions.
This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.
Business activity
Jack Henry provides core processing, payments, digital banking, lending origination and related services to community and regional banks and credit unions. Strict boards may view core processing as direct facilitation of interest-bearing loan and deposit workflows; more permissive boards may treat the vendor as general-purpose technology.
Financial context
The March 31, 2026 filing reports low debt/assets of 2.95%, liquidity/assets of 0.67% and disclosed interest income/revenue of 0.55%. Those numbers do not resolve the qualitative end-market question.
Bottom line
JKHY remains doubtful for strict screens. Investors should apply the school or advisory-board standard they follow and review the next filing.