AMG Reports Financial and Operating Results for the Third Quarter and Nine Months Ended September 30, 2007.Company Reports EPS (Encapsulated PostScript) A PostScript file format used to transfer a graphic image between applications and platforms. EPS files contain PostScript code as well as an optional preview image in TIFF, WMF, PICT or EPSI, the latter being an ASCII-only format. of $1.07; Cash EPS of $1.56 BOSTON Boston, town, England Boston, town (1991 pop. 26,495), E central England, on the Witham River. Boston's fame as a port dates from the 13th cent., when it was a Hanseatic port trading wool and wine. Having recovered from a decline in the 18th and 19th cent. -- Affiliated Managers Group, Inc. (NYSE NYSE See: New York Stock Exchange : AMG AMG All Music Guide (music website) AMG All Media Guide (group of media websites) AMG All Movie Guide (Movie website) AMG Arzneimittelgesetz (German Law) ) today reported its financial and operating results for the quarter and nine months ended September 30, 2007. Cash earnings per share ("Cash EPS") for the third quarter of 2007 were $1.56, compared to $1.34 for the third quarter of 2006, while diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of for the third quarter of 2007 were $1.07, compared to $0.87 for the same period of 2006. Cash Net Income was $61.3 million for the third quarter of 2007, compared to $50.7 million for the third quarter of 2006. Net Income for the third quarter of 2007 was $42.6 million, compared to $33.1 million for the third quarter of 2006. (Cash EPS and Cash Net Income are defined in the attached tables.) For the third quarter of 2007, revenue was $345.6 million, compared to $280.4 million for the third quarter of 2006. EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become for the third quarter of 2007 was $98.6 million, compared to $80.3 million for the same period of 2006. For the nine months ended September 30, 2007, Cash Net Income was $177.0 million, while EBITDA was $285.3 million. For the same period, Net Income was $121.1 million, on revenue of $986.9 million. For the nine months ended September 30, 2006, Cash Net Income was $153.9 million, while EBITDA was $236.9 million. For the same period, Net Income was $102.3 million, on revenue of $841.6 million. Net client cash flows for the third quarter of 2007 were approximately $4.3 billion, with flows in the institutional, mutual fund and high net worth channels of $4.6 billion, $(0.3) billion, and zero, respectively. Pro forma As a matter of form or for the sake of form. Used to describe accounting, financial, and other statements or conclusions based upon assumed or anticipated facts. The phrase pro forma for its pending investment in Cooke & Bieler, the aggregate assets under management Assets Under Management (AUM) is a term used by financial services companies in the mutual fund and money management or investment management business to gauge how much money they are managing. of AMG's affiliated investment management firms at September 30, 2007 were approximately $286 billion. "AMG had a strong third quarter with Cash EPS of $1.56, a 16% increase over the third quarter of 2006," said Sean M. Healey, President and Chief Executive Officer of AMG. "AMG benefited from our Affiliates' broad participation across a range of investment styles and asset classes, and generated excellent growth, despite a volatile market environment. Our Affiliates produced solid investment performance during the third quarter and delivered $4.3 billion of positive net flows." Mr. Healey continued, "As AMG has grown, we have remained focused on building a business that includes a diverse group of outstanding boutique Boutique A small investment firm specializing in offering specific, but limited services to a select number of individuals. Notes: These investment firms are the alternatives to large financial supermarkets. They provide a highly personalized environment for investing. managers. Our results this quarter reflect the strength of our Affiliates and our ability to generate consistent growth in earnings across market environments. Highlights of the third quarter included exceptional results among our growth equity managers Friess Associates, TimesSquare, Renaissance and Frontier. In particular, Friess Associates' Brandywine family of mutual funds continues its impressive record of outstanding near- and long-term Long-term Three or more years. In the context of accounting, more than 1 year. long-term 1. Of or relating to a gain or loss in the value of a security that has been held over a specific length of time. Compare short-term. performance, as each of the funds ranks in the top decile decile one of the groups when a series of ranked data is divided into ten equal parts, or dividing points between such groups. See also quartile. of its respective Lipper category for the quarter and year-to-date Year-to-date (YTD) The period beginning at the start of the calendar year up to the current date. , as well as the prior one- and three-year periods. We also continue to generate strong growth through our participation in some of the fastest growing segments of the asset management business, including international equities and alternative investment products." Mr. Healey concluded, "We also were pleased to announce our agreement to invest in Cooke & Bieler, a leading value equity manager with an excellent long-term performance record. In addition, the momentum of our new investment activity remains strong, and we are currently engaged in advanced discussions with some of the best traditional and alternative boutique firms in the industry." AMG is an asset management company with equity investments in a diverse group of boutique investment management firms. AMG's strategy is to generate growth through the internal growth of its existing Affiliates, as well as through investments in new Affiliates. AMG's innovative transaction structure allows individual members of each Affiliate's management team to retain or receive significant direct equity ownership in their firm while maintaining operating autonomy. In addition, AMG provides centralized cen·tral·ize v. cen·tral·ized, cen·tral·iz·ing, cen·tral·iz·es v.tr. 1. To draw into or toward a center; consolidate. 2. assistance to its Affiliates in strategic matters, marketing, distribution, product development and operations. Certain matters discussed in this press release may constitute forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. within the meaning of the federal securities laws. Actual results and the timing of certain events could differ materially from those projected in or contemplated by the forward-looking statements due to a number of factors, including changes in the securities or financial markets or in general economic conditions, the availability of equity and debt financing Debt Financing When a firm raises money for working capital or capital expenditures by selling bonds, bills, or notes to individual and/or institutional investors. In return for lending the money, the individuals or institutions become creditors and receive a promise to repay , competition for acquisitions of interests in investment management firms, our ability to complete pending acquisitions, the investment performance of our Affiliates and their ability to effectively market their investment strategies, and other risks detailed from time to time in AMG's filings with the Securities and Exchange Commission. Reference is hereby made to the "Cautionary Statements" set forth in the Company's Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. for the year ended December 31, 2006. Financial Tables Follow A teleconference will be held with AMG's management at 11:00 a.m. Eastern time today to discuss AMG's financial and operating results for the quarter and nine months ended September 30, 2007, along with AMG's pending investment in Cooke & Bieler. Parties interested in listening to the teleconference should dial 1-866-250-3615 (domestic calls) or 1-303-205-0066 (international calls) starting at 10:45 a.m. Eastern time. Those wishing to listen to the teleconference should dial the appropriate number at least ten minutes before the call begins. The teleconference will be available for replay approximately one hour after the conclusion of the call. To access the replay, please dial 1-800-405-2236 (domestic calls) or 1-303-590-3000 (international calls), pass code 11099479. The live call and the replay of the session, and the additional financial information referenced during the teleconference, may also be accessed via the Web at www.amg.com. For more information on Affiliated Managers Group, Inc., please visit AMG's Web site at www.amg.com. [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] [TABLE OMITTED] |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion