Investors Financial Services Corp. Financial Results; Third quarter earnings per share of $0.44, up 38% over last year.BOSTON--(BUSINESS WIRE)--Oct. 14, 1997--Investors Financial Services The examples and perspective in this article or section may not represent a worldwide view of the subject.
Please [ improve this article] or discuss the issue on the talk page. Corp. (NASDAQ NASDAQ
in full National Association of Securities Dealers Automated Quotations
U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :IFIN IFIN Integrated Farming Information Network ) reported financial results for the third quarter and nine months ended September September: see month. 30, 1997.
The Company reported net income of $2.9 million for the quarter ended September 30, 1997, an increase of 38 percent compared to net income of $2.1 million for the same period in 1996. For the nine months ended September 30, 1997, net income was $8.7 million, an increase of 58 percent compared to $5.5 million for the same period in 1996. Earnings per share for the third quarter of 1997 were $0.44, a 38 percent increase compared to the same period one year ago. For the nine months ended September 30, 1997, earnings per share were $1.31, a 54 percent increase compared to the same period of the prior year.
These increases in earnings were driven by increases in revenues. Net operating revenue operating revenue
Revenue from any regular source. Revenue from sales is adjusted for discounts and returns when calculating operating revenue. Compare other revenue. increased 40 percent to $26.1 million in the third quarter of 1997 from $18.7 million in the third quarter of 1996. For the nine month period ended September 30, 1997, net operating revenue was $75.4 million, a 40 percent increase compared to net operating revenue of $53.7 million during the same period one year ago. The Company's revenue increases during these periods resulted from growth in its balance sheet and growth in asset-based fees for its core services The introduction to this article provides insufficient context for those unfamiliar with the subject matter.
Please help [ improve the introduction] to meet Wikipedia's layout standards. You can discuss the issue on the talk page. , as well as the Company's continued success in marketing ancillary Subordinate; aiding. A legal proceeding that is not the primary dispute but which aids the judgment rendered in or the outcome of the main action. A descriptive term that denotes a legal claim, the existence of which is dependent upon or reasonably linked to a main claim. services such as securities lending Securities Lending
When a brokerage lends securities owned by its clients to short sellers.
This allows brokers to create additional revenue (commissions) on the short sale transaction. and foreign exchange.
The Company's total assets increased 35 percent, to $1.3 billion at September 30, 1997 from $964 million at December December: see month. 31, 1996, as the Company continued to increase its liability base with client repurchase agreements Repurchase agreement
An agreement with a commitment by the seller (dealer) to buy a security back from the purchaser (customer) at a specified price at a designated future date. and deposits. Assets processed by the Company totaled approximately $148 billion at September 30, 1997, compared to $122 billion at December 31, 1996, a 21 percent increase. Substantially all of the net increase in assets processed resulted from the expansion of existing client relationships.
"The Company reached a new milestone in the third quarter as we grew to over 1,000 employees," stated Kevin KEVIN Keepers of the Eternal Vigilance of the Islamic Nation (fictional, from White Teeth by Zadie Smith) J. Sheehan People whose surname is or was Sheehan include:
v. cen·tral·ized, cen·tral·iz·ing, cen·tral·iz·es
1. To draw into or toward a center; consolidate.
2. state-of-the-art office facility. These investments in people and facilities are critical to fuel the growth of the Company."
Today the Company also announced that its Board of Directors declared a cash dividend for the third quarter of $.02 per share on its Common Stock. The dividend is payable November November: see month. 15, 1997 to stockholders of record as of October October: see month. 31, 1997.
Investors Financial Services Corp. provides asset administration services for the financial services industry through its wholly-owned subsidiary, Investors Bank & Trust Company. The Company provides global custody, multicurrency accounting, institutional transfer agency, performance measurement, foreign exchange, securities lending, and mutual fund administration services to financial asset managers, including mutual fund complexes, investment advisors Investment Advisor
1. A person making investment recommendations in return for a flat fee or percentage of assets managed, known as a commission.
2. For mutual fund companies, it is the individual who has the day-to-day responsibility of investing and monitoring the cash and , banks and insurance companies.
INVESTORS FINANCIAL SERVICES CORP. CONDENSED BALANCE SHEETS (in thousands) December 31, September 30, 1996 1997 ASSETS (unaudited) Federal funds sold and short term investments $ 120,000 $ 0 Securities held to maturity 460,010 749,448 Securities available for sale 271,121 460,282 Loans, net of reserve 66,237 47,404 Nonmarketable equity securities 967 5,477 Nonearning assets 46,127 69,746 TOTAL ASSETS $ 964,462 $1,332,357 LIABILITIES AND STOCKHOLDERS' EQUITY LIABILITIES Interest-bearing deposits $ 392,795 $ 305,272 Non-interest bearing deposits 203,722 246,423 Total deposits 596,517 551,695 Short term borrowings 296,821 672,444 Other liabilities 9,265 12,308 TOTAL LIABILITIES 902,603 1,236,447 Minority interest/Trust preferred securities -- 24,166 Stockholders' equity 61,859 71,744 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 964,462 $1,332,357 -0- INVESTORS FINANCIAL SERVICES CORP. SELECTED FINANCIAL DATA (unaudited) (in thousands, except per share amounts) Quarter Ended Nine Months Ended September 30, September 30, Statement of Income Data: 1996 1997 1996 1997 Net interest income $ 4,698 $ 6,097 $ 12,653 $ 19,143 Asset administration and other fees 14,034 19,982 41,076 56,291 Net operating revenue 18,732 26,079 53,729 75,434 Operating expenses 15,377 20,873 44,807 60,280 Income before income taxes and minority interest 3,355 5,206 8,922 15,154 Provision for income taxes 1,290 1,875 3,433 5,455 Minority interest expense, net of income taxes -- 395 -- 1,047 Net Income $ 2,065 $ 2,936 $ 5,489 $ 8,652 Earnings per share $ 0.32 $ 0.44 $ 0.85 $ 1.31 Average shares outstanding 6,471,069 6,638,592 6,467,743 6,603,202 Average Balance Sheet Data: Interest earning assets $ 645,322 $1,210,462 $ 506,423 $1,073,745 Total assets 698,215 1,281,158 556,307 1,138,753 Total deposits 385,442 535,533 335,300 571,885 Common stockholders' equity 55,088 70,009 52,983 66,714
CONTACT: Investors Financial Services Corp.
Karen C. Keenan, (617) 330-6001