UPDATE: Eaton Vance FQ3 Profit Beats Estimates
Eaton Vance (NYSE: EV) reported upbeat results for its fiscal third quarter.
The Boston, Massachusetts-based company posted quarterly earnings of $77.9 million, or $0.63 per share, compared to $23.2 million, or $0.18 per share, in the year-ago period. The year-ago results included costs of $56.9 million related to the retirement of debt.
Its revenue surged 4.9% to $367.6 million. However, analysts were expecting earnings of $0.62 per share on revenue of $366 million.
Eaton Vance's consolidated assets under management climbed to $288.2 billion as of July 31, up from $268.8 billion in the year-ago period. Average consolidated assets under management climbed 10% y/y to $289.3 billion from $263.7 billion.
In the fiscal third quarter, net outflows were $2 billion from long-term funds, versus net inflows of $8.8 billion in the year-ago period.
Eaton Vance's investment advisory and administrative fees increased 6.2% to $311.8 million.
Operating expenses rose 2% to $236.4 million, while operating income gained 10% to $131.2 million in the quarter.
Thomas Faust Jr., Chairman and Chief Executive Officer said,"Although flows remain disappointing, continued development of emerging franchises and strong investment performance support improved organic growth in the coming quarters."
Eaton Vance's shares rose 1.71% to $37.40 in pre-market trading.
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