MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Thursday, August 30, 2012 U.S. Global Investors Earnings Struggled in Q4 and 2012 Though U.S. Global Investors stayed in the black for fiscal year 2012 overall, its earnings suffered in the fourth quarter ended June 30, 2012. The San Antonio firm lost slightly less than $116,000, or 1 cent, compared with earnings of $487,000, or 3 cents, in the prior quarter. U.S. Global earned over $1.5 million in 2011. Revenue fell 16 percent to $4.6 million from $5.5 million last quarter, and 52 percent from $9.7 million in FY2011. Average assets under management were $1.72 billion, down 12.7 percent from $1.97 billion and 40 percent from $2.89 billion Meanwhile, for the year, net income fell a whopping 80 percent to 1.5 million, or 10 cents per share, from 7.8 million, or 51 cents per share, while revenue fell 43 percent to $23.9 million from $41.9 million. AUM also fell somewhat less dramatically by 27 percent to $2.06 billion from $2.82 billion. The company blamed falling performance on general outflow from the mutual industry at large. It quoted ICI data in pointing out that $171 billion was redeemed from all U.S. equity funds over the past fiscal year. Nevertheless, CEO Frank Holmes emphasized that the firm continues to develop its business even as it lowers general and administrative expenses. "Even though redemptions have been significant, we have strengthened our sales and marketing strategy, expanded our institutional sales team and enhanced technology," he stated in a press release. Printed from: MFWire.com/story.asp?s=41117 Copyright 2012, InvestmentWires, Inc. All Rights Reserved |