Fortress Investment Group Earnings: Here’s Why the Stock is Up Now

Fortress Investment Group LLC (NYSE:FIG) delivered a profit and beat Wall Street’s expectations, AND beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 1.58%.

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Fortress Investment Group LLC Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 81.82% to $0.20 in the quarter versus EPS of $0.11 in the year-earlier quarter.

Revenue: Rose 8.8% to $244.35 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Fortress Investment Group LLC reported adjusted EPS income of $0.20 per share. By that measure, the company beat the mean analyst estimate of $0.15. It beat the average revenue estimate of $218.79 million.

Quoting Management: “Our first quarter results reflect continued broad-based strength across our company,” said Randal Nardone, interim Chief Executive Officer. “Investment performance, the most fundamental driver of our long-term success, has been strong in each of our businesses, and has supported our success in both deepening existing investor relationships and attracting new investors to Fortress strategies. Six consecutive quarters with over $1 billion in new commitments to our alternatives strategies and substantial net inflows at Logan Circle have propelled our assets under management to an all-time high of nearly $56 billion. With the key drivers of our business—investment performance, capital raising and AUM growth—showing continued momentum going into the second quarter, we feel optimistic about our prospects for earnings growth and value creation in 2013 and beyond.”

Key Stats (on next page)…

Revenue decreased 44.61% from $441.15 million in the previous quarter. EPS increased 42.86% from $0.14 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.14 to a profit $0.15. For the current year, the average estimate has moved up from a profit of $0.59 to a profit of $0.63 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]