S&P 500 (NYSE:SPY) component Invesco Ltd. (NYSE:IVZ) reported higher profit for the second quarter as revenue showed growth. Invesco Ltd. is a global investment management company providing retail, institutional and high-net-worth clients around the world with innovative solutions.
Invesco Earnings Cheat Sheet for the Second Quarter
Results: Net income for the asset management company rose to $183 million (39 cents per share) vs. $40.8 million (9 cents per share) in the same quarter a year earlier. This is a more than fourfold rise from the year earlier quarter.
Revenue: Rose 36% to $1.07 billion from the year earlier quarter.
Actual vs. Wall St. Expectations: IVZ reported adjusted net income of 44 cents per share. By that measure, the company beat the mean estimate of 43 cents per share. Analysts were expecting revenue of $1.08 billion.
Quoting Management: “Invesco’s strong, long-term investment performance contributed to positive net inflows of $7.3 billion and strong operating results for the quarter,” said Martin L. Flanagan, president and chief executive officer. “Reflecting confidence in our business, we repurchased 11.3 million shares for $280 million.”
The company has enjoyed double-digit year-over-year percentage revenue growth for the past five quarters. Over that span, the company has averaged growth of 35.5%, with the biggest boost coming in the first quarter when revenue rose 42.9% from the year earlier quarter.
The company has now seen net income rise in three straight quarters. In the first quarter, net income rose 86.8% and in the fourth quarter of the last fiscal year, the figure rose 58%.
The company topped expectations last quarter after falling short of forecasts in the first quarter with net income of 41 cents versus a mean estimate of net income of 42 cents per share.
Competitors to Watch: BlackRock, Inc. (NYSE:BLK), Affiliated Managers Group, Inc. (NYSE:AMG), Eaton Vance Corp. (NYSE:EV), AllianceBernstein Holding LP (NYSE:AB), Gamco Investors Inc. (NYSE:GBL), Cohen & Steers, Inc. (NYSE:CNS), The Blackstone Group L.P. (NYSE:BX), Morgan Stanley (NYSE:MS), Fortress Investment Group LLC (NYSE:FIG), and T. Rowe Price Group, Inc. (NASDAQ:TROW).
(Source: Xignite Financials)