Janus Capital Group Inc. Earnings Cheat Sheet: After Four Straight Increases, Revenue Drops as Net Income Falls

S&P 500 (NYSE:SPY) component Janus Capital Group Inc. (NYSE:JNS) reported its results for the third quarter. Janus Capital Group offers investment management, administration, distribution and related services to individual and institutional investors.

Investing Insights: Amazon.com has a Stock Chart Technical Analysts Dream About.

Janus Capital Group Earnings Cheat Sheet for the Third Quarter

Results: Net income for Janus Capital Group Inc. fell to $27.4 million (15 cents per share) vs. $32.5 million (18 cents per share) a year earlier. This is a decline of 15.7% from the year earlier quarter.

Revenue: Fell 3.3% to $236.9 million from the year earlier quarter.

Actual vs. Wall St. Expectations: JNS fell short of the mean analyst estimate of 17 cents per share. It fell short of the average revenue estimate of $243.8 million.

Key Stats:

Last quarter’s profit decrease breaks a streak of four consecutive quarters of year-over-year profit increases. In the second quarter, net income rose 38.7% from the year earlier, while the figure increased 21.1% in the first quarter, 78.1% in the fourth quarter of the last fiscal year and more than threefold in the third quarter of the last fiscal year.

A year-over-year revenue decrease last quarter snaps a streak of four consecutive quarters of revenue increases. The best quarter in that span was the fourth quarter of the last fiscal year, which saw revenue rise 17.7%.

The company fell short of estimates last quarter after being in line with expecations the quarter before with net income of 23 cents.

Looking Forward: Analysts appear increasingly negative about the company’s results for the next quarter. The average estimate for the fourth quarter has moved down from 24 cents a share to 15 cents over the last ninety days. At 76 cents per share, the average estimate for the fiscal year has fallen from 90 cents ninety days ago.

Competitors to Watch: Waddell & Reed Financial, Inc. (NYSE:WDR), T. Rowe Price Group, Inc. (NASDAQ:TROW), Virtus Investment Partners, Inc. (NASDAQ:VRTS), U.S. Global Investors, Inc. (NASDAQ:GROW), Cohen & Steers, Inc. (NYSE:CNS), Franklin Resources, Inc. (NYSE:BEN), Federated Investors, Inc. (NYSE:FII), Bank of America (NYSE:BAC), Citigroup (NYSE:C), JP Morgan (NYSE:JPM), Morgan Stanley (NYSE:MS), Goldman Sachs (NYSE:GS), Calamos Asset Management, Inc (NASDAQ:CLMS), Invesco Ltd. (NYSE:IVZ), and Eaton Vance Corp. (NYSE:EV).

Investing Insights: Amazon.com has a Stock Chart Technical Analysts Dream About.

(Source: Xignite Financials)

 

More from The Cheat Sheet