Legg Mason Earnings: Here’s Why Shares are Down Now
Legg Mason Inc. (NYSE:LM) 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 down 1%.
Legg Mason Inc. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 3.7% to $0.52 in the quarter versus EPS of $0.54 in the year-earlier quarter.
Revenue: Rose 2.96% to $667.8 million from the year-earlier quarter.
Actual vs. Wall St. Expectations: Legg Mason Inc. reported adjusted EPS income of $0.52 per share. By that measure, the company beat the mean analyst estimate of $0.20. It beat the average revenue estimate of $645.69 million.
Quoting Management: Joseph A. Sullivan, President and CEO of Legg Mason said, “Today we announced strong core earnings as markets strengthened, our flows improved and the Company made continued progress on a number of initiatives, including closing the Fauchier Partners acquisition, continuing our share repurchase, consolidating our real estate, and appointing a new executive leadership team.”
Key Stats (on next page)…
Revenue decreased 0.91% from $673.9 million in the previous quarter. EPS increased to $0.52 in the quarter versus EPS of $-3.45 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 $0.49 to a profit $0.50. For the current year, the average estimate has moved down from a loss of $2.16 to a loss of $2.69 over the last ninety days.
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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)