Company Performance - Virtus Investment Partners (VRTS) reported quarterly earnings of $5.73 per share, exceeding the Zacks Consensus Estimate of $5.33 per share, but down from $5.41 per share a year ago, representing an earnings surprise of 7.50% [1] - The company posted revenues of $197.61 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 0.41% and down from $200.24 million year-over-year [2] - Over the last four quarters, Virtus has surpassed consensus EPS estimates three times but has not beaten consensus revenue estimates [2] Stock Performance - Virtus shares have declined approximately 28.9% since the beginning of the year, compared to a decline of 6.8% for the S&P 500 [3] - The current Zacks Rank for Virtus is 4 (Sell), indicating expectations for the stock to underperform the market in the near future [6] Future Outlook - The current consensus EPS estimate for the upcoming quarter is $6.16 on revenues of $190 million, and for the current fiscal year, it is $24.51 on revenues of $764.11 million [7] - The estimate revisions trend for Virtus is currently unfavorable, which may impact future stock performance [6] - The Financial - Investment Management industry, to which Virtus belongs, is ranked in the bottom 9% of over 250 Zacks industries, suggesting potential challenges ahead [8]

News Release Virtus Investment Partners Announces Financial Results for First Quarter 2025 Hartford, CT, April 25, 2025 - Virtus Investment Partners, Inc. (NYSE: VRTS) today reported financial results for the three months ended March 31, 2025. Financial Highlights (Unaudited) (in millions, except per share data or as noted) | | | | | | | | Three Months | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | | | | | Three Months Ended | | | | Ended | | | | | 3/31/2025 | | 3/31/2024 | Change | | 12/31/202 ...

Company Overview - Virtus Investment Partners (VRTS) is headquartered in Hartford and operates in the Finance sector, experiencing a price change of -31.55% since the beginning of the year [3] - The company currently pays a dividend of $2.25 per share, resulting in a dividend yield of 5.96%, which is significantly higher than the Financial - Investment Management industry's yield of 3.36% and the S&P 500's yield of 1.76% [3] Dividend Performance - The current annualized dividend of Virtus Investment Partners is $9, reflecting a 13.2% increase from the previous year [4] - Over the past five years, the company has increased its dividend five times on a year-over-year basis, achieving an average annual increase of 29.31% [4] - The current payout ratio is 34%, indicating that the company paid out 34% of its trailing 12-month earnings per share as dividends [4] Earnings Expectations - The Zacks Consensus Estimate for earnings in fiscal year 2025 is $27.87 per share, with an expected increase of 5.85% from the previous year [5] Investment Appeal - VRTS is considered an attractive dividend play and a compelling investment opportunity, currently holding a Zacks Rank of 2 (Buy) [7]

Core Viewpoint - Vertiqal Studios has reported a significant financial turnaround in 2024, achieving a 95% reduction in net loss, driven by strategic cost-cutting and operational efficiencies [1][2][6]. Financial Performance - The company reported stable revenues of $4.86 million for the year ended December 31, 2024, reflecting a 0.32% increase compared to $4.85 million in 2023 [4][8]. - Gross profit decreased slightly by 1% to $3.37 million from $3.44 million in the previous year [4]. - Total expenses were significantly reduced by 90%, amounting to $5.76 million compared to $56.69 million in 2023 [4]. - The net loss for 2024 was $2.37 million, a substantial decrease from $49.02 million in 2023, marking a 95% improvement [4][6]. - EBITDA loss improved by 47%, with a reported loss of $1.52 million compared to $2.92 million in 2023 [4][8]. Strategic Initiatives - The company has focused on strengthening its financial position through disciplined cost management and operational efficiencies, which are essential for sustainable growth and long-term value creation [6][8]. - Direct media revenue saw a remarkable increase of 48% year over year, indicating a successful shift in revenue strategy [8]. - The gross margin for 2024 was reported at 69%, showcasing operational efficiency and a favorable revenue mix [8]. Future Outlook - Vertiqal Studios anticipates continued growth in fiscal 2025, driven by the expansion of its direct media business and strategic partnerships with major brands [7][9]. - The company is exploring further acquisition opportunities to enhance service offerings and diversify income streams [9][10].

Assets Under Management - Total assets under management as of December 31, 2024, reached $175.0 billion, with open-end funds accounting for $56.1 billion and institutional accounts for $59.2 billion[31] - Retail separate accounts totaled $49.5 billion, while closed-end funds accounted for $10.2 billion as of December 31, 2024[31] - The company reported $2.3 billion in other fee-earning assets not included in total assets under management[40] Investment Management Fees - Investment management fees for 2024 totaled $773.8 million, reflecting an increase from $711.5 million in 2023[41] - The company derives substantially all of its revenues from investment management, distribution, service, administration, and shareholder service fees, which are based on the market value of assets under management[222] Investment Strategies - The company offers a diverse range of investment strategies across various asset classes, including equity, fixed income, and alternatives, managed by differentiated investment managers[22] - As of December 31, 2024, the largest investment manager, Kayne Anderson Rudnick Investment Management, managed $67.9 billion in assets, representing a significant portion of the total[24] - The company utilizes a multi-manager model, providing investment managers with distribution, business, and operational support[21] Financial Risks and Market Conditions - As of December 31, 2024, the fair value of investment securities is $83.771 million, and a 10% change in fair values would result in a corresponding $8.377 million change in pre-tax earnings[223] - The company's net interest in CIP is valued at $199.720 million, with a potential $19.972 million change in pre-tax earnings for a 10% change in fair values[223] - The total investments subject to market risk amount to $283.491 million, with a potential $28.349 million change in pre-tax earnings for a 10% change in fair values[223] - The company has approximately $180.1 million invested in fixed- and floating-rate income products, with a hypothetical 100 basis point change in interest rates potentially affecting fair value by an estimated $2.4 million[225] - As of December 31, 2024, the company has $236.1 million outstanding under its Term Loan, with a 100 basis point change in the base rate potentially altering annual interest expense by an estimated $2.4 million[226] Workforce and Talent Management - The company employs 805 individuals across its offices in the U.S., U.K., and Singapore, focusing on creating an environment of excellence and opportunity[63] - The company emphasizes competitive salaries and a comprehensive suite of benefits to attract and retain talented individuals[64] - The company is committed to maintaining a diverse and inclusive work environment, supporting workforce diversity and community engagement[65] Regulatory Compliance - The company is subject to extensive regulatory compliance requirements, which may increase operational costs and necessitate additional resources[62] Future Outlook - Future outlook includes addressing known risks such as competition and regulatory changes that could impact financial results and liquidity[18] - The company emphasizes the importance of attracting and retaining key personnel to maintain competitive advantage in the investment management industry[18]

Core Insights - Vertiqal Studios has launched Vertiqal Labs, a new creator network aimed at empowering digital talent and enhancing monetization opportunities for creators [1][5] - The initiative is designed to support creators in developing content and expanding their reach across major social media platforms, leveraging Vertiqal Studios' extensive audience [2][4] Group 1: Company Overview - Vertiqal Studios is North America's largest owner of gaming and lifestyle social media channels, specializing in viral video creation and distribution [6][7] - The company manages over 130 channels across platforms like TikTok, Instagram, and Snapchat, producing more than 100 pieces of content daily for an audience exceeding 52 million followers [7] Group 2: Vertiqal Labs Features - Vertiqal Labs will provide creators with tools and resources to develop original content, allowing them to establish themselves as recognizable voices in digital entertainment [3] - The program aims to create a sustainable career model for creators by enabling them to produce content consistently, thus generating reliable revenue streams [3] Group 3: Advertising Opportunities - Vertiqal Labs will also benefit advertisers by offering access to both creator-generated content and high-production branded content from Vertiqal Studios' internal teams [4] - This dual approach allows brands to engage authentically with Gen Z and Millennial consumers, fostering meaningful connections [4]

Core Insights - Vertiqal Studios has engaged Quartermast Advisors as its buy-side M&A advisor to identify and execute strategic media acquisitions aimed at accelerating growth and expanding market presence [1][2][5] - The company aims to leverage acquisitions to enhance content capabilities, expand audience reach, and strengthen its data-driven monetization model [2][4] - Recent acquisitions include Offbeat Studios in December 2023 and four high-performing social channels from Viral Nation in December 2024, indicating a commitment to growth through targeted acquisitions [3][5] Company Overview - Vertiqal Studios is one of North America's largest owners of gaming and lifestyle social media channels, specializing in the creation and distribution of viral videos for brands [7][8] - The company manages over 130 channels across platforms like TikTok, Instagram, and Snapchat, producing over 100 pieces of content daily for an audience exceeding 52 million followers [8] - Vertiqal Studios partners with major brands such as RBC, Samsung, and Coca-Cola to develop strategic solutions and innovative advertising [8] Advisory Firm Overview - Quartermast Advisors is a boutique M&A advisory firm specializing in media, technology, and the creator economy, providing strategic guidance for executing transactions [9] - The firm brings extensive experience in mergers and acquisitions, which will assist Vertiqal Studios in navigating the dynamic media industry [4][5]

分组1 - Virtus Investment Partners reported quarterly earnings of $7.50 per share, exceeding the Zacks Consensus Estimate of $7.48 per share, and up from $6.11 per share a year ago, representing an earnings surprise of 0.27% [1] - The company posted revenues of $212.01 million for the quarter ended December 2024, which missed the Zacks Consensus Estimate by 0.29%, compared to year-ago revenues of $193.38 million [2] - Over the last four quarters, Virtus has surpassed consensus EPS estimates two times but has not beaten consensus revenue estimates [2] 分组2 - The stock has underperformed the market, losing about 4.3% since the beginning of the year, while the S&P 500 gained 3.2% [3] - The current consensus EPS estimate for the coming quarter is $5.85 on revenues of $201.74 million, and for the current fiscal year, it is $28.27 on revenues of $827.14 million [7] - The Zacks Industry Rank for Financial - Investment Management is currently in the bottom 18% of over 250 Zacks industries, indicating potential challenges for the sector [8]

FOURTH QUARTER EARNINGS PRESENTATION January 31, 2025 George R. Aylward President and Chief Executive Officer Michael A. Angerthal Executive Vice President and Chief Financial Officer IMPORTANT DISCLOSURES AGENDA 3 ■ Overview of Quarter ■ Results ■ Q & A Session OVERVIEW OF QUARTER This presentation contains statements that are, or may be considered to be, forward-looking statements. All statements that are not historical facts, including statements about our beliefs or expectations, are "forward-looking st ...

Financial Performance - Revenues for Q4 2024 were $233.5 million, a 9% increase from $214.6 million in Q4 2023[2] - Operating income increased by 30% to $50.7 million compared to $39.0 million in the same quarter last year[2] - Net income attributable to Virtus Investment Partners was $33.3 million, up 8% from $30.8 million in Q4 2023[2] - Earnings per share (diluted) were $4.66, an 11% increase from $4.21 in Q4 2023[2] - Total revenues rose by 9% year-over-year to $233,494,000 for the three months ended December 31, 2024[22] - Operating income increased by 30% year-over-year to $50,721,000 for the three months ended December 31, 2024[22] - Net income attributable to Virtus Investment Partners, Inc. was $33,294,000, an 8% increase compared to the same period last year[22] - Cash dividends declared per common share increased by 18% to $2.25 for the three months ended December 31, 2024[22] - Total operating expenses (as adjusted) for the three months ended December 31, 2024, were $137.560 million, an increase from $129.524 million in the same period of 2023, reflecting a 6.3% rise[28] - Income tax expense (as adjusted) for the three months ended December 31, 2024, was $19.972 million, compared to $17.337 million in the same period of 2023, representing a 9.5% increase[29] Assets Under Management (AUM) - Total assets under management (AUM) were $175.0 billion, a 2% increase from $172.3 billion year-over-year[4] - Average total assets under management increased by 12% to $182.1 billion from $162.7 billion in the prior year[4] - Assets under management totaled $175,001,000,000 as of December 31, 2024, reflecting a decrease from the previous quarter[23] - Open-End Funds reported $56,073,000,000 in assets under management as of December 31, 2024, a slight decrease from the previous quarter[23] - Institutional accounts saw a decrease in assets under management to $59,167,000,000 as of December 31, 2024[23] - The average assets under management for total products increased to $182,088,000,000 for the three months ended December 31, 2024[23] - Total assets under management (AUM) increased from $162,539 million on 12/31/2023 to $172,259 million on 12/31/2024, reflecting a growth of approximately 5.3%[26] Net Flows - Net flows for the quarter were negative at ($4.8) billion, compared to ($3.8) billion in Q4 2023, primarily due to a $3.3 billion lower-fee partial redemption[6] - Net flows for Open-End Funds showed a decline of $1,116 million for the three months ended 12/31/2024, compared to a decline of $1,965 million for the same period in 2023[26] - Institutional Accounts experienced net outflows of $3,802 million for the three months ended 12/31/2024, compared to net outflows of $2,227 million for the same period in 2023[26] - The company reported total inflows of $25,857 million for the twelve months ended 12/31/2024, compared to $26,757 million for the previous year[26] Operating Metrics - Operating margin improved to 21.7%, up from 18.2% in the same quarter last year[2] - Operating margin (as adjusted) for the three months ended December 31, 2024, was 35.1%, compared to 33.0% in the same period of 2023, showing an improvement of 2.1 percentage points[28] - The effective tax rate (as adjusted) for the three months ended December 31, 2024, was 26.6%, compared to 27.2% in the same period of 2023, showing a slight improvement[29] Expenses - The company reported a 43% increase in income tax expense to $19,047,000 for the three months ended December 31, 2024[22] - Total other operating expenses amounted to $7,330 million for the three months ended December 31, 2024, up from $5,689 million in the same period of 2023, representing an increase of 28.8%[38] - Employment expense fair value adjustments increased to $1,141 million for the three months ended December 31, 2024, compared to $472 million for the same period in 2023, reflecting a significant rise of 141%[38] - Acquisition and integration expenses for the three months ended December 31, 2024, totaled $2.553 million, down from $3.050 million in the same period of 2023, reflecting a decrease of 16.3%[36] Forward-Looking Statements and Risks - Forward-looking statements indicate expectations regarding assets under management and net asset inflows, but actual results may differ materially due to various risks and uncertainties[44] - The company faces risks including potential reductions in assets under management and challenges in attracting and retaining key personnel, which could adversely affect financial results[45] - The company does not plan to update or revise forward-looking statements based on actual results or changes in circumstances after the date of the release[47] - Investors are encouraged to consider all factors that may impact the company's operations and financial results, as discussed in periodic reports filed with the SEC[46] Non-GAAP Measures - Non-GAAP financial measures are utilized by management to provide additional insight into the company's financial performance, although they have limitations and should not be viewed in isolation[27] - The adjusted revenues exclude the impact of operating activities of consolidated investment products, focusing on fee revenues from investment management and related services[40] - Adjusted operating expenses exclude amortization or impairment of intangible assets and certain other expenses not reflective of ongoing earnings generation[41] - The adjusted operating margin is calculated as adjusted operating income divided by adjusted revenues, providing a measure of efficiency[42]