Diamond Hill(DHIL)2025-02-26 21:01Revenue and Earnings - Revenue for 2024 was 136.7 million in 2023[3] - Adjusted earnings per share for 2024 were 10.28 in 2023, representing a 25.7% increase[3] - The net operating profit margin improved to 29% in 2024, up from 26% in 2023[3] - The adjusted operating margin improved to 32% in 2024, compared to 30% in 2023[3] Assets Under Management - Assets under management (AUM) at the end of 2024 were 27.4 billion at the end of 2023, reflecting a year-over-year increase of 5.8%[7] - Average AUM and AUA combined for 2024 was 27.3 billion in 2023, an increase of 15.8%[3] Shareholder Returns - The company returned approximately 30.3 million through share repurchases and 1.50 per common share, to be paid on March 21, 2025[5] Investment Income - Investment income for 2024 was 23.1 million in 2023, a decline of 34.7%[3] Client Flows - Net client outflows were 0.5 billion in 2023[3] Non-GAAP Financial Measures - The Company reported a non-GAAP effective tax rate of 26.8% for both 2024 and 2023[3] - The non-GAAP adjustments aim to clarify the core operating results by excluding the impact of the Consolidated Fund on the Company's GAAP consolidated statements[1] - The adjustments also account for net gains or losses from the non-consolidated investment portfolio, enhancing comparability of operating results[2] - The Company emphasizes that investors should not rely solely on non-GAAP financial measures as substitutes for GAAP-compliant financial information[4] Risks and Uncertainties - The Company faces risks that could materially affect actual results, including potential reductions in Assets Under Management (AUM) or Assets Under Administration (AUA)[14] - Forward-looking statements are subject to various risks and uncertainties, and actual results may differ significantly from expectations[15] - The Company does not commit to updating forward-looking statements unless required by law, acknowledging the emergence of new risks over time[16] - Factors such as competition, regulatory changes, and economic conditions may impact the Company's performance and strategic objectives[14] Technological Adaptation - The Company is focused on adapting to technological changes, including artificial intelligence, to enhance its business operations[14] Risk Factors - The Company has outlined various risk factors in its Annual Report that could influence its financial performance and strategic direction[14]