Affiliated Managers (US:AMG)2024-08-02 20:29Financial Performance - Consolidated revenue for the three months ended June 30, 2023, was $512.5 million, a 2.4% increase from $500.3 million in the same period of 2024[8] - Net income for the three months ended June 30, 2023, was $187.4 million, up from $135.0 million in the same period of 2024, representing a 38.8% increase[11] - Earnings per share (diluted) for the three months ended June 30, 2023, was $3.25, compared to $2.26 in the same period of 2024, indicating a 43.8% increase[9] - Comprehensive income for the three months ended June 30, 2023, was $211.8 million, compared to $132.9 million in the same period of 2024, a 59.3% increase[11] - Net income for the six months ended June 30, 2023, was $375.9 million, compared to $259.8 million for the same period in 2022, representing a 45% increase[20] - Net income for the three months ended June 30, 2024, increased by 39% to $217.3 million compared to $156.3 million for the same period in 2023[141] - Economic net income (controlling interest) for the six months ended June 30, 2024, was $342.6 million, compared to $325.4 million for the same period in 2023[152] Expenses and Liabilities - Total consolidated expenses for the three months ended June 30, 2023, were $374.6 million, compared to $359.4 million in the previous year, reflecting a 4.3% increase[9] - Total liabilities as of June 30, 2024, were $4,191.3 million, compared to $4,096.1 million as of December 31, 2023, reflecting a 2.3% increase[14] - Total consolidated expenses for the three months ended June 30, 2024, were $374.6 million, a decrease of 4% compared to $359.4 million in the same period of 2023[135] - Selling, general and administrative expenses increased by $4.2 million or 5% for the three months ended June 30, 2024, mainly due to a $6.2 million increase in distribution and investment-related expenses[136] Assets and Equity - Total assets as of June 30, 2024, were $9,059.6 million, an increase from $8,845.0 million as of December 31, 2023[14] - Total stockholders' equity as of June 30, 2023, was $4,368.4 million, an increase from $4,175.6 million as of December 31, 2022[20] - Total equity as of March 31, 2024, was $4,520.5 million, up from $4,219.4 million as of March 31, 2023[20] - The carrying value of unconsolidated Affiliate sponsored investment products was $5,788.3 million as of December 31, 2023, and $5,123.3 million as of June 30, 2024[61] Shareholder Activities - The company repurchased shares worth $104.0 million during the six months ended June 30, 2023[20] - The company repurchased common stock worth $484.6 million during the six months ended June 30, 2024[24] - Dividends paid were $0.8 million, maintaining a consistent payout strategy[20] - Dividends paid on common stock amounted to $0.7 million for the six months ended June 30, 2024[24] Cash Flow and Investments - Cash and cash equivalents increased to $865.5 million as of June 30, 2024, from $813.6 million as of December 31, 2023[14] - Cash flows from operating activities for the six months ended June 30, 2024, were $454.4 million, primarily from net income of $333.8 million and distributions of earnings from equity method investments of $289.0 million[154] - Cash flows from investing activities for the six months ended June 30, 2024, were $314.8 million, primarily due to $754.4 million from maturities and sales of investment securities[155] - For the six months ended June 30, 2024, the company received $725.2 million from the maturity of available-for-sale securities and purchased $413.9 million of such securities[34] Tax and Regulatory Matters - The effective tax rate for controlling interest for the three months ended June 30, 2024, was 35.0%, up from 20.1% in the same period of 2023[101] - Income tax expense for controlling interest for the three months ended June 30, 2024, was $40.9 million, compared to $31.6 million for the same period in 2023, an increase of 29.3%[101] - The company continues to monitor legislative developments related to the OECD's Pillar Two directive, which may impact future tax provisions[102] Market and Client Activity - As of June 30, 2024, assets under management reached approximately $701 billion, reflecting a 4% increase from $673.9 billion as of March 31, 2024[114] - Client cash inflows for the three months ended June 30, 2024, totaled $28.9 billion, while outflows were $28.0 billion, resulting in net inflows of $0.9 billion[120] - Private markets strategies accounted for 18% of total assets under management as of June 30, 2024[118] - The company is focused on expanding its investment strategies in private markets, liquid alternatives, and sustainable investment strategies to align with long-term client demand[117]