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Associated Capital Reports Results for the Third Quarter 2024
ACAssociated Capital Group(AC) GlobeNewswire News Room·2024-11-08 21:30

Core Insights - Associated Capital Group, Inc. reported financial results for the third quarter of 2024, highlighting a decrease in assets under management (AUM) and an increase in net income compared to the previous year [1][4][5]. Financial Performance - AUM at the end of the quarter was 1.34billion,downfrom1.34 billion, down from 1.59 billion a year earlier, reflecting a net outflow of 288millionandcurrencyfluctuations[10][4].−Totalrevenuesforthethirdquarterwere288 million and currency fluctuations [10][4]. - Total revenues for the third quarter were 2.415 million, an increase from 2.200millioninthesamequarterof2023[2][5].−Netincomeforthequarterwas2.200 million in the same quarter of 2023 [2][5]. - Net income for the quarter was 23.242 million, compared to a loss of 16,000intheprioryear[2][26].−Netincomepersharewas16,000 in the prior year [2][26]. - Net income per share was 1.09, up from 0.00inthesamequarterof2023[2][26].ShareholderReturns−Thecompanyreturned0.00 in the same quarter of 2023 [2][26]. Shareholder Returns - The company returned 45.9 million to shareholders through dividends and share repurchases in the third quarter [1]. - A special cash dividend of 2.00persharewasdeclared,alongsideasemi−annualdividendof2.00 per share was declared, alongside a semi-annual dividend of 0.10 per share [16][17]. - Since its spin-off in 2015, the company has returned approximately 181.9milliontoshareholdersthroughsharerepurchasesand181.9 million to shareholders through share repurchases and 81.1 million in dividends [18]. Investment Strategy - The company focuses on alternative investment strategies, particularly in merger arbitrage, which generated gross returns of 4.88% for the third quarter [12][13]. - Global M&A activity reached 2.3trillioninthefirstninemonthsof2024,a162.3 trillion in the first nine months of 2024, a 16% increase from the previous year, with the U.S. leading in dealmaking [13]. Operating Expenses - Total operating expenses, excluding management fees, were 6.0 million in the third quarter, up from 5.7millioninthesamequarterof2023[7][2].−Themanagementfeeforthequarterwas5.7 million in the same quarter of 2023 [7][2]. - The management fee for the quarter was 3.3 million, compared to none in the previous year [8][21]. Taxation - The effective tax rate for the quarter was 22.9%, significantly lower than the 60.8% rate in the same quarter of the previous year, which was affected by deferred tax expenses [9][2].