Hennessy Advisors, Inc. Announces Annual Earnings of $0.28 Per Share
06 Dicembre 2008 - 12:27AM
PR Newswire (US)
NOVATO, Calif., Dec. 5 /PRNewswire-FirstCall/ -- Hennessy Advisors,
Inc. (OTC:HNNA) (BULLETIN BOARD: HNNA) President and Chief
Executive Officer, Neil Hennessy, today announced fully diluted
earnings per share for Hennessy Advisors, Inc. of $0.28 for the
fiscal year ended September 30, 2008. Earnings decreased
approximately 60% versus the prior fiscal year, which were $0.70
per share. The decline in earnings is primarily attributable to
decreased mutual fund assets under management, with more than half
of the change in assets due to market depreciation. Assets under
management were $876 million at September 30, 2008, compared to
$1.72 billion at September 30, 2007. "It has been a very difficult
year for mutual fund companies and investment managers across the
board. In the past year, investors have pulled their money out of
funds at a record pace, and the average total returns of all stock
funds are down approximately 50%. These factors have contributed to
a loss of literally trillions of dollars in assets under management
for mutual fund companies," said Mr. Hennessy. "While our earnings
are down versus last year, it is important to note that we are
reporting earnings. During the past year we have increased our
retained earnings by almost 8% and reduced our debt by more than
24%, or $2.1 million. We maintain a healthy balance sheet, with a
cash position of $12.8 million, which is nearly double our debt,"
he added. "We believe we have built a strong foundation that allows
us to weather the current economic downturn. We are using this time
to aggressively build and strengthen our sales and distribution
efforts, positioning our company for the market's turnaround, and
we continue to seek out and pursue opportunities to acquire mutual
fund assets. With history as our guide, we know the long-term
prospects of the market remain fundamentally strong, and we are
operating the company for the long-term benefit of our
shareholders," said Mr. Hennessy. Financial Highlights Year to Year
Twelve Months Ended Sept. 30, Sept. 30, Fiscal Year 2008 2007 $
Change % Change Total Revenue $10,275,043 $16,071,521 $(5,796,478)
-36.1% Net Income $1,611,434 $4,132,711 $(2,521,277) -61.0%
Earnings per share diluted $0.28 $0.70 $(0.42) -60.0% Weighted
Average number of shares outstanding 5,748,279 5,926,291 (178,012)
-3.0% At Period Sept. 30, Sept. 30, $ Change % Change Ending Date
2008 2007 Mutual Fund Assets Under Management $876,069,040
$1,720,763,355 $(844,694,315) -49.1% Total Debt, including current
portion $6,508,694 $8,599,210 $(2,090,516) -24.3% Retained Earnings
$15,513,537 $14,417,331 $1,096,206 7.6% Hennessy Advisors, Inc. is
a publicly traded investment advisor to a family of mutual funds.
Hennessy Advisors, Inc. is committed to their time-tested,
quantitative stock selection formulas and disciplined money
management approach. Supplemental Information Nothing in this
section shall be considered a solicitation to buy or an offer to
sell a security to any person in any jurisdiction where such offer,
solicitation, purchase or sale would be unlawful under the
securities laws of such jurisdiction. Available Topic Expert(s):
For information on the listed expert(s), click appropriate link.
Neil J. Hennessy
http://profnet.prnewswire.com/Subscriber/ExpertProfile.aspx?ei=36873
DATASOURCE: Hennessy Advisors, Inc. CONTACT: Terry Nilsen of
Hennessy Advisors, Inc., 1-800-966-4354, or +1-415-899-1555 Web
site: http://www.hennessyadvisors.com/
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