Hennessy Advisors Announces First Quarter Results
30 Gennaio 2009 - 2:00AM
PR Newswire (US)
NOVATO, Calif., Jan. 29 /PRNewswire-FirstCall/ -- Hennessy
Advisors, Inc. (OTC:HNNA) (BULLETIN BOARD: HNNA) President and
Chief Executive Officer, Neil Hennessy, today announced a fully
diluted loss per share for Hennessy Advisors, Inc. of $(0.01) for
the first quarter, which ended December 31, 2008. Earnings
decreased approximately 108% versus earnings the prior comparable
period, which were $0.12 per share. The decline in earnings is
primarily attributable to decreased mutual fund assets under
management, with almost three-quarters of the change in assets due
to market depreciation. Assets under management were $641 million
at December 31, 2008, compared to $1.426 billion at December 31,
2007. "2008 was an absolutely abysmal year for investors and money
managers alike. The major indices lost a third or more of their
value, which in turn triggered massive sell-offs by panicked
investors looking to protect their principal," said Mr. Hennessy.
"With 30 years experience in the investment advisory business, I
have seen market cycles like this before, and with history as my
guide, I believe that the market will regain its footing in the
coming year," he added. "We are, of course, disappointed to report
a loss, albeit minimal. However, Hennessy Advisors has built a
strong foundation to weather the current market downturn, and we
maintain a healthy balance sheet," said Mr. Hennessy. "We have a
cash balance of nearly $8 million, and we are deploying those
resources to build for the future. During the first quarter, we
paid down our debt by more than 61%, or $4.0 million, and now have
only $2.5 million in debt. We have continued to build and
strengthen our sales and distribution efforts, positioning the
company for the market's turnaround. Additionally, we are in the
midst of a $200 million asset acquisition, and we continue to
aggressively seek out and pursue opportunities to acquire
additional mutual fund assets," added Mr. Hennessy. Hennessy
Advisors, Inc. Financial Highlights Period to Period Three Months
Ended First Quarter Dec. 31, 2008 Dec. 31, 2007 $ Change % Change
Total Revenue $1,397,864 $3,341,003 $(1,943,139) -58.2% Net Income
(Loss) $(73,855) $695,624 $(769,479) -110.6% Earnings (loss) per
share (diluted) $(0.01) $0.12 $(0.13) -108.3% Weighted Average
number of shares outstanding 5,666,452 5,963,076 (296,624) -5.0% At
Period Ending Date Dec. 31, 2008 Dec. 31, 2007 $ Change % Change
Mutual Fund Assets Under Management $641,343,758 $1,425,530,543
$(784,186,785) -55.0% At Period Ending Date Dec. 31, 2008 Sep. 30,
2008 $ Change % Change Total Debt, including current portion
$2,500,000 $6,508,694 $(4,008,694) -61.6% Retained Earnings
$15,439,682 $15,513,537 $(73,855) -0.5% Hennessy Advisors, Inc. is
a publicly traded investment advisor to a family of mutual funds
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: Tania Kelley of
Hennessy Advisors, Inc., 1-800-966-4354, +1-415-899-1555 Web Site:
http://www.hennessyadvisors.com/
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