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Artisan Partners (APAM) Q1 Earnings Top Estimates, AUM Rises
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Artisan Partners Asset Management (APAM - Free Report) first-quarter 2021 adjusted earnings came in at $1.13 per share, surpassing the Zacks Consensus Estimate of $1.10. Also, the bottom line was 71% higher than the year-ago quarter figure.
Results were supported by rise in revenues. Also, higher assets under management (AUM) on net inflows acted as a tailwind. However, higher expenses posed an undermining factor.
Net income available to common stockholders (GAAP basis) was $77.3 million or $1.19 per share, up from $34.8 million or 53 cents per share in the prior-year quarter.
Revenues Climb, Expenses Increase
Revenues came in at $290.7 million, up 43% from the year-ago quarter. The rise primarily resulted from higher average AUM balance. Also, the top line surpassed the Zacks Consensus Estimate of $266 million.
Management fees earned from the Artisan Funds & Artisan Global Funds were up 44% year over year to $176.7 million. Management fees earned from Separate accounts increased 39% to $107.3 million.
Total expenses amounted to $168.9 million, up 28% year over year. The rise was largely due to higher employee compensation and benefits expenses.
Operating income was $121.8 million, up considerably from $71 million in the year-ago quarter.
AUM Increases on Net Inflows
As of Mar 31, 2021, AUM was $162.9 billion, up 71% from the year-earlier quarter. The company witnessed net inflows of $9 billion and $59.4 billion of investment returns in the first quarter.
Average AUM totaled $162.9 billion, up 43%.
Balance Sheet Position
Cash and other investments were $215.8 million compared with $155 million as of Dec 31, 2020. Also, the company’s debt leverage ratio, calculated in accordance with its loan agreements, was 0.4 as of Mar 31, 2021.
Total stockholders’ equity was $205.1 million as of Mar 31, 2021, compared to $191.0 million on Dec 31, 2020.
Our Viewpoint
Artisan Partners’ diverse investment products are expected to support growth. Also, rise in AUM given the inflows supports top-line expansion. Moreover, prudent cost management aids profitability to some extent.
Artisan Partners Asset Management Inc. Price, Consensus and EPS Surprise
Ameriprise Financial’s (AMP - Free Report) first-quarter 2021 adjusted operating earnings per share of $5.43 handily surpassed the Zacks Consensus Estimate of $4.73. Moreover, the bottom line comes in 27% higher than the year-ago quarter.
Invesco’s (IVZ - Free Report) first-quarter 2021 adjusted earnings of 68 cents per share surpassed the Zacks Consensus Estimate of 62 cents. Also, the bottom line grew 100% from the prior-year quarter.
Cohen & Steers’ (CNS - Free Report) first-quarter 2021 adjusted earnings of 79 cents per share lagged the Zacks Consensus Estimate of 81 cents. Nevertheless, the bottom line was 29.5% higher than the year-ago figure.
Zacks Names “Single Best Pick to Double”
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
You know this company from its past glory days, but few would expect that it’s poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.
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Artisan Partners (APAM) Q1 Earnings Top Estimates, AUM Rises
Artisan Partners Asset Management (APAM - Free Report) first-quarter 2021 adjusted earnings came in at $1.13 per share, surpassing the Zacks Consensus Estimate of $1.10. Also, the bottom line was 71% higher than the year-ago quarter figure.
Results were supported by rise in revenues. Also, higher assets under management (AUM) on net inflows acted as a tailwind. However, higher expenses posed an undermining factor.
Net income available to common stockholders (GAAP basis) was $77.3 million or $1.19 per share, up from $34.8 million or 53 cents per share in the prior-year quarter.
Revenues Climb, Expenses Increase
Revenues came in at $290.7 million, up 43% from the year-ago quarter. The rise primarily resulted from higher average AUM balance. Also, the top line surpassed the Zacks Consensus Estimate of $266 million.
Management fees earned from the Artisan Funds & Artisan Global Funds were up 44% year over year to $176.7 million. Management fees earned from Separate accounts increased 39% to $107.3 million.
Total expenses amounted to $168.9 million, up 28% year over year. The rise was largely due to higher employee compensation and benefits expenses.
Operating income was $121.8 million, up considerably from $71 million in the year-ago quarter.
AUM Increases on Net Inflows
As of Mar 31, 2021, AUM was $162.9 billion, up 71% from the year-earlier quarter. The company witnessed net inflows of $9 billion and $59.4 billion of investment returns in the first quarter.
Average AUM totaled $162.9 billion, up 43%.
Balance Sheet Position
Cash and other investments were $215.8 million compared with $155 million as of Dec 31, 2020. Also, the company’s debt leverage ratio, calculated in accordance with its loan agreements, was 0.4 as of Mar 31, 2021.
Total stockholders’ equity was $205.1 million as of Mar 31, 2021, compared to $191.0 million on Dec 31, 2020.
Our Viewpoint
Artisan Partners’ diverse investment products are expected to support growth. Also, rise in AUM given the inflows supports top-line expansion. Moreover, prudent cost management aids profitability to some extent.
Artisan Partners Asset Management Inc. Price, Consensus and EPS Surprise
Artisan Partners Asset Management Inc. price-consensus-eps-surprise-chart | Artisan Partners Asset Management Inc. Quote
Currently, Artisan Partners carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other Asset Managers
Ameriprise Financial’s (AMP - Free Report) first-quarter 2021 adjusted operating earnings per share of $5.43 handily surpassed the Zacks Consensus Estimate of $4.73. Moreover, the bottom line comes in 27% higher than the year-ago quarter.
Invesco’s (IVZ - Free Report) first-quarter 2021 adjusted earnings of 68 cents per share surpassed the Zacks Consensus Estimate of 62 cents. Also, the bottom line grew 100% from the prior-year quarter.
Cohen & Steers’ (CNS - Free Report) first-quarter 2021 adjusted earnings of 79 cents per share lagged the Zacks Consensus Estimate of 81 cents. Nevertheless, the bottom line was 29.5% higher than the year-ago figure.
Zacks Names “Single Best Pick to Double”
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
You know this company from its past glory days, but few would expect that it’s poised for a monster turnaround. Fresh from a successful repositioning and flush with A-list celeb endorsements, it could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in a little more than 9 months and Nvidia which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>