The MFWire
Manage Email Alerts | Sponsorships | About MFWire | Who We Are

Subscribe to MFWire.com's News Alerts [click]

Rating:Neuberger Berman Also Misses Mark, Drops Anderson Not Rated 0.0 Email Routing List Email & Route  Print Print
Tuesday, April 23, 2002

Neuberger Berman Also Misses Mark, Drops Anderson

by: Sean Hanna, Editor in Chief

Neuberger Berman became the third fund firm this week to fall short of Wall Street expectations. The fund firm reported earnings of $0.47 per share. That figure is one cent short of analyst expectations for the first quarter. The firm also announced that it has dropped Arthur Anderson in favor of KPMG as its outside auditor.

The fund firm was able to grow earnings per share from a year ago despite a lower total bottom line due to stock buybacks lowering the number of shares outstanding in the firm. The firm earned $33.2 million, down from $34.2 million in the first quarter, 2001. Earnings per share a year ago was $0.46 per share.

Earnings fell even as assets under management at Neuberger hit an all-time high of $61.9 billion. The fall in profits reflected a change in the asset mix in its private wealth management unit to more fixed income investments. It also reflects lower trading volumes in its professional securities unit.

Altogether assets under management grew 13 percent, while revenues rose just 3.5 percent to $160 million and profits fell.

Jeffrey B. Lane, president and chief executive officer, pointed to the firm's net cash inflows in the Mutual Fund and Institutional segments of its business as a sign that the firm's fundamentals are sound. Cash flows into those lines was $1.4 billion, the highest quarterly level since the firm went public in 1999.

Mutual Fund and Institutional

Assets under management in these businesses rose 12.9 percent to $36.1 billion from $32.0 billion at March 31, 2001 and $34.0 billion at year-end 2001. The rise in assets drove revenues up 2.8 percent to $56.7 million from $55.2 million. Pretax income rose 9.6 percent to $21.6 million from $19.8 million.

Cash flows into mutual Fund and sub-advised accounts were $896 million in the quarter, more than double the $425 million of net cash inflows in the 2001 period. The Institutional Separate Accounts also saw inflows of $65 million after seeing outflows in all of 2001.  

See the list of all the 2002 Most Influential People

Stay ahead of the news ... Sign up for our email alerts now

 Do You Recommend This Story?

Return to Top
 News Archives
2021: Q4Q3Q2Q1
2020: Q4Q3Q2Q1
2019: Q4Q3Q2Q1
2018: Q4Q3Q2Q1
2017: Q4Q3Q2Q1
2016: Q4Q3Q2Q1
2015: Q4Q3Q2Q1
2014: Q4Q3Q2Q1
2013: Q4Q3Q2Q1
2012: Q4Q3Q2Q1
2011: Q4Q3Q2Q1
2010: Q4Q3Q2Q1
2009: Q4Q3Q2Q1
2008: Q4Q3Q2Q1
2007: Q4Q3Q2Q1
2006: Q4Q3Q2Q1
2005: Q4Q3Q2Q1
2004: Q4Q3Q2Q1
2003: Q4Q3Q2Q1
2002: Q4Q3Q2Q1
 Subscribe via RSS:
Add to My Yahoo!
follow us in feedly

©All rights reserved to InvestmentWires, Inc. 1997-2021
14 Wall Street | 20th Floor | New York, NY 10005 | P: 212-331-8968 | F: 212-331-8998
Privacy Policy :: Terms of Use