DENVER—Investment firm Janus Capital Group Inc. said its preliminary first-quarter profit sank more than 92 percent, but revenue topped forecasts and the company’s shares climbed.
For the three months that ended March 31, the company’s net income was $2.7 million, or 2 cents per share. That’s down from a profit of $37.4 million, or 23 cents per share, during the same period last year.
Revenue sank 39 percent to $170.3 million, down from $281.2 million during the same period last year.
The Denver-based firm said the preliminary results exclude non-cash expected goodwill and intangible-asset impairment charges expected to be between $900 million to $1 billion.
Analysts surveyed by Thomson Reuters expected the company to earn 6 cents on revenue of $165.3 million.
Janus said its investment management fees were $136.8 million, down almost 40 percent from $225.5 million the previous year.
Shareowner servicing fees and other charges were $30.1 million, down 40 percent from $50.1 million, while performance fees fell to $3.4 million, down from $5.6 million.
Average assets under management fell percent to $113.1 billion, down from $189.7 billion. The decrease in assets reflects market depreciation as well as net outflows.
Janus is expected to formally report its first-quarter performance on or before May 11.
The company’s shares rose 48 cents, or 5.5 percent, to $9.26 in afternoon trading Thursday.
