Attached files
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| 8-K - PZENA INVESTMENT MANAGEMENT INC 8-K 12-31-2010 - Pzena Investment Management, Inc. | form8k.htm |
Exhibit 99.1
PZENA INVESTMENT MANAGEMENT, INC. REPORTS RESULTS
FOR THE FOURTH QUARTER AND FULL YEAR 2010
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·
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Revenues were $20.5 million for the fourth quarter of 2010 and $77.5 million for the full year 2010.
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·
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Operating income was $10.9 million for the fourth quarter of 2010 and $40.0 million for the full year 2010.
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·
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GAAP diluted earnings per share was $0.10 for the fourth quarter of 2010 and $0.34 for the full year 2010. Non-GAAP diluted earnings per share was $0.09 for the fourth quarter of 2010 and $0.33 for the full year 2010.
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NEW YORK, NEW YORK, February 8, 2011 – Pzena Investment Management, Inc. (NYSE: PZN) reported the following GAAP and non-GAAP basic and diluted net income and earnings per share for the three and twelve months ended December 31, 2010 (in thousands, except per-share amounts):
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GAAP Basis
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Non-GAAP Basis
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For the Three Months Ended December 31,
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For the Three Months Ended December 31,
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2010
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2009
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2010
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2009
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(unaudited)
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Basic Net Income
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$ | 1,135 | $ | 633 | $ | 880 | $ | 719 | ||||||||
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Basic Earnings Per Share
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$ | 0.12 | $ | 0.07 | $ | 0.09 | $ | 0.08 | ||||||||
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Diluted Net Income
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$ | 6,276 | $ | 633 | $ | 6,021 | $ | 5,302 | ||||||||
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Diluted Earnings Per Share
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$ | 0.10 | $ | 0.07 | $ | 0.09 | $ | 0.08 | ||||||||
1
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GAAP Basis
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Non-GAAP Basis
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For the Twelve Months Ended December 31,
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For the Twelve Months Ended December 31,
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2010
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2009
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2010
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2009
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(unaudited)
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Basic Net Income
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$ | 3,811 | $ | 3,369 | $ | 3,116 | $ | 2,258 | ||||||||
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Basic Earnings Per Share
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$ | 0.41 | $ | 0.41 | $ | 0.34 | $ | 0.27 | ||||||||
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Diluted Net Income
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$ | 22,419 | $ | 18,106 | $ | 21,724 | $ | 16,995 | ||||||||
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Diluted Earnings Per Share
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$ | 0.34 | $ | 0.28 | $ | 0.33 | $ | 0.26 | ||||||||
Our results for the periods ended December 31, 2010 and 2009 include adjustments related to our tax receivable agreement and the associated liability to selling and converting shareholders. Management believes that these accounting adjustments add a measure of non-operational complexity which obscures the underlying performance of the business. In evaluating the financial condition and results of operations, management also reviews non-GAAP measures of earnings, which exclude these items. Excluding these adjustments, non-GAAP diluted net income and non-GAAP diluted net income per share were $6.0 million and $0.09, respectively, for the three months ended December 31, 2010, and $5.3 million and $0.08, respectively, for the three months ended December 31, 2009. Non-GAAP diluted net income and non-GAAP diluted net income per share were $21.7 million and $0.33, respectively, for the year ended December 31, 2010, and $17.0 million and $0.26, respectively, for the year ended December 31, 2009. GAAP and non-GAAP net income for diluted earnings per share generally assumes all operating company membership units are converted into Company stock at the beginning of the reporting period and the resulting change to Company GAAP and non-GAAP net income associated with its increased interest in the operating company is taxed at the Company's effective tax rate.
Management uses the non-GAAP measures to assess the strength of the underlying operations of the business. We believe non-GAAP measures provide information to better analyze the Company's operations between periods and over time. Investors should consider the non-GAAP measures in addition to, and not as a substitute for, financial measures prepared in accordance with GAAP.
2
Assets Under Management (unaudited)
($ billions)
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Three Months Ended
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Twelve Months Ended
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December 31,
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September 30,
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December 31,
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December 31,
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December 31,
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2010
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2010
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2009
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2010
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2009
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Institutional Accounts
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Beginning of Period Assets
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$ | 11.3 | $ | 10.0 | $ | 10.2 | $ | 10.7 | $ | 7.4 | ||||||||||
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Inflows
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0.5 | 0.6 | 0.8 | 1.8 | 2.6 | |||||||||||||||
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Outflows
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(0.4 | ) | (0.5 | ) | (0.4 | ) | (1.7 | ) | (2.0 | ) | ||||||||||
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Net Flows
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0.1 | 0.1 | 0.4 | 0.1 | 0.6 | |||||||||||||||
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Market Appreciation
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1.1 | 1.2 | 0.1 | 1.7 | 2.7 | |||||||||||||||
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End of Period Assets
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$ | 12.5 | $ | 11.3 | $ | 10.7 | $ | 12.5 | $ | 10.7 | ||||||||||
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Retail Accounts
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Beginning of Period Assets
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$ | 3.0 | $ | 3.1 | $ | 3.7 | $ | 3.6 | $ | 3.3 | ||||||||||
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Inflows
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0.3 | 0.3 | 0.5 | 1.3 | 1.4 | |||||||||||||||
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Outflows
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(0.5 | ) | (0.7 | ) | (0.7 | ) | (2.2 | ) | (2.1 | ) | ||||||||||
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Net Flows
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(0.2 | ) | (0.4 | ) | (0.2 | ) | (0.9 | ) | (0.7 | ) | ||||||||||
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Market Appreciation
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0.3 | 0.3 | 0.1 | 0.4 | 1.0 | |||||||||||||||
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End of Period Assets
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$ | 3.1 | $ | 3.0 | $ | 3.6 | $ | 3.1 | $ | 3.6 | ||||||||||
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Total
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Beginning of Period Assets
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$ | 14.3 | $ | 13.1 | $ | 13.9 | $ | 14.3 | $ | 10.7 | ||||||||||
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Inflows
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0.8 | 0.9 | 1.3 | 3.1 | 4.0 | |||||||||||||||
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Outflows
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(0.9 | ) | (1.2 | ) | (1.1 | ) | (3.9 | ) | (4.1 | ) | ||||||||||
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Net Flows
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(0.1 | ) | (0.3 | ) | 0.2 | (0.8 | ) | (0.1 | ) | |||||||||||
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Market Appreciation
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1.4 | 1.5 | 0.2 | 2.1 | 3.7 | |||||||||||||||
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End of Period Assets
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$ | 15.6 | $ | 14.3 | $ | 14.3 | $ | 15.6 | $ | 14.3 | ||||||||||
3
Financial Discussion
Revenue (unaudited)
($ millions)
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Three Months Ended
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December 31,
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September 30,
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December 31,
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2010
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2010
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2009
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Institutional Accounts
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$ | 17.5 | $ | 15.5 | $ | 15.2 | ||||||
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Retail Accounts
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3.0 | 3.0 | 3.1 | |||||||||
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Total
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$ | 20.5 | $ | 18.5 | $ | 18.3 | ||||||
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Twelve Months Ended
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December 31,
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December 31,
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2010
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2009
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Institutional Accounts
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$ | 65.2 | $ | 51.6 | ||||
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Retail Accounts
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12.3 | 11.4 | ||||||
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Total
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$ | 77.5 | $ | 63.0 | ||||
Revenues were $20.5 million for the fourth quarter of 2010, increasing 12.0% from $18.3 million for the fourth quarter of 2009, and increasing 10.8% from $18.5 million for the third quarter of 2010. For the year ended December 31, 2010, revenues were $77.5 million, increasing 23.0% from $63.0 million for the year ended December 31, 2009.
Average assets under management for the fourth quarter of 2010 was $14.8 billion, increasing 6.5% from $13.9 billion for the fourth quarter of 2009, and increasing 8.8% from $13.6 billion for the third quarter of 2010. Average assets under management for the year ended December 31, 2010 was $14.3 billion, increasing 25.4% from $11.4 billion for the year ended December 31, 2009.
The weighted average fee rate was 0.555% for the fourth quarter of 2010, increasing from 0.526% and 0.544% for the fourth quarter of 2009 and the third quarter of 2010, respectively. The increase from the fourth quarter of 2009 was primarily due to a shift in asset mix towards our institutional accounts and the expiration of the temporary, voluntary partial fee waiver on the John Hancock Classic Value Fund, which ended in May 2010. Institutional accounts comprised 80.1% of total assets under management as of December 31, 2010, increasing from 74.8% as of December 31, 2009, and from 79.0% as of September 30, 2010. Performance fee revenue recognized in the fourth quarter of 2010 also contributed slightly to the increase in the aggregate weighted average fee rate relative to that of 2009, which included no such revenues. The increase in the aggregate weighted average fee rate in the fourth quarter of 2010 compared to that of the third quarter of 2010 was mainly due to the performance fee revenue recognized in the fourth quarter of 2010. No performance fees were recognized in the third quarter of 2010. This increase in aggregate weighted average fee rate was also partially a result of the shift in asset mix noted above.
4
The weighted average fee rate for institutional accounts was 0.596% for the fourth quarter of 2010, increasing from 0.587% for the fourth quarter of 2009, and from 0.589% for the third quarter of 2010. The year-over-year and third quarter of 2010 to fourth quarter of 2010 increases were primarily due to the performance fee revenues recognized in the fourth quarter of 2010 that were not replicated earlier.
The weighted average fee rate for retail accounts increased to 0.396% for the fourth quarter of 2010, from 0.350% for the fourth quarter of 2009, and from 0.389% for the third quarter of 2010. The year-over-year increase was due to the expiration of the temporary, voluntary partial fee waiver on the John Hancock Classic Value Fund noted above and the timing of asset flows in our retail accounts. The increase from the third quarter of 2010 to the fourth quarter of 2010 was due to the timing of asset flows into our retail accounts.
Total operating expenses were $9.6 million in the fourth quarter of 2010, compared to $8.7 million in the fourth quarter of 2009, and $9.2 million in the third quarter of 2010. Operating expenses for the year ended December 31, 2010 were $37.6 million, an increase of $4.3 million, or 12.9%, from $33.3 million for the year ended December 31, 2009. The year-over-year increase in operating expenses was primarily due to increases in employee headcount and discretionary bonus accruals.
As of December 31, 2010, employee headcount was 70, up from 67 at December 31, 2009 and down from 71 at September 30, 2010.
Operating margin was 53.2% for the fourth quarter of 2010, compared to 52.7% for the fourth quarter of 2009, and 50.3% for the third quarter of 2010. For the year ended December 31, 2010, the operating margin was 51.6%, compared to 47.3% for the year ended December 31, 2009.
Other income/(expense) was an expense of $1.4 million for the fourth quarter of 2010, an expense of $0.2 million for the fourth quarter of 2009, and an expense of $1.1 million for the third quarter of 2010. Other income/(expense) includes the net realized and unrealized gains recognized by the Company on its direct investments in third-party mutual funds, as well as those recognized by the Company’s external investors on their investments in investment partnerships that the Company is required to consolidate. These realized and unrealized gains associated with the investments of the Company’s outside interests are offset in net income attributable to non-controlling interests. Fourth quarter 2010 other income/(expense) also included expenses of $1.7 million associated with an increase in the Company’s liability to its selling and converting shareholders resulting from changes in the realizability of its related deferred tax asset. Such adjustments generated expenses of $0.1 million and $1.7 million in the fourth quarter of 2009 and third quarter of 2010, respectively. Details of other income/(expense), as well as a reconciliation of the related GAAP and non-GAAP measures, are shown below:
5
Other Income/(Expense) (unaudited)
($ thousands)
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Three Months Ended
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December 31,
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September 30,
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December 31,
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2010
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2010
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2009
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Interest and Dividend Income
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$ | 66 | $ | 85 | $ | 117 | ||||||
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Interest Expense
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- | - | (254 | ) | ||||||||
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Net Realized and Unrealized Gain from Investments
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258 | 544 | 119 | |||||||||
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Increase in Liability to Selling and Converting Shareholders¹
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(1,679 | ) | (1,725 | ) | (139 | ) | ||||||
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Other Income/(Expense)
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(3 | ) | 3 | 2 | ||||||||
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GAAP Other Expense
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(1,358 | ) | (1,093 | ) | (155 | ) | ||||||
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Add back: Increase in Liability to Selling and Converting Shareholders¹
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1,679 | 1,725 | 139 | |||||||||
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Add back: Loss (or Subtract: Gain) Attributable to Outside Interests of Investment Partnerships²
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(80 | ) | (311 | ) | 224 | |||||||
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Non-GAAP Other Income, Net of Outside Interests
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$ | 241 | $ | 321 | $ | 208 | ||||||
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Twelve Months Ended
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December 31,
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December 31,
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2010
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2009
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Interest and Dividend Income
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$ | 336 | $ | 480 | ||||
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Interest Expense
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(232 | ) | (1,485 | ) | ||||
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Net Realized and Unrealized Gain from Investments
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395 | 6,179 | ||||||
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Increase in Liability to Selling and Converting Shareholders¹
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(3,312 | ) | (3,725 | ) | ||||
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Other Expense
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69 | 152 | ||||||
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GAAP Other Income/(Expense)
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(2,744 | ) | 1,601 | |||||
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Add back: Increase in Liability to Selling and Converting Shareholders¹
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3,312 | 3,725 | ||||||
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Subtract: Gain Attributable to Outside Interests of Investment Partnerships²
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(229 | ) | (3,540 | ) | ||||
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Non-GAAP Other Income, Net of Outside Interests
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$ | 339 | $ | 1,786 | ||||
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(1)
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Reflects the change in the liability to the Company’s selling and converting shareholders associated with the deferred tax asset generated by the Company’s initial public offering and subsequent unit conversions.
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(2)
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Represents the non-controlling interest allocation of the loss/(income) of the Company’s consolidated investment partnerships to its external investors.
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The Company recognized a $0.6 million income tax benefit for the fourth quarter of 2010, a $1.1 million income tax provision for the fourth quarter of 2009, and a $1.1 million income tax benefit for the third quarter of 2010. Fourth quarter 2010 income taxes included a $1.9 million benefit associated with a reduction to the valuation allowance recorded against the Company’s deferred tax asset related to its tax receivable agreement. Such adjustments generated an income tax benefit of $0.1 million for the fourth quarter of 2009, and a $2.2 million benefit for the third quarter of 2010. Details of the income tax provision/(benefit), as well as a reconciliation of the related GAAP and non-GAAP measures, are shown below:
6
Income Tax Provision/(Benefit) (unaudited)
($ thousands)
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Three Months Ended
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December 31,
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September 30,
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December 31,
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2010
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2010
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2009
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Unincorporated Business Tax Provision
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$ | 648 | $ | 546 | $ | 590 | ||||||
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Corporate Income Tax Provision
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654 | 565 | 535 | |||||||||
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Non-GAAP Income Tax Provision
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1,302 | 1,111 | 1,125 | |||||||||
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Change in Valuation Allowance¹
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(1,934 | ) | (2,186 | ) | (53 | ) | ||||||
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GAAP Income Tax Provision/(Benefit)
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$ | (632 | ) | $ | (1,075 | ) | $ | 1,072 | ||||
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Twelve Months Ended
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December 31,
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December 31,
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2010
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2009
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Unincorporated Business Tax Provision
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$ | 2,431 | $ | 1,849 | ||||
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Corporate Income Tax Provision
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2,317 | 1,680 | ||||||
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Non-GAAP Income Tax Provision
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4,748 | 3,529 | ||||||
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Change in Valuation Allowance¹
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(4,007 | ) | (4,836 | ) | ||||
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GAAP Income Tax Provision/(Benefit)
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$ | 741 | $ | (1,307 | ) | |||
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(1)
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Reflects the change in the valuation allowance recorded against the deferred tax asset established as part of the Company’s initial public offering and upon subsequent unit conversions. This valuation allowance was initially recorded by the Company on September 30, 2008.
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Non-controlling interests in the operations of the Company’s operating company and consolidated investment partnerships are comprised of the following:
7
Non-Controlling Interests (unaudited)
($ thousands)
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Three Months Ended
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December 31,
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September 30,
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December 31,
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2010
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2010
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2009
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Operating Company Allocation¹
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$ | 8,962 | $ | 7,722 | $ | 8,019 | ||||||
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Outside Interests of Investment Partnerships²
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80 | 311 | (224 | ) | ||||||||
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GAAP Net Income Attributable to Non-Controlling Interests
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$ | 9,042 | $ | 8,033 | $ | 7,795 | ||||||
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Twelve Months Ended
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December 31,
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December 31,
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2010
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2009
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Operating Company Allocation¹
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$ | 32,445 | $ | 25,786 | ||||
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Outside Interests of Investment Partnerships²
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229 | 3,540 | ||||||
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GAAP Net Income Attributable to Non-Controlling Interests
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$ | 32,674 | $ | 29,326 | ||||
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(1)
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Represents the non-controlling interest allocation of the income of Pzena Investment Management, LLC that is retained by its members.
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(2)
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Represents the non-controlling interest allocation of the income/(loss) of the Company’s consolidated investment partnerships to its external investors.
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On February 1, 2011, the Company’s Board of Directors approved a quarterly dividend of $0.03 per share of its Class A common stock to be declared on February 8, 2011. The following dates apply to the dividend:
Record date: February 18, 2011
Payment date: March 3, 2011
During the last twelve months, inclusive of the dividend noted above, the Company declared total dividends of $0.27 per share of its Class A common stock. On an annual basis, the Company has targeted a cash dividend payout ratio of approximately 70%-80% of its non-GAAP net income, subject to growth initiatives and other funding needs.
8
Fourth quarter 2010 Earnings Call Information
Pzena Investment Management, Inc. (NYSE: PZN) will hold a conference call to discuss its fourth quarter 2010 financial results and outlook at 10:00 am. ET, Wednesday, February 9, 2011. The call will be open to the public.
Webcast Instructions: To gain access to the webcast, which will be "listen-only," go to the Events page in the Investor Relations area of the Company’s website, www.pzena.com.
Teleconference Instructions: To gain access to the conference call via telephone, U.S./Canada callers should dial 877-820-5027; international callers should dial 706-679-9396. The conference ID number is 40409163.
Replay: The conference call will be available for replay through February 18, 2011, on the web using the information given above.
About Pzena Investment Management
Pzena Investment Management, LLC, the firm’s operating company, is a value-oriented investment management firm. Founded in 1995, Pzena Investment Management has built a diverse, global client base. More firm and stock information is posted at www.pzena.com.
Forward-Looking Statements
This press release may contain, in addition to historical information, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on the Company's current assumptions, expectations and projections about future events. Words like “believe,” “anticipate,” “intend,” “estimate,” “expect,” “project,” and similar expressions are used to identify forward-looking statements, although not all forward-looking statements contain these words. These forward-looking statements are necessarily estimates reflecting the best judgment of the Company's management and involve a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed or implied by the forward-looking statements.
Among the factors that could cause actual results to differ from those expressed or implied by a forward-looking statement are those described in the sections entitled “Risk Factors” and
“Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s Annual Report on Form 10-K, as filed with the SEC on March 12, 2010 and in the Company’s Quarterly Reports on Form 10-Q as filed with the SEC. Other unknown or unpredictable factors also could have material adverse effects on the Company's future results, performance, or achievements. In light of these risks, uncertainties, assumptions, and factors, actual results could differ materially from those expressed or implied in the forward-looking statements.
9
You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date stated, or if no date is stated, as of the date of this release.
The Company is not under any obligation and does not intend to make publicly available any update or other revisions to any forward-looking statements to reflect circumstances existing after the date of this release or to reflect the occurrence of future events even if experience or future events make it clear that any expected results expressed or implied by those forward-looking statements will not be realized.
10
PZENA INVESTMENT MANAGEMENT, INC.
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION
(in thousands)
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As of
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December 31,
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December 31,
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2010
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2009
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(unaudited)
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ASSETS
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Cash and Cash Equivalents
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$ | 16,381 | $ | 15,908 | ||||
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Restricted Cash
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1,420 | 1,407 | ||||||
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Advisory Fees Receivable
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15,275 | 13,378 | ||||||
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Investments, at Fair Value
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3,323 | 7,951 | ||||||
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Prepaid Expenses and Other Assets
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1,217 | 805 | ||||||
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Deferred Tax Asset, Net of Valuation Allowance of $59.4 million and $60.3 million, respectively
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8,834 | 6,754 | ||||||
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Property and Equipment, Net of Accumulated Depreciation of $2,727 and $2,385, respectively
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1,952 | 2,315 | ||||||
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TOTAL ASSETS
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$ | 48,402 | $ | 48,518 | ||||
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LIABILITIES AND EQUITY
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Liabilities:
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||||||||
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Accounts Payable and Accrued Expenses
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$ | 3,879 | $ | 3,644 | ||||
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Due to Broker
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- | 731 | ||||||
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Senior Subordinated Notes
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- | 10,000 | ||||||
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Liability to Selling and Converting Shareholders
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9,287 | 5,642 | ||||||
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Other Liabilities
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1,440 | 1,143 | ||||||
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TOTAL LIABILITIES
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14,606 | 21,160 | ||||||
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Equity:
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||||||||
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Total Pzena Investment Management, Inc.'s Equity
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10,572 | 8,270 | ||||||
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Non-Controlling Interests
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23,224 | 19,088 | ||||||
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TOTAL EQUITY
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33,796 | 27,358 | ||||||
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TOTAL LIABILITIES AND EQUITY
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$ | 48,402 | $ | 48,518 | ||||
PZENA INVESTMENT MANAGEMENT, INC.
UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except share and per-share amounts)
|
Three Months Ended
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Twelve Months Ended
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December 31,
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December 31,
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2010
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2009
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2010
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2009
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REVENUE
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$ | 20,505 | $ | 18,322 | $ | 77,525 | $ | 63,039 | ||||||||
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EXPENSES
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Compensation and Benefits Expense
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7,522 | 6,736 | 29,548 | 24,991 | ||||||||||||
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General and Administrative Expenses
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2,080 | 1,931 | 8,007 | 8,261 | ||||||||||||
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TOTAL OPERATING EXPENSES
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9,602 | 8,667 | 37,555 | 33,252 | ||||||||||||
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Operating Income
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10,903 | 9,655 | 39,970 | 29,787 | ||||||||||||
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Total Other Income/(Expense)
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(1,358 | ) | (155 | ) | (2,744 | ) | 1,601 | |||||||||
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Income Before Taxes
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9,545 | 9,500 | 37,226 | 31,388 | ||||||||||||
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Income Tax Benefit/(Provision)
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632 | (1,072 | ) | (741 | ) | 1,307 | ||||||||||
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Consolidated Net Income
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10,177 | 8,428 | 36,485 | 32,695 | ||||||||||||
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Less: Net Income Attributable to Non-Controlling Interests
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9,042 | 7,795 | 32,674 | 29,326 | ||||||||||||
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Net Income Attributable to Pzena Investment Management, Inc.
|
$ | 1,135 | $ | 633 | $ | 3,811 | $ | 3,369 | ||||||||
|
Earnings per Share - Basic and Diluted Attributable to
|
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|
Pzena Investment Management, Inc. Common Stockholders:
|
||||||||||||||||
|
Net Income for Basic Earnings per Share
|
$ | 1,135 | $ | 633 | $ | 3,811 | $ | 3,369 | ||||||||
|
Basic Earnings per Share
|
$ | 0.12 | $ | 0.07 | $ | 0.41 | $ | 0.41 | ||||||||
|
Basic Weighted Average Shares Outstanding
|
9,367,659 | 8,633,041 | 9,186,520 | 8,217,561 | ||||||||||||
|
Net Income for Diluted Earnings per Share
|
$ | 6,276 | $ | 633 | $ | 22,419 | $ | 18,106 | ||||||||
|
Diluted Earnings per Share
|
$ | 0.10 | $ | 0.07 | $ | 0.34 | $ | 0.28 | ||||||||
|
Diluted Weighted Average Shares Outstanding
|
65,023,010 | 8,633,041 | 64,985,753 | 64,853,824 | ||||||||||||
PZENA INVESTMENT MANAGEMENT, INC.
UNAUDITED NON-GAAP CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except share and per-share amounts)
|
Non-GAAP Basis
|
Non-GAAP Basis
|
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|
Three Months Ended
|
Twelve Months Ended
|
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|
December 31,
|
December 31,
|
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|
2010
|
2009
|
2010
|
2009
|
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|
REVENUE
|
$ | 20,505 | $ | 18,322 | $ | 77,525 | $ | 63,039 | ||||||||
|
EXPENSES
|
||||||||||||||||
|
Compensation and Benefits Expense
|
7,522 | 6,736 | 29,548 | 24,991 | ||||||||||||
|
General and Administrative Expenses
|
2,080 | 1,931 | 8,007 | 8,261 | ||||||||||||
|
TOTAL OPERATING EXPENSES
|
9,602 | 8,667 | 37,555 | 33,252 | ||||||||||||
|
Operating Income
|
10,903 | 9,655 | 39,970 | 29,787 | ||||||||||||
|
Total Other Income, Net of Outside Interests
|
241 | 208 | 339 | 1,786 | ||||||||||||
|
Income Before Taxes and Operating Company Allocation
|
11,144 | 9,863 | 40,309 | 31,573 | ||||||||||||
|
Unincorporated Business Tax Provision
|
648 | 590 | 2,431 | 1,849 | ||||||||||||
|
Allocable Income
|
10,496 | 9,273 | 37,878 | 29,724 | ||||||||||||
|
Operating Company Allocation
|
8,962 | 8,019 | 32,445 | 25,786 | ||||||||||||
|
Income Before Corporate Income Taxes
|
1,534 | 1,254 | 5,433 | 3,938 | ||||||||||||
|
Corporate Income Tax Provision
|
654 | 535 | 2,317 | 1,680 | ||||||||||||
|
Non-GAAP Net Income
|
$ | 880 | $ | 719 | $ | 3,116 | $ | 2,258 | ||||||||
|
Tax Receivable Agreement Income/(Expense), Net of Taxes
|
255 | (86 | ) | 695 | 1,111 | |||||||||||
|
GAAP Net Income
|
$ | 1,135 | $ | 633 | $ | 3,811 | $ | 3,369 | ||||||||
|
Earnings Per Share - Basic and Diluted Attributable to
|
||||||||||||||||
|
Pzena Investment Management, Inc. Common Stockholders:
|
||||||||||||||||
|
Net Income for Basic Earnings per Share
|
$ | 880 | $ | 719 | $ | 3,116 | $ | 2,258 | ||||||||
|
Basic Earnings per Share
|
$ | 0.09 | $ | 0.08 | $ | 0.34 | $ | 0.27 | ||||||||
|
Basic Weighted Average Shares Outstanding
|
9,367,659 | 8,633,041 | 9,186,520 | 8,217,561 | ||||||||||||
|
Net Income for Diluted Earnings per Share
|
$ | 6,021 | $ | 5,302 | $ | 21,724 | $ | 16,995 | ||||||||
|
Diluted Earnings per Share
|
$ | 0.09 | $ | 0.08 | $ | 0.33 | $ | 0.26 | ||||||||
|
Diluted Weighted Average Shares Outstanding
|
65,023,010 | 65,059,846 | 64,985,753 | 64,853,824 | ||||||||||||
CONTACT:
Pzena Investment Management, Inc.
Lawrence Kohn, 212-355-1600
kohn@pzena.com