Aston Hill announces 2013 year end results, including a 37% increase in year over year EBITDA
CALGARY, March 19, 2014 /CNW/ - Aston Hill Financial Inc. ("Aston Hill" or the "Company") (TSX:AHF) announces it has filed its Annual Audited Consolidated Financial Statements for the year ended December 31, 2013 and related Management Discussion and Analysis with Canadian securities regulatory authorities.
For the year ended December 31, 2013, Aston Hill's revenue was $35.6 million, an increase of 45% from 2012 year-end revenue of $24.6 million. The revenue increase was due mainly to the continued growth and performance of the Aston Hill mutual funds and the acquisition of CC&L closed end funds in August 2013. Aston Hill Assets under Management, Administration and Advisory ("AUM") increased 20% year-over-year from $6.46 billion to $7.77 billion at December 31, 2013. The rise in AUM is mainly the result of new mutual fund subscriptions and the CC&L acquisition.
General and administrative expenses were $22.2 million for 2013 as compared to $16.0 million for 2012 due to an increase in headcount for mutual fund sales and operations and the CC&L acquisition of closed end investment funds. AUM for the Aston Hill branded mutual funds increased from $300 million at January 1, 2013 to $665 million at December 31, 2013. As at February 28, 2014, the Aston Hill open-ended mutual fund AUM was $798 million as these funds continue to sell at record rates.
EBITDA for the year ended December 31, 2013 was $10.0 million before stock compensation ($8.5 million after stock compensation), up 37% from the prior year amount of $7.3 million before stock compensation ($5.1 million after stock compensation). The EBITDA increase is a result of revenue increases from the Company's investment management services and products offset by increased compensation and operational costs related to the growth of Aston Hill's mutual funds and the acquisition of the CC&L closed end investment funds.
The following table represents the breakdown of AUM at December 31, 2013 and the percentage of total revenue by division for the fourth quarter 2013.
|Division||AUM ($B)||% of Revenue|
Aston Hill Funds
Pensions and Energy Management
Aston Hill Financial Inc. is a diversified asset management company with a suite of retail mutual funds, closed end funds, private equity funds, hedge funds and segregated institutional funds. The Company is also engaged in the administration of Argent Energy Trust (TSX: AET.UN). Aston Hill has offices in Calgary, Toronto and Halifax.
The TSX has neither approved nor disapproved the information contained herein.
- EBITDA: EBITDA is not a standardized earnings measure prescribed by IFRS; however, management believes that most of its shareholders, creditors, other stakeholders and investment analysts prefer to use this performance measure in analyzing Aston Hill's results.
- Forward-Looking Statements: This news release contains certain "forward-looking statements" within the meaning of such statements under applicable securities law. Forward-looking statements are frequently characterized by words such as "plan", "continue", "expect", "project", "intend", "believe", "anticipate", "estimate", "may", "will", "potential", "proposed" and other similar words, or statements that certain events or conditions "may" or "will" occur. These statements are only predictions. Various assumptions were used in drawing the conclusions or making the projections contained in the forward-looking statements throughout this news release. Forward-looking statements are based on the opinions and estimates of management at the date the statements are made, and are subject to a variety of risks and uncertainties and other factors that could cause actual events or results to differ materially from those projected in the forward-looking statements.
For a detailed description of the risks and uncertainties facing the Company and its business and affairs, readers should refer to the Company's annual financial statements and management discussion and analysis for the year ended December 31, 2013, both of which are available at www.sedar.com. The Company undertakes no obligation to update forward-looking statements if circumstances or management's estimates or opinions should change, unless required by law. The reader is cautioned not to place undue reliance on forward-looking statements.
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Chief Executive Officer
Aston Hill Financial Inc.
Chief Financial Officer
Aston Hill Financial Inc.