CALGARY, Nov. 7, 2013 /CNW/ - Aston Hill Financial Inc. ("Aston Hill" or the "Company") (TSX:AHF) is pleased to announce that it has filed its unaudited interim Consolidated Financial Statements for the period ended September 30, 2013 and related Management Discussion and Analysis with Canadian securities regulatory authorities.
EBITDA before stock compensation was $2.9 million (a record high for the Company) for the third quarter of 2013 compared to $2.3 million for the prior quarter due to higher revenues from Aston Hill mutual funds, lower product development costs and a partial quarter's contribution from the newly acquired CC&L Capital Markets closed-end funds.
Third quarter revenues of $9.2 million also set a record high for a quarter, an increase of 48% from the same period last year and an increase of 19% from the prior quarter. The revenue increase was due mainly to the continued growth and performance of the Aston Hill proprietary mutual funds and the aforementioned acquisition of the CC&L closed-end funds in August 2013. Aston Hill's Assets under Management, Administration and Advisory ("AUM") grew to $7.9 billion at September 30, 2013 from $6.7 billion at the end of the prior quarter and $6.0 billion at September 30, 2012. This year-over-year increase of 31% and quarterly increase of 17% was mainly the result of the CC&L Capital Markets acquisition and the growth in the mutual fund business.
During the third quarter, revenues from Aston Hill-managed investment funds surpassed revenues from all other sources, as per the following table:
|Percent of Revenues by Source for Three Months Ended September 30, 2013|
|Aston Hill-Managed Investment Funds||51%|
|Institutional & Energy Management||20%|
|Aston Hill Securities||2%|
As a result of strong mutual funds sales during the period, trailer fees payable increased for the quarter. These fee increases coupled with the new sub-advisory fees incurred as a result of the CC&L Capital Markets funds acquisition, resulted in expenses increasing from $6.2 million in the second quarter to $7.0 million in the third quarter.
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 Financial 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, 2012, 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.
SOURCE: Aston Hill Asset Management Inc.
For further information:
Chief Executive Officer
Aston Hill Financial Inc.
Vice President and CFO
Aston Hill Financial Inc.