(October 27 – 09:30 ET) – Investors Group Inc. is announcing improved financial results for the third quarter ended September 30.
In the third quarter, the firm earned $76.5 million dollars, or 36.5¢ a share, up from 30.1¢ a share in the period last year. Net income for the nine months was $204.1 million, compared with $169.4 million in the same period of 1999.
Gross revenues for the third quarter were $308 million, compared to $263.8 million in the prior year. Operating expenses were up to $162.7 million for the quarter from $146.3 million in the prior year. Shareholders’ equity increased to $1.1 billion, from $966.9 million at Dec. 31, 1999. Return on average common equity for the nine months was 27.5% compared with 25.7% for the same period in 1999.
Mutual fund net sales for the nine-month period slipped to $858 million from $1.2 billion in the prior year. In the third quarter, net sales were $87 million compared to $210 million for third quarter 1999. Assets under management and administration at September 30 reached $48.8 billion, up from $40.5 billion at September 30, 1999. Mutual fund assets at September 30 were $45.3 billion compared to $38 billion a year ago.
Sales of new annualized life insurance premiums for the first nine months increased 4.1% to $18.3 million compared to $17.6 million last year. Mortgage originations for the first nine months dropped to $648 million this year from $796 million last year. Assets in the securities operations increased by 136.3% from a year ago, now totalling $2.6 billion.
The number of reps fell to 3,511 compared to 3,647 as at September 30, 1999.
The firm has declared a quarterly dividend of 16¢ a share.
-IE Staff