Stock Monitor: Affiliated Managers Group Post Earnings Reporting

LONDON, UK / ACCESSWIRE / May 14, 2018 / If you want access to our free earnings report on Franklin Resources, Inc. (NYSE: BEN) ("Franklin"), all you need to do is sign up now by clicking the following link www.active-investors.com/registration-sg/?symbol=BEN. On April 26, 2018, Franklin reported financial results for the second quarter ending March 31, 2018. The Company exceeded analysts' estimates for revenue as well as earnings in the second quarter of 2018. Register today and get access to over 1,000 Free Research Reports by joining our site below:

www.active-investors.com/registration-sg

Active-Investors.com is currently working on the research report for Affiliated Managers Group, Inc. (NYSE: AMG), which also belongs to the Financial sector as the Company Franklin Resources. Do not miss out and become a member today for free to access this upcoming report at:

www.active-investors.com/registration-sg/?symbol=AMG

Active-Investors.com is focused on giving you timely information and the inside line on companies that matter to you. This morning, Franklin Resources most recent news is on our radar and our team decided to put out a fantastic report on the company that is now available for free below:

www.active-investors.com/registration-sg/?symbol=BEN

Earnings Highlights and Summary

Franklin had total assets under management (AUM) of $737.50 billion as on March 31, 2018, compared to $740 billion as on March 312017. The Company had net new outflows of $10 billion in the reported quarter, a decline of $1 billion from $11 billion in year ago comparable quarter. Franklin's simple monthly average AUM for Q2 FY18 was $751.80 billion, up 2.85% on a y-o-y basis.

Earnings Summary

Franklin's total revenues reached $1.62 billion for Q2 FY18, reflecting an increase of 1.07% from $1.60 billion in Q2 FY17, mainly due to higher investment management, shareholder's servicing fees and other fees, partly offset by lower sales and distribution fees. The reported total revenue number surpassed analysts' consensus estimates of $1.59 billion.

In the quarter under review, Franklin's investment management fees jumped 2.56% to $1.12 billion, and shareholder-servicing fees advanced 8.69% to $61.30 million, while sales and distribution fees dipped 4.96% to $409.80 million on a y-o-y basis.

In Q2 FY18, Franklin incurred operating expenses of $1.06billion, 1.63% higher than $1.05 billion in Q2 FY17. The Company's sales, distribution, and marketing expenses fell 2.49% to $521.50 million on a y-o-y basis, while compensation and benefit expenses increased 3.52% to $355.50 million on a y-o-y basis in Q2 FY18. Franklin's operating income advanced 0.04% to $555.70 million in Q2 FY18 from $555.50 million in Q2 FY17. The Company's operating margin reduced 0.36 percentage points to 34.35% in the quarter ended March 31, 2018, from 34.71% in the same period last year.

Net income attributable to Franklin was $443.20 million for Q2 FY18, an increase of 5.35% from $420.70 million in Q2 FY17. The Company's diluted earnings per share (DEPS) also rose 5.41% to $0.78 in the quarter under review from $0.74 in the year-ago corresponding quarter. This was higher than analysts' consensus estimates of $0.75 per share. Besides, in Q2 FY18, the Company's earnings reached the highest level since Q4 FY16.

Cash Matters

Franklin had cash, cash equivalents, and investments of $10.10 billion as on March 31, 2018, compared to $9.90 billion as on September 30, 2017.

On April 12, 2018, Franklin's Board of Directors authorized the Company to repurchase up to an additional 80 million shares of its common stock in either open market or off-market transactions. The Company repurchased 11.10 million shares of its common stock for a total cost of $432.60 million during Q2 FY18.

On February 14, 2018, Franklin declared a special cash dividend of $3.00 per share and a regular quarterly cash dividend of $0.23 per share, which were paid on April 12, 2018.

Stock Performance Snapshot

May 11, 2018 - At Friday's closing bell, Franklin Resources' stock slightly advanced 0.18%, ending the trading session at $33.26.

Volume traded for the day: 2.16 million shares.

After last Friday's close, Franklin Resources' market cap was at $17.64 billion.

Price to Earnings (P/E) ratio was at 10.22.

The stock has a dividend yield of 2.77%.

The stock is part of the Financial sector, categorized under the Asset Management industry.

Active-Investors:

Active-Investors (A-I) produces regular sponsored and non-sponsored reports, articles, stock market blogs, and popular investment newsletters covering equities listed on NYSE and NASDAQ and Canadian stocks. A-I has two distinct and independent departments. One department produces non-sponsored analyst certified content generally in the form of press releases, articles and reports covering equities listed on NYSE and NASDAQ and the other produces sponsored content (in most cases not reviewed by a registered analyst), which typically consists of compensated investment newsletters, articles and reports covering listed stocks and micro-caps. Such sponsored content is outside the scope of procedures detailed below.

A-I has not been compensated; directly or indirectly; for producing or publishing this document.

PRESS RELEASE PROCEDURES:

The non-sponsored content contained herein has been prepared by a writer (the ''Author'') and is fact checked and reviewed by a third-party research service company (the "Reviewer") represented by a credentialed financial analyst. For further information on analyst credentials, please email info@active-investors.com. Rohit Tuli, a CFA® charterholder (the "Sponsor"), provides necessary guidance in preparing the document templates. The Reviewer has reviewed and revised the content, as necessary, based on publicly available information which is believed to be reliable. Content is researched, written and reviewed on a reasonable-effort basis. The Reviewer has not performed any independent investigations or forensic audits to validate the information herein. The Reviewer has only independently reviewed the information provided by the Author according to the procedures outlined by A-I. A-I is not entitled to veto or interfere in the application of such procedures by the third-party research service company to the articles, documents or reports, as the case may be. Unless otherwise noted, any content outside of this document has no association with the Author or the Reviewer in any way.

NO WARRANTY

A-I, the Author, and the Reviewer are not responsible for any error which may be occasioned at the time of printing of this document or any error, mistake or shortcoming. No liability is accepted whatsoever for any direct, indirect or consequential loss arising from the use of this document. A-I, the Author, and the Reviewer expressly disclaim any fiduciary responsibility or liability for any consequences, financial or otherwise arising from any reliance placed on the information in this document. Additionally, A-I, the Author, and the Reviewer do not (1) guarantee the accuracy, timeliness, completeness or correct sequencing of the information, or (2) warrant any results from use of the information. The included information is subject to change without notice.

NOT AN OFFERING

This document is not intended as an offering, recommendation, or a solicitation of an offer to buy or sell the securities mentioned or discussed, and is to be used for informational purposes only. Please read all associated disclosures and disclaimers in full before investing. Neither A-I nor any party affiliated with us is a registered investment adviser or broker-dealer with any agency or in any jurisdiction whatsoever. To download our report(s), read our disclosures, or for more information, visit http://active-investors.com/legal-disclaimer/.

CONTACT

For any questions, inquiries, or comments reach out to us directly. If you're a company we are covering and wish to no longer feature on our coverage list contact us via email and/or phone between 09:30 EDT to 16:00 EDT from Monday to Friday at:

Email: info@active-investors.com

Phone number: 73 29 92 6381

Office Address: 6, Jalan Kia Peng, Kuala Lumpur, 50450 Kuala Lumpur, Wilayah Persekutuan Kuala Lumpur, Malaysia

CFA® and Chartered Financial Analyst® are registered trademarks owned by CFA Institute.

SOURCE: Active-Investors