Ashmore Dips But Beats Market Expectations

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

LONDON -- Fund manager Ashmore Group  (LSE: ASHM.L  )  released its audited results for the year ending 30 June 2012 this morning, with revenue, pre-tax profits, and earnings per share all dropping marginally from the year before. 

However, the final results beat market expectations, with chief executive officer Mark Coombs saying, "the Group has delivered higher quality revenues, with growing, more diversified management fees replacing the anticipated reduction in performance fees, while maintaining overall levels of profitability" during "a period of significant ongoing market volatility."

The aforementioned management fees were announced as up 21% to 302.6 million pounds. Total net revenue came in at 333.3 million pounds, in line with the previous 12 months' total figure of 333.8 million pounds; the EBITDA margin was reported as 71%, against 2011's 73%; pre-tax profit was only down 1% on the previous full-year figure of 245.9 million pounds, at 243.2 million pounds; while the company announced basic earnings per share of 26.8 pence, down marginally from the 2010/11 period's 28.1 pence.

Despite the slight fall, chairman Michael Benson remains "confident about the future and the growth of the operations," placing the blame in the drop-off squarely at the feet of the current global economic climate. Ashmore's solid performance during this, and the FTSE 100 (UKX) company's commitment to continue its accomplishments, has proposed an increase to the total dividend, to 15 pence per share up from 2010/11's 14.50p figure. 

The news hasn't rocked the company's position in the market, with shares down a fraction at 336 pence at the time of writing, only 1.1% less than yesterday's close of 339.70 pence.

If you're keen on companies that can handle themselves well during these turbulent markets, then you may well be interested in The Motley Fool's special free report "Top Sectors of 2012." In it, our top analysts point toward three favorable industries that can profit from this uncertain economy, and provide share tips within each one. The report will be dispatched immediately to your inbox, completely free of charge -- but all Fool reports are only free for a limited period of time, so don't miss out on this opportunity -- click here to get it now!

Are you looking to profit from this uncertain economy? "10 Steps to Making a Million in the Market" is the very latest Motley Fool guide to help Britain invest. Better. We urge you to read the report today -- it's free.

Further Motley Fool investment opportunities:

Sam does not own shares in Ashmore.

The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.

Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2012713, ~/Articles/ArticleHandler.aspx, 10/23/2016 8:17:32 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 1 day ago Sponsored by:
DOW 18,145.71 -16.64 -0.09%
S&P 500 2,141.16 -0.18 -0.01%
NASD 5,257.40 15.57 0.30%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes