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Hennessy Advisors Inc. (HNNA+2.05%) has submitted its Form 10-K filing for the fiscal year ended September 30, 2024.
The filing details the company's financial performance, indicating an increase in total assets under management to $4.6 billion, up 53.1% from the previous year. This growth was attributed to market appreciation, net inflows, and asset acquisitions.
Investment advisory fees rose by 24.6% to $27.5 million, while shareholder service fees increased by 9.9% to $2.1 million. The increase in fees was primarily due to higher average daily net assets.
Operating expenses totaled $20.8 million, a 17.5% increase from the prior year, mainly due to higher compensation and benefits expenses, as well as general and administrative costs.
Net income for the fiscal year was $7.1 million, up 48.8% from the previous year, driven by increased revenue from higher assets under management.
The company reported cash and cash equivalents of $63.9 million as of the fiscal year-end, and it completed a public offering of 4.875% notes due in 2026, raising $40.25 million.
Hennessy Advisors continues to focus on its business strategy of organic growth and strategic acquisitions, with recent purchases of management-related assets contributing to its asset base.
The filing also notes the company's commitment to maintaining strong internal controls over financial reporting, with no changes in internal control during the last fiscal quarter.
The report outlines various risks, including market volatility, competition, and regulatory changes, which could impact future performance.
Hennessy Advisors plans to continue paying dividends, subject to the discretion of its Board of Directors, with recent quarterly dividends set at $0.1375 per share.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Hennessy Advisors Inc. annual 10-K report dated December 11, 2024. To report an error, please email earnings@qz.com.