In This Story
Hennessy Advisors Inc. (HNNA-0.29%) has submitted its 10-Q filing for the quarterly period ended December 31, 2024.
The filing includes financial statements for the quarter, showing an increase in total revenue to $9,708,000 from $6,144,000 in the same quarter the previous year. This increase is attributed to higher investment advisory fees and shareholder service fees due to increased average daily net assets of the Hennessy Funds.
Operating expenses for the quarter were $5,878,000, representing 60.5% of total revenue, compared to 76.8% in the same quarter of the previous year. The decrease in the cost ratio is due to a higher increase in revenue relative to expenses.
The company reported a net operating income of $3,830,000 for the quarter, compared to $1,425,000 in the previous year, with the increase attributed to higher revenue.
Interest income for the quarter was $709,000, down from $786,000 in the previous year, due to decreased interest rates.
Net income for the quarter was $2,834,000, up from $1,200,000 in the previous year. The increase in net income was primarily due to increased revenue in the current period.
Cash provided by operating activities was $2,234,000, while cash used in investing and financing activities was $127,000 and $1,050,000, respectively.
Hennessy had total assets under management of $4.8 billion as of December 31, 2024, an increase of $1.5 billion from December 31, 2023. This increase is attributed to net inflows into the Hennessy Funds, market appreciation, and asset purchases.
The filing also details the company's liquidity and capital resources, noting that cash and other liquid assets on hand are expected to meet capital requirements for the foreseeable future.
Hennessy Advisors does not anticipate any changes in its internal control over financial reporting that could materially affect its financial reporting.
The company continues to focus on providing investment advisory services to its family of 16 open-end mutual funds and one ETF, as well as shareholder services to investors in the Hennessy Mutual Funds.
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. quarterly 10-Q report dated February 13, 2025. To report an error, please email earnings@qz.com.