Market Intelligence

Janus Henderson profit misses estimates on higher net outflows


Feb 5 () - Fund manager Janus Henderson Group on Tuesday reported quarterly profit that missed Wall Street expectations, hit by customers withdrawing more funds against the backdrop of heightened market volatility.

The results come a day after the fund's most high-profile portfolio manager, former PIMCO chief Bill Gross, announced his retirement after making a failed attempt to reclaim his status as the bond market's most influential investor.

Gross co-founded Pacific Investment Management Co in 1971 and made it the most recognizable name in the investment world. At Janus, he was in charge of its $950 millionGlobal Unconstrained Bond Fund.

"We faced the same global market challenges and headwinds as the wider industry, combined with an aggregate $18 billion outflow, which was disappointing," Chief Executive Officer Dick Weil said.

Financial market turmoil in the last quarter of 2018 prompted investors to pull out money from risk-sensitive assets, hurting the bottom line of fund managers around the globe.

Last week, Janus Henderson announced the closure of its three Australian equities funds due to tough fund-raising conditions, and said it would return nearly A$490 million ($354.86 million) to investors.

Net income attributable to the company fell to $106.8 million, or 54 cents per share, in the quarter ended Dec. 31, from, $471 million, or $2.32 per share, a year earlier when the company recorded a $340.7 million tax gain.

On an adjusted basis, the company earned $114.3 million, or 59 cents per share. Analysts were expecting 63 cents per share, according to IBES data by Refinitiv.

($1 = 1.3808 Australian dollars)

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

In This Story


Other Topics

World Markets Stocks Earnings


Reuters, the news and media division of Thomson Reuters, is the world’s largest international multimedia news provider reaching more than one billion people every day. Reuters provides trusted business, financial, national, and international news to professionals via Thomson Reuters desktops, the world's media organizations, and directly to consumers at and via Reuters TV.

Learn More