Legg Mason Inc. on Thursday reported a total of $644.5 billion in assets under management as of June 30; down 3.1% from the prior quarter but up 2% from a year earlier.
Legg Mason also reported net income of $47.8 million in the latest quarter, the first quarter of the company's fiscal year. That compares with net income of $29.2 million in the previous quarter and a net loss of $9.5 million in the quarter ended June 30, 2012, according to an earnings statement.
Net outflows for the latest quarter totaled $8.5 billion, with liquidity outflows of $8.7 billion, outflows of $700 million from equity and inflows of $900 million to fixed income.
Also, market losses in the quarter totaled $11.6 billion, compared with appreciation of $5.7 billion the prior quarter.
Revenue at $670.4 million was up 0.4% in the three months ended June 30 and up 6% from 12 months earlier.
In a note to clients, William Katz, analyst at Citigroup Global Markets, said that long-term flows, equity and fixed income combined, turned marginally positive at $200 million, aided by the $1.2 billion raised by Legg Mason subsidiary ClearBridge Investments' American Energy MLP. “Performance continues to improve, though (the) challenge will be to jumpstart organic growth across distribution channels and geographies,” Mr. Katz wrote.
