Advisors, Inc. Reports First Quarter Results
2003-02-05 15:00 (New York)
Calif., Feb. 5 /PRNewswire-FirstCall/ -- Hennessy Advisors, Inc.
(OTC Bulletin Board: HNNA) President and CEO Neil Hennessy announced
earnings per share of $.14 for the quarter ended December 31, 2002
up from -- $.02 in the comparable 2001 period. These increases were
attributable to an increase in mutual fund assets under management
as well as the adoption of SFAS 142 which eliminated amortization
of management contracts. At December 31, 2001, total mutual fund
assets were $210.3 million and as of December 31, 2002 the assets
increased to $493.7 million, an increase of 134.8%. "It is
no secret that this was a very difficult year for the financial
markets and for our economy. We are pleased with the vitality and
range of our asset growth. The Hennessy Funds are held nationwide
by tens of thousands of shareholders and our focus is to continually
expand our distribution networks to reach additional investors.
We anticipate that our investors will be pleased with our mutual
fund asset growth and our earnings. We are committed to growing
our assets under management for the benefit of our shareholders."
Advisors, Inc., located in Novato, CA, is the advisor to four no-load
mutual funds, satisfying a variety of investment horizons and risk
tolerance levels. Each of the Hennessy Funds employs a unique and
powerful money management approach combining superior, time-tested
stock selection formulas with unwavering discipline and consistency.
The Company serves clients with integrity, honesty and candor. The
Hennessy Funds strategies and performance are fully disclosed.
Year to Year Comparison
Quarter Ended December 31, 2002 and 2001
Three Months Ended
number of shares
Statements in this press release regarding Hennessy Advisors, Inc.'s
business, which are not historical facts, are "forward-looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements involve a number
of risks, uncertainties and other important factors that could cause
the actual results and outcomes to differ materially from any future
results or outcomes expressed or implied by such forward-looking
statements. These risks, uncertainties and other important factors
are described in more detail in the "Risk Factors" section
of the Company's annual report on Form 10-KSB for the fiscal year
ended September 30, 2002 filed December 27, 2002 with the U.S. Securities
and Exchange Commission, including, without limitation, the "Risk
Factors" section of the Management's Discussion and Analysis
of Financial Condition and Results of Operations. The following
factors affect the actual results of the Company:
Continuing volatility in the equity markets have caused the levels
our assets under management to fluctuate significantly.
Continued weak market conditions may lower our assets under management
and reduce our revenues and income.
We face strong competition from numerous and sometimes larger
Changes in the distribution channels on which we depend could
our revenues or hinder our growth.
For the next several years, insurance costs are likely to increase
materially and we may not be able to obtain the same types or
The ongoing threat of terrorism may adversely affect the general
economy, financial and capital markets and our business.
Nothing in this section shall be considered a solicitation to buy
or an offer to sell a security to any person in any jurisdiction
where such offer, solicitation, purchase or sale would be unlawful
under the securities laws of such jurisdiction.