Notable News Spotlight: Medley Management Inc. (NYSE:MDLY)

Medley Management Inc. (NYSE:MDLY) changed -0.57% to recent value of $3.46. The stock transacted 13096 shares during most recent day however it has an average volume of 25.08K shares. It spotted trading -39.72% off 52-week high price. On the other end, the stock has been noted 60.19% away from the low price over the last 52-weeks.

On Aug. 14, 2019, Medley Management Inc. (NYSE:MDLY) revealed its financial results for its second quarter ended June 30, 2019.

Highlights

  • Fee earning assets under management were $2.5 billion as of June 30, 2019
  • Total assets under management were $4.4 billion as of June 30, 2019
  • Total revenues were $12.9 million for the three months ended June 30, 2019 and $26.7 million for the six months ended June 30, 2019
  • S. GAAP net loss per share attributable to Medley Management Inc. was $0.03 for Q2 2019
  • Core Net Income Per Share was $0.02 for Q2 2019
  • The board of directors did not declare a dividend for this quarter
  • Results of Operations for the Three Months Ended June 30, 2019

Total revenues were $12.9 million for the three months ended June 30, 2019 compared to $15.2 million for the same period in 2018. The decrease was due primarily to lower base management fees from our permanent capital vehicles as a result of a decrease in fee earning assets under management.

Total expenses from operations were $11.1 million for the three months ended June 30, 2019 compared to $11.6 millionfor the same period in 2018. The decrease was due primarily to lower salaries and expenses associated with our consolidated fund, STRF, partly offset by an increase in severance and insurance expense. Included in total expenses are costs associated with our pending merger of $1.1 million and $0.9 million for the three months ended June 30, 2019 and 2018, respectively.

Total other expenses, net were $8.7 million for the three months ended June 30, 2019 compared to $5.8 million for the same period in 2018. The unfavorable variance was due primarily to a $6.0 million unrealized loss on our investment in MCC during the three months ended June 30, 2019 as compared to a $4.0 million unrealized loss recorded during the same period in 2018 as well as a $0.8 million reduction in dividend income from our investment in shares of MCC during the three months ended June 30, 2019 as compared to the same period in 2018. The $6.0 million unrealized loss during the three months ended June 30, 2019 and the $4.0 million unrealized loss during the same period in 2018 were allocated to non-controlling interests in consolidated subsidiaries which did not have any impact on the income attributed to Medley Management Inc. and non-controlling interests in Medley LLC.

MDLY has a gross margin of 99.10% and an operating margin of 11.70% while its profit margin remained -4.10% for the last 12 months. Its earnings per share (EPS) expected to touch remained -33.30% for this year while earning per share for the next 5-years is expected to reach at 2.01%.

The company has 30.53M of outstanding shares and 30.14M shares were floated in the market.  The price moved ahead of 15.33% from the mean of 20 days, 27.01% from mean of 50 days SMA and performed -3.61% from mean of 200 days price. Company’s performance for the week was 2.06%, 38.40% for month and YTD performance remained -10.36%.

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Nattan Brooks

Nattan is a self-taught investor and follows the value investing approach to picking stocks. He possesses over 10 years of investment experience, an M.B.A. from Louisiana State University, and is also certified in Risk Management Assurance. Nattan is a Certified Internal Auditor, Data Miner, and author with a career broadly spanning over multiple business areas. He has exploited those observations and developed investment tactics within a fundamentally sound long-term investment strategy. He currently covers Earnings News category for our site.Address: 4188 Spadafore Drive, Erie, PennsylvaniaPhone number: 814-705-9247Email: [email protected] 

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