Franklin Resources, Inc
Franklin Resources, Inc.
tagline

Franklin Resources, Inc. Announces Third Quarter Results

From: Franklin Resources, Inc.
Contact: Lisa Gallegos
Telephone:(650) 312-3395

San Mateo, CA, July 27, 2006 - Franklin Resources, Inc. (Franklin Templeton Investments) (NYSE: BEN) today announced net income of $371.4 million, or $1.41 per share diluted, on revenues of $1,317.3 million for the quarter ended June 30, 2006.   In the quarter ended March 31, 2006, net income was $196.5 million, or $0.74 per share diluted, on revenues of $1,254.8 million.  For the quarter ended June 30, 2005, net income was $261.9 million, or $1.00 per share diluted, on revenues of $1,109.7 million. 

Operating income for the quarter ended June 30, 2006 was $452.0 million, as compared to $349.8 million for the prior quarter and $346.5 million for the quarter ended June 30, 2005, an increase of 29% for the quarter ended June 30, 2006 over the prior quarter and an increase of 30% over the same quarter in the prior year.  The company’s non-operating income for the quarter ended June 30, 2006 included $52.3 million of investment and other income, net, as compared to $55.4 million in the prior quarter and $21.8 million for the quarter ended June 30, 2005.

Assets under management by the company’s subsidiaries were $490.1 billion at June 30, 2006, as compared to $491.6 billion at March 31, 2006 and $425.4 billion at June 30, 2005.  Simple monthly average assets under management during the quarter ended June 30, 2006 were $494.6 billion compared to $481.2 billion in the preceding quarter and $416.0 billion in the same quarter a year ago.  Equity assets comprised 60% of total assets under management at June 30, 2006 and March 31, 2006 as compared to 57% at June 30, 2005.  Fixed-income assets comprised 22% of total assets under management at June 30, 2006 and March 31, 2006, as compared to 24% at June 30, 2005.  Hybrid assets accounted for 17% of total assets under management at June 30, 2006, March 31, 2006, and June 30, 2005.  Sales exceeded redemptions by $1.3 billion for the quarter ended June 30, 2006, as compared to $2.5 billion for the prior quarter and $7.7 billion for the comparable quarter a year ago.

(The preceding paragraphs only represent a portion of the press release.)

View the entire press release