Franklin Resources, Inc
Franklin Resources, Inc.
tagline

Franklin Resources, Inc. Announces Third Quarter Results

From: Franklin Resources, Inc.
Contact: Stacey Johnston
Telephone:(650) 525-7458

San Mateo, CA, July 29, 2010 - Franklin Resources, Inc. (Franklin Templeton Investments) (NYSE: BEN) today announced net income1 of $360.5 million, or $1.58 per share diluted, on revenues of $1,534.1 million for the quarter ended June 30, 2010. For the quarter ended March 31, 2010, net income1 was $356.7 million, or $1.55 per share diluted, on revenues of $1,413.1 million. For the quarter ended June 30, 2009, net income1 was $297.7 million, or $1.28 per share diluted, on revenues of $1,073.6 million.

Operating income for the quarter ended June 30, 2010 was $521.6 million, as compared to $461.1 million for the prior quarter and $326.2 million for the quarter ended June 30, 2009. The company’s non-operating income (expenses) for the quarter ended June 30, 2010 included $(7.3) million of investment and other (losses) income, net, as compared to $42.5 million for the prior quarter and $52.6 million for the quarter ended June 30, 2009.

Total assets under management by the company’s subsidiaries were $570.5 billion at June 30, 2010, as compared to $586.8 billion at March 31, 2010 and $451.2 billion at June 30, 2009. Simple monthly average assets under management during the quarter ended June 30, 2010 were $583.1 billion, as compared to $561.2 billion in the prior quarter and $428.0 billion in the same quarter a year ago. Equity assets comprised 41% of total assets under management at June 30, 2010, as compared to 45% at March 31, 2010 and 46% at June 30, 2009. Fixed-income assets comprised 40% of total assets under management at June 30, 2010, as compared to 36% at March 31, 2010 and 33% at June 30, 2009. Hybrid and other assets accounted for 19% of total assets under management at June 30, 2010 and March 31, 2010, as compared to 21% at June 30, 2009. Net new flows for the quarter ended June 30, 2010 were $18.8 billion, as compared to $17.4 billion for the prior quarter and $6.0 billion for the same quarter a year ago.

Cash and cash equivalents and investments were $6.6 billion at June 30, 2010, as compared to $5.8 billion at September 30, 2009. Total stockholders’ equity was $7.4 billion at June 30, 2010, as compared to $7.6 billion at September 30, 2009. The company had 225.4 million shares of common stock outstanding at June 30, 2010, as compared to 229.3 million shares outstanding at September 30, 2009. During the quarter ended June 30, 2010, the company repurchased 2.1 million shares of its common stock for a total cost of $212.3 million and had a net increase in debt outstanding of $828.7 million. 

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

View the entire press release