Janus' Profits Down 46%On Heels of 28% Asset Drop
February 10, 2003
Janus Capital Group Inc. said that its quarterly net income fell 46% because of declining assets under management and revenues.
The unit of Stilwell Financial in Kansas City, Mo., announced in September that it would reorganize its funds under the Janus name, merging some and streamlining others. It accomplished the reorganization at the beginning of January and moved its corporate headquarters to Denver from Kansas City.
Janus said late last week that its fourth-quarter profit fell to $45 million, or 18 cents per share, from $84 million the year earlier. Assets under management fell to $138 billion at Dec. 31, compared with $193 billion a year earlier. Fourth-quarter revenues fell 26%, to $248.3 million.
Janus attracted billions of dollars of assets in the 1990s when growth funds were surging. But during the bear market of the past three years, investors and assets have left Janus.
Assets in the firm's flagship product, the Janus Fund, declined 27.6%, to $15.4 billion. In December, Janus reopened the portfolio to new investors.
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