AMG, a strategic partner to leading independent investment management firms globally, has reported its financial and operating results for the second quarter and first half of 2024. The company reported an EPS of $2.26 and economic EPS of $4.67 in the second quarter of 2024, with net income (controlling interest) of $226 million and economic net income (controlling interest) of $343 million in the first half of the year.
The economic earnings per share for the first half of the year increased by 17% year-over-year to reach $10.06. AMG also experienced positive net client cash flows in the second quarter, driven by continued strength in private markets fundraising. The company repurchased $327 million in common stock during the second quarter, bringing total share repurchases to $477 million in the first half of the year.
In terms of operating performance measures, AMG's assets under management (AUM) increased from $673.9 billion to $701.0 billion at the end of the second quarter of 2024. The average AUM also saw an uptick from $668.9 billion to $693.1 billion. Despite negative net client cash flows in the second quarter, AMG managed to turn the tide with positive net client cash flows of $0.9 billion. Aggregate fees increased from $1,003.1 billion to $1,098.1 billion.
On the financial performance front, net income (controlling interest) decreased from $125.3 million to $76.0 million for the second quarter, while it increased from $259.8 million to $225.8 million for the first half of the year. Earnings per share (diluted) also saw a decline from 3.25 to 2.26 for the second quarter and from 6.74 to 6.49 for the first half of the year.
AMG's adjusted EBITDA (controlling interest) stood at $217.5 million for the second quarter, slightly up from $214.3 million. Economic net income (controlling interest) slightly decreased from $167.3 million to $155.9 million for the second quarter but increased from $325.4 million to $342.6 million for the first half of the year. Economic earnings per share rose from 4.45 to 4.67 for the second quarter and from 8.63 to 10.06 for the first half of the year.
AMG's capital management strategy included a second-quarter cash dividend of $0.01 per share of common stock, payable on August 22, 2024. The company also increased its share repurchase authorization, providing for a total of approximately 6 million shares available for repurchase under the company's share repurchase programs as of July 22, 2024.
As of June 30, 2024, AMG's aggregate assets under management were approximately $701 billion across a diverse range of private markets, liquid alternative, and differentiated long-only investment strategies. Following these announcements, the company's shares moved 1.9%, and are now trading at a price of $177.02. Check out the company's full 8-K submission here.
