Institutional Financial Markets (NYSEAMERICAN:COHN) Announces Quarterly Earnings Results

Institutional Financial Markets (NYSEAMERICAN:COHN) issued its quarterly earnings results on Thursday. The financial services provider reported $0.10 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.42 by ($0.32), FiscalAI reports. Institutional Financial Markets had a net margin of 5.65% and a return on equity of 47.14%. The firm had revenue of $32.44 million for the quarter, compared to analyst estimates of $40.80 million.

Here are the key takeaways from Institutional Financial Markets’ conference call:

• Adjusted pre-tax income fell sharply to $648,000 from $10.1 million in the prior quarter and $16.4 million a year earlier. Investment banking and new-issue revenue was $12.7 million, including $17.6 million in mark-to-market losses; reported net income of $6.7 million was helped by a $6.5 million deferred tax benefit.
• The firm underwrote six SPAC IPOs and one closed-end fund, raised $1.8 billion for clients, and advised on or raised capital for eight de-SPAC transactions. Management cited 45 SPACs with potential backend fees, 13 of which have signed business combination agreements, while noting that deals are closing more slowly and the new-issue market is subdued.
• Net trading revenue was $12.5 million, with $6.6 million generated by the gestation repo business, which had a $4.5 billion book at quarter-end.
• Founder Daniel Cohen has returned as CEO and outlined plans to expand investment banking, add ATM and private-credit capabilities, and revive trading. He said the company could reach more than $500 million in revenue over three to five years, an ambition rather than formal guidance; the board also declared a $0.25 quarterly dividend.

Institutional Financial Markets Trading Down 8.2%

COHN traded down $0.91 during trading on Thursday, reaching $10.09. 19,380 shares of the company’s stock were exchanged, compared to its average volume of 24,743. The company has a debt-to-equity ratio of 0.26, a quick ratio of 0.86 and a current ratio of 0.86. Institutional Financial Markets has a fifty-two week low of $8.93 and a fifty-two week high of $32.60. The firm has a market capitalization of $32.60 million, a PE ratio of 1.86 and a beta of 1.06. The company’s fifty day moving average price is $10.20 and its 200-day moving average price is $13.62.

Institutional Financial Markets Company Profile

Institutional Financial Markets, Inc. (NYSE American: COHN) is a financial services company focused primarily on institutional fixed-income markets. Through its broker-dealer operations, the company provides sales, trading and market-making services involving a range of debt securities, including corporate, mortgage-backed, asset-backed and municipal securities. The company also engages in investment banking and related capital-markets activities, serving institutional investors, issuers and other financial-market participants.