Oaktree Capital Group LLC (NYSE:OAK), the investment management firm headed by Howard Marks, reported that its GAAP net income increased by 129% to $56.6 million for the second quarter of 2013 driven by higher incentive income.
Oaktree Capital stock value
Stock value of Oaktree Capital Group LLC (NYSE:OAK) went up by more than 1% to around $54 per share after trading hours on Tuesday. Over the past 52 weeks, stock traded upwards from $36.75 to its highest price at $59.50 per share. The investment management firm went public in April last year.
According to Oaktree Capital Group LLC (NYSE:OAK), its adjusted net income was $297 million, an increase of 80%, and its economic net income was $172.6 million, up by 66% during the quarter. Its total segment revenues were $555 million, an increase of 63%.
During the period, the investment management firm said its assets under management declined by $2.3 billion to $76.4 billion as of June 30, 2013. Oaktree Capital Group LLC (NYSE:OAK) is famous in debt investing, and more than 50% of its investments were in distressed and corporate debt.
Earnings per class A unit
Oaktree Capital Group LLC (NYSE:OAK) said its earnings per Class A unit were $24.7 million or 1.75 per Class A unit, higher than its $0.84 earnings per Class A unit in the same period a year ago. Its economic net income per Class A unit was $1.13, an increase of 88%.
The investment management firm outperformed the consensus estimate of Wall Street analysts at $1.62 earnings per Class share on $544 million revenue, based on data compiled by Thomson Reuters.
Oaktree Capital Group LLC (NYSE:OAK) declared a quarterly distribution of %1.51 per Class A unit in the second quarter.
“Our investment teams continue to deliver both exceptional cash returns and new opportunities for future growth and income. In the second quarter, our closed-end funds distributed $4.7 billion to investors, yielding record incentive income of $338.1 million. As a demonstrated leader in credit strategies, we continue to raise significant capital for our newest products to provide our clients with superior risk-adjusted investment performance across market cycles,” said Howard Marks, chairman of Oaktree Capital Group, LLC (NYSE:OAK).