Business

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Oaktree Capital Group (OAK) reported Monday Q4 results that beat analyst expectations polled by Capital IQ even as earnings fell year-on-year due to a decrease in incentive and investment income.

The investment management firm said Q4 adjusted net income fell to $98.4 million, or $0.61 per share, from $268.4 million or $1.62 per share primarily due to lower incentive and investment income. The results topped the Street forecast of $0.49 per share.

Distributable earnings fell to $121.7 million, or $0.65 per share, from $221.3 million, or $1.33 per share, in the year-earlier period mostly due to lower incentive income. GAAP net income attributable to the company fell to $24.4 million from $64.9 million a year earlier. Q4 segment revenues fell to $264.8 million from $528.6 million, yet beat the average analyst estimate of $260.6 million.

The company also declared a quarterly dividend of $0.56 per share, down from a previous dividend of $0.62 per share. The dividend is payable on Feb. 25 to holders of record on Feb. 19. OAK last traded at $56.07 a 9-month high and within a 52-week range of $45.30 to $62.30.

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anixer

China Green Agriculture (CGA) shares gained 15% in trading Monday after the fertilizer producer in China reported a 42% jump in fiscal Q2 earnings as sales climbed 33% and forecast Q3 results above its Q2 figures. Recently shares of China Green Agriculture were trading up 15% or $0.29 to $2.21 on very heavy volume of 1.4 shares. Average daily volume is 143,610 shares.

In addition, the company on late Friday said its 900LH.com Food affiliate has entered into an agreement to jointly build an “Agricultural Comprehensive Development Base Project” with the Shiquan County Government in China. The total investment on the project is expected to be 3 billion renminbi (about $480 million), with the initial investment of RMB50 million (about $8 million) to be made this spring.

For the quarter ended Dec. 31, the company posted net income of $5.2 million, or $0.16 per diluted share, up from $3.7 million, or $0.12 per diluted share, a year earlier. The per-share figures were skewed by a 4.6% increase in the number of diluted shares outstanding.

Net sales rose to $54.1 million from $40.6 million in the prior-year period. No analyst estimates were available for comparison. Gross profit margin slipped to 42.4% from 46.4%, hurt by an increase in the cost of raw materials. For its fiscal Q3 ending March 31, the company said it expects net sales of $75 million to $80 million, net income of $8 million to $10 million, and EPS of $0.23 and $0.28.

The scope of the project with with the Shiquan County Government includes the development of Panlong Valley farm of 900LH.com, where the company showcases its products, China Green Agriculture said. During the first phase, 900LH.com will focus on building an ecological farm base, with the total investment of the first phase expected to RMB1 billion including the cost of relocating local residents. In the second phase, the ecological farm will develop into a modern agriculture farm for an expected investment of RMB2 billion.

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Waddell & Reed Financial (WDR) reported Q4 earnings that beat estimates while revenue was ahead as well.

Waddell reported Q4 net income of $80.9 million, or $0.97 per diluted share, compared to net income of $74.6 million, or $0.89 per diluted share, during the previous quarter and net income of $78.8 million, or $0.92 per diluted share, during Q4 2013. The Street expected $0.89 per share, according to Capital IQ estimates.

The Q3 2014 included a charge of $7.9 million ($5.0 million net of taxes, or $0.06 per diluted share) to recognize the impairment of an intangible asset.

“The second half of 2014 was unusually challenging for Waddell & Reed,” said Hank Herrmann, Chairman and Chief Executive Officer of Waddell & Reed Financial, Inc. in a statement. “Sales momentum meaningfully decelerated while redemptions rose. Much of this reversal in trends can be attributed to weakness in performance in one of our key funds and the loss of investors’ appetite for high yield products.”

Operating revenues of $397.2 million declined 3% sequentially. The Street expected $389 million.

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Anixter International (AXE) reported fiscal Q4 earnings that fell short of analysts’ estimates, weighed down by currency and copper prices and forecast up to 5% organic sales growth in 2015.

The distributor of communications and security products and electrical wire and cable products said adjusted earnings in the quarter ended Jan. 2 fell to $1.39 per diluted share from $1.61 a year ago with 70% of the decline driven by currency, copper and the tax rate. Analysts had expected EPS of $1.58. Net sales rose to $1.67 billion from $1.60 billion, also missing the $1.70 billion consensus.

The reported net income fell to $41.1 million or $1.23 per diluted share from $58.1 million or $1.75 a year earlier.

“We believe that lower energy prices will benefit our business in the long term through the positive impact on domestic GDP growth although the full benefit may be largely mitigated by dollar strength.,” CFO Ted Dosch said in a statement. “As we move into 2015, we believe that the full year organic sales growth will be in the 3% to 5% range.”

AXE closed higher 2.1% on Monday, near the lower end of the 52-week range between $74.95 and $115.84. It was inactive in recent pre-market trade.

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IMS Health Holdings (IMS), an information and technology provider for the health-care and life-sciences industries, on Tuesday reported Q4 earnings above the Street view despite lower-than-expected revenue, while it forecast higher revenue and earnings for 2015.

The company reported Q4 net income of $8 million, or $0.03 per diluted share, down from $82 million, or $0.29 per share, a year earlier. The per-share comparison was skewed by a 21% jump in the number of shares outstanding.

On an adjusted basis, the company posted EPS of $0.36, up from $0.28 in the same period a year earlier and topping the Street view according to Capital IQ for $0.34.

Total revenue of $678 million was up from $674 million in Q4 2013 but missed analysts’ mean projection of $679.3 million.

Revenue performance in Q4 was driven by a 14% increase in technology-services revenue on a constant-currency basis, or a rise of 8.8% on a reported basis, the company said.

For 2015, the company forecast reported revenue growth of 11% to 12%, and adjusted EPS growth of 4% to 6%. Analysts recently were projecting 2015 revenue of $2.80 billion, up 6.1% from 2014. The Street’s consensus estimate was for 2015 adjusted EPS of $1.50, up 9.5% from 2014.

Shares of IMS were inactive pre-market after closing Monday at $24.99, within a 52-week range of $21.63 to $28.48.

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AdLarge Media has announced an agreement for exclusive, national advertising sales representation of The National Marijuana News (TNMNews), the unbiased news/talk program focused on the political, economic, medical, and social implications of the rapidly evolving marijuana industry.

“How marijuana fits into our culture is a conversation that is taking place across America, and the public wants the kind of balanced information that TNMNews delivers,” observed Jessica Sherman, Senior Director, Affiliate Marketing, AdLarge Media. “TNMNews is engaging listeners with guests who are experts in the legal and medical professions, and helping audiences find their position on marijuana by presenting the facts.”

Developed by seasoned news producers and media industry professionals, TNMNews takes a deep dive beyond the headlines to explore breaking cannabis news, including field segments, interviews, and roundtable discussions.

The driving force behind TNMNews has been Executive Producer Martin Wagmaister, whose background includes producer of Rick Dees In the Morning and On Air with Ryan Seacrest.

“It’s no longer a debate ‘for or against’,” Wagmaister stated. “Americans are looking for answers that will help them with their personal decisions.  Our goal at TNMNews is to present all the accurate information available, and to explore every viewpoint out there.”

About AdLarge Media (www.adlarge.com)
AdLarge Media is the fastest-growing independent audio advertising sales company in the U.S., representing radio, digital, and mobile content providers.  The company is at the forefront of advertising innovation, driving revenue at the intersection of content and technology with customized solutions that deliver a demonstrated return on investment in an ever-changing media landscape.  AdLarge serves a large portfolio of agencies and brands, and is widely recognized for its collaborative partnerships.  Founded in 2010 by industry leaders Gary Schonfeld and Cathy Csukas, AdLarge Media has offices in New York, Los Angeles, Chicago, and Detroit.

About The National Marijuana News
TNMNews examines the medicinal, political, scientific, professional, and social aspects of the controversial cannabis industry, which is legal in 23 states and the District of Columbia. The radio program goes deep and personal, exploring how cannabis has changed lives, and looks to the future with its potential to reshape the economy. TNMNews seeks to report and explore the subject of medical and recreational cannabis from diverse perspectives, with an open-minded, fact-based approach. For more information, go to www.tnmnews.com.  The National Marijuana News Corp., is a wholly owned subsidiary of DigiPath, Inc. (OTCBB and OTCQB: DIGP).

Information about Forward-Looking Statements
This press release contains “forward-looking statements” that include information relating to future events, and future financial and operating performance. Forward-looking statements should not be read as a guarantee of future performance or results, and will not necessarily be accurate indications of the times at, or by, which that performance or those results will be achieved. Forward-looking statements are based on information available at the time they are made and/or management’s good faith belief as of that time with respect to future events, and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in, or suggested by, the forward-looking statements. Important factors that could cause these differences include, but are not limited to: the in-demand for the Company’s products, the introduction of new products, the Company’s ability to maintain customer and strategic business relationships, the impact of competitive products and pricing, growth in targeted markets, the adequacy of the Company’s liquidity and financial strength to support its growth, and other information that may be detailed from time-to-time in the Company’s filings with the United States Securities and Exchange Commission. An example of such forward-looking statements in this press release includes statements regarding the Company expanding into the botanical, nutraceutical, and cannabis industries. For a more detailed description of the risk factors and uncertainties affecting DigiPath, please refer to the Company’s recent Securities and Exchange Commission filings, which are available at www.sec.gov. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

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