Federated Investors reported second quarter profits of $53.3 million, or 52 cents a share, a 3% decrease from the $55.2 million, or 54 cents a share, it earned in the second quarter of 2008. It beat analysts’ consensus of 50 cents a share.
Revenue dipped by 1% to $306.9 million, down from $310.3 million.
Assets under management ended the quarter at $401.8 billion, a 2% dip from the $409.2 billion at the end of the second quarter of 2008.
“Investor confidence in Federated’s diverse line of equity and bond products drove strong mutual fund sales in the second quarter,” said Christopher Donahue, president and CEO of the firm. “Federated’s fixed income fund net sales surged to $2.6 billion in the quarter, while Federated’s equity fund flows were positive for the quarter, $26 million.”
The three best-selling funds in the quarter were the Federated Market Opportunity Fund, the Federated Prudent Bear Fund and the Federated Strategic Value Fund, the latter of which invests in dividend-paying companies.