Sparx Posts Smallest Loss in Three Years on Stock-Market Rebound
Stock Chart for Sparx Group Co Ltd (8739)
Sparx Group Co. (8739), a Japanese asset-management company, posted its smallest full-year loss in three years as a recovery in the stock market helped boost assets.
Net loss was 2.2 billion yen ($22 million) in the 12 months ended March 31, compared with a 4.5 billion yen loss a year earlier, the Tokyo-based company said in a stock-exchange statement. Revenue dropped 16 percent to 3.8 billion yen.
Sparx narrowed losses after introducing new funds, including one that invests in building hotels in areas devastated by the March 2011 earthquake, and entering the renewable business.
While total assets increased 25 percent to 669.3 billion yen in the period, losses on securities holdings weighed on earnings, it said. Asset-management fees fell 19 percent to 3.15 billion yen, while performance-based fees slid to 40 million yen, the company said.
Shares of Sparx added 0.2 percent to 33,500 yen at the close of trading on the Jasdaq exchange in Tokyo before the earnings announcement. The stock has almost quadrupled this year, compared with the 80 percent gain by the Jasdaq index.
Sparx said it will change its minimum trading unit to 100 shares with a 100-for-1 stock split effective Oct. 1.
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