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BGC PARTNERS, INC. Reports Operating Results (10-Q)

May 10, 2011 | About:
10qk

10qk

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BGC PARTNERS, INC. (BGCP) filed Quarterly Report for the period ended 2011-03-31.

Bgc Partners Inc has a market cap of $869.8 million; its shares were traded at around $8.79 with a P/E ratio of 13.9 and P/S ratio of 0.6. The dividend yield of Bgc Partners Inc stocks is 6.4%. Bgc Partners Inc had an annual average earning growth of 2% over the past 10 years.

Highlight of Business Operations:

As of March 31, 2011, our front-office headcount was up by 10.8% year-over-year to 1,718 brokers and salespeople. For the three months ended March 31, 2011, average revenue generated per broker or salesperson was approximately $211,000, down approximately 4.2% from the three months ended March 31, 2010 when it was approximately $220,000.

For the quarter ended March 31, 2011, income (loss) from continuing operations before income taxes increased $38.5 million to income of $24.5 million from a loss of $13.9 million. Total revenues increased approximately $17.9 million and total expenses decreased approximately $20.6 million.

Total revenues were $365.0 million and $347.2 million for the three months ended March 31, 2011 and 2010, respectively, representing a 5.1% increase. The main factors contributing to these increases were:

Compensation and employee benefits expense decreased by $62.7 million or 23.1% for the three months ended March 31, 2011 as compared to the three months ended March 31, 2010. The decrease in compensation expense is reflective of the one-time restructuring charge of $41.3 million incurred in the first quarter of 2010 and the $15.7 million charge for the redemption of founding/working partner and limited partner units in the first quarter of 2010. Also contributing to this decrease was the ongoing benefit of our global partnership redemption and compensation restructuring program. These decreases were partially offset by an $11.0 million charge recorded in the three months ended March 31, 2011 related to the granting of exchangeability of limited partnership units and an increase in our revenue and the corresponding compensation for the period.

Total brokerage revenues increased by $17.7 million, or 5.4%, for the three months ended March 31, 2011 as compared to the three months ended March 31, 2010. Commission revenues increased by $22.7 million, or 10.2%, for the three months ended March 31, 2011 as compared to the three months ended March 31, 2010. Principal

Compensation and employee benefits expense decreased by $62.7 million, or 23.1%, for the three months ended March 31, 2011 as compared to the three months ended March 31, 2010. This decrease is primarily related to $57.0 million of charges that were recorded in the three months ended March 31, 2010, consisting of a $41.3 million one-time, non-recurring charge associated with the completion

Read the The complete Report

About the author:

10qk
GuruFocus - Stock Picks and Market Insight of Gurus

Rating: 2.0/5 (1 vote)

Comments

GLREALTOR
GLREALTOR - 3 years ago


Looks like good results to me. I might buy some more.

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