EPOCH HOLDING CORP

CIK:0000351903|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF INCOME (USD $) In Thousands, except Per Share data, unless otherwise specified	3 Months Ended		6 Months Ended
	Dec. 31, 2012	Dec. 31, 2011	Dec. 31, 2012	Dec. 31, 2011
Operating Revenues:
Investment advisory and management fees	$ 27,309	$ 20,694	$ 54,500	$ 38,805
Performance fees	494	1,040	927	1,938
Total operating revenues	27,803	21,734	55,427	40,743
Operating Expenses:
Employee compensation and benefits	10,512	8,353	20,907	16,170
Professional fees and services	3,926	756	4,768	1,467
Occupancy and technology	2,333	1,330	4,069	2,515
General and administrative	793	766	1,487	1,465
Distribution and servicing fees	403	470	846	969
Total operating expenses	17,967	11,675	32,077	22,586
Operating Income	9,836	10,059	23,350	18,157
Other income	284	331	693	137
Income Before Income Taxes	10,120	10,390	24,043	18,294
Provision for income taxes	4,382	4,527	10,411	8,013
Net Income	$ 5,738	$ 5,863	$ 13,632	$ 10,281
Earnings Per Share:-(Note 8)
Basic	$ 0.24	$ 0.25	$ 0.58	$ 0.44
Diluted	$ 0.24	$ 0.25	$ 0.57	$ 0.44
Weighted-Average Shares Outstanding:
Basic	23,714	23,285	23,697	23,320
Diluted	23,729	23,471	23,712	23,496
Cash Dividends Declared Per Share-(Note 11)	$ 0.85	$ 0.83	$ 0.93	$ 0.89

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands, unless otherwise specified	6 Months Ended
	Dec. 31, 2012	Dec. 31, 2011
Cash flows from operating activities:
Net income	$ 13,632	$ 10,281
Adjustments to reconcile net income to net cash provided by operating activities:
Benefit from deferred income taxes	(576)	(116)
Share-based compensation	3,469	2,800
Depreciation and amortization	577	537
Net gains on investments	(396)	(115)
Net (income)/loss from equity method investments	(165)	44
Amortization of bond premiums	10	21
Excess income tax benefit from share-based compensation	(5,303)	(1,715)
Income tax benefit from dividends paid on unvested shares	(424)	(433)
(Increase)/decrease in operating assets:
Accounts receivable	(2,710)	(345)
Prepaid taxes and other current assets	(6,988)	(884)
Trading securities	1,165	(6,777)
Increase/(decrease) in operating liabilities:
Accounts payable and accrued liabilities	3,866	91
Accrued compensation and benefits	2,729	6,787
Income taxes payable	3,607	1,499
Deferred rent	1,142	(82)
Net cash provided by operating activities	13,635	11,593
Cash flows from investing activities:
Proceeds from available-for-sale securities, net	1,930	1,745
Proceeds from equity method investments	1,000
Proceeds from redemption of held-to-maturity securities	700
Capital expenditures	(5,165)	(173)
Security deposits	(34)	101
Net cash (used in)/provided by investing activities	(1,569)	1,673
Cash flows from financing activities:
Dividends	(22,051)	(3,265)
Repurchase of common shares	(134)	(1,943)
Excess income tax benefit from share-based compensation	5,303	1,715
Income tax benefit from dividends paid on unvested shares	424	433
Proceeds from stock option exercises	1,730	357
Net cash used in financing activities	(14,728)	(2,703)
Net (decrease)/increase in cash and cash equivalents during period	(2,662)	10,563
Cash and cash equivalents at beginning of period	24,528	29,128
Cash and cash equivalents at end of period	21,866	39,691
Supplemental disclosure of cash flow information:
Cash paid for income taxes	13,051	7,392
Supplemental disclosures of non-cash investing activities:
Net change in unrealized gains/(losses) on available-for-sale securities, net of tax-(Note 9)	(35)	(289)
Dividends declared but not yet paid		$ 17,487

CONDENSED CONSOLIDATED BALANCE SHEETS (USD $) In Thousands, unless otherwise specified	Dec. 31, 2012	Jun. 30, 2012
Current assets:
Cash and cash equivalents	$ 21,866	$ 24,528
Accounts receivable	23,428	20,718
Deferred income taxes	3,053	2,477
Held-to-maturity securities, at amortized cost (fair value of $0 and $710, respectively)-(Note 6)		706
Prepaid taxes and other current assets	8,263	1,275
Total current assets	56,610	49,704
Trading securities, at fair value	2,638	5,040
Available-for-sale securities, at fair value (cost of $6,468 and $8,209, respectively)-(Note 5)	6,645	8,448
Held-to-maturity securities, at amortized cost (fair value of $524 and $532, respectively)-(Note 6)	509	512
Equity method investments	3,188	2,580
Deferred income taxes	8,907	8,880
Property and equipment, net of accumulated depreciation of $4,883 and $4,306, respectively	5,451	863
Security deposits	1,673	1,639
Total assets	85,621	77,666
Current liabilities:
Accounts payable and accrued liabilities	5,252	1,386
Accrued compensation and benefits	10,205	7,476
Income taxes payable		2,120
Total current liabilities	15,457	10,982
Deferred rent	1,673	531
Total liabilities	17,130	11,513
Commitments and contingencies-(Note 7)
Stockholders' equity:
Common stock, $0.01 par value per share, 60,000,000 shares authorized; 24,743,160 issued and 23,868,559 outstanding at December 31, 2012 and 24,474,370 issued and 23,605,490 outstanding at June 30, 2012, respectively	247	245
Additional paid-in capital	85,982	75,058
(Accumulated deficit)/retained earnings	(6,112)	2,307
Accumulated other comprehensive (loss)/income, net of tax	(27)	8
Less: Treasury stock, at cost, 874,601 and 868,880 shares, respectively	(11,599)	(11,465)
Total stockholders' equity	68,491	66,153
Total liabilities and stockholders' equity	$ 85,621	$ 77,666