Oppenheimer Q3 revenue falls 10% on weaker investment banking, trading
OPY•Oppenheimer’s third-quarter revenue fell 10% year over year to $382 million as investment banking and trading activity weakened. Net income was $5.46 million, with EPS of $0.47 and adjusted EPS of $1.81.
1. Quarterly results
Oppenheimer said third-quarter revenue fell 10% year over year, mainly because of lower investment banking and trading revenues. Net income was $5.46 million, EPS was $0.47 and adjusted EPS was $1.81.
2. Factors and outlook
A pretax expense tied to long-term employee incentive compensation linked to the share price also affected results. Higher advisory fees, driven by record-high assets under management, partially offset the declines. The company said interest rate uncertainty and inflation concerns may affect investor activity, IPO activity may remain subdued, and corporate clients remain cautious on strategic transactions and capital raising.
