National Financial Partners 1Q Profit Falls

By IndustriesFOXBusiness

National Financial Partners (NYSE:NFP) said its first-quarter profit slipped 25% amid acquisition costs.

Last month, the advisory and brokerage services firm agreed to a $1 billion cash deal to be taken private by Madison Dearborn Partners. The company had said the deal is expected to close in the third quarter.

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The offer of $25.35 per share came one month after the company disclosed that it was exploring a possible sale.

In the latest quarter, profit checked in at $4.2 million, or 9 cents a share, compared with $5.6 million, or 13 cents a share, in the prior-year period.

Revenue rose 3.7% to $263.5 million.

Operating expenses edged up to $252.4 million on costs from acquisitions and management buyout contracts.

The company’s corporate client group accounted for nearly 46.6% of total revenue, up from 44.1%.

Shares were up 7 cents at $25.35 Friday morning.