Associated Capital Group, Inc. reported total revenues of $2.4 million for the third quarter of 2024, an increase from $2.2 million in the third quarter of 2023. Revenues from the GAMCO International SICAV – GAMCO Merger Arbitrage contributed $1.1 million, up from $0.8 million in the prior year period.
Net investment and other non-operating income significantly increased to $37.2 million for the third quarter of 2024, compared to $3.8 million in the same period of 2023. This increase was primarily driven by gains from merger arbitrage partnerships and a $2 per share special dividend received on the company's holdings of GAMCO Investors, Inc. The effective tax rate for the quarter was 22.9%, a decrease from 60.8% in the year-ago quarter.
Assets under management (AUM) stood at $1.34 billion as of September 30, 2024, which was $251 million lower than year-end 2023. This decline was primarily due to net outflows of $288 million and currency fluctuations, partially offset by market appreciation of $41 million. The company's longest continuously offered fund in the merger arbitrage strategy generated gross returns of 4.88% (3.80% net of fees) for the quarter.
In shareholder compensation, the Board of Directors declared a special cash dividend of $2.00 per share on September 19, 2024, payable on November 4, 2024. Additionally, a semi-annual dividend of $0.10 per share was declared on November 8, 2024, payable on December 19, 2024. During the third quarter, AC repurchased 107,218 Class A shares for $3.4 million at an average price of $31.80 per share, contributing to a total of 290,041 Class A shares repurchased for $9.6 million in the first nine months of 2024.
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