Jefferies Financial Group Inc (NYSE:JEF) stock fell 2.12% (As on September 26, 11:30:21 AM UTC-4, Source: Google Finance) after the company reported third-quarter earnings and revenue that fell short of analyst expectations. Net earnings attributable to common shareholders of $167 million. Annualized adjusted net earnings to shareholders on adjusted tangible shareholders’ equity from continuing operations 1 of 10.3%. The company had 205.5 million common shares outstanding and 253.8 million common shares outstanding on a fully diluted basis 2 at August 31, 2024. The book value per common share was $48.89 and tangible book value per fully diluted share 3 was $31.87.

JEF in the third quarter of FY 24 has reported the adjusted earnings per share of 75 cents, missing the analysts’ estimates for the adjusted earnings per share of 77 cents. The company had reported the adjusted revenue of $1.68 billion in the third quarter of FY 24, missing the analysts’ estimates for revenue of $1.68 billion. Investment Banking net revenues of $949 million were 47% higher than the prior year quarter, with particular strength within Advisory. Asset Management net revenues of $59 million were substantially higher than the prior year quarter, as Other investments 13 net revenues were meaningfully higher due to the consolidation of Stratos and Tessellis, which resulted in increased revenues, as well as the absence this year of losses in OpNet incurred in the prior year quarter. Investment return net revenues decreased from the prior year quarter as the market environment for certain of our strategies proved challenging during the current quarter.

Moreover, Advisory net revenues of $592 million represents our best quarter on record and was higher than the prior year quarter, due to market share gains and increased global mergers and acquisitions activity. Underwriting net revenues of $333 million increased from the prior year quarter, driven by stronger leveraged finance activity. Equity underwriting net revenues remained flat compared to the prior year quarter. Capital Markets net revenues of $671 million were higher compared to the prior year quarter primarily due to stronger performance in Equities attributable to increased volumes and more favorable trading opportunities, while Fixed Income net revenues increased primarily reflecting stronger results across our credit trading businesses.

The company’s board declared a quarterly cash dividend of $0.35 per share, payable on November 27, 2024 to shareholders of record as of November 18, 2024.