U.S. Global Investors Inc (NASDAQ:GROW) a boutique enrolled investment advisory company with longstanding experience in specialized sectors and global markets, will continue its payment of dividends in the Q3 2018.
U.S. Global’s board of directors permitted dividend payout of the $0.0025 a share per month starting in next month and progressing through March 2018. The record dates finalized are January 16, February 12 & March 12, while the payment dates decided are January 29, February 26 & March 26. At the close of this period, the firm will have paid monthly payouts for over 10 years. At the December 5, 2017, the closing price of $3.42, the monthly dividend of $0.0025 equals a 0.9% yield on an annualized basis.
U.S. Global reported that the continuation of future cash payouts will be decided by company’s board of directors, at its discretion, after assessment of the firm’s financial performance as well as other factors, and is dependent on operations, earnings, general financial condition, capital requirements and general business conditions.
In unrelated news, U.S. Global Investors posted earnings of $1.27 million on operating revenues of $1.5 million for the three-month closed September 30, 2017. There was a significant 383% improvement over the comparable quarter the preceding year, which posted net income of $263,000 on operating revenues of $1.98 million.
Income improvement was due to an investment comprised for under the equity technique in a fund run by Galileo Global Equity Advisors. The firm and the Galileo fund completed strategic investments in advanced HIVE Blockchain Technologies. In addition, the firm witnessed inflows into the U.S. Global JETS and U.S. Global GOAU, which collectively held total assets of $125 million as of the close of September 30, 2017.
Somewhat counterweighing the improved income was a drop in operating revenue from dropped mutual fund AUM. In specific, their gold funds’ average assets dropped, and Galileo, a 65% owned subsidiary, eroded a massive institutional account in 2017 that contributed to a decline in assets.