Hennessy Advisors (HNNA) Q2 2026 profit declines but dividend stays at 6% yield
Rhea-AI Filing Summary
Hennessy Advisors, Inc. reported second fiscal quarter results for the period ended March 31, 2026 and declared a quarterly cash dividend. Total revenue was $8.1 million, down 12% from the prior-year quarter, while net income was $1.9 million, a 26% decline. Diluted earnings per share were $0.24, down 27%.
Average assets under management were $4.2 billion, 12% lower than a year earlier, and total assets under management were $3.9 billion, down 8%. Cash and cash equivalents net of gross debt were $32.8 million, up 20%. The company declared a $0.15 quarterly dividend per share, representing a stated annualized yield of 6.0%, payable on June 4, 2026 to shareholders of record on May 21, 2026.
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Insights
Revenue and earnings declined year-over-year, while cash strengthened and the dividend was maintained at a high yield.
Hennessy Advisors showed softer operating trends in the quarter. Revenue of $8.1M fell 12% year-over-year, and net income of $1.9M declined 26%, leading to diluted EPS of $0.24, down 27% from the prior-year period.
Management highlighted that average assets under management of $4.2B decreased 12%, and total AUM of $3.9B fell 8%, which pressures fee revenue. However, cash and cash equivalents net of gross debt rose to $32.8M, up 20%, supporting ongoing shareholder returns.
The quarterly dividend of $0.15 per share, implying a stated annualized yield of 6.0%, aligns with comments about consistent profitability and capital return. Future filings may clarify how trends in AUM and market conditions affect revenue and earnings across subsequent quarters.
8-K Event Classification
Key Figures
Key Terms
assets under management financial
cash and cash equivalents, net of gross debt financial
forward-looking statements regulatory
annualized yield financial
Earnings Snapshot
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| HENNESSY ADVISORS, INC. | |||
| May 6, 2026 |
By:
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/s/ Teresa M. Nilsen
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| Teresa M. Nilsen | |||
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President
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Exhibit 99.1
| Media Contacts: | |
| Teresa Nilsen | Hibre Teklemariam |
| Hennessy Advisors, Inc. | SunStar Strategic |
| Terry@hennessyadvisors.com; 800-966-4354 | HTeklemariam@sunstarstrategic.com; 703-894-1057 |
FOR IMMEDIATE RELEASE
Hennessy Advisors, Inc. Reports Quarterly Earnings
and Announces Quarterly Dividend
May 6, 2026, Novato, CA - Hennessy Advisors, Inc. (Nasdaq:HNNA) reported results for its second fiscal quarter ended March 31, 2026, and declared a quarterly dividend of $0.15 per share to be paid on June 4, 2026, to shareholders of record as of May 21, 2026. The dividend represents an annualized yield of 6.0%.*
“While 2026 began with solid market performance, March was marked by geopolitical tension, persistent inflationary pressures, and higher energy costs affecting consumers and corporations,” said Neil Hennessy, Chairman and CEO. “Despite recent volatility, we view this as a typical market reaction within what we believe will be a longer-term growth cycle. I believe that economic fundamentals remain constructive and are supported by strong corporate balance sheets and resilient earnings output. We continue to monitor signs of economic weakening, but we remain optimistic about the long-term outlook for both the U.S. economy and equity markets.”
“We launched our first mutual fund, the Hennessy Balanced Fund, on March 8, 1996. Thirty years in the mutual fund business reflects our long-standing commitment to disciplined investing and to the shareholders we serve. While uncertainty remains, we are focused on the opportunities ahead,” he added.
“Last quarter, we raised our dividend by 9% - our first increase since 2019,” said Teresa Nilsen, President and COO. “That decision was bolstered by our strong cash position, consistent profitability, and commitment to returning capital to our shareholders. Today’s dividend announcement demonstrates the continuation of our corporate strategy.”
“Although total assets under management declined 8% year-over-year, we continue to generate net income and solid earnings per share each quarter,” she added. “Just as importantly, we are also building our cash position as we evaluate strategic growth opportunities. Our focus remains on positioning the firm for the future while maintaining financial discipline today.”
Summary Highlights (compared to the prior comparable quarter ended March 31, 2025):
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Total revenue of $8.1 million, a decrease of 12%. |
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Net income of $1.9 million, a decrease of 26%. |
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Fully diluted earnings per share of $0.24, a decrease of 27%. |
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Average assets under management, upon which revenue is earned, of $4.2 billion, a decrease of 12%. |
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Total assets under management of $3.9 billion, a decrease of 8%. |
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Cash and cash equivalents, net of gross debt, of $32.8 million, an increase of 20%. |
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Three Months Ended Mar 31, |
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2026 |
2025 |
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Percent |
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Total Revenue |
$ | 8,132,584 | $ | 9,275,783 | $ | (1,143,199 | ) | -12.3 | % | |||||||
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Net Income |
1,909,709 | 2,582,979 | (673,270 | ) | -26.1 | % | ||||||||||
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Earnings Per Share (Diluted) |
0.24 | 0.33 | (0.09 | ) | -27.3 | % | ||||||||||
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Weighted Average Number of Shares Outstanding (Diluted) |
8,002,047 | 7,912,156 | 89,891 | 1.1 | % | |||||||||||
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Average Assets Under Management |
4,169,580,806 | 4,746,380,124 | (576,799,318 | ) | -12.2 | % | ||||||||||
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As of Mar 31, |
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2026 |
2025 |
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Total Assets Under Management |
$ | 3,925,199,575 | $ | 4,255,690,493 | $ | (330,490,918 | ) | -7.8 | % | |||||||
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Cash and Cash Equivalents, Net of Gross Debt Balance |
32,804,587 | 27,311,927 | 5,492,660 | 20.1 | % | |||||||||||
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Based on the closing stock price of $9.97 on May 5, 2026, and an annualized dividend of $0.60 per share. |
About Hennessy Advisors, Inc.
Hennessy Advisors, Inc. is a publicly traded investment manager offering a broad range of domestic equity, multi-asset, and sector and specialty funds. Hennessy Advisors, Inc. is committed to providing superior service to shareholders and employing a consistent and disciplined approach to investing based on a buy‑and‑hold philosophy that rejects the idea of market timing.
Supplemental Information
Nothing in this press release shall be considered a solicitation to buy or an offer to sell a security to any person in any jurisdiction where such offer, solicitation, purchase, or sale would be unlawful under the securities laws of such jurisdiction.
Forward-Looking Statements
This press release contains “forward-looking statements” for which Hennessy Advisors, Inc. claims the protection of the safe harbor contained in the Private Securities Litigation Reform Act of 1995. Forward‑looking statements relate to expectations and projections about future events based on currently available information. Forward‑looking statements are not a guarantee of future performance or results and are not necessarily accurate indications of the times at which, or means by which, such performance or results may be achieved. Forward‑looking statements are subject to risks, uncertainties, and assumptions, including those described in the sections entitled “Risk Factors” and elsewhere in the reports that Hennessy Advisors, Inc. files with the Securities and Exchange Commission. Unforeseen developments could cause actual performance or results to differ substantially from those expressed in, or suggested by, the forward‑looking statements. Hennessy Advisors, Inc. management does not assume responsibility for the accuracy or completeness of the forward-looking statements and undertakes no responsibility to update any such statement after the date of this press release to conform to actual results or to changes in expectations.