Asset management company Aston Hill Financial Inc. (TSXV: AHF) swung to a profit for the second quarter, the Calgary-headquartered firm said Monday.

During the quarter ended June 30, the company realized net income before tax of $751,581 and free cash flow of $953,158 marking the first quarter on record in which Aston Hill enjoyed a material positive cash flow from recurring revenues.

The second quarter profit represents a notable improvement over the $257,847 loss for the same period in 2009.


During the quarter, the company received record recurring revenues of $2 million, up from $700,000 a year ago, as Assets Under Management and advisory continued to grow during the period.

AUM increased by 13% during the quarter, climbing from $1.80 billion at March 31 to $2.04 billion at June 30.

AUM is estimated to have grown further to $2.38 billion at August 26, as a result of continued positive net sales of the funds managed by Aston Hill and the closing on the Navina Asset Management purchase on August 6.

Navina represents approximately $225 million in AUM and specializes in the development, sales and management of closed-end mutual funds, open-ended funds and hedge funds. The addition of the Navina platform to Aston Hill
s existing core business also provides the company with the licenses, back office and the knowledge needed to expand into the management and sales aspect of the financial management space.

Aston Hill is an asset management company with expertise in income products, energy investments and oil and gas property management. It has offices in Calgary and Toronto.

IE