Despite slower capital markets, LA headquartered financial services group B. Riley Financial (NASDAQ:RILY) reported a profit in its third quarter compared to a loss in the same period last year.
Net income for the three months to September 30 was US$1.5 million against a net loss of US$868,000 a year ago.
The firm offers investment and capital raising services and last year combined with Great American Group, a provider of valuation services, asset disposition and auction solutions, last year to become a diversified group.
Chairman and chief executive Bryant Riley said: "In many ways, Q3 was our most rewarding quarter since the combination of B. Riley and Great American Group last year.
"We undertook several initiatives last year that reduced our fixed operating costs by about $9 million.
"As a result, we were able to generate more than $3 million in adjusted EBITDA in the third quarter this year, despite a slower environment in our capital markets and retail liquidation divisions."
Riley noted the firm's continued returns to shareholders.
"Our ability to continue to pay out a portion of our profits in the form of dividends is also gratifying.
"Including today's announcement of a $0.06 dividend, we will have paid out $0.32 per share this year which is approximately 22% of our September 2015 YTD Adjusted EBITDA," he said.
Total revenues for the three months rose 3% to US$21.3 million compared to US$20.7mln in the same quarter a year ago - mainly due to an increase in revenues (72%) from the auction and liquidation segment, offset by a decrease in revenues from the capital markets business.
Adjusted EBITDA (earnings before interest, taxes, depreciation, amortization) Totalled US$3.1 million compared to US$3.7 million in the same year-ago period.
Shares were unchanged at US$9.90 each.