This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Gleacher & Company Reports Fourth Quarter And Year End 2011 Financial Results

Stocks in this article: GLCH

For detailed information on the adjustments made, and a reconciliation of the non-GAAP financial results included in this press release to the most directly comparable GAAP financial metrics, refer to “Non-GAAP Financial Results,” below. While the Company believes that the non-GAAP financial results included herein are instructive, they should only be considered together with their corresponding GAAP financial metrics.

Fourth Quarter 2011 vs. 2010

Net revenues declined by $3.6 million to $61.8 million for the quarter ended December 31, 2011, compared to $65.4 million in the fourth quarter of 2010. This decline was primarily attributable to decreases of $17.8 million in the MBS/ABS & Rates segment and $8.3 million in the Investment Banking segment, partially offset by $20.8 million of ClearPoint revenues, an increase of $1.4 million in the Corporate Credit segment and higher investment gains of $0.5 million resulting from a gain on sale of an investment security, partially offset by the change in value of the Company’s FATV investment. ClearPoint commenced operations at the Company as of January 2011, and consequently did not contribute revenues in 2010.

Pre-tax income from continuing operations of $0.4 million for the quarter ended December 31, 2011 improved by $17.2 million compared to pre-tax loss from continuing operations of ($16.8) million, and improved by $9.0 million compared to non-GAAP pre-tax loss from continuing operations of ($8.6) million in the fourth quarter of 2010.

Years Ended 2011 vs. 2010

Net revenues increased by $13.2 million to $261.8 million ($259.4 million on a non-GAAP basis) for the year ended December 31, 2011, compared to $248.6 million in the prior year. This increase was primarily attributable to ClearPoint net revenues of $46.9 million, which commenced operations as of January 2011, and higher investment gains of $3.6 million, resulting primarily from the change in value of the Company’s FATV investment and a gain on sale of an investment security. Net revenues also increased as a result of the $2.3 million bargain purchase gain related to the ClearPoint acquisition (excluded from non-GAAP net revenues). Partially offsetting these increases were decreases of $17.2 million in the MBS/ABS & Rates segment, $12.2 million in the Corporate Credit segment and $12.4 million in the Investment Banking segment.

3 of 13

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,614.81 +215.14 1.31%
S&P 500 1,941.28 +37.27 1.96%
NASDAQ 4,419.4780 +103.4040 2.40%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs