The Pinnacle Investment Management Group Ltd (ASX: PNI) share price is in the green today following a market update from the company.
At the time of writing, the investment company's shares are up 6.05% to $8.06 apiece.
Let's take a look at what Pinnacle released to the ASX this morning.
What was in Pinnacle's announcement?
Investors are sending the Pinnacle share price north during midday trade after digesting the company's latest news.
In the release, Pinnacle advised that 10 of its affiliates have crystallised performance fees for the 12 months ending 30 June.
This totalled approximately $57.1 million, of which $38.3 million came from the second half of FY22.
The net share of these performance fees, after tax payable by the affiliates on this revenue, is around $16.4 million. Again, about $10 million of this was earned in the second half of the 2022 financial year.
As a result, Pinnacle is forecasting a net return on its principal investments to be roughly $0.1 million.
This amount comprises $3.9 million in 'dividends and distributions' but with a net negative $3.8 million of investment returns (fair value gains/losses on financial assets at fair value through profit and loss).
Pinnacle noted that the figures are preliminary estimates and still need to be audited.
Audited statements are scheduled to be released on 3 August, along with further information regarding the company's funds under management and net inflows.
About the Pinnacle share price
Despite soaring higher today, the Pinnacle share price has lost 50% since the beginning of the year. It is also down more than 28% since this time last year.
The company's shares have been on a gradual decline, hitting a 52-week low of $6.49 in late June. However, they are up 13% over the past week.
On valuation grounds, Pinnacle presides a market capitalisation of around $1.49 billion.
