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HNNA

Hennessy Advisors, Inc.

HNNA

Hennessy Advisors, Inc. • NASDAQ
$10.12 ▼ -2.55% (-0.27)
Market Cap $78.77 M
52w High $13.88
52w Low $8.43
Dividend Yield 0.55%
P/E 8.09
Volume 687
Outstanding Shares 7.79M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q3-2025 $8.054M ▼ $2.7M ▼ $2.121M ▼ 26.335% ▼ $0.27 ▼ $2.923M ▼
Q2-2025 $9.276M ▼ $3.151M ▲ $2.583M ▼ 27.846% ▼ $0.33 ▼ $3.52M ▼
Q1-2025 $9.708M ▲ $1.714M ▼ $2.834M ▲ 29.192% ▲ $0.36 ▲ $4.6M ▲
Q4-2024 $8.778M ▲ $1.798M ▲ $2.328M ▲ 26.521% ▲ $-0.62 ▼ $3.78M ▲
Q3-2024 $7.784M $1.616M $2.029M 26.066% $0.26 $3.416M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q3-2025 $70.33M ▲ $158.005M ▲ $61.455M ▲ $96.55M ▲
Q2-2025 $67.573M ▲ $155.533M ▲ $60.33M ▲ $95.203M ▲
Q1-2025 $64.99M ▲ $153.298M ▲ $59.904M ▼ $93.394M ▲
Q4-2024 $63.933M ▲ $152.099M ▲ $60.788M ▲ $91.311M ▲
Q3-2024 $62.028M $149.46M $59.297M $90.163M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q3-2025 $2.121M ▼ $4.016M ▲ $-210K ▼ $-1.049M ▼ $2.757M ▲ $3.949M ▲
Q2-2025 $2.583M ▼ $3.745M ▲ $-114K ▲ $-1.048M ▲ $2.583M ▲ $3.664M ▲
Q1-2025 $2.834M ▲ $2.234M ▼ $-127K ▼ $-1.05M ▲ $1.057M ▼ $2.117M ▼
Q4-2024 $2.328M ▲ $3.436M ▼ $-100K ▼ $-1.431M ▼ $1.905M ▼ $3.336M ▼
Q3-2024 $2.029M $3.552M $-93K $-1.035M $2.424M $3.455M

Revenue by Products

Product Q4-2024Q1-2025Q2-2025Q3-2025
Investment Advice
Investment Advice
 $20.00M ▲$10.00M ▼$10.00M ▲$10.00M ▲
Shareholder Service
Shareholder Service
 $0 ▲$0 ▲$0 ▲$0 ▲

Five-Year Company Overview

Income Statement

Income Statement HNNA’s income statement shows a relatively small but consistently profitable business. Revenue has held in a narrow range over the past few years, which suggests a stable but not rapidly growing asset base. Earnings have remained positive, though they move around from year to year, reflecting market swings and fee pressure common in asset management. Profitability looks decent for a firm of this size, but growth appears modest and somewhat dependent on market conditions rather than strong organic expansion.

Balance Sheet

Balance Sheet The balance sheet looks straightforward and conservative for an asset manager. Assets and shareholder equity have stayed fairly steady, indicating a business that is neither rapidly expanding nor shrinking. Cash balances are healthy relative to the size of the company, giving some cushion for downturns or small acquisitions. There is some debt, but it appears manageable and stable, not aggressively increasing. Overall, the capital structure suggests a cautious approach rather than a leveraged growth strategy.

Cash Flow

Cash Flow Cash flow is relatively steady and predictable, which is typical for a fee-based asset management business. The company regularly generates cash from operations and does not appear to need much spending on physical assets, so free cash flow closely tracks operating cash flow. This low capital‑intensity model is a structural advantage, as it gives flexibility for dividends, buybacks, or acquisitions when management sees opportunities. The key risk is less about cash management and more about sustaining fee income if markets or client assets decline.

Competitive Edge

Competitive Edge HNNA operates as a smaller player in a crowded asset management industry dominated by very large firms with strong brands and distribution. Its competitive position rests on niche mutual funds, a disciplined quantitative investment process, and a long history of acquiring other fund families. This acquisition-driven model has helped it build scale without massive marketing budgets, but it also means the firm must consistently find and integrate attractive deals. HNNA remains vulnerable to industry-wide pressures such as lower fees, the rise of low-cost index products, and the bargaining power of large distribution platforms.

Innovation and R&D

Innovation and R&D The company’s “innovation” is more about process and deal-making than about traditional research and development. HNNA emphasizes a rules-based, quantitative investment approach designed to reduce emotional decision-making, which gives it a clear and consistent identity. Instead of heavy spending on new technology or in-house product labs, it tends to add new strategies and vehicles—such as ETFs and ESG products—by acquiring existing funds. This is an efficient way to evolve the product lineup, but it may limit the pace of true internal innovation compared with more tech-focused asset managers.

Summary

Overall, HNNA looks like a small, steady, acquisition-driven asset manager with a disciplined investment philosophy and conservative balance sheet. Its strengths lie in predictable cash generation, a clear process-driven investing style, and a proven ability to grow by buying and integrating other funds. Its main challenges are modest organic growth, intense industry competition, fee pressure, and dependence on market levels for revenue. Future performance will largely hinge on how well it can continue to execute acquisitions, maintain investment performance, and adapt its product mix—especially in areas like ETFs and ESG—without overextending its financial position.

NEWS

October 29, 2025 · 4:15 PM UTC

Hennessy Advisors, Inc. Announces Dividend

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