KCG Holdings Inc. (KCG) reported a 91 percent fall in profit for the first quarter from last year, hurt by a double-digit decline in revenues.
Net income for the first quarter was $3.21 million or $0.05 per share, down sharply from $37.17 million or $0.41 per share in the year-ago period.
Consolidated earnings for the latest quarter includes an income tax benefit of approximately $3.5 million associated with stock-based compensation awards.
Total revenues for the quarter declined 26 percent to $255.37 million from $345.42 million in the year-ago period.
KCG Holdings also said it has reached a definitive agreement for Virtu Financial, Inc. (VIRT) to acquire all its outstanding shares of Class A Common Stock for $20.00 per share in cash. The price represents a premium of 46 percent over KCG's closing share price of $13.73 on March 14, 2017, prior to news reports of the proposal.
by RTT Staff Writer
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