 CONCORD, Calif., Aug. 04, 2020 GLOBE NEWSWIRE -- AssetMark Financial Holdings, Inc. NYSE: AMK today announced financial results for the quarter ended June 30, 2020. Second Quarter 2020 Financial and Operational Highlights Net loss for the quarter was 9.3 million, or 0.14 per share. Adjusted net income for the quarter was 15.1 million, or 0.21 per share, on total revenue of 99.1 million. Adjusted EBITDA for the quarter was 25.3 million, or 25.6 of total revenue. Platform assets increased 12.8 year-over-year and 12.9 quarter-over-quarter to 63.2 billion, aided by quarterly net flows of 907 million and market impact net of fees of 6.3 billion. Year-to-date annualized net flows as a percentage of beginning-of-year platform assets were 8.9. More than 2,400 new households and 178 new producing advisors joined the AssetMark platform during the second quarter. In total, as of June 30, 2020 there were over 8,400 advisors over 2,300 were engaged advisors and over 179,000 investor households on the AssetMark platform. We realized 16.3 annualized production lift from existing advisors for the second quarter, indicating that advisors continued to grow organically and increase wallet share on our platform. AssetMark continues to grow. In the second quarter, we added 178 new producing advisors and had net flows of 907 million. Platform assets ended the second quarter at 63.2 billion, an all-time high, said Charles Goldman, President and CEO. This growth, while muted relative to the same period last year, demonstrates the resilience of AssetMarks model as we navigate a very challenging environment. Goldman concluded, The industry landscape continues to change and during the pandemic, we see that change accelerating. Investors are looking for more from advisors. Advisors who adopt a fiduciary model, focus on financial planning and use technology to scale their practices, are best positioned to win. AssetMarks platform delivers capacity and capabilities for advisors so they can focus on their clients, scale their practices and grow faster. Second Quarter 2020 Key Operating Metrics 2Q202Q19Variance per year Operational metrics: Platform assets at period-beginning millions of dollars56,02549,69512.7 Net flows millions of dollars9071,514 40.1 Market impact net of fees millions of dollars6,2971,053498.2 Acquisition impact millions of dollars03,789NM Platform assets at period-end millions of dollars63,22956,05112.8 Net flows lift of beginning of year platform assets1.53.4190 bps Advisors at period-end8,4747,8997.3 Engaged advisors at period-end2,3272,1259.5 Assets from engaged advisors at period-end millions of dollars56,09549,45513.4 Households at period-end179,166155,37215.3 New producing advisors178280 36.4 Production lift from existing advisors annualized 16.324.9860 bps Assets in custody at ATC at period-end millions of dollars44,45537,94117.2 ATC client cash at period-end millions of dollars2,9601,49398.2 Financial metrics: Total revenue millions of dollars99104 5.1 Net income loss millions of dollars9.33.2NM Net income loss margin 9.43.11250 bps Capital expenditure millions of dollars6.25.95.3 Non-GAAP financial metrics: Adjusted EBITDA millions of dollars25.328.6 11.4 Adjusted EBITDA margin 25.627.4180 bps Adjusted net income millions of dollars15.116.6 8.9 Note: Percentage variance based on actual numbers, not rounded results Webcast and Conference Call Information AssetMark will host a live conference call and webcast to discuss its second quarter 2020 results. In conjunction with this earnings press release, AssetMark has posted an earnings presentation on its investor relations website at Conference call and webcast details are as follows: Date: August 4, 2020 Time: 2:00 p.m. PT; 5:00 p.m. ET Phone: Listeners can pre-register for the conference call here: Upon registering, you will be provided with participant dial-in numbers, passcode and unique registrant ID. In the 10 minutes prior to the call start time, you may use the conference access information dial in number, direct event passcode and registrant ID provided in the confirmation email received at the point of registering to join the call directly. Webcast: Please access the website 10 minutes prior to the start time. The webcast will be available in recorded form at for 14 days from August 4, 2020.About AssetMark Financial Holdings, Inc. AssetMark is a leading provider of extensive wealth management and technology solutions that power independent financial advisors and their clients. Through AssetMark, Inc., its investment advisor subsidiary registered with the Securities and Exchange Commission, AssetMark operates a platform that comprises fully integrated technology, personalized and scalable service and curated investment platform solutions designed to make a difference in the lives of advisors and their clients. AssetMark had 63.2 billion in platform assets as of June 30, 2020 and has a history of innovation spanning more than 20 years.Forward-Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding our future financial and operating performance, which involve risks and uncertainties. Actual results may differ materially from the results predicted, and reported results should not be considered as an indication of future performance. Forward-looking statements include all statements that are not historical facts and can be identified by terms such as may, might, will, should, expects, plans, anticipates, intends, believes, estimates, predicts, potential or continue, the negative of these terms and other comparable terminology that conveys uncertainty of future events or outcomes. These forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause actual results to differ materially from statements made in this press release, including in relation to our ability to attract and retain advisors, competition in the industry in which we operate, the interest rate environment, shifting investor preferences, our market share and the size of our addressable market, our financial performance, investments in new products, services and capabilities, our ability to execute strategic transactions, legal and regulatory developments and general market, political, economic and business conditions. Other potential risks and uncertainties that could cause actual results to differ from the results predicted include, among others, those risks and uncertainties included under the captions Risk Factors and Managements Discussion and Analysis of Financial Condition and Results of Operations in our prospectus dated July 17, 2019 filed with the Securities and Exchange Commission pursuant to Rule 424b under the Securities Act of 1933, as amended, and in our most recent Annual Report on Form 10-K for the year ended December 31, 2019, which is on file with the Securities and Exchange Commission and available on our investor relations website at Additional information will also be set forth in our Quarterly Report on Form 10-Q for the quarter ended June 30, 2020, which is expected to be filled the week of August 10, 2020. All information provided in this release is based on information available to us as of the date of this press release and any forward-looking statements contained herein are based on assumptions that we believe are reasonable as of this date. Undue reliance should not be placed on the forward-looking statements in this press release, which are inherently uncertain. We undertake no duty to update this information unless required by law. AssetMark Financial Holdings, Inc. Condensed Consolidated Balance Sheets in thousands except share data and par value June 30, 2020 December 31, 2019 unaudited ASSETS Current assets: Cash and cash equivalents93,584 96,341 Restricted cash 8,500 9,000 Investments, at fair value 8,224 7,275 Fees and other receivables, net 8,939 9,679 Income tax receivable, net 1,786 3,994 Other current assets 11,690 6,565 Total current assets 132,723 132,854 Property, plant and equipment, net 6,902 7,067 Capitalized software, net 68,578 69,814 Other intangible assets, net 658,638 651,915 Operating lease right-of-use assets 31,520 Goodwill 338,848 327,310 Total assets1,237,209 1,188,960 LIABILITIES AND STOCKHOLDERS EQUITY Current liabilities: Accounts payable297 967 Accrued liabilities and other current liabilities 34,206 40,610 Total current liabilities 34,503 41,577 Long-term debt, net 121,850 121,692 Other long-term liabilities 15,043 16,440 Long-term portion of operating lease liabilities 35,579 Deferred income tax liabilities, net 150,795 150,390 Total long-term liabilities 323,267 288,522 Total liabilities 357,770 330,099 Commitments and contingencies Stockholders equity: Common stock, 0.001 par value 675,000,000 shares authorized and 72,390,080 shares issued and outstanding as of June 30, 2020 and December 31, 2019 72 72 Additional paid-in capital 823,528 796,406 Retained earnings 55,839 62,383 Total stockholders equity 879,439 858,861 Total liabilities and stockholders equity1,237,209 1,188,960 AssetMark Financial Holdings, Inc. 