UPDATE 1-Stifel Financial Q4 profit up 29 pct, beats estimates
* Q4 EPS $0.59 vs. $0.51 last year.
* Q4 EPS, before items, $0.72 vs. $0.56 market view
* Commission and principal transactions rev up 27 pct
Feb 12 (Reuters) - Stifel Financial Corp (SF.N) posted a 29 percent rise in quarterly profit that also beat analysts' view, helped by higher revenue from commission and principal transactions.
The investment bank recorded net income of $17.8 million for the fourth quarter, compared with $13.8 million last year.
Excluding items, the company earned $21.7 million, compared with $20.5 million a year ago.
Commission and principal transactions revenue rose 27 percent to $176.1 million while investment banking revenues declined 50 percent to $15.8 million. Asset management and service fees revenue also increased 18 percent to $119.9 million.
Total revenue rose 8 percent to $228.2 million.
St. Louis-based Stifel has been hiring financial advisers and opening offices to grab market share, as its competitor firms struggle to remain in business amid the credit crisis.
The company, which boasts of a low leverage ratio unlike some of its peers, said it closed its acquisition of Butler Wick & Co, adding 18 private client branch offices and 75 financial advisors.
In December 2008, Stifel agreed to buy financial advisory firm Butler Wick & Co from United Community Financial Corp (UCFC.O) for $12 million to boost its presence in Ohio.
Shares of Stifel closed at $36.35 Wednesday on the New York Stock Exchange. (Reporting by Adheesha Sarkar in Bangalore, Editing by Dinesh Nair)
