November 2, 2010 / 10:00 PM / 8 years ago

UPDATE 1-Davis + Henderson Q3 profit falls on higher expenses

* Q3 rev up 16.3 percent

Nov 2 (Reuters) - Canada’s Davis + Henderson Income Fund’s DHF_u.TO quarterly profit fell 14 percent, hurt by higher expenses and restructuring charges. For the third quarter, the trust reported a net income of C$21.6 million, or 41 Canadian cents a share, compared with C$25 million, or 49 Canadian cents a share, last year.

The trust, which provides technology to financial services firms in Canada, said its adjusted net income was 6 Canadian cents a share.

Revenue rose 16.3 percent to C$161.9 million.

Expenses rose 19 percent to C$121.3 million, while it took a restructuring charge of C$2.2 million, during the period.

The company said it expects to record a restructuring charge of C$5-C$7 million in the fourth quarter, related to integration and transformation initiatives it undertook earlier this year.

The company also expects to record higher capital spending in the fourth quarter.

The company’s units, which have risen about 17 percent in value after it reported quarterly profit that beat estimates in August, closed at C$19.79 on Tuesday on the Toronto Stock Exchange. (Reporting by Aftab Ahmed in Bangalore; Editing by Vyas Mohan) (; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging:

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