8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, DC 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):          December 6, 2023

HENNESSY ADVISORS, INC.

(Exact name of registrant as specified in its charter)

California	001-36423	68-0176227
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

7250 Redwood Blvd., Suite 200               Novato, California	94945
(Address of principal executive offices)	(Zip code)

Registrant’s telephone number including area code: (415) 899-1555

Not Applicable

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐         Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐         Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a‑12)

☐         Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐         Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading symbol	Name of each exchange on which registered
Common stock, no par value	HNNA	The Nasdaq Stock Market LLC
4.875% Notes due 2026	HNNAZ	The Nasdaq Stock Market LLC

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2).

Emerging growth company          ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Item 2.02.         Results of Operations and Financial Condition

On December 6, 2023, Hennessy Advisors, Inc. issued a press release announcing its financial results for the fiscal year ended September 30, 2023. A copy of the press release is being furnished as Exhibit 99.1 to this Current Report on Form 8‑K and is incorporated by reference herein.

Item 9.01.         Financial Statements and Exhibits

The exhibit listed in the exhibit index below is furnished under Item 2.02 of this Current Report on Form 8-K.

EXHIBIT INDEX

Exhibit	Description
99.1	Press release.
104	Cover Page Interactive Data File (embedded within the Inline XBRL document).

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	HENNESSY ADVISORS, INC.
December 6, 2023	By:	/s/ Teresa M. Nilsen
		Teresa M. Nilsen
		President

EX-99.1

Exhibit 99.1

Media Contacts:                                                                 

Teresa Nilsen                                            Hennessy Advisors, Inc.                                     Terry@hennessyadvisors.com; 800-966-4354           Hibre Teklemariam SunStar Strategic HTeklemariam@sunstarstrategic.com; 703-894-1057

FOR IMMEDIATE RELEASE

Hennessy Advisors, Inc. Reports Annual Earnings

December 6, 2023, Novato, CA - Hennessy Advisors, Inc. (Nasdaq: HNNA) today reported results for the fiscal year ended September 30, 2023.

“Throughout 2023, speculation about the U.S. economy has been flush with talk of continued inflation, rising unemployment and, of course, warnings of an impending recession,” said Neil Hennessy, Chairman and CEO. “The truth of the matter is, while the U.S. economy may have its challenges, I see a lot of positives keeping our economy resilient and productive.”

“Americans continue to be employed, real wages are on the rise (supporting healthy spending), and productivity is surging. Inflation appears to be declining and interest rates have stabilized. All in all, I remain confident that investors are seeing these same signs of stamina and resilience in our economy, and the resulting investor confidence may add further strength to an already positive outlook for the future,” he continued.

“U.S. equities had solid, positive performance for the one-year period ending September 30, 2023, with the S&P 500® Index returning 21.62% and the Dow Jones Industrial Average returning 19.18% for the period. Similar to the overall markets, the majority of our funds performed well: 14 of the 17 Hennessy Funds posted positive returns for the one-year period ended September 30, 2023. What I am most proud of is not just these solid one-year returns, but how our funds have performed over a longer time frame: 13 of the Hennessy Funds posted positive returns for the three-year and five-year periods ended September 30, 2023, and all 14 Hennessy Funds with at least 10 years of operating history posted positive returns for the 10-year period ended September 30, 2023,” said Neil Hennessy. “Below are a few highlights of the accolades our funds’ stellar long-term performance garnered in recent months.”

• The 20 highest-rated large-cap mutual funds from TheStreet Quant Ratings. (November 16, 2023). TheStreet. TheStreet Ratings Staff. The Hennessy Cornerstone Value Fund is ranked number one in the article.

• Are these 3 Top-Ranked Mutual Funds in Your Retirement Portfolio? (November 7, 2023). Zacks Equity Research. The Hennessy Cornerstone Mid Cap 30 Fund is named in the article.

• How to Find The Best Style Mutual Funds 3Q23? (August 8, 2023). Forbes. The Hennessy Cornerstone Value Fund ranked first overall in the article.

• On July 8, 2023, the Wall Street Journal announced its Winner’s Circle. The Hennessy Cornerstone Mid Cap 30 was ranked 6th with 12-month performance through June 30, 2023, of 35.1%.

• Tyler Bundy. (June 22, 2023). The 20 Best Large-Cap Mutual Funds to Buy Now. TheStreet. The Hennessy Cornerstone Value Fund was ranked number 16 in the article.

• Lewis Braham. (June 15, 2023). How to Find Funds that Can Play Both Offense and Defense. Barron’s. The Hennessy Cornerstone Mid Cap 30 Fund is named in the article.

“Our average assets under management declined during fiscal year 2023, leading to reduced earnings,” said Teresa Nilsen, President and COO. “However, the strength of our product lineup allowed us to end fiscal year 2023 with higher total assets under management than the prior period,” she continued. “Additionally, our operating cash flow remained strong, leading to an increase in our cash position net of debt of approximately 11%, and solidly covering our robust dividend. We are actively supporting our fund lineup through consistent and reliable marketing and distribution and through strategic acquisitions, as evidenced by the successful integration of the assets of the CCM Small/Mid-Cap Impact Value Fund into our existing ETF,” she added.

Summary Highlights for the Fiscal Year (compared to fiscal year 2022):

● Total revenue of $24.0 million, a decrease of 19%.

● Net income of $4.8 million, a decrease of 23%.

● Fully diluted earnings per share of $0.63, a decrease of 23%.

● Average assets under management, upon which revenue is earned, of $3.0 billion, a decrease of 18%.

● Total assets under management of $3.0 billion, an increase of 5%.

● Cash and cash equivalents, net of gross debt, of $20.2 million, an increase of 11%.

	Twelve Months Ended Sept 30,				Change
	2023		2022		Dollar			Percent
Total Revenue	$	24,019,874	$	29,666,869	$	(5,646,995	)		-19.0	%
Net Income		4,770,888		6,190,209		(1,419,321	)		-22.9	%
Earnings Per Share (Diluted)		0.63		0.82		(0.19	)		-23.2	%
Weighted Average Number of Shares Outstanding (Diluted)		7,603,676		7,558,008		45,668			0.6	%
Average Assets Under Management		2,991,689,979		3,644,362,374		(652,672,395	)		-17.9	%

	As of Sept 30,
	2023		2022
Total Assets Under Management	$	3,032,041,791	$	2,895,716,700	$	136,325,091	4.7	%
Cash and Cash Equivalents, Net of Gross Debt Balance		20,225,668		18,236,604		1,989,064	10.9	%

About Hennessy Advisors, Inc.

Hennessy Advisors, Inc. is a publicly traded investment manager offering a broad range of domestic equity, multi-asset, and sector and specialty funds. Hennessy Advisors, Inc. is committed to providing superior service to shareholders and employing a consistent and disciplined approach to investing based on a buy‑and‑hold philosophy that rejects the idea of market timing.

Supplemental Information

Nothing in this press release shall be considered a solicitation to buy or an offer to sell a security to any person in any jurisdiction where such offer, solicitation, purchase, or sale would be unlawful under the securities laws of such jurisdiction.

Forward-Looking Statements

This press release contains “forward-looking statements” for which Hennessy Advisors, Inc. claims the protection of the safe harbor contained in the Private Securities Litigation Reform Act of 1995. Forward‑looking statements relate to expectations and projections about future events based on currently available information. Forward‑looking statements are not a guarantee of future performance or results and are not necessarily accurate indications of the times at which, or means by which, such performance or results may be achieved. Forward‑looking statements are subject to risks, uncertainties, and assumptions, including those described in the sections entitled “Risk Factors” and elsewhere in the reports that Hennessy Advisors, Inc. files with the Securities and Exchange Commission. Unforeseen developments could cause actual performance or results to differ substantially from those expressed in, or suggested by, the forward‑looking statements. Hennessy Advisors, Inc. management does not assume responsibility for the accuracy or completeness of the forward-looking statements and undertakes no responsibility to update any such statement after the date of this press release to conform to actual results or to changes in expectations.

XML

Document And Entity Information	Dec. 06, 2023
Document Information [Line Items]
Entity, Registrant Name	HENNESSY ADVISORS, INC.
Document, Type	8-K
Document, Period End Date	Dec. 06, 2023
Entity, Incorporation, State or Country Code	CA
Entity, File Number	001-36423
Entity, Tax Identification Number	68-0176227
Entity, Address, Address Line One	7250 Redwood Blvd., Suite 200
Entity, Address, City or Town	Novato
Entity, Address, State or Province	CA
Entity, Address, Postal Zip Code	94945
City Area Code	415
Local Phone Number	899-1555
Written Communications	false
Soliciting Material	false
Pre-commencement Tender Offer	false
Pre-commencement Issuer Tender Offer	false
Entity, Emerging Growth Company	false
Amendment Flag	false
Entity, Central Index Key	0001145255
CommonStockNoParValue Custom [Member]
Document Information [Line Items]
Title of 12(b) Security	Common stock, no par value
Trading Symbol	HNNA
Security Exchange Name	NASDAQ
NotesDue20264875 Custom [Member]
Document Information [Line Items]
Title of 12(b) Security	4.875% Notes due 2026
Trading Symbol	HNNAZ
Security Exchange Name	NASDAQ