Janus Capital Group, Inc. (JNS) reported third-quarter 2009 revenues of $227.6 million, up 13.7% sequentially but down 17.3% year over year.

The sequential improvement in revenues was driven by higher average assets under management, primarily due to improving global markets.

Operating margin declined significantly to 13.0% in the quarter from 23.5% in the previous quarter and 33.9% in the year-ago quarter. The decline in operating margin was primarily due to a 29% sequential increase in operating expenses as a result of severance charges and higher revenue-based expenses. The company paid $20.5 million of legal settlement charges in the third quarter, mainly related to compensation matters with former employees.

Earnings per share of 5 cents were significantly short of the Zacks Consensus Estimate at 14 cents.

As of Sep 30, 2009, the company's total assets under management were $151.8 billion, compared with $132.6 billion on Jun 30, 2009 and $160.5 billion on Sep

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