Sanders Morris Harris Group

Sanders Morris Harris Group Inc. reported a fourth-quarter earnings loss today resulting from investment exposure to the struggling U.S mortgage markets. The Houston-based asset management firm’s earnings fell $596,000, or $0.2 cents per share, after a net income of $2.6 million, or $0.11 cents per share, in the year-ago period. SMHG’s investment banking division posted a loss of $158,000, or $0.1 per share, in the final three months of 2007. Revenue rose by $7 million in the fourth quarter to $48 million from $41 million a year earlier. For the full 2007, profit rose to $5.1 million, or 20 cents per share, from $3.4 million, or 16 cents per share, in 2007. Revenue was up 11% for the full year to $185.8 million from $166.7 million in 2006.