T. Rowe's 2Q earnings fell 38% from a year earlier

T. Rowe Price Group Inc. today reported second-quarter net income of $100 million, a 38% decline from earnings of $162.2 million a year earlier. The Baltimore-based firm also reported total revenue of $442.2 million for the second quarter, down from $586.5 million a year earlier. But assets under management rose to $315.6 billion as of June 30, up 17.4% from $268.8 billion as of March 31. And net inflows to the mutual funds were $4.1 billion during the second quarter, T. Rowe reported. Compared with the second quarter of 2008, investment advisory revenue earned from the firm's mutual funds decreased 29%, or $100.7 million, to $248.8 million. T. Rowe also reported a 12% reduction in operating expenses to $288.3 million in the second quarter, down from $327.9 million a year earlier. Expenses were reduced in the areas of compensation, advertising and promotion, professional fees and travel.