Jefferies Group swings to 1Q loss, misses estimates

Jefferies posted a loss of $60.5 million, or 43 cents per share, compared with earnings of $62.3 million, or 42 cents per share, during the same period the previous year.

Analysts polled by Thomson Financial, on average, expected Jefferies to earn 12 cents per share during the quarter on revenue of $313.6 million.

Net revenue tumbled 52 percent to $201.2 million.

Jefferies lost $51.7 million in its high-yield trading division and recorded another $34.1 million in losses from its asset management unit.

The asset management losses were tied to losses from managed funds. The asset management unit did manage to offset some of those loses with $6.3 million earned in fees.

Investment banking revenue also tumbled during the first quarter, to $99.2 million from $170.1 million.

Shares of Jefferies Group fell 49 cents, or 3.3 percent, to $14.49 in premarket trading. Shares have traded between $13.68 and $33.80 during the past year.