HFFInc. reported second-quarter net income of $15.8 million, or 41 centsper share, compared with $21.2 million, or 55 cents per share, in the year-ago period.

Operating income for the quarter was $17.6 million, compared with $25.7million a year ago.

The decrease in operating income is primarily due to the 5.9% decreasein revenues, in addition to increases in the company's compensation-related costsand expenses associated with the net growth in headcount of 105 associates duringthe last 12 months, increases in noncash stock compensation, and increases in otheroperating expenses due to the increase in headcount.

Revenue for the period totaled $117.7 million, versus $125.0 millionin the prior-year quarter. Adjusted EBITDA was $28.0 million, versus$35.3 million in the second quarter of 2015.

Interest and other income, net, totaled $8.7 million, down from $9.5million a year ago. The decrease is primarily a result of a reduction in securitizationand other agency-related income.