Franklin Resources reported third-quarter operating revenues of $2.36 billion, beating estimates of $2.27 billion. While GAAP diluted EPS was $0.31, adjusted diluted EPS of $0.72 surpassed the $0.66 consensus. The company's assets under management (AUM) grew to a record $1.8 trillion.
Key Highlights
- The company reported long-term net inflows of $18.4 billion, more than doubling the $9 billion analyst consensus and marking a significant turnaround from a $9.3 billion outflow in the prior-year period.
- Total assets under management reached a record $1.79 trillion, an increase of 7% from the previous quarter and 11% year-over-year, driven by positive flows and market appreciation.
- Fundraising in alternative assets remained strong with $11.8 billion in inflows during the quarter, including $10.3 billion in private market strategies, pushing alternative AUM to a record $294.2 billion.
- The company returned $521.5 million to shareholders, consisting of $348.1 million in share repurchases and dividends.