Janus Henderson(US:JHG)2025-10-30 11:30Financial Performance - Third quarter 2025 operating income was US$172.0 million, up 5.2% from US$163.8 million in the second quarter 2025 and up 4.0% from US$164.7 million in the third quarter 2024[2] - Adjusted operating income for the third quarter 2025 was US$204.5 million, a 22.4% increase from US$167.0 million in the second quarter 2025 and a 20.0% increase from US$170.5 million in the third quarter 2024[2] - Total revenue for Q3 2025 was $700.4 million, a 10.6% increase from $633.2 million in Q2 2025 and a 12.1% increase from $624.8 million in Q3 2024[27] - Management fees increased to $563.1 million in Q3 2025, up 11.1% from $507.0 million in Q2 2025 and 12.0% from $502.8 million in Q3 2024[27] - Net income attributable to JHG was $142.1 million in Q3 2025, compared to $149.9 million in Q2 2025 and $27.3 million in Q3 2024, reflecting a significant year-over-year increase[27] - Diluted earnings per share for Q3 2025 was $0.92, slightly down from $0.95 in Q2 2025 but significantly up from $0.17 in Q3 2024[29] - Adjusted operating income for Q3 2025 was $204.5 million, an increase from $167.0 million in Q2 2025 and $170.5 million in Q3 2024[29] Assets and Management - Assets under management (AUM) reached a record high of US$483.8 billion, reflecting a 6% increase quarter over quarter and a 27% increase year over year[4] - The company reported net inflows of US$7.8 billion in the third quarter 2025, marking the sixth consecutive quarter of positive net flows[8] - AUM performance showed that 74%, 64%, and 65% of AUM outperformed relevant benchmarks on a three-, five-, and ten-year basis, respectively[8] - Total assets as of September 30, 2025, were $7,614.9 million, up from $6,963.1 million as of December 31, 2024[30] Shareholder Returns - The Board declared a quarterly dividend of US$0.40 per share for the quarter ended September 30, 2025[11] - The company returned US$129 million to shareholders through dividends and share buybacks in the third quarter 2025[8] Strategic Initiatives - The strategic vision of "Protect & Grow, Amplify, and Diversify" has led to 21 different strategies achieving net inflows of at least US$100 million, nearly doubling from the previous year[5] - Janus Henderson's partnership with CNO Financial Group is expected to enhance growth in Victory Park Capital and expand investment capabilities[5] - The company is transitioning its investment management platform to Aladdin, which is expected to enhance operational efficiency[32] - The company anticipates continued growth in management fees and overall revenue driven by market expansion and new product offerings[36] Operational Metrics - Cash provided by operating activities in Q3 2025 was $258.8 million, compared to $135.2 million in Q2 2025 and $228.5 million in Q3 2024[31] - The company reported an operating margin of 24.6% for Q3 2025, down from 25.9% in Q2 2025 and 26.4% in Q3 2024[29] Risks and Limitations - The company faces various risks including changes in interest rates, inflation, and trade policies that could materially affect future results[37] - Not all products or services are available in all jurisdictions, indicating potential market limitations[39] - Annualized and projected numbers in the report are for illustrative purposes only and do not reflect actual results[38]