Cohen & Steers(US:CNS)2025-10-31 12:34Assets Under Management - Assets under management decreased by 1.0% to $90.9 billion from $91.8 billion at September 30, 2024[82]. - Assets under management in open-end funds increased by 3.4% to $44.4 billion from $43.0 billion at September 30, 2024, with net inflows of $1.6 billion[83]. - Assets under management in institutional accounts decreased by 5.9% to $34.7 billion from $36.9 billion at September 30, 2024[85]. - Total assets under management (AUM) increased to $90,897 million as of September 30, 2025, compared to $91,780 million in the same period of 2024, reflecting a net increase of $1,961 million for the quarter[91]. - Average assets under management for the quarter ended September 30, 2025, were $89.7 billion, compared to $86.2 billion for the same period in 2024[87]. - Average AUM for the three months ended September 30, 2025, was $89,738 million, compared to $86,227 million in the same period of 2024, indicating a year-over-year increase of 2.9%[91]. - Net inflows for total institutional accounts were $233 million for the three months ended September 30, 2025, compared to $1,284 million in the same period of 2024[91]. - Market appreciation for total AUM was $2,355 million for the three months ended September 30, 2025, compared to $10,378 million in the same period of 2024[91]. - Total inflows for U.S. Real Estate strategy were $2,084 million for the three months ended September 30, 2025, compared to $3,073 million in the same period of 2024[90]. Financial Performance - Revenue for the three months ended September 30, 2025, was $141,720 thousand, up from $133,203 thousand in the same period of 2024, representing an increase of 4.3%[92]. - Operating income for the three months ended September 30, 2025, was $48,901 thousand, compared to $44,873 thousand in the same period of 2024, marking an increase of 6.5%[92]. - Net income attributable to common stockholders for the three months ended September 30, 2025, was $41,711 thousand, up from $39,668 thousand in the same period of 2024, an increase of 5.2%[92]. - Diluted earnings per share for the three months ended September 30, 2025, was $0.81, compared to $0.77 in the same period of 2024, reflecting a growth of 5.2%[92]. - Total revenue for the three months ended September 30, 2025, was $141,720,000, an increase of $8,517,000 or 6.4% compared to $133,203,000 in 2024[93]. - Investment advisory and administration fees increased to $133,628,000 for the three months ended September 30, 2025, up by $8,231,000 or 6.6% from $125,397,000 in 2024, primarily due to higher average assets under management[93]. - For the nine months ended September 30, 2025, total revenue reached $412,313,000, a rise of $34,679,000 or 9.2% from $377,634,000 in 2024[103]. - Investment advisory and administration fees for open-end funds for the nine months ended September 30, 2025, were $214,511,000, up by $26,662,000 or 14.2% from $187,849,000 in 2024[103]. - Distribution and service fees for the three months ended September 30, 2025, increased to $7,513,000, up by $269,000 or 3.7% from $7,244,000 in 2024[93]. - The effective income tax rate for the nine months ended September 30, 2025, was 23.1%, a decrease from 24.4% in 2024[112]. Operational Efficiency - The company maintains a disciplined approach to cost control and operational efficiency amid a volatile macroeconomic environment[78]. - Operating margin for the three months ended September 30, 2025, was 34.5%, up from 33.7% in the same period of 2024[92]. - Operating margin improved to 34.5% for the three months ended September 30, 2025, compared to 33.7% in 2024[100]. - Total expenses for the three months ended September 30, 2025, were $92,819,000, reflecting an increase of $4,489,000 or 5.1% from $88,330,000 in 2024[98]. - Operating margin for Q3 2025 was 34.5%, compared to 33.7% in Q3 2024, indicating improved operational efficiency[120]. Market Risks - The company is exposed to market risks due to changes in interest and currency rates, which may adversely impact the value of assets under management and seed investments[140]. - The economic environment may hinder the growth of assets managed in closed-end funds due to unfavorable market conditions[141]. - The company’s seed investments are subject to market risk, which could affect overall financial performance[143]. - The company’s ability to grow assets under management may be adversely impacted by market fluctuations[140]. Seed Investments - Seed investments include both liquid ($107,262,000) and illiquid ($120,719,000) holdings, with liquid investments typically being more easily liquidated[142]. - A 10% increase in the value of liquid seed investments could result in a net carrying value of $40,734,000, while a 10% decrease could lower it to $33,328,000[143]. - Illiquid seed investments maintain a net carrying value of $120,719,000, with a potential increase to $132,791,000 or a decrease to $108,647,000 under similar market conditions[143]. - Derivative contracts may be used to hedge certain portions of market risk associated with seed investments[143]. - The company may adjust leverage in closed-end funds based on market conditions, impacting the assets managed and associated revenue[141]. Dividends and Investments - A quarterly dividend of $0.62 per share was declared on October 30, 2025, payable on November 20, 2025[138]. - The company has committed to invest up to $175.0 million in certain investment vehicles, with $58.9 million remaining unfunded as of September 30, 2025[133]. Non-Operating Income - Non-operating income for Q3 2025 was $6.7 million, a decrease from $22.7 million in Q3 2024, primarily due to losses from seed investments[122]. - Total non-operating income attributable to the Company for the nine months ended September 30, 2025, was $16,559,000, compared to $15,965,000 in 2024[110].