Franklin Resources (BEN) Q3 Earnings: Taking a Look at Key Metrics Versus Estimates

Core Insights - Franklin Resources reported $2.06 billion in revenue for the quarter ended June 2025, a year-over-year decline of 2.8%, with EPS of $0.49 compared to $0.60 a year ago, exceeding the Zacks Consensus Estimate of $2 billion by 3.4% [1] - The company delivered an EPS surprise of 2.08%, with the consensus EPS estimate being $0.48 [1] Financial Performance - Total Net Flows were reported at $-6.60 billion, better than the three-analyst average estimate of $-12.88 billion [4] - Assets Under Management (AUM) totaled $1,611.80 billion, exceeding the three-analyst average estimate of $1,588.40 billion [4] - AUM in Fixed Income was $441.70 billion, below the estimate of $452.27 billion; Multi-Asset AUM was $183.20 billion, above the estimate of $175.25 billion; Equity AUM was $656.60 billion, above the estimate of $639.18 billion; Alternative AUM was $258.40 billion, above the estimate of $250.18 billion; Cash Management AUM was $71.90 billion, slightly above the estimate of $71.51 billion [4] Revenue Breakdown - Operating Revenues from Investment Management Fees were $1.64 billion, exceeding the average estimate of $1.56 billion, representing a year-over-year change of -2.9% [4] - Operating Revenues from Shareholder Servicing Fees were $59.9 million, compared to the estimated $58.57 million, reflecting a -3.1% change year-over-year [4] - Operating Revenues from Sales and Distribution Fees were $351.9 million, exceeding the three-analyst average estimate of $344.14 million, with a year-over-year change of -1.8% [4] Stock Performance - Shares of Franklin Resources returned -3.5% over the past month, while the Zacks S&P 500 composite increased by 2.3% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating potential performance in line with the broader market in the near term [3]