Here's What Key Metrics Tell Us About Victory Capital (VCTR) Q2 Earnings

Core Insights - Victory Capital Holdings reported a revenue of $351.21 million for the quarter ended June 2025, marking a 59.9% increase year-over-year, with an EPS of $1.57 compared to $1.31 in the same quarter last year [1] - The revenue exceeded the Zacks Consensus Estimate of $335.82 million by 4.58%, and the EPS surpassed the consensus estimate of $1.45 by 8.28% [1] Financial Performance - The company’s shares have returned +7% over the past month, outperforming the Zacks S&P 500 composite, which saw a +1.2% change [3] - Victory Capital currently holds a Zacks Rank 3 (Hold), suggesting it may perform in line with the broader market in the near term [3] Assets Under Management (AUM) - Total ending Assets Under Management (AUM) stood at $298.56 billion, slightly below the average estimate of $298.57 billion [4] - AUM in U.S. Large Cap Equity was $61.84 billion, exceeding the average estimate of $50.78 billion, while U.S. Mid Cap Equity AUM was $31.64 billion, below the average estimate of $37.49 billion [4] - AUM in U.S. Small Cap Equity was $13.14 billion, significantly lower than the estimated $18.35 billion [4] Revenue Breakdown - Investment management fees generated revenue of $282.31 million, surpassing the average estimate of $262.94 million, reflecting a year-over-year increase of 63% [4] - Fund administration and distribution fees amounted to $68.91 million, which was below the estimated $72.87 million but still represented a 48.3% increase compared to the previous year [4] Client Cash Flows - Total net client cash flows were reported at $-804 million, worse than the average estimate of $-594.7 million [4] - Specifically, net client cash flows in U.S. Mid Cap Equity were $-748 million, compared to the average estimate of $-211.03 million [4]