Invesco Reports Results for the Three Months Ended September 30, 2025

Core Insights - Invesco reported a third quarter diluted EPS of $0.66 and an adjusted diluted EPS of $0.61, reflecting significant financial recovery compared to previous quarters [1][8][13]. Financial Performance - The company achieved operating revenues of $1,640.4 million, an increase of 8.2% from the previous quarter and the same percentage increase year-over-year [7][14]. - Operating income rose to $270.9 million, marking a 26.5% increase from the second quarter and a substantial 169.6% increase from the same quarter last year [7][14]. - The adjusted operating margin improved to 34.2%, up from 31.2% in the previous quarter and 31.6% year-over-year [7][25]. Assets Under Management (AUM) - Invesco's AUM reached a record $2.1 trillion, reflecting a 6.2% increase from the previous quarter and an 18.3% increase year-over-year [2][8][29]. - The company reported net long-term inflows of $28.9 billion for the quarter, significantly higher than $15.6 billion in the second quarter [3][4]. Net Flows - Retail and institutional net long-term inflows were $19.7 billion and $9.2 billion, respectively, with notable contributions from ETFs and Index funds, China JV & India, and Fundamental Fixed Income [4][8]. - The company experienced net long-term outflows from Fundamental Equities of $5.0 billion and Multi-Asset/Other of $0.3 billion [4]. Capital Management - Invesco reduced its debt by repaying $260 million of bank term loans, ending the quarter with a zero balance on its revolving credit agreement [8][29]. - The company repurchased 1.2 million common shares for $25 million during the quarter, demonstrating a commitment to returning capital to shareholders [8][30]. Tax and Non-Operating Income - The effective tax rate was reported at (2.8%), a significant decrease from 28.1% in the previous quarter, primarily due to favorable tax resolutions [12][17]. - Non-operating income included equity earnings of $34.8 million from unconsolidated affiliates, primarily from the China joint venture [11][16].