Financial Data and Key Metrics Changes - The company's assets under management (AUM) ended the quarter at $1,610 billion, an increase from the prior quarter due to positive market impacts and strengthening flows, partially offset by long-term outflows at Western Asset Management [18][19] - Adjusted operating income was $378 million, flat from the prior quarter, driven by lower compensation expenses, offset by the impact of Western outflows and lower average AUM [34] Business Line Data and Key Metrics Changes - Long-term net outflows totaled $9.3 billion, representing a marked improvement from the prior quarter's outflows of $26.2 billion. Excluding Western Asset Management, long-term net inflows were $7.8 billion this quarter [19][20] - Multi-asset and alternatives generated another quarter of positive net flows, resulting in a combined $4.3 billion for the quarter, with multi-asset flows being positive for 16 consecutive quarters [20] - Fixed income net outflows improved to $13 billion this quarter, while excluding Western, fixed income net inflows were $3.5 billion, driven by Franklin Templeton fixed income and Brandywine Global [21][22] Market Data and Key Metrics Changes - The S&P 500 posted a recovery, rising 25% from its April lows and ending the quarter up nearly 11%, with large-cap growth stocks leading the recovery [9][10] - International markets outperformed the US, with the MSCI EAFE up 19% through June, aided by a weaker US dollar [10] Company Strategy and Development Direction - The company aims to manage local businesses combined with global scale, focusing on local investing and client needs, with approximately 30% of AUM in countries outside the US [8] - The company is committed to growing its global alternatives platform, with a recent agreement to acquire a majority interest in Apira Asset Management, expanding direct lending capabilities across Europe's lower middle market [24][25] Management's Comments on Operating Environment and Future Outlook - Management remains cautiously constructive on the outlook for the US equity market, citing solid fundamentals but caution due to geopolitical and policy uncertainties [11][12] - The company continues to expect at most one more rate cut by the Fed this year, with additional monetary easing possible should growth begin to deteriorate [14] Other Important Information - The company has seen cash management net inflows for four out of the last five quarters, with $2.7 billion in each of the last two quarters, increasing cash management AUM to $72 billion [23] - The ETF platform achieved its fifteenth consecutive quarter of positive net flows, attracting $4.3 billion and reaching a new high of $44.1 billion in AUM, reflecting a 19% growth from the prior quarter [28] Q&A Session Summary Question: Integration and Growth of Private Credit - Management emphasized the importance of integrating acquisitions like Apira into the broader private credit platform, aiming for a unified private credit group rather than standalone entities [37][40] Question: Tokenization's Economic Value Proposition - Management believes tokenization will fundamentally change the financial system, enhancing capabilities and reducing costs through blockchain technology [44][48] Question: Regulatory Conversations and Capital Deployment - Management reiterated the strength of their fixed income franchise and noted ongoing cooperation with regulators regarding Western Asset Management, while focusing on organic growth and share repurchases [51][56] Question: Outlook for Private Markets Growth - Management expects alternative fundraising to be in the range of $13 to $20 billion, with a focus on expanding the wealth channel and increasing distributor relationships [62][66]

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]

Financial Data and Key Metrics Changes - Assets under management (AUM) increased to $1,610 billion, driven by positive market impacts and strengthening flows, partially offset by long-term outflows at Western Asset Management [18] - Long-term net outflows totaled $9.3 billion, a significant improvement from the previous quarter's outflows of $26.2 billion [19] - Adjusted operating income remained flat at $378 million from the prior quarter, influenced by lower compensation expenses and the impact of Western outflows [33] Business Line Data and Key Metrics Changes - Multi-asset and alternatives generated positive net flows of $4.3 billion for the quarter, with multi-asset flows positive for 16 consecutive quarters [20] - Fixed income net outflows improved to $13 billion, with positive net inflows of $3.5 billion excluding Western [22] - Cash management AUM grew to $72 billion, with net inflows of $2.7 billion in each of the last two quarters [23] Market Data and Key Metrics Changes - Global equity markets rebounded sharply, with the S&P 500 rising 25% from its April lows and ending the quarter up nearly 11% [7] - International markets outperformed the US, with the MSCI EAFE up 19% through June [9] - The US dollar experienced its largest quarterly decline since 2022, contributing to the performance of non-US markets [12] Company Strategy and Development Direction - The company aims to manage local businesses with global scale, focusing on local investing and client needs, with approximately 30% of AUM in countries outside the US [6] - The acquisition of Appira Asset Management is intended to expand direct lending capabilities across Europe's lower middle market, reflecting a commitment to growing the global alternatives platform [24] - The company continues to emphasize innovation and the integration of new technologies, such as blockchain, to enhance service delivery and reduce costs [46] Management's Comments on Operating Environment and Future Outlook - Management remains cautiously constructive on the US equity market outlook, citing solid fundamentals but caution due to geopolitical and policy uncertainties [10] - The company expects to see continued positive net flows and client engagement, particularly in fixed income and alternatives [19][20] - Management highlighted the importance of diversification and active management in mitigating risks and maximizing returns in a volatile market environment [17] Other Important Information - The company has seen a significant increase in its institutional pipeline, with a record $24.4 billion in won but unfunded mandates [19] - The ETF platform achieved its fifteenth consecutive quarter of positive net flows, reaching a new high of $44.1 billion in AUM, reflecting a 19% growth from the prior quarter [28] - The company is focused on expanding its wealth management channel, with expectations that it could represent 20% to 30% of AUM over time [72] Q&A Session Summary Question: Integration and growth of private credit platform with Appira - Management emphasized the importance of integrating Appira into the broader private credit platform, aiming for a unified private credit group rather than standalone entities [40] Question: Economic value proposition of tokenization - Management believes tokenization will fundamentally change the financial system, enhancing capabilities and reducing costs for clients [46] Question: Regulatory conversations and capital deployment - Management reiterated the strength of the fixed income franchise and noted ongoing cooperation with regulators regarding Western Asset Management [56] Question: Outlook for private markets growth - Management expects alternative fundraising to be in the range of $13 to $20 billion, with a focus on expanding the wealth channel [66] Question: Expense guidance for fiscal year 2026 - Management indicated expectations for $200 million in cost savings entering fiscal 2026, with expenses potentially flat to slightly higher [82]

Core Viewpoint - Franklin Resources (BEN) reported quarterly earnings of $0.49 per share, exceeding the Zacks Consensus Estimate of $0.48 per share, but down from $0.6 per share a year ago, indicating a mixed performance in earnings [1][2] Financial Performance - The company posted revenues of $2.06 billion for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 3.40%, although this is a decrease from year-ago revenues of $2.12 billion [2] - Over the last four quarters, Franklin Resources has surpassed consensus EPS estimates two times and topped consensus revenue estimates four times [2] Stock Performance - Franklin Resources shares have increased approximately 18.3% since the beginning of the year, outperforming the S&P 500's gain of 7.8% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.54 on revenues of $2.06 billion, and for the current fiscal year, it is $2.08 on revenues of $8.42 billion [7] - The estimate revisions trend for Franklin Resources was mixed ahead of the earnings release, which may change following the recent report [6] Industry Context - The Financial - Investment Management industry, to which Franklin Resources belongs, is currently ranked in the top 19% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8]

Franklin Resources, Inc. Third Quarter 2025 Results August 1, 2025 | Investor Presentation Jenny Johnson President Chief Executive Officer Matthew Nicholls Executive Vice President Chief Financial Officer Chief Operating Officer Adam Spector Executive Vice President Head of Global Distribution Forward-looking statements and non-GAAP financial information This commentary contains forward-looking statements that involve a number of known and unknown risks, uncertainties and other important factors. This comme ...

EXHIBIT 99.1 Contact: Franklin Resources, Inc. Investor Relations: Selene Oh (650) 312-4091, selene.oh@franklintempleton.com Media Relations: Jeaneen Terrio (212) 632-4005, jeaneen.terrio@franklintempleton.com investors.franklinresources.com FOR IMMEDIATE RELEASE Franklin Resources, Inc. Announces Third Quarter Results San Mateo, CA, August 1, 2025 – Franklin Resources, Inc. (the "Company") [NYSE: BEN] today announced net income of $92.3 million or $0.15 per diluted share for the quarter ended June 30, 2025 ...

Key Takeaways Franklin Resources Inc. (BEN) is scheduled to report third-quarter fiscal 2025 results (ended June 30) on August 1, before market open. BEN's quarterly earnings and revenues are anticipated to have declined from the year-ago reported levels. In the last reported quarter, Franklin's earnings met the Zacks Consensus Estimate. Results were affected by lower revenues and assets under management (AUM). Yet, lower expenses supported the results to some extent. BEN's earnings beat the consensus estim ...

Core Viewpoint - The SPDR Portfolio S&P 500 High Dividend ETF (SPYD) is highlighted as a strong investment option for long-term income investors, offering both growth and income potential with low volatility [1][2]. Fund Overview - The SPDR Portfolio S&P 500 High Dividend ETF focuses on S&P 500 companies with above-average dividend yields, tracking the 80 highest-yielding companies in the index [2][4]. - The fund has a low expense ratio of 0.07%, meaning annual investment costs are minimal at $0.70 for every $1,000 invested [5]. - The fund has a distribution yield of approximately 4.5% over the past 12 months, making it one of the higher-paying dividend ETFs available [5]. Performance Metrics - Since its inception in 2015, the fund has delivered an annualized total return of about 8.5%, which is lower than the overall S&P 500 returns, primarily due to the exclusion of megacap tech stocks [6]. - The SPDR Portfolio S&P 500 High Dividend ETF is currently about 8% below its peak, despite the S&P 500 being near an all-time high [9]. Investment Rationale - This ETF is suitable for income-seeking investors who prioritize capital preservation over aggressive growth strategies [8]. - A potential decline in interest rates could benefit high dividend stocks, leading to an increase in the ETF's share price due to the inverse relationship between yield and price [10][11].

Core Insights - Active asset managers are under pressure as trillions of dollars are shifting into passive index funds, necessitating adaptation to maintain competitiveness [1] - Some firms leverage their scale to protect legacy assets, while others pursue aggressive acquisitions to expand their franchises [1] Industry Trends - The trend of capital flowing into passive investment vehicles is reshaping the asset management landscape, prompting active managers to rethink their strategies [1] - The competitive landscape is increasingly favoring firms that can either defend their existing assets or innovate through acquisitions [1]

Core Insights - Franklin Resources, Inc. (BEN) reported preliminary assets under management (AUM) of $1.61 trillion as of June 30, 2025, reflecting a 2.1% increase from the previous month driven by favorable market conditions despite long-term net outflows of $1 billion [1][8] AUM Breakdown - Equity assets reached $656.1 billion, marking a 4% increase from the prior month [2] - Fixed income AUM stood at $441.3 billion, showing a marginal increase from the previous month [2] - Alternative AUM slightly decreased to $254 billion [2] - Multi-asset AUM was reported at $183 billion, up 2.6% from May 2025 [2] - Cash management balance increased to $71.9 billion, reflecting a 1.3% rise from the previous month [2] Market Performance and Outlook - The overall AUM growth in June was attributed to positive market performance, although the decline in alternative AUM raises concerns [3] - Franklin's inorganic expansion efforts are noted to continue supporting its financials [3] - Over the past six months, BEN shares have appreciated by 24.4%, contrasting with a 3.3% decline in the industry [4]