London · Delayed Price · Currency is GBP · Price in GBX Schroders Earnings Call Transcripts
Fiscal Year 2025
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Strong financial performance in 2025 with record AUM, robust net inflows, and improved profitability. Announced a recommended all-cash acquisition by Nuveen at a significant premium, positioning the combined group as a global asset management leader with enhanced scale and reach.
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Aiming to grow AUM from GBP 73 billion to GBP 100 billion by 2027, the group leverages mid-market specialization, a solutions-driven approach, and innovation in wealth and DC. Stable margins, high asset longevity, and a diversified product suite underpin profitable, scalable growth, with wealth expected to be the fastest-growing segment.
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Adjusted operating profit rose 7% to £316m, with strong cost discipline and £68bn in gross inflows. Transformation and portfolio restructuring led to a 29% drop in pre-tax profit, but cost savings and client engagement are ahead of plan.
Fiscal Year 2024
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2024 saw stable net operating income and record gross inflows, but operating profit declined 3% year-over-year. A three-year transformation plan targets £150 million in cost savings, revenue stabilization in Public Markets, and accelerated growth in Schroders Capital and Wealth, with a renewed focus on client outcomes and operational efficiency.
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AUM reached a record £777.4bn, with strong mutual fund and wealth flows offset by large, low-margin mandate outflows expected in Q4. Cost discipline remains a priority, with guidance reaffirmed for non-compensation costs and compensation ratio. CEO transition and new executive team aim to drive focused, profitable growth.
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Record AUM of £773.7bn, strong wealth and private markets growth, but operating profit fell 8% year-on-year amid margin pressure in public markets. Strategic focus remains on wealth, private markets, and solutions, with new initiatives like the Phoenix JV supporting future growth.