We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.
The results were primarily aided by a decline in adjusted expenses and higher adjusted net revenues. An increase in the assets under management (AUM) balance on decent inflows was a positive too. In light of these positives, shares of the company were up 1% in the pre-market trading session.
Results in the reported quarter included certain notable items. After considering those, net income attributable to common shareholders was $55 million or 12 cents per share, down 58.6% from a year ago.
Adjusted net revenues were $1.10 billion, up marginally year over year. The top line marginally missed the Zacks Consensus Estimate of $1.11 billion.
Adjusted operating expenses were $755.5 million, down 4.2% on a year-over-year basis.
The adjusted operating margin was 31.6%, up from 28.2% a year ago.
IVZ’s AUM Balance Increases
As of Sept. 30, 2024, AUM was $1.80 trillion, up 20.7% year over year. The average AUM at the end of the third quarter totaled $1.74 trillion, up 14%.
The company witnessed long-term net inflows of $16.5 billion in the reported quarter.
Invesco’s Strong Balance Sheet
As of Sept. 30, 2024, cash and cash equivalents were $1.04 billion compared with $878.5 million as of June 30, 2024.
The long-term debt was $890.3 million.
Our View on IVZ
Invesco is well-poised to benefit from its global footprint, product offerings and strategic buyouts. Further, measures to improve efficiency will likely keep expenses at a manageable level. However, a tough operating backdrop and high levels of intangible assets on the balance sheet are major near-term concerns.
BlackRock’s (BLK - Free Report) third-quarter 2024 adjusted earnings of $11.46 per share handily surpassed the Zacks Consensus Estimate of $10.34. The figure reflects a rise of 5% from the year-ago quarter.
BLK’s results benefited from a rise in revenues and higher non-operating income. AUM witnessed robust growth and touched the $11.45 trillion mark, driven by net inflows and market appreciation. However, higher expenses acted as a headwind.
Blackstone’s (BX - Free Report) third-quarter 2024 distributable earnings of $1.01 per share outpaced the Zacks Consensus Estimate of 91 cents. The figure reflects a rise of 7% from the prior-year quarter.
BX’s results benefited from higher revenues and an improvement in AUM balance. However, an increase in GAAP expenses acted as a headwind.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Invesco Q3 Earnings Meet Estimates on Y/Y Revenue Increase, Stock Up
Invesco’s (IVZ - Free Report) third-quarter 2024 adjusted earnings of 44 cents per share came in line with the Zacks Consensus Estimate. The bottom line increased 25.7% from the prior-year quarter.
Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.
The results were primarily aided by a decline in adjusted expenses and higher adjusted net revenues. An increase in the assets under management (AUM) balance on decent inflows was a positive too. In light of these positives, shares of the company were up 1% in the pre-market trading session.
Results in the reported quarter included certain notable items. After considering those, net income attributable to common shareholders was $55 million or 12 cents per share, down 58.6% from a year ago.
Invesco’s Adjusted Revenues Rise, Adjusted Expenses Decline
Adjusted net revenues were $1.10 billion, up marginally year over year. The top line marginally missed the Zacks Consensus Estimate of $1.11 billion.
Adjusted operating expenses were $755.5 million, down 4.2% on a year-over-year basis.
The adjusted operating margin was 31.6%, up from 28.2% a year ago.
IVZ’s AUM Balance Increases
As of Sept. 30, 2024, AUM was $1.80 trillion, up 20.7% year over year. The average AUM at the end of the third quarter totaled $1.74 trillion, up 14%.
The company witnessed long-term net inflows of $16.5 billion in the reported quarter.
Invesco’s Strong Balance Sheet
As of Sept. 30, 2024, cash and cash equivalents were $1.04 billion compared with $878.5 million as of June 30, 2024.
The long-term debt was $890.3 million.
Our View on IVZ
Invesco is well-poised to benefit from its global footprint, product offerings and strategic buyouts. Further, measures to improve efficiency will likely keep expenses at a manageable level. However, a tough operating backdrop and high levels of intangible assets on the balance sheet are major near-term concerns.
Invesco Ltd. Price, Consensus and EPS Surprise
Invesco Ltd. price-consensus-eps-surprise-chart | Invesco Ltd. Quote
Currently, IVZ carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of Other Asset Managers
BlackRock’s (BLK - Free Report) third-quarter 2024 adjusted earnings of $11.46 per share handily surpassed the Zacks Consensus Estimate of $10.34. The figure reflects a rise of 5% from the year-ago quarter.
BLK’s results benefited from a rise in revenues and higher non-operating income. AUM witnessed robust growth and touched the $11.45 trillion mark, driven by net inflows and market appreciation. However, higher expenses acted as a headwind.
Blackstone’s (BX - Free Report) third-quarter 2024 distributable earnings of $1.01 per share outpaced the Zacks Consensus Estimate of 91 cents. The figure reflects a rise of 7% from the prior-year quarter.
BX’s results benefited from higher revenues and an improvement in AUM balance. However, an increase in GAAP expenses acted as a headwind.