Franklin Resources, Inc. Announces Third Quarter Results
Franklin Resources, Inc. (NYSE: BEN) reported its Q3 2024 financial results. Net income was $174.0 million or $0.32 per diluted share, compared to $124.2 million or $0.23 per share in Q2 2024. Operating income increased to $222.5 million from $129.3 million in Q2. Adjusted net income was $326.4 million and adjusted diluted EPS was $0.60, up from $306.6 million and $0.56 in Q2. Total AUM reached $1,646.6 billion, up slightly from $1,644.7 billion in Q2. The company saw positive net flows in multi-asset and alternative strategies, as well as strong inflows in retail SMAs, Canvas®, and ETFs. ETFs generated over $3 billion in net inflows. The non-U.S. business had its fifth consecutive quarter of positive net flows.
Franklin Resources, Inc. (NYSE: BEN) ha riportato i risultati finanziari per il terzo trimestre del 2024. Il reddito netto è stato di 174,0 milioni di dollari, pari a 0,32 dollari per azione diluita, rispetto ai 124,2 milioni di dollari o 0,23 dollari per azione del secondo trimestre del 2024. Il reddito operativo è aumentato a 222,5 milioni di dollari, rispetto ai 129,3 milioni di dollari del secondo trimestre. Il reddito netto rettificato è stato di 326,4 milioni di dollari e l'EPS diluito rettificato è stato di 0,60 dollari, in aumento rispetto ai 306,6 milioni di dollari e 0,56 dollari del secondo trimestre. Il totale degli AUM ha raggiunto 1.646,6 miliardi di dollari, in leggero aumento dai 1.644,7 miliardi di dollari del secondo trimestre. L'azienda ha registrato flussi netti positivi in strategie multi-asset e alternative, oltre a forti afflussi in SMAs retail, Canvas® ed ETF. Gli ETF hanno generato oltre 3 miliardi di dollari in afflussi netti. L'attività non statunitense ha avuto il quinto trimestre consecutivo di flussi netti positivi.
Franklin Resources, Inc. (NYSE: BEN) ha reportado sus resultados financieros del tercer trimestre de 2024. Los ingresos netos fueron de 174.0 millones de dólares o 0.32 dólares por acción diluida, en comparación con los 124.2 millones de dólares o 0.23 dólares por acción en el segundo trimestre de 2024. Los ingresos operativos aumentaron a 222.5 millones de dólares desde los 129.3 millones de dólares en el segundo trimestre. Los ingresos netos ajustados fueron de 326.4 millones de dólares y el EPS diluido ajustado fue de 0.60 dólares, en comparación con los 306.6 millones de dólares y 0.56 dólares en el segundo trimestre. El total de AUM alcanzó los 1,646.6 mil millones de dólares, con un ligero aumento respecto a los 1,644.7 mil millones de dólares en el segundo trimestre. La empresa experimentó flujos netos positivos en estrategias de multi-activos y alternativas, así como fuertes influjos en SMAs minoristas, Canvas® y ETFs. Los ETFs generaron más de 3 mil millones de dólares en flujos netos. El negocio no estadounidense tuvo su quinto trimestre consecutivo de flujos netos positivos.
프랭클린 리소스, Inc. (NYSE: BEN)는 2024년 3분기 재무 결과를 발표했습니다. 순이익은 1억 7,400만 달러로 희석주당 0.32달러였으며, 2024년 2분기의 1억 2,420만 달러 또는 주당 0.23달러와 비교됩니다. 운영 소득은 1억 2,250만 달러로 2분기의 1억 2,930만 달러에서 증가했습니다. 조정된 순이익은 3억 2,640만 달러였고 조정된 희석 EPS는 0.60달러로, 2분기의 3억 6,600만 달러 및 0.56달러에서 상승했습니다. 총 AUM은 1,646.6억 달러로 2분기의 1,644.7억 달러에서 약간 증가했습니다. 회사는 다중 자산 및 대체 전략에서 긍정적인 순유입을 경험했으며, 소매 SMA, Canvas® 및 ETF에서 강력한 유입이 있었습니다. ETF는 30억 달러 이상의 순유입을 생성했습니다. 비미국 사업부는 긍정적인 순유입이 5분기 연속 이어졌습니다.
Franklin Resources, Inc. (NYSE: BEN) a annoncé ses résultats financiers pour le troisième trimestre 2024. Le revenu net était de 174,0 millions de dollars ou 0,32 dollar par action diluée, contre 124,2 millions de dollars ou 0,23 dollar par action au deuxième trimestre 2024. Le revenu d'exploitation a augmenté à 222,5 millions de dollars, contre 129,3 millions de dollars au deuxième trimestre. Le revenu net ajusté était de 326,4 millions de dollars et le BPA dilué ajusté était de 0,60 dollar, en hausse par rapport à 306,6 millions de dollars et 0,56 dollar au deuxième trimestre. Le total des AUM a atteint 1 646,6 milliards de dollars, en légère hausse par rapport à 1 644,7 milliards de dollars au deuxième trimestre. L'entreprise a observé des flux nets positifs dans les stratégies multi-actifs et alternatives, ainsi que de forts entrées dans les SMA de détail, Canvas® et les ETF. Les ETF ont généré plus de 3 milliards de dollars de flux nets. L'activité non américaine a enregistré son cinquième trimestre consécutif de flux nets positifs.
Franklin Resources, Inc. (NYSE: BEN) hat seine finanziellen Ergebnisse für das dritte Quartal 2024 veröffentlicht. Der Nettogewinn betrug 174,0 Millionen Dollar oder 0,32 Dollar pro verwässerter Aktie, verglichen mit 124,2 Millionen Dollar oder 0,23 Dollar pro Aktie im zweiten Quartal 2024. Der operative Gewinn stieg auf 222,5 Millionen Dollar, gegenüber 129,3 Millionen Dollar im zweiten Quartal. Der bereinigte Nettogewinn betrug 326,4 Millionen Dollar, und der bereinigte verwässerte EPS lag bei 0,60 Dollar, ein Anstieg von 306,6 Millionen Dollar und 0,56 Dollar im zweiten Quartal. Das gesamte AUM erreichte 1.646,6 Milliarden Dollar, ein leichter Anstieg gegenüber 1.644,7 Milliarden Dollar im zweiten Quartal. Das Unternehmen verzeichnete positive Nettomittelzuflüsse in Multi-Asset- und alternativen Strategien sowie starke Zuflüsse in Einzelhandels-SMAs, Canvas® und ETFs. ETFs generierten über 3 Milliarden Dollar an Nettomittelzuflüssen. Das Geschäft außerhalb der USA verzeichnete das fünfte aufeinanderfolgende Quartal mit positiven Nettomittelzuflüssen.
- Operating income increased 72% quarter-over-quarter to $222.5 million
- Adjusted net income rose 6% to $326.4 million
- Adjusted diluted EPS grew 7% to $0.60
- ETFs generated over $3 billion in net inflows
- Non-U.S. business had fifth consecutive quarter of positive net flows
- Long-term net outflows of $3.2 billion
- Operating margin declined to 10.5% from 16.0% year-over-year
- Net income decreased 24% year-over-year to $174.0 million
- Diluted EPS fell 27% year-over-year to $0.32
Insights
Franklin Resources has reported mixed results for Q3 2024. While net income increased 40% quarter-over-quarter to
Assets under management (AUM) remained relatively flat at
The company continues to focus on diversification and technology investments. Positive developments include net inflows in multi-asset and alternative strategies, as well as strong flows in retail SMAs, Canvas® and ETF offerings. The non-U.S. business saw its fifth consecutive quarter of positive net flows.
Franklin is making strategic moves in AI and technology, including a partnership with Microsoft for an advanced financial AI platform and a planned investment in Envestnet. These initiatives aim to enhance client support and operational efficiency.
While the company is making progress on its long-term strategy, the declining year-over-year performance and ongoing outflows in certain areas suggest challenges in the current market environment. Investors should monitor how effectively Franklin can leverage its technology investments and diverse offerings to improve financial performance in coming quarters.
Franklin Resources' Q3 results reveal a complex picture of the asset management industry's current state. The company's AUM holding steady at
The bright spots in Franklin's report are the areas of growth and innovation. ETFs generated over
Franklin's strategic focus on technology is important in today's competitive landscape. The partnership with Microsoft for an AI platform and the investment in Envestnet show a commitment to enhancing distribution capabilities and operational efficiency. However, the true test will be how effectively these investments translate into improved client acquisition and retention.
The decline in adjusted operating margin to
Overall, Franklin's results reflect an asset manager in transition, balancing traditional strengths with necessary innovations. The coming quarters will be critical in determining whether these strategic initiatives can drive meaningful growth and stem the tide of outflows in core businesses.
As supplemental information, the Company is providing certain adjusted performance measures which are based on methodologies other than generally accepted accounting principles. Adjusted net income2 was
“During our third fiscal quarter, we saw a number of positive developments across our business which further diversified our firm’s capabilities, and continued our focus on new technologies to optimize the client experience and support our business growth,” said Jenny Johnson, President and CEO of Franklin Resources, Inc.
“This quarter, we continued to make progress executing our long-term plan of diversification across asset classes, investment vehicles and geographies. Client demand led to positive net flows in multi-asset and alternative strategies during the quarter. We saw a strong quarter of positive net flows across our retail SMAs, Canvas® and ETF offerings. In particular, ETFs generated net inflows of over
“As various aspects of the asset management industry evolve, we continue to make investments in technology across distribution, investment management and operations. This quarter, we announced that we are working with Microsoft to build an advanced financial AI platform, which will help embed artificial intelligence into our sales and marketing processes to create more personalized support for clients. We also recently announced plans to make a strategic minority investment in Envestnet, a significant industry platform. Finally, we announced the selection of a single platform to unify our investment management technologies across public market asset classes. This will support the simplification of our operation and reduce long-term capital expenditures.
“Looking ahead, we will continue to invest in the business to support our strategic priorities in asset management and wealth management for the benefit of all stakeholders.”
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Quarter Ended |
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% Change |
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Quarter Ended |
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% Change |
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30-Jun-24 |
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31-Mar-24 |
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Qtr. vs. Qtr. |
30-Jun-23 |
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Year vs. Year |
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Financial Results |
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(in millions, except per share data) |
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Operating revenues |
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$ |
2,122.9 |
|
|
$ |
2,152.8 |
|
|
(1 |
%) |
$ |
1,969.0 |
|
|
8 |
% |
|
Operating income |
|
|
222.5 |
|
|
|
129.3 |
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|
72 |
% |
|
314.9 |
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|
(29 |
%) |
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Operating margin |
|
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10.5 |
% |
|
|
6.0 |
% |
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|
16.0 |
% |
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Net income¹ |
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$ |
174.0 |
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|
$ |
124.2 |
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|
40 |
% |
$ |
227.5 |
|
|
(24 |
%) |
|
Diluted earnings per share |
|
|
0.32 |
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|
|
0.23 |
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|
39 |
% |
|
0.44 |
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(27 |
%) |
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As adjusted (non-GAAP):2 |
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Adjusted operating income |
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$ |
424.9 |
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|
$ |
419.6 |
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1 |
% |
$ |
476.8 |
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|
(11 |
%) |
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Adjusted operating margin |
|
|
25.7 |
% |
|
|
25.2 |
% |
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|
30.5 |
% |
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Adjusted net income |
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$ |
326.4 |
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|
$ |
306.6 |
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|
6 |
% |
$ |
326.1 |
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|
0 |
% |
|
Adjusted diluted earnings per share |
|
|
0.60 |
|
|
|
0.56 |
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|
7 |
% |
|
0.63 |
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(5 |
%) |
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Assets Under Management |
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(in billions) |
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Ending |
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$ |
1,646.6 |
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|
$ |
1,644.7 |
|
|
0 |
% |
$ |
1,431.5 |
|
|
15 |
% |
|
Average3 |
|
|
1,632.6 |
|
|
|
1,581.1 |
|
|
3 |
% |
|
1,419.6 |
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|
15 |
% |
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Long-term net flows |
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|
(3.2 |
) |
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|
6.9 |
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0.2 |
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|||
Total assets under management (“AUM”) were
Cash and cash equivalents and investments were
Conference Call Information
A written commentary on the results by Jenny Johnson, President and CEO; Matthew Nicholls, Executive Vice President, CFO and COO; and Adam Spector, Executive Vice President, Head of Global Distribution will be available via investors.franklinresources.com today at approximately 8:30 a.m. Eastern Time.
Ms. Johnson and Messrs. Nicholls and Spector will also lead a live teleconference today at 11:00 a.m. Eastern Time to answer questions. Access to the teleconference will be available via investors.franklinresources.com or by dialing (+1) (800) 549-8228 in
Analysts and investors are encouraged to review the Company’s recent filings with the
FRANKLIN RESOURCES, INC. CONSOLIDATED STATEMENTS OF INCOME Unaudited |
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(in millions, except per share data) |
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Three Months Ended
|
|
%
|
|
Nine Months Ended
|
|
%
|
||||||||||||||
|
2024 |
|
2023 5 |
|
|
2024 |
|
2023 5 |
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|||||||||||||
Operating Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Investment management fees |
|
$ |
1,689.9 |
|
|
$ |
1,613.4 |
|
|
5 |
% |
|
$ |
5,056.0 |
|
|
$ |
4,818.5 |
|
|
5 |
% |
Sales and distribution fees |
|
|
358.3 |
|
|
|
304.0 |
|
|
18 |
% |
|
|
1,013.0 |
|
|
|
897.3 |
|
|
13 |
% |
Shareholder servicing fees |
|
|
61.8 |
|
|
|
38.8 |
|
|
59 |
% |
|
|
162.3 |
|
|
|
115.5 |
|
|
41 |
% |
Other |
|
|
12.9 |
|
|
|
12.8 |
|
|
1 |
% |
|
|
35.5 |
|
|
|
32.0 |
|
|
11 |
% |
Total operating revenues |
|
|
2,122.9 |
|
|
|
1,969.0 |
|
|
8 |
% |
|
|
6,266.8 |
|
|
|
5,863.3 |
|
|
7 |
% |
Operating Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Compensation and benefits |
|
|
893.8 |
|
|
|
841.2 |
|
|
6 |
% |
|
|
2,890.3 |
|
|
|
2,667.7 |
|
|
8 |
% |
Sales, distribution and marketing |
|
|
481.1 |
|
|
|
406.8 |
|
|
18 |
% |
|
|
1,366.2 |
|
|
|
1,202.0 |
|
|
14 |
% |
Information systems and technology |
|
|
156.6 |
|
|
|
127.3 |
|
|
23 |
% |
|
|
442.7 |
|
|
|
376.7 |
|
|
18 |
% |
Occupancy |
|
|
104.8 |
|
|
|
56.9 |
|
|
84 |
% |
|
|
247.7 |
|
|
|
171.1 |
|
|
45 |
% |
Amortization of intangible assets |
|
|
84.0 |
|
|
|
85.4 |
|
|
(2 |
%) |
|
|
254.4 |
|
|
|
254.6 |
|
|
0 |
% |
General, administrative and other |
|
|
180.1 |
|
|
|
136.5 |
|
|
32 |
% |
|
|
507.2 |
|
|
|
427.2 |
|
|
19 |
% |
Total operating expenses |
|
|
1,900.4 |
|
|
|
1,654.1 |
|
|
15 |
% |
|
|
5,708.5 |
|
|
|
5,099.3 |
|
|
12 |
% |
Operating Income |
|
|
222.5 |
|
|
|
314.9 |
|
|
(29 |
%) |
|
|
558.3 |
|
|
|
764.0 |
|
|
(27 |
%) |
Other Income (Expenses) |
|
|
|
|
|
|
|
|
|
|
|
|
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Investment and other income, net |
|
|
74.5 |
|
|
|
49.8 |
|
|
50 |
% |
|
|
300.2 |
|
|
|
200.3 |
|
|
50 |
% |
Interest expense |
|
|
(25.7 |
) |
|
|
(34.9 |
) |
|
(26 |
%) |
|
|
(72.2 |
) |
|
|
(99.3 |
) |
|
(27 |
%) |
Investment and other income of consolidated investment products,net |
|
|
37.6 |
|
|
|
1.7 |
|
|
NM |
|
|
|
103.7 |
|
|
|
75.3 |
|
|
38 |
% |
Expenses of consolidated investment products |
|
|
(8.8 |
) |
|
|
(0.8 |
) |
|
NM |
|
|
|
(20.6 |
) |
|
|
(15.7 |
) |
|
31 |
% |
Other income, net |
|
|
77.6 |
|
|
|
15.8 |
|
|
391 |
% |
|
|
311.1 |
|
|
|
160.6 |
|
|
94 |
% |
Income before taxes |
|
|
300.1 |
|
|
|
330.7 |
|
|
(9 |
%) |
|
|
869.4 |
|
|
|
924.6 |
|
|
(6 |
%) |
Taxes on income |
|
|
68.1 |
|
|
|
84.1 |
|
|
(19 |
%) |
|
|
205.8 |
|
|
|
237.3 |
|
|
(13 |
%) |
Net income |
|
|
232.0 |
|
|
|
246.6 |
|
|
(6 |
%) |
|
|
663.6 |
|
|
|
687.3 |
|
|
(3 |
%) |
Less: net income (loss) attributable to |
|
|
|
|
|
|
|
|
|
|
|
|
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Redeemable noncontrolling interests |
|
|
43.0 |
|
|
|
26.8 |
|
|
60 |
% |
|
|
95.3 |
|
|
|
108.5 |
|
|
(12 |
%) |
Nonredeemable noncontrolling interests |
|
|
15.0 |
|
|
|
(7.7 |
) |
|
NM |
|
|
|
18.8 |
|
|
|
(8.5 |
) |
|
NM |
|
Net Income Attributable to Franklin Resources, Inc. |
|
$ |
174.0 |
|
|
$ |
227.5 |
|
|
(24 |
%) |
|
$ |
549.5 |
|
|
$ |
587.3 |
|
|
(6 |
%) |
|
|
|
|
|
|
|
|
|
|
|
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Earnings per Share |
|
|
|
|
|
|
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|
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|
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Basic |
|
$ |
0.32 |
|
|
$ |
0.44 |
|
|
(27 |
%) |
|
$ |
1.04 |
|
|
$ |
1.14 |
|
|
(9 |
%) |
Diluted |
|
|
0.32 |
|
|
|
0.44 |
|
|
(27 |
%) |
|
|
1.03 |
|
|
|
1.14 |
|
|
(10 |
%) |
Dividends Declared per Share |
|
$ |
0.31 |
|
|
$ |
0.30 |
|
|
3 |
% |
|
$ |
0.93 |
|
|
$ |
0.90 |
|
|
3 |
% |
|
|
|
|
|
|
|
|
|
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Average Shares Outstanding |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Basic |
|
|
516.5 |
|
|
|
490.7 |
|
|
5 |
% |
|
|
507.2 |
|
|
|
490.3 |
|
|
3 |
% |
Diluted |
|
|
517.2 |
|
|
|
491.4 |
|
|
5 |
% |
|
|
508.0 |
|
|
|
491.0 |
|
|
3 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
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Operating Margin |
|
|
10.5 |
% |
|
|
16.0 |
% |
|
|
|
|
8.9 |
% |
|
|
13.0 |
% |
|
|
||
FRANKLIN RESOURCES, INC. CONSOLIDATED STATEMENTS OF INCOME Unaudited |
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(in millions, except per share data) |
|
Three Months Ended |
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%
|
|
Three Months Ended 5 |
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|
30-Jun-24 |
|
31-Mar-24 |
|
|
31-Dec-23 |
|
30-Sep-23 |
|
30-Jun-23 |
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Operating Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Investment management fees |
|
$ |
1,689.9 |
|
|
$ |
1,713.9 |
|
` |
(1 |
%) |
|
$ |
1,652.2 |
|
|
$ |
1,634.4 |
|
|
$ |
1,613.4 |
|
Sales and distribution fees |
|
|
358.3 |
|
|
|
358.3 |
|
|
0 |
% |
|
|
296.4 |
|
|
|
306.4 |
|
|
|
304.0 |
|
Shareholder servicing fees |
|
|
61.8 |
|
|
|
68.0 |
|
|
(9 |
%) |
|
|
32.5 |
|
|
|
37.2 |
|
|
|
38.8 |
|
Other |
|
|
12.9 |
|
|
|
12.6 |
|
|
2 |
% |
|
|
10.0 |
|
|
|
8.1 |
|
|
|
12.8 |
|
Total operating revenues |
|
|
2,122.9 |
|
|
|
2,152.8 |
|
|
(1 |
%) |
|
|
1,991.1 |
|
|
|
1,986.1 |
|
|
|
1,969.0 |
|
Operating Expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Compensation and benefits |
|
|
893.8 |
|
|
|
1,028.2 |
|
|
(13 |
%) |
|
|
968.3 |
|
|
|
826.3 |
|
|
|
841.2 |
|
Sales, distribution and marketing |
|
|
481.1 |
|
|
|
484.3 |
|
|
(1 |
%) |
|
|
400.8 |
|
|
|
411.1 |
|
|
|
406.8 |
|
Information systems and technology |
|
|
156.6 |
|
|
|
155.1 |
|
|
1 |
% |
|
|
131.0 |
|
|
|
128.3 |
|
|
|
127.3 |
|
Occupancy |
|
|
104.8 |
|
|
|
76.2 |
|
|
38 |
% |
|
|
66.7 |
|
|
|
57.8 |
|
|
|
56.9 |
|
Amortization of intangible assets |
|
|
84.0 |
|
|
|
84.6 |
|
|
(1 |
%) |
|
|
85.8 |
|
|
|
86.5 |
|
|
|
85.4 |
|
General, administrative and other |
|
|
180.1 |
|
|
|
195.1 |
|
|
(8 |
%) |
|
|
132.0 |
|
|
|
137.8 |
|
|
|
136.5 |
|
Total operating expenses |
|
|
1,900.4 |
|
|
|
2,023.5 |
|
|
(6 |
%) |
|
|
1,784.6 |
|
|
|
1,647.8 |
|
|
|
1,654.1 |
|
Operating Income |
|
|
222.5 |
|
|
|
129.3 |
|
|
72 |
% |
|
|
206.5 |
|
|
|
338.3 |
|
|
|
314.9 |
|
Other Income (Expenses) |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Investment and other income, net |
|
|
74.5 |
|
|
|
52.5 |
|
|
42 |
% |
|
|
173.2 |
|
|
|
62.0 |
|
|
|
49.8 |
|
Interest expense |
|
|
(25.7 |
) |
|
|
(27.7 |
) |
|
(7 |
%) |
|
|
(18.8 |
) |
|
|
(24.4 |
) |
|
|
(34.9 |
) |
Investment and other income (losses) of consolidated investment products, net |
|
|
37.6 |
|
|
|
89.9 |
|
|
(58 |
%) |
|
|
(23.8 |
) |
|
|
40.5 |
|
|
|
1.7 |
|
Expenses of consolidated investment products |
|
|
(8.8 |
) |
|
|
(5.9 |
) |
|
49 |
% |
|
|
(5.9 |
) |
|
|
(3.0 |
) |
|
|
(0.8 |
) |
Other income, net |
|
|
77.6 |
|
|
|
108.8 |
|
|
(29 |
%) |
|
|
124.7 |
|
|
|
75.1 |
|
|
|
15.8 |
|
Income before taxes |
|
|
300.1 |
|
|
|
238.1 |
|
|
26 |
% |
|
|
331.2 |
|
|
|
413.4 |
|
|
|
330.7 |
|
Taxes on income |
|
|
68.1 |
|
|
|
62.8 |
|
|
8 |
% |
|
|
74.9 |
|
|
|
75.0 |
|
|
|
84.1 |
|
Net income |
|
|
232.0 |
|
|
|
175.3 |
|
|
32 |
% |
|
|
256.3 |
|
|
|
338.4 |
|
|
|
246.6 |
|
Less: net income (loss) attributable to |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Redeemable noncontrolling interests |
|
|
43.0 |
|
|
|
42.8 |
|
|
— |
% |
|
|
9.5 |
|
|
|
27.0 |
|
|
|
26.8 |
|
Nonredeemable noncontrolling interests |
|
|
15.0 |
|
|
|
8.3 |
|
|
81 |
% |
|
|
(4.5 |
) |
|
|
15.9 |
|
|
|
(7.7 |
) |
Net Income Attributable to Franklin Resources, Inc. |
|
$ |
174.0 |
|
|
$ |
124.2 |
|
|
40 |
% |
|
$ |
251.3 |
|
|
$ |
295.5 |
|
|
$ |
227.5 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Earnings per Share |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Basic |
|
$ |
0.32 |
|
|
$ |
0.23 |
|
|
39 |
% |
|
$ |
0.50 |
|
|
$ |
0.58 |
|
|
$ |
0.44 |
|
Diluted |
|
|
0.32 |
|
|
|
0.23 |
|
|
39 |
% |
|
|
0.50 |
|
|
|
0.58 |
|
|
|
0.44 |
|
Dividends Declared per Share |
|
$ |
0.31 |
|
|
$ |
0.31 |
|
|
0 |
% |
|
$ |
0.31 |
|
|
$ |
0.30 |
|
|
$ |
0.30 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Average Shares Outstanding |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Basic |
|
|
516.5 |
|
|
|
518.4 |
|
|
0 |
% |
|
|
487.0 |
|
|
|
489.2 |
|
|
|
490.7 |
|
Diluted |
|
|
517.2 |
|
|
|
519.2 |
|
|
0 |
% |
|
|
487.9 |
|
|
|
490.0 |
|
|
|
491.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
| Operating Margin |
|
10.5 |
% |
|
6.0 |
% |
|
|
10.4 |
% |
|
17.0 |
% |
|
16.0 |
% |
|||||||
AUM AND FLOWS |
||||||||||||||||||||||
(in billions) |
|
Three Months Ended
|
|
%
|
|
Nine Months Ended
|
|
%
|
||||||||||||||
2024 |
|
2023 |
|
|
2024 |
|
2023 |
|
||||||||||||||
Beginning AUM |
|
$ |
1,644.7 |
|
|
$ |
1,422.1 |
|
|
16 |
% |
|
$ |
1,374.2 |
|
|
$ |
1,297.4 |
|
|
6 |
% |
Long-term inflows |
|
|
82.7 |
|
|
|
67.4 |
|
|
23 |
% |
|
|
236.5 |
|
|
|
199.7 |
|
|
18 |
% |
Long-term outflows |
|
|
(85.9 |
) |
|
|
(67.2 |
) |
|
28 |
% |
|
|
(237.8 |
) |
|
|
(214.1 |
) |
|
11 |
% |
Long-term net flows |
|
|
(3.2 |
) |
|
|
0.2 |
|
|
NM |
|
|
|
(1.3 |
) |
|
|
(14.4 |
) |
|
(91 |
%) |
Cash management net flows |
|
|
3.0 |
|
|
|
(7.3 |
) |
|
NM |
|
|
|
2.9 |
|
|
|
5.9 |
|
|
(51 |
%) |
Total net flows |
|
|
(0.2 |
) |
|
|
(7.1 |
) |
|
(97 |
%) |
|
|
1.6 |
|
|
|
(8.5 |
) |
|
NM |
|
Acquisition |
|
|
— |
|
|
|
— |
|
|
NM |
|
|
|
148.3 |
|
|
|
34.9 |
|
|
NM |
|
Net market change, distributions and other6 |
|
|
2.1 |
|
|
|
16.5 |
|
|
(87 |
%) |
|
|
122.5 |
|
|
|
107.7 |
|
|
14 |
% |
Ending AUM |
|
$ |
1,646.6 |
|
|
$ |
1,431.5 |
|
|
15 |
% |
|
$ |
1,646.6 |
|
|
$ |
1,431.5 |
|
|
15 |
% |
Average AUM |
|
$ |
1,632.6 |
|
|
$ |
1,419.6 |
|
|
15 |
% |
|
$ |
1,533.1 |
|
|
$ |
1,396.1 |
|
|
10 |
% |
AUM BY ASSET CLASS |
||||||||||||||||||
(in billions) |
|
30-Jun-24 |
|
31-Mar-24 |
|
% Change |
|
31-Dec-23 |
|
30-Sep-23 |
|
30-Jun-23 |
||||||
Equity |
|
$ |
595.0 |
|
$ |
592.7 |
|
0 |
% |
|
$ |
467.5 |
|
$ |
430.4 |
|
$ |
458.0 |
Fixed Income |
|
|
564.5 |
|
|
571.4 |
|
(1 |
%) |
|
|
511.7 |
|
|
483.1 |
|
|
505.1 |
Alternative |
|
|
254.5 |
|
|
255.5 |
|
0 |
% |
|
|
256.2 |
|
|
254.9 |
|
|
257.2 |
Multi-Asset |
|
|
168.1 |
|
|
163.4 |
|
3 |
% |
|
|
154.6 |
|
|
145.0 |
|
|
148.3 |
Cash Management |
|
|
64.5 |
|
|
61.7 |
|
5 |
% |
|
|
65.5 |
|
|
60.8 |
|
|
62.9 |
Total AUM |
|
$ |
1,646.6 |
|
$ |
1,644.7 |
|
0 |
% |
|
$ |
1,455.5 |
|
$ |
1,374.2 |
|
$ |
1,431.5 |
Average AUM for the Three-Month Period |
|
$ |
1,632.6 |
|
$ |
1,581.1 |
|
3 |
% |
|
$ |
1,394.2 |
|
$ |
1,419.1 |
|
$ |
1,419.6 |
AUM BY SALES REGION |
||||||||||||||||||
(in billions) |
|
30-Jun-24 |
|
31-Mar-24 |
|
% Change |
|
31-Dec-23 |
|
30-Sep-23 |
|
30-Jun-23 |
||||||
|
|
$ |
1,155.0 |
|
$ |
1,155.9 |
|
0 |
% |
|
$ |
1,019.4 |
|
$ |
979.9 |
|
$ |
1,026.0 |
International |
|
|
|
|
|
|
|
|
|
|
|
|
||||||
|
|
|
205.8 |
|
|
206.3 |
|
0 |
% |
|
|
180.6 |
|
|
165.1 |
|
|
170.6 |
|
|
|
174.1 |
|
|
170.4 |
|
2 |
% |
|
|
150.5 |
|
|
117.6 |
|
|
121.0 |
|
|
|
111.7 |
|
|
112.1 |
|
0 |
% |
|
|
105.0 |
|
|
111.6 |
|
|
113.9 |
Total international |
|
|
491.6 |
|
|
488.8 |
|
1 |
% |
|
|
436.1 |
|
|
394.3 |
|
|
405.5 |
Total |
|
$ |
1,646.6 |
|
$ |
1,644.7 |
|
0 |
% |
|
$ |
1,455.5 |
|
$ |
1,374.2 |
|
$ |
1,431.5 |
AUM AND FLOWS BY ASSET CLASS |
||||||||||||||||||||||||
(in billions) |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
for the three months ended June 30, 2024 |
|
Equity |
|
Fixed
|
|
Alternative |
|
Multi-Asset |
|
Cash
|
|
Total |
||||||||||||
AUM at April 1, 2024 |
|
$ |
592.7 |
|
|
$ |
571.4 |
|
|
$ |
255.5 |
|
|
$ |
163.4 |
|
|
$ |
61.7 |
|
|
$ |
1,644.7 |
|
Long-term inflows |
|
|
32.0 |
|
|
|
37.4 |
|
|
|
3.4 |
|
|
|
9.9 |
|
|
|
— |
|
|
|
82.7 |
|
Long-term outflows |
|
|
(33.6 |
) |
|
|
(42.2 |
) |
|
|
(2.0 |
) |
|
|
(8.1 |
) |
|
|
— |
|
|
|
(85.9 |
) |
Long-term net flows |
|
|
(1.6 |
) |
|
|
(4.8 |
) |
|
|
1.4 |
|
|
|
1.8 |
|
|
|
— |
|
|
|
(3.2 |
) |
Cash management net flows |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
3.0 |
|
|
|
3.0 |
|
Total net flows |
|
|
(1.6 |
) |
|
|
(4.8 |
) |
|
|
1.4 |
|
|
|
1.8 |
|
|
|
3.0 |
|
|
|
(0.2 |
) |
Net market change, distributions and other6 |
|
|
3.9 |
|
|
|
(2.1 |
) |
|
|
(2.4 |
) |
|
|
2.9 |
|
|
|
(0.2 |
) |
|
|
2.1 |
|
AUM at June 30, 2024 |
|
$ |
595.0 |
|
|
$ |
564.5 |
|
|
$ |
254.5 |
|
|
$ |
168.1 |
|
|
$ |
64.5 |
|
|
$ |
1,646.6 |
|
(in billions) |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
for the three months ended March 31, 2024 |
|
Equity |
|
Fixed
|
|
Alternative |
|
Multi-Asset |
|
Cash
|
|
Total |
||||||||||||
AUM at January 1, 2024 |
|
$ |
467.5 |
|
|
$ |
511.7 |
|
|
$ |
256.2 |
|
|
$ |
154.6 |
|
|
$ |
65.5 |
|
|
$ |
1,455.5 |
|
Long-term inflows |
|
|
27.5 |
|
|
|
43.8 |
|
|
|
3.4 |
|
|
|
10.2 |
|
|
|
— |
|
|
|
84.9 |
|
Long-term outflows |
|
|
(32.8 |
) |
|
|
(35.5 |
) |
|
|
(2.4 |
) |
|
|
(7.3 |
) |
|
|
— |
|
|
|
(78.0 |
) |
Long-term net flows |
|
|
(5.3 |
) |
|
|
8.3 |
|
|
|
1.0 |
|
|
|
2.9 |
|
|
|
— |
|
|
|
6.9 |
|
Cash management net flows |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(4.8 |
) |
|
|
(4.8 |
) |
Total net flows |
|
|
(5.3 |
) |
|
|
8.3 |
|
|
|
1.0 |
|
|
|
2.9 |
|
|
|
(4.8 |
) |
|
|
2.1 |
|
Acquisition |
|
|
81.3 |
|
|
|
59.3 |
|
|
|
0.7 |
|
|
|
5.8 |
|
|
|
1.2 |
|
|
|
148.3 |
|
Net market change, distributions and other6 |
|
|
49.2 |
|
|
|
(7.9 |
) |
|
|
(2.4 |
) |
|
|
0.1 |
|
|
|
(0.2 |
) |
|
|
38.8 |
|
AUM at March 31, 2024 |
|
$ |
592.7 |
|
|
$ |
571.4 |
|
|
$ |
255.5 |
|
|
$ |
163.4 |
|
|
$ |
61.7 |
|
|
$ |
1,644.7 |
|
(in billions) |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
for the three months ended June 30, 2023 |
|
Equity |
|
Fixed
|
|
Alternative |
|
Multi-Asset |
|
Cash
|
|
Total |
||||||||||||
AUM at April 1, 2023 |
|
$ |
437.1 |
|
|
$ |
510.1 |
|
|
$ |
258.2 |
|
|
$ |
146.1 |
|
|
$ |
70.6 |
|
|
$ |
1,422.1 |
|
Long-term inflows |
|
|
23.0 |
|
|
|
26.5 |
|
|
|
7.3 |
|
|
|
10.6 |
|
|
|
— |
|
|
|
67.4 |
|
Long-term outflows |
|
|
(26.0 |
) |
|
|
(29.6 |
) |
|
|
(3.3 |
) |
|
|
(8.3 |
) |
|
|
— |
|
|
|
(67.2 |
) |
Long-term net flows |
|
|
(3.0 |
) |
|
|
(3.1 |
) |
|
|
4.0 |
|
|
|
2.3 |
|
|
|
— |
|
|
|
0.2 |
|
Cash management net flows |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(7.3 |
) |
|
|
(7.3 |
) |
Total net flows |
|
|
(3.0 |
) |
|
|
(3.1 |
) |
|
|
4.0 |
|
|
|
2.3 |
|
|
|
(7.3 |
) |
|
|
(7.1 |
) |
Net market change, distributions and other6 |
|
|
23.9 |
|
|
|
(1.9 |
) |
|
|
(5.0 |
) |
|
|
(0.1 |
) |
|
|
(0.4 |
) |
|
|
16.5 |
|
AUM at June 30, 2023 |
|
$ |
458.0 |
|
|
$ |
505.1 |
|
|
$ |
257.2 |
|
|
$ |
148.3 |
|
|
$ |
62.9 |
|
|
$ |
1,431.5 |
|
Supplemental Non-GAAP Financial Measures
As supplemental information, we are providing performance measures for “adjusted operating income,” “adjusted operating margin,” “adjusted net income” and “adjusted diluted earnings per share,” each of which is based on methodologies other than generally accepted accounting principles (“non-GAAP measures”). Management believes these non-GAAP measures are useful indicators of our financial performance and may be helpful to investors in evaluating our relative performance against industry peers.
“Adjusted operating income,” “adjusted operating margin,” “adjusted net income” and “adjusted diluted earnings per share” are defined below, followed by reconciliations of operating income, operating margin, net income attributable to Franklin Resources, Inc. and diluted earnings per share on a
Adjusted Operating Income
We define adjusted operating income as operating income adjusted to exclude the following:
- Elimination of operating revenues upon consolidation of investment products.
-
Acquisition-related items:
- Acquisition-related retention compensation.
- Other acquisition-related expenses including professional fees, technology costs and fair value adjustments related to contingent consideration assets and liabilities.
- Amortization of intangible assets.
- Impairment of intangible assets and goodwill, if any.
- Special termination benefits related to workforce optimization initiatives related to past acquisitions and certain initiatives undertaken by the Company.
- Impact on compensation and benefits expense from gains and losses on investments related to deferred compensation plans, which is offset in investment and other income (losses), net.
- Impact on compensation and benefits expense related to minority interests in certain subsidiaries, which is offset in net income (loss) attributable to redeemable noncontrolling interests.
Adjusted Operating Margin
We calculate adjusted operating margin as adjusted operating income divided by adjusted operating revenues. We define adjusted operating revenues as operating revenues adjusted to exclude the following:
- Elimination of operating revenues upon consolidation of investment products.
- Acquisition-related performance-based investment management fees which are passed through as compensation and benefits expense.
- Sales and distribution fees and a portion of investment management fees allocated to cover sales, distribution and marketing expenses paid to the financial advisers and other intermediaries who sell our funds on our behalf.
Adjusted Net Income and Adjusted Diluted Earnings Per Share
We define adjusted net income as net income attributable to Franklin Resources, Inc. adjusted to exclude the following:
- Activities of CIPs.
-
Acquisition-related items:
- Acquisition-related retention compensation.
- Other acquisition-related expenses including professional fees, technology costs and fair value adjustments related to contingent consideration assets and liabilities.
- Amortization of intangible assets.
- Impairment of intangible assets and goodwill, if any.
- Write off of noncontrolling interests related to the wind down of an acquired business.
- Interest expense for amortization of Legg Mason debt premium from acquisition-date fair value adjustment.
- Special termination benefits related to workforce optimization initiatives related to past acquisitions and certain initiatives undertaken by the Company.
- Net gains or losses on investments related to deferred compensation plans which are not offset by compensation and benefits expense.
- Net compensation and benefits expense related to minority interests in certain subsidiaries not offset by net income (loss) attributable to redeemable noncontrolling interests.
- Unrealized investment gains and losses.
- Net income tax expense of the above adjustments based on the respective blended rates applicable to the adjustments.
We define adjusted diluted earnings per share as diluted earnings per share adjusted to exclude the per share impacts of the adjustments applied to net income in calculating adjusted net income.
In calculating our non-GAAP measures, we adjust for the impact of CIPs because it is not considered reflective of our underlying results of operations. Acquisition-related items and special termination benefits are excluded to facilitate comparability to other asset management firms. We adjust for compensation and benefits expense related to funded deferred compensation plans because it is partially offset in other income (expense), net. We adjust for compensation and benefits expense and net income (loss) attributable to redeemable noncontrolling interests to reflect the economics of certain profits interest arrangements. Sales and distribution fees and a portion of investment management fees generally cover sales, distribution and marketing expenses and, therefore, are excluded from adjusted operating revenues. In addition, when calculating adjusted net income and adjusted diluted earnings per share we exclude unrealized investment gains and losses included in investment and other income (losses) because the related investments are generally expected to be held long term.
The calculations of adjusted operating income, adjusted operating margin, adjusted net income and adjusted diluted earnings per share are as follows:
(in millions) |
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||||||
30-Jun-24 |
|
31-Mar-24 |
|
30-Jun-23 |
|
30-Jun-24 |
|
30-Jun-23 |
||||||||||||
Operating income |
|
$ |
222.5 |
|
|
$ |
129.3 |
|
|
$ |
314.9 |
|
|
$ |
558.3 |
|
|
$ |
764.0 |
|
Add (subtract): |
|
|
|
|
|
|
|
|
|
|
||||||||||
Elimination of operating revenues upon consolidation of investment products* |
|
|
12.3 |
|
|
|
11.0 |
|
|
|
12.1 |
|
|
|
34.7 |
|
|
|
26.3 |
|
Acquisition-related retention |
|
|
43.7 |
|
|
|
104.5 |
|
|
|
21.3 |
|
|
|
217.3 |
|
|
|
108.1 |
|
Compensation and benefits expense from gains on deferred compensation, net |
|
|
1.8 |
|
|
|
14.0 |
|
|
|
10.1 |
|
|
|
34.8 |
|
|
|
26.3 |
|
Other acquisition-related expenses |
|
|
33.6 |
|
|
|
25.2 |
|
|
|
8.7 |
|
|
|
65.6 |
|
|
|
45.3 |
|
Amortization of intangible assets |
|
|
84.0 |
|
|
|
84.6 |
|
|
|
85.4 |
|
|
|
254.4 |
|
|
|
254.6 |
|
Special termination benefits |
|
|
16.7 |
|
|
|
40.4 |
|
|
|
12.2 |
|
|
|
63.8 |
|
|
|
54.9 |
|
Compensation and benefits expense related to minority interests in certain subsidiaries |
|
|
10.3 |
|
|
|
10.6 |
|
|
|
12.1 |
|
|
|
32.6 |
|
|
|
32.6 |
|
Adjusted operating income |
|
$ |
424.9 |
|
|
$ |
419.6 |
|
|
$ |
476.8 |
|
|
$ |
1,261.5 |
|
|
$ |
1,312.1 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Total operating revenues |
|
$ |
2,122.9 |
|
|
$ |
2,152.8 |
|
|
$ |
1,969.0 |
|
|
$ |
6,266.8 |
|
|
$ |
5,863.3 |
|
Add (subtract): |
|
|
|
|
|
|
|
|
|
|
||||||||||
Acquisition-related pass through performance fees |
|
|
— |
|
|
|
(14.4 |
) |
|
|
(11.6 |
) |
|
|
(87.0 |
) |
|
|
(164.1 |
) |
Sales and distribution fees |
|
|
(358.3 |
) |
|
|
(358.5 |
) |
|
|
(304.0 |
) |
|
|
(1,013.2 |
) |
|
|
(897.3 |
) |
Allocation of investment management fees for sales, distribution and marketing expenses |
|
|
(122.8 |
) |
|
|
(125.8 |
) |
|
|
(102.8 |
) |
|
|
(353.0 |
) |
|
|
(304.7 |
) |
Elimination of operating revenues upon consolidation of investment products* |
|
|
12.3 |
|
|
|
11.0 |
|
|
|
12.1 |
|
|
|
34.7 |
|
|
|
26.3 |
|
Adjusted operating revenues |
|
$ |
1,654.1 |
|
|
$ |
1,665.1 |
|
|
$ |
1,562.7 |
|
|
$ |
4,848.3 |
|
|
$ |
4,523.5 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Operating margin |
|
|
10.5 |
% |
|
|
6.0 |
% |
|
|
16.0 |
% |
|
|
8.9 |
% |
|
|
13.0 |
% |
Adjusted operating margin |
|
|
25.7 |
% |
|
|
25.2 |
% |
|
|
30.5 |
% |
|
|
26.0 |
% |
|
|
29.0 |
% |
(in millions, except per share data) |
|
Three Months Ended |
|
Nine Months Ended |
||||||||||||||||
30-Jun-24 |
|
31-Mar-24 |
|
30-Jun-23 |
|
30-Jun-24 |
|
30-Jun-23 |
||||||||||||
Net income attributable to Franklin Resources, Inc. |
|
$ |
174.0 |
|
|
$ |
124.2 |
|
|
$ |
227.5 |
|
|
$ |
549.5 |
|
|
$ |
587.3 |
|
Add (subtract): |
|
|
|
|
|
|
|
|
|
|
||||||||||
Net (income) loss of consolidated investment products* |
|
|
(2.4 |
) |
|
|
3.5 |
|
|
|
1.5 |
|
|
|
(1.1 |
) |
|
|
6.4 |
|
Acquisition-related retention |
|
|
43.7 |
|
|
|
104.5 |
|
|
|
21.3 |
|
|
|
217.3 |
|
|
|
108.1 |
|
Other acquisition-related expenses |
|
|
34.9 |
|
|
|
29.3 |
|
|
|
12.7 |
|
|
|
75.0 |
|
|
|
61.5 |
|
Amortization of intangible assets |
|
|
84.0 |
|
|
|
84.6 |
|
|
|
85.4 |
|
|
|
254.4 |
|
|
|
254.6 |
|
Special termination benefits |
|
|
16.7 |
|
|
|
40.4 |
|
|
|
12.2 |
|
|
|
63.8 |
|
|
|
54.9 |
|
Net gains on deferred compensation plan investments not offset by compensation and benefits expense |
|
|
(1.1 |
) |
|
|
(3.9 |
) |
|
|
(0.5 |
) |
|
|
(11.0 |
) |
|
|
(14.1 |
) |
Unrealized investment (gains) losses |
|
|
31.0 |
|
|
|
(9.6 |
) |
|
|
9.4 |
|
|
|
(27.6 |
) |
|
|
(23.2 |
) |
Interest expense for amortization of debt premium |
|
|
(6.4 |
) |
|
|
(6.4 |
) |
|
|
(6.3 |
) |
|
|
(19.2 |
) |
|
|
(19.0 |
) |
Net compensation and benefits expense related to minority interests in certain subsidiaries not offset by net income (loss) attributable to redeemable noncontrolling interests |
|
|
2.8 |
|
|
|
0.4 |
|
|
|
(1.0 |
) |
|
|
1.2 |
|
|
|
(0.9 |
) |
Net income tax expense of adjustments |
|
|
(50.8 |
) |
|
|
(60.4 |
) |
|
|
(36.1 |
) |
|
|
(140.8 |
) |
|
|
(110.4 |
) |
Adjusted net income |
|
$ |
326.4 |
|
|
$ |
306.6 |
|
|
$ |
326.1 |
|
|
$ |
961.5 |
|
|
$ |
905.2 |
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||
Diluted earnings per share |
|
$ |
0.32 |
|
|
$ |
0.23 |
|
|
$ |
0.44 |
|
|
$ |
1.03 |
|
|
$ |
1.14 |
|
Adjusted diluted earnings per share |
|
|
0.60 |
|
|
|
0.56 |
|
|
|
0.63 |
|
|
|
1.81 |
|
|
|
1.76 |
|
__________________
|
|||||||||||||||||||||
(in millions) |
|
Three Months Ended |
|
Nine Months Ended |
|||||||||||||||||
30-Jun-24 |
|
31-Mar-24 |
|
30-Jun-23 |
|
30-Jun-24 |
|
30-Jun-23 |
|||||||||||||
Elimination of operating revenues upon consolidation |
|
$ |
(12.3 |
) |
|
$ |
(11.0 |
) |
|
$ |
(12.1 |
) |
|
$ |
(34.7 |
) |
|
$ |
(26.3 |
) |
|
Other income, net |
|
|
42.0 |
|
|
|
38.6 |
|
|
|
7.3 |
|
|
|
72.0 |
|
|
|
67.4 |
|
|
Less: income (loss) attributable to noncontrolling interests |
|
|
27.3 |
|
|
|
31.1 |
|
|
|
(3.3 |
) |
|
|
36.2 |
|
|
|
47.5 |
|
|
Net income (loss) |
|
$ |
2.4 |
|
|
$ |
(3.5 |
) |
|
$ |
(1.5 |
) |
|
$ |
1.1 |
|
|
$ |
(6.4 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||
Notes
- Net income represents net income attributable to Franklin Resources, Inc.
- “Adjusted net income,” “adjusted diluted earnings per share,” “adjusted operating income” and “adjusted operating margin” are based on methodologies other than generally accepted accounting principles. See “Supplemental Non-GAAP Financial Measures” for definitions and reconciliations of these measures.
- Average AUM represents monthly average AUM.
-
Includes our direct investments in CIPs of
$1.2 billion $370 million $286.1 million $440.3 million - During the quarter ended March 31, 2024, the Company identified that it did not eliminate the investment income from certain consolidated limited partnerships for the fiscal year ended September 30, 2023, resulting in offsetting adjustments to investment and other income, net and net income attributable to nonredeemable noncontrolling interest. For comparability, the Company has revised the comparative prior period amounts in the Consolidated Statements of Income. There was no impact to operating income, net income attributable to Franklin Resources, Inc. or earnings per share.
- Net market change, distributions and other includes appreciation (depreciation), distributions to investors that represent return on investments and return of capital, and foreign exchange revaluation.
-
India region is included inEurope ,Middle East andAfrica .
Franklin Resources, Inc. (NYSE: BEN) is a global investment management organization with subsidiaries operating as Franklin Templeton and serving clients in over 150 countries. Franklin Templeton’s mission is to help clients achieve better outcomes through investment management expertise, wealth management and technology solutions. Through its specialist investment managers, the Company offers specialization on a global scale, bringing extensive capabilities in fixed income, equity, alternatives and multi-asset solutions. With more than 1,500 investment professionals, and offices in major financial markets around the world, the
Forward-Looking Statements
Some of the statements herein may include forward-looking statements that reflect our current views with respect to future events, financial performance and market conditions. Such statements are provided under the “safe harbor” protection of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that do not relate solely to historical or current facts and generally can be identified by words or phrases written in the future tense and/or preceded by words such as “anticipate,” “believe,” “could,” “depends,” “estimate,” “expect,” “intend,” “likely,” “may,” “plan,” “potential,” “seek,” “should,” “will,” “would,” or other similar words or variations thereof, or the negative thereof, but these terms are not the exclusive means of identifying such statements.
Forward-looking statements involve a number of known and unknown risks, uncertainties and other important factors that may cause actual results and outcomes to differ materially from any future results or outcomes expressed or implied by such forward-looking statements, including market and volatility risks, investment performance and reputational risks, global operational risks, competition and distribution risks, third-party risks, technology and security risks, human capital risks, cash management risks, and legal and regulatory risks. While forward-looking statements are our best prediction at the time that they are made, you should not rely on them and are cautioned against doing so. Forward-looking statements are based on our current expectations and assumptions regarding our business, the economy and other possible future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. They are neither statements of historical fact nor guarantees or assurances of future performance. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them.
These and other risks, uncertainties and other important factors are described in more detail in our recent filings with the
View source version on businesswire.com: https://www.businesswire.com/news/home/20240725193100/en/
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
Source: Franklin Resources, Inc.
FAQ
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