TROW
T. Rowe Price Group, Inc.103.92
+0.30+0.29%
Dec 16, 4:00:00 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q4 '25
Q&A clarifies flows, 2026 outlook
Q&A drilled into Q4 target date outflows—blamed on M&A consolidation and lumpy mandates—while noting a market shift from fully active to faster-growing blends where T. Rowe gains share. Management pegged 2026 flows to moderating equity outflows, offset by target date ($1.7B January inflows), fixed income, and alts; overall January outflows hit $6B but pipeline improved. Expenses face 3-6% rise from distribution costs and comp, with flex for growth investments. Tokenization advances include a 2026 crypto ETF; DC privates tempered by sponsor caution despite midyear Goldman launch. Equity flows shrugged off AI disruption fears. Equity outflows are the wildcard. Watch flow momentum into Q2.
Key Stats
Market Cap
22.83BP/E (TTM)
11.33Basic EPS (TTM)
9.17Dividend Yield
0.05%Recent Filings
10-K
FY2025 results
T. Rowe Price Group ended FY2025 with $1,775.6B AUM, up 10.5% y/y from $1,606.6B, fueled by $216.7B market gains but dragged by $56.9B net outflows—mostly growth equities from intermediaries. Equity AUM hit $878.5B (+4.8% y/y), multi-asset $627.0B (+17.0%), yet effective fee rates slipped to 39.6 bps from 41.4 bps on mix shift to lower-fee products. Q4 repurchases accelerated, nabbing 1.37M shares at ~$103 amid steady $1.27/share dividends; cash swelled to $3.4B. Expenses jumped on $177M restructuring—real estate exits and severance—but non-GAAP opEx growth held to 3.7%. Net income edged down 0.6% to $2.09B; diluted EPS ticked up 1.0% to $9.24 on buybacks. Target date funds drew $5.2B inflows. Market dips could stall AUM momentum.
8-K
AUM $1.8T amid outflows
T. Rowe Price reported Q4 and full-year 2025 results on February 4, 2026, with AUM hitting $1.8T despite $25.5B quarterly and $56.9B annual net outflows. GAAP EPS came in at $1.99 for Q4 and $9.24 yearly, hit by a $148.8M restructuring charge for real estate impairments and severance under its expense program. Returned $1.8B to shareholders. Outflows persist.
8-K
COO exits; new tech function
T. Rowe Price announced COO Kimberly Johnson's resignation effective December 31, 2025, after leading tech modernization and AI adoption since 2022. The firm launches a new Technology, Data, and Operations function led by CTO Ramon Richards, who joined in 2023 and joins the Management Committee. This restructures for scale. Momentum continues.
10-Q
Q3 FY2025 results
T. Rowe Price's Q3 revenues climbed 6.0% y/y to $1,893.5M on 8.4% higher average AUM of $1,723.0B, yet operating expenses rose 6.7% to $1,250.3M due to a $28.5M restructuring charge, trimming net operating income growth to 4.8% at $643.2M. Diluted EPS hit $2.87, up 8.7% y/y on fewer shares (219.7M diluted, consistent). Cash swelled to $3,634.8M with operating cash flow at $1,772.1M YTD; $481.8M share repurchases continue. Non-GAAP metrics not disclosed in the 10-Q. Q4 holds a planned $100M non-cash restructuring hit from exiting two office buildings. Net outflows persist.
8-K
Record AUM amid outflows
T. Rowe Price hit a record $1.77 trillion AUM at September 30, 2025, up on $89 billion market gains despite $7.9 billion net outflows. Revenues climbed 6% to $1.9B, expenses rose 6.7% with a $28.5M restructuring charge, driving GAAP EPS to $2.87 from $2.64. Outflows persist. Strategic Goldman Sachs collaboration eyes new solutions.
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