10-KPeriod: FY2025

AFFILIATED MANAGERS GROUP, INC. Annual Report, Year Ended Dec 31, 2025

Filed February 17, 2026For Securities:AMGMGRBMGRMGRDMGRE

Summary

Affiliated Managers Group, Inc. (AMG) reported strong performance in fiscal year 2025, with assets under management (AUM) growing 15% to $813.3 billion. This growth was driven by net client inflows, positive investment performance, and strategic partnerships with new affiliates, particularly in alternative strategies like private markets and liquid alternatives. The company's strategic shift towards alternatives is designed to enhance long-term organic growth and earnings stability. Financially, AMG saw a significant increase in net income (controlling interest) of 40% to $716.6 million, boosted by substantial affiliate transaction gains totaling $371.3 million and a 48% increase in equity method income. Adjusted EBITDA (controlling interest) also grew by 11% to $1.08 billion. The company maintained a solid financial position with a leverage ratio of 0.9x and ample liquidity. AMG continues to return capital to shareholders through share repurchases and dividends, demonstrating a commitment to shareholder value.

Financial Highlights

39 data points
Beta

Revenue

$2.07B

Net Income

$716.60M

34.5% Net Margin

EPS (Diluted)

$22.74

Total Assets

$9.21B

Cash & Equivalents

$586.00M

Free Cash Flow

$967.10M

Financial Statements
Beta
Revenue$2.07B
SG&A Expenses$408.60M
Operating Expenses$1.81B
Net Income$716.60M
EPS (Basic)$25.18
EPS (Diluted)$22.74
Shares Outstanding (Basic)28.50M
Shares Outstanding (Diluted)33.00M

Key Highlights

  • 1Assets Under Management (AUM) grew 15% to $813.3 billion as of December 31, 2025, driven by net client inflows and investment performance, particularly in alternative strategies.
  • 2Net income (controlling interest) increased 40% to $716.6 million, significantly boosted by $371.3 million in affiliate transaction gains.
  • 3Adjusted EBITDA (controlling interest) rose 11% to $1.08 billion, reflecting strong fee growth and operational efficiency.
  • 4The company executed four new partnerships with firms managing approximately $23 billion in alternative strategies and announced a strategic partnership with Brown Brothers Harriman (BBH).
  • 5Significant capital was deployed in 2025 through share repurchases ($706.3 million) and investments in new and existing affiliates.
  • 6The company repaid $826.1 million of debt, demonstrating a focus on managing its capital structure, and ended the year with a bank leverage ratio of 0.9x.
  • 7Indefinite-lived acquired client relationships experienced impairments totaling $128 million, primarily due to declines in assets under management affecting forecasted revenues, highlighting a key risk area.

Frequently Asked Questions

AMG's AUM grew by 15% to $813.3 billion in 2025, primarily driven by net client inflows and positive investment performance across its affiliates. The company also benefited from strategic partnerships with new affiliates, particularly those focused on alternative strategies like private markets and liquid alternatives, aligning with its strategy to invest in areas of durable client demand.

Net income (controlling interest) saw a substantial 40% increase, reaching $716.6 million. This growth was significantly bolstered by $371.3 million in gains from affiliate transactions, alongside a notable 48% increase in equity method income. Adjusted EBITDA (controlling interest) also showed strong growth, rising 11% to $1.08 billion, reflecting increased aggregate fees.

AMG is strategically increasing its exposure to alternative strategies, including private markets and liquid alternatives, due to durable client demand and the potential for enhanced long-term organic growth and earnings stability. This strategy is supported by investments in new and existing affiliates focused on these areas.

The company recorded $128 million in impairment expenses related to indefinite-lived acquired client relationships. These impairments were primarily due to current and projected declines in assets under management, which impacted forecasted revenues for certain mutual fund assets. This indicates a sensitivity to market performance and client asset trends, which investors should monitor.