01—Abstract
Summary
Summary of the 10-Q filed November 6, 2025. Cited figures are marked; the original filing is the authoritative source.
Affiliated Managers Group, Inc. (AMG) reported a strong third quarter and year-to-date performance for the period ending September 30, 2025.
Net income attributable to controlling interest saw a significant increase of 72%a for the quarter and 6% year-to-date, driven by robust Affiliate transaction gains and growth in equity method income. Total consolidated revenue experienced a modest 2% increase for the quarter, with a slight increase year-to-date. However, total consolidated expenses rose by 9% for the quarter and 15% year-to-date, largely due to an increase in compensation and related expenses, particularly affiliate equity compensation.
Despite increased expenses, the company demonstrated strong operational performance, with assets under management growing to $803.6 billionb and aggregate fees increasing by 16% for the quarter. The company also maintained a solid liquidity position, with significant cash and cash equivalents and access to its revolving credit facility.
02—Key points
Key Highlights
- Net income attributable to controlling interest increased by 72% to $212.4 million for the three months ended September 30, 2025, compared to $123.6 million in the prior year period.
- Total assets under management grew to $803.6 billion as of September 30, 2025, an increase of 10% from September 30, 2024.
- Aggregate fees increased by 16% to $1,346.0 million for the three months ended September 30, 2025, driven by higher asset-based fees in liquid alternative and private markets strategies.
- Affiliate transaction gains of $127.6 million were recorded in the nine months ended September 30, 2025, primarily from the Peppertree Transaction.
- Consolidated expenses increased by 9% to $409.2 million for the three months ended September 30, 2025, primarily driven by a 15% increase in compensation and related expenses, largely due to affiliate equity compensation.
- Cash flow from operating activities was $716.8 million for the nine months ended September 30, 2025.
- The company repurchased 0.3 million shares for an average price of $230.04 per share during the three months ended September 30, 2025.
03—One dollar
04—Financials
Financial Highlights
Figures from 10-QQ3 FY2025filed November 6, 2025Financial Statements
Q3 FY2025 against Q3 FY2024
| Line item | Q3 FY2025Q3 FY2024 | Change |
|---|---|---|
| Revenue | $528.00M$516.40M | +2.2% |
| SG&A Expenses | $100.50M$97.00M | +3.6% |
| Operating Expenses | $409.20M$374.70M | +9.2% |
| Net Income | $212.40M$123.60M | +71.8% |
| EPS (Basic) | $7.47$4.11 | +81.8% |
| EPS (Diluted) | $6.87$3.78 | +81.7% |
| Shares Outstanding (Basic) | 28.40M30.10M | −5.6% |
| Shares Outstanding (Diluted) | 32.90M35.00M | −6.0% |
05—Questions
Frequently Asked Questions
What were the primary drivers of the significant increase in net income for the quarter?
The significant increase in net income attributable to controlling interest was primarily driven by Affiliate transaction gains, notably from the Peppertree Transaction, and a substantial increase in Equity method income (net).
How has the company's assets under management (AUM) performed, and which strategies are showing the most growth?
Total assets under management grew by 10% to $803.6 billion. Growth was particularly strong in liquid alternative strategies (up 40.8% to $204.8 billion) and private markets (up 10.3% to $147.7 billion).
What is the impact of affiliate equity compensation on the company's expenses?
Affiliate equity compensation is a significant driver of increased compensation and related expenses. For the nine months ended September 30, 2025, these expenses increased by $67.8 million, partly due to a modification of certain equity awards at an affiliate.
What is the company's liquidity position and outlook?
The company maintains a solid liquidity position with $476.1 million in cash and cash equivalents as of September 30, 2025. Management expects current cash balances, operating cash flows, and borrowings under its revolving credit facility to be sufficient to meet its cash requirements for the foreseeable future.
06—Continue