REG - Ashmore Group Plc - Final Results
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RNS Number : 1162Y Ashmore Group PLC 05 September 2025
Ashmore Group plc
5 September 2025
Results for the year ended 30 June 2025
Ashmore Group plc (Ashmore, the Group), the specialist Emerging Markets asset
manager, today announces its audited results for the year ended 30 June
2025.
- Positive investment performance and improved net outflows
- Assets under management (AuM) of US$47.6 billion(1).
- Positive investment performance of US$4.1 billion broadly spread across all
investment themes.
- Improved net outflows of US$5.8 billion; net inflows into equities, local
offices and IG strategies.
- Rising investor engagement, driven by emerging markets' superior economic
growth and outperformance versus developed markets.
- Efficient operating model delivers alignment and supports strategic
initiatives
- Adjusted net revenue of £146.5 million, 22% lower YoY reflecting average AuM
levels. Strong performance delivered performance fees of £10.2 million across
a range of fixed income and alternatives themes.
- Adjusted operating costs reduced by 14% YoY. Non-VC costs declined by 6% and
VC accrued at 35% of EBVCT, resulting in 25% lower charge YoY and maintaining
alignment of interests between employees and shareholders.
- Adjusted EBITDA of £52.5 million, delivering adjusted EBITDA margin of 36%.
- Profit before tax of £108.6 million, includes strong returns on seed capital
investments.
- Diluted EPS of 11.8 pence, 13% lower YoY, and adjusted diluted EPS of 7.1
pence.
- Strong, liquid balance sheet with more than £600 million of financial
resources including c.£350 million of cash and deposits.
- Final ordinary dividend maintained at 12.1 pence per share, to give total
dividends per share of 16.9 pence.
- Active management delivering outperformance
- Emerging markets performing well with index returns of +8% to +14% across
fixed income and equities over the 12 months.
- Ashmore delivering strong relative performance with increased proportion of
AuM outperforming over one year (57%), three years (70%) and five years (81%)
(30 June 2024: 40%, 59% and 62%, respectively).
- Progress against strategic objectives
- Diversification: growth in equities and IG strategies, alternatives AuM
increased with new private equity and private debt funds, and launched new
products including frontier blended debt, impact debt and EM equity ex China.
- Investing for further growth in local markets: local office AuM increased 5%
YoY driven by Colombia and India; broadening products & distribution
channels in India, Indonesia and Saudi Arabia; and new offices opened in Qatar
and Mexico.
- Building blocks in place for higher EM allocations
- US dominance being questioned by markets: US dollar trend is lower in value
and investors' portfolios require rebalancing from heavily overweight
positions.
- Emerging markets provide superior economic growth, more effective monetary and
fiscal policies, and higher risk-adjusted returns.
- Ashmore's active investment processes delivering outperformance and the Group
is well-positioned to capture flows.
Commenting on the Group's results, Mark Coombs, Chief Executive Officer,
Ashmore Group plc said:
"Ashmore's strategy is aligned with the opportunities in emerging markets and
the consistent business model mitigates the impact of market cycles over the
longer term. This year, the Group has delivered net inflows into equities,
local offices and IG strategies, and continued to invest in initiatives to
diversify and to deliver future growth, including using the strength of its
balance sheet to increase seed capital investments and expanding the local
office network in Latin America and the Middle East.
"Ashmore's active investment processes are delivering outperformance for
clients against a positive backdrop for emerging markets, and its distribution
team is active around the world with both existing clients and potential
investors, emphasising the need to deploy more capital to capture the
favourable trends evident across emerging markets. Ashmore is therefore
well-positioned to capture flows as investors shift allocations away from the
US, including to the emerging markets that offer superior growth and higher
risk-adjusted returns over the medium term."
1. As reported on 14 July 2025.
Analysts briefing
There will be a presentation for sell-side analysts at 0900 today at UBS, 5
Broadgate, London, EC2M 2QS. A copy of the presentation will be made available
on the Group's website at ir.ashmoregroup.com.
Contacts
For further information please contact:
Ashmore Group plc
Tom Shippey, Group Finance Director +44 (0)20 3077 6191
Paul Measday, Investor Relations +44 (0)20 3077 6278
ir@ashmoregroup.com
Cardew Group
Tom Allison +44 (0)7789 998 020
Will Baldwin-Charles +44 (0)7834 524 833
ashmore@cardewgroup.com
CEO review
Ashmore's strategy is aligned with the opportunities in emerging markets, and
the consistent business model mitigates the impact of market cycles over the
longer term. This year, the Group has continued to invest in initiatives to
diversify and to deliver future growth, and is well-positioned to take
advantage of shifting capital flows as investors rebalance their portfolios to
emerging markets.
The past 12 months have continued the experience of the prior year, in which
emerging markets performed well, outperforming developed markets, and yet
investor risk appetite has remained relatively subdued due to a number of
geopolitical and macroeconomic events. Encouragingly, there is evidence of
capital flows reacting to underlying fundamentals and investment
opportunities, putting pressure on overweight positions in US markets and
building appetite to allocate to emerging markets as their inherent
attractions are bolstered by the positive impact of a weaker US dollar.
Ashmore's investment teams are delivering alpha for clients, with 70% of AuM
outperforming benchmarks over three years and 81% over five years. This
underscores the benefits of active management and the ability to exploit
market inefficiencies, by adding risk in periods of price volatility and
capturing the value upside when conditions normalise.
Net flows improved compared with the prior year. In addition to existing
clients increasing allocations, subscriptions included new mandates in
equities and IG fixed income, and capital raising in private equity and
private debt funds. Redemptions reduced significantly YoY, albeit they were
higher than expected due to a small number of institutional allocation
decisions in the third quarter.
In terms of financial performance, Ashmore's PBT declined by 15%, reflecting
the impact of lower AuM on revenues and reduced performance fees, which had a
meaningful contribution from funds in the alternatives theme in FY2024. This
was mitigated by a notable reduction in operating costs, to deliver an
adjusted EBITDA margin of 36%. Overall, diluted EPS of 11.8 pence per share is
13% lower compared with the prior year. The Group maintains its
well-capitalised and liquid balance sheet with more than £600 million of
financial resources, and the Board has recommended an unchanged final ordinary
dividend per share.
Progress against strategic objectives
Phase 1
Against a backdrop of heightened geopolitical and macroeconomic volatility
since 2020, global investors have reduced allocations to emerging markets,
largely in favour of overweight positions in US capital markets. As described
in the Market review, the US economy and its currency face significant
headwinds and therefore investors are increasingly looking to rebalance
portfolios in favour of markets that offer higher growth and better
risk-adjusted returns.
The emerging markets meet these criteria and Ashmore's comprehensive and
diversified product range, together with the delivery of investment
outperformance, mean it is well positioned to participate in the reallocation
trend as it gathers momentum. An important early indicator of reallocation
activity is the inflection in mutual fund flows, currently concentrated in
exchange-traded funds but expected to transition to actively managed products
and then to broader institutional behaviour, as has been seen in previous
cycles.
The reallocation opportunity is widespread and the Ashmore distribution team
is actively pursuing new client opportunities around the world in addition to
raising additional capital from existing clients. Notably, the opportunity
should be very substantial in respect of US investors, who currently represent
less than 10% of Ashmore's AuM but who historically were more than twice this
level.
Phase 2
Ashmore has made good progress in diversifying its business through multiple
initiatives.
- Equities AuM continues to increase, both in absolute terms with net inflows in
this period, and as a proportion of the Group, and now stands at US$7.5
billion or 16% of total AuM. The flows in this period were driven by
institutional demand in Europe for All cap strategies, good flows into the
corresponding mutual funds from European and US clients, and growth in local
markets products, particularly in Colombia and India.
- There is continued interest in IG fixed income products, particularly from
Asian investors. Total IG AuM increased by 18% over the period, and from 10%
to 12% of Group AuM, with net inflows mostly comprising new institutional
mandates. For diversification and/or risk appetite reasons, Ashmore expects
demand for IG strategies to continue.
- Alternatives AuM increased by more than 20% over the 12 months, with
significant activity in Latin America and the Middle East. Ashmore Colombia
raised approximately US$350 million in its second infrastructure private debt
fund, and the private equity teams continue to deploy new capital as well as
profitably realise previous investments. Ashmore Saudi Arabia successfully
sold the remaining assets in a private equity education fund and returned
capital to investors, and also launched new private equity strategies focused
on industrials and real estate. The Group continues to support these
initiatives with its capital resources, and sees further opportunities in
thematic private markets investments such as healthcare and infrastructure.
- AuM sourced through intermediaries represents 4% of the Group's total, when in
more favourable parts of the market cycle it has approached 20%. Ashmore has
maintained strong relationships with intermediaries and is well-positioned to
grow this business as retail investor demand increases.
- In terms of new products, Ashmore launched a frontier blended debt strategy,
an impact debt strategy and an equity ex-China fund in the period, all
supported initially with investments by the Group's seed capital programme.
Phase 3
Consistent with the ongoing increase in emerging markets' relevance to the
world economy, Ashmore continues to increase the proportion of its AuM sourced
from clients domiciled in emerging countries. Over the period, this AuM rose
from 37% to 38% of total AuM and stands at US$18 billion, comprising both
large institutional clients with broad emerging markets strategies, and the
Group's growing local market businesses in Latin America, Asia and the Middle
East, as described in more detail in the Business review.
Total AuM in the local businesses increased by 5% to US$7.8 billion, with
notable growth in Colombia and India.
Beyond the headline AuM growth, the Group expanded its network of local
offices by establishing a new office in Qatar, which will provide local
investment insights to the Group's investment committees and facilitate the
development of institutional client relationships. It also recently
established an office in Mexico, and later in 2025 will apply for regulatory
approval to establish an investment management business.
Ashmore is broadening distribution access by establishing the necessary
digital infrastructure in Indonesia and Saudi Arabia.
Finally, Ashmore India, which manages predominantly international
institutional capital, is in the early stages of developing and broadening its
domestic product range. Again, this will bring diversification benefits to the
Group, as has been experienced elsewhere in the network of local businesses.
Investing in future growth opportunities
Ashmore's business model is designed to deliver a high profit margin to
shareholders and the Group maintains a well-capitalised and liquid balance
sheet. The strength of the Group's financial resources means that,
notwithstanding the lower profits this year, it has continued to invest in its
employees and other future growth opportunities such as the seeding of both
new and existing funds, and the expansion of the local office network in line
with its strategic objectives.
Culture
Ashmore has nearly 300 employees in 13 offices around the world and I would
like to thank every one of them for their continued commitment to delivering
investment outperformance and high levels of service to Ashmore's clients, in
a professional and collegiate manner.
In early 2025, Ashmore's senior management team, including representatives
from its local offices, gathered in the UK to update the broader employee base
on the firm's strategy and its exciting growth prospects. The presentations
considered opportunities at the Group level and through the lens of each local
office and its domestic and regional context. This further emphasised the
strong team-based culture that is a differentiating characteristic of Ashmore,
together with the significant growth and diversification opportunities
available to the Group over the longer term.
After nearly 15 years in the same location, in early 2026 the London-based
teams will move to a new office, meaning a significantly enhanced working
environment for the approximately 130 employees in the Group's head office.
Ashmore's prospects
The Market review provides a detailed assessment of the strong performance of
emerging markets over the past 12 months, and there are compelling reasons why
this should continue given the valuations available, the trajectory of the US
economy and its currency, and the implications for global portfolios that need
to rebalance.
Ashmore is delivering investment outperformance for clients against this
positive backdrop for emerging markets, and its distribution team is active
around the world with both existing clients and potential investors,
emphasising the need to deploy more capital to capture the favourable trends
evident across emerging markets.
Ashmore's strategy to capitalise on the emerging markets opportunity is clear
and has delivered tangible benefits in this period. Importantly, its business
model is consistent, and the Group has continued to invest in future growth
and diversification opportunities, both for the global business and for the
local asset management platforms.
Therefore, the Group is well-positioned to grow as investors shift allocations
from the US to other markets that offer superior growth and higher
risk-adjusted returns over the medium term.
Mark Coombs
Chief Executive Officer
4 September 2025
Market review
The principal factor driving world capital markets over the past 12 months has
been the US election and subsequent policy decisions by the new
administration. This has resulted in uncertainty and higher price volatility,
and has started to weaken the value of the US dollar. Plans for large fiscal
expansion in Europe, to fund investment and much-needed defence spending, have
also put pressure on the dollar. Regrettably, several conflicts persist and
continue to have a damping effect on investors' risk appetite.
Against this challenging macro backdrop, emerging markets have been resilient
and certain asset classes, particularly those benefiting from a weaker US
currency, have outperformed developed markets. Importantly, emerging markets
continued to deliver significant returns over the final quarter of the year,
when the US announced initially aggressive reciprocal trade tariffs against a
range of countries and there was escalation in the multi-faceted war in the
Middle East.
The following sections describe the performance of the main emerging markets
asset classes over the year.
External debt
The EMBI GD returned +10% over the 12 months to 30 June 2025, in line with
global bonds. This performance was mostly driven by spread compression as the
index spread over US Treasuries narrowed by 70bps to 320bps, reflecting the
strong fundamentals in place across a range of emerging countries and ongoing
positive developments in specific credits such as Argentina (+62% return over
the period). The HY sub-index outperformed with a return of +14% compared with
+6% for IG-rated bonds.
All geographic regions within the index delivered positive returns over the
year. The range of investment opportunities in the index is wide, split across
71 countries and 163 issuers, and no country represents more than 5% of the
index. This inherent diversity has underpinned solid performance in a period
of unusually elevated geopolitical and economic uncertainty.
The external debt asset class has many attractive fundamental characteristics.
In addition to its geographic diversity, the EMBI GD has a substantial
weighting in IG-rated bonds (48%) and the index composition means it is
relatively insulated from the current US trade tariffs. Further, it trades at
wider spreads than US markets (both HY and IG), credit rating changes continue
to be heavily weighted towards upgrades, and HY countries such as Argentina
are regaining market access.
Local currency
Sovereign local currency bonds delivered strong returns over the past year
with the GBI-EM GD rising by +14%. In addition to attractive carry and rates
returns, the appreciation of EM currencies against the US dollar also
benefited asset class returns and accounted for approximately half of the
total index return. All geographic regions and individual countries in the
index generated positive returns over the 12 months.
The index is well diversified, with country weights capped at 10%, and only
five issuers are at this limit, namely India, Indonesia, Mexico, China and
Malaysia. The resilience of countries that have based their funding on local
currency bond markets is evident, and has been reflected in the recent strong
performance of the asset class.
Although average inflation forecasts are broadly similar across emerging and
developed markets in the JP Morgan global bond indices at approximately 3%,
the level of nominal and therefore real yield available in emerging markets is
substantially higher. For example, the GBI-EM GD ex ante real yield is 3%
compared with 0% for GBI-DM. The compelling investment opportunity in local
bonds is further enhanced by the potential for many EM central banks to ease
monetary policy further and the beneficial impact of further US dollar
weakness.
Corporate debt
In a similar picture to the external debt asset class, the CEMBI BD returned
+8% over the period, with HY bonds (+9%) outperforming IG bonds (+7%).
The asset class performance was underpinned by improving credit quality. For
example, the 12-month default rate more than halved from 6.3% in the prior
year to 2.1%, and all geographic regions experienced a decline in defaults.
The default rates in emerging Europe (0.9%) and Latin America (2.7%) are in
line with or below the levels in the US and developed European markets (2.6%
and 3.5%, respectively), and Asia saw a notable decline over the year, from
12.4% to 2.6%.
Several characteristics point to further strong performance by corporate
bonds. The CEMBI BD is highly diversified and comprises 754 issuers in 65
countries; 59% of the bonds are rated IG; it has lower net leverage and yet
higher spreads than developed world issuers with equivalent credit ratings;
and the overall yield of nearly 7% is comparable to the US HY index, implying
superior risk-adjusted returns in the EM asset class.
Equities
EM equities performed well over the year. The MSCI EM index returned 13%,
slightly less than the MSCI World index (+15%), and the MSCI Frontier index
outperformed with a 19% return. While the imposition of trade tariffs by the
US government presented some challenges, there were both winners and losers
among countries and companies, and the overall impact was countered by factors
such as Chinese economic stimulus and ongoing demand for technology and
services provided by EM companies. Furthermore, as was the case with local
currency bonds, the decline in the relative value of the US dollar contributed
to equity market returns over the period.
The potential for further absolute and relative performance by EM equities is
underpinned by two main factors. The MSCI EM trades on a price/earnings ratio
of 12 compared with the MSCI World on 19, and is expected to deliver a similar
level of earnings growth (+18%) over the next year. Furthermore, investors are
generally underweight the asset class after moving capital to the US; that
trade has underperformed recently, particularly for international investors
who are bearing the impact of a weaker US dollar.
EM equities offer significant diversification opportunities and access to
powerful structural growth trends. While the benchmark indices are more
diversified than certain global benchmarks, which have a heavy bias to the US,
the case for active management in this asset class is well-established, and is
even more relevant currently with myriad opportunities and risks presented by
volatile geopolitics and powerful developing trends across industries.
Furthermore, as the emerging markets continue to evolve, there is an
increasing number of regional and country-specific investment opportunities
available.
Outlook
The global macro environment remains complex, notably with the impact of US
policies and geopolitical risks including conflicts. However, several themes
are evident and point to the need for investors to rebalance allocations away
from the US and to other regions, and particularly to emerging markets, in
order to position for higher risk-adjusted returns over the medium term.
- World economic growth is biased to emerging markets, with all regions expected
to grow faster than developed markets over the next few years; and aggregate
annual growth of between 2% and 3% is approximately twice as fast as expected
in developed markets.
- Higher inflation volatility and geopolitical risks pose structural challenges,
which can be mitigated by allocation to countries with effective fiscal and
monetary policies. Increasingly, developed world countries do not provide this
reassurance but many emerging countries do; and moreover they are
geopolitically neutral.
- Germany's plan to increase spending on defence and infrastructure projects,
funded by fiscal expansion, is likely to have a broader impact across Europe,
driving investment and consumption. This is positive for a range of exporters
in emerging markets, and improving currency fundamentals in many countries,
underpinned by Euro strength, will attract foreign investment.
- US exceptionalism is being questioned as a result of overvalued capital
markets, institutional deterioration and policy divergence. This will have
many consequences, but possibly the most significant one from an allocation
perspective is the weaker US dollar. This is already undermining returns for
foreign investors in the US markets, and enhancing returns for investors in
local currency bond and equity markets, as noted in the asset class commentary
above.
- Local currency bond markets offer high real rates and, with inflation
anchored, central banks have ample room to ease monetary policy.
- Credit ratings continue to recognise the resilience of emerging markets, with
net positive rating changes over the past three calendar years by S&P, and
net positive rating changes in 2025 across all three major agencies (S&P,
Moody's and Fitch). Outlook changes have also been net positive across all
three agencies over the past 18 months.
As investors reduce overweight US positions in response to these themes, they
can look to the attractions of emerging markets and the range of investment
opportunities available across sovereign debt, corporate credit, listed
equities and private markets.
In the context of geopolitical uncertainty and heightened asset price
volatility, active management remains critical to identify and act upon
attractive valuations in order to deliver longer-term outperformance. Ashmore
is well-positioned to navigate the current environment for its clients and to
facilitate the investment of capital flows as portfolios are rebalanced.
Business review
Reduced operating costs mitigated the impact of lower AuM on revenue, and
delivered an adjusted EBITDA margin of 36%. The Group maintains a robust
balance sheet with more than £600 million of capital resources, including
approximately £350 million of cash and deposits.
£m FY2025 Reconciling items FY2025 FY2024
Reported Adjusted Adjusted
Seed capital (gains)/losses FX translation (gains)/losses
Net management fees 129.7 - - 129.7 160.4
Performance fees 10.2 - - 10.2 22.7
Other revenue 2.5 - - 2.5 3.7
Foreign exchange gains 1.7 - 2.4 4.1 1.0
Net revenue 144.1 - 2.4 146.5 187.8
Net gains on investment securities 11.8 (11.8) - - -
Personnel expenses (71.0) - (0.8) (71.8) (84.6)
Other expenses excluding depreciation and amortisation (24.6) 2.4 - (22.2) (25.3)
EBITDA 60.3 (9.4) 1.6 52.5 77.9
EBITDA margin 42% - - 36% 41%
Depreciation and amortisation (3.1) - - (3.1) (3.1)
Operating profit 57.2 (9.4) 1.6 49.4 74.8
Finance income 50.8 (30.7) - 20.1 24.9
Realised gains on disposal of investments 0.3 - - 0.3 5.2
Share of profit from associate 0.3 - - 0.3 0.5
Profit before tax 108.6 (40.1) 1.6 70.1 105.4
Diluted EPS (p) 11.8 (4.9) 0.2 7.1 10.5
Assets under management
AuM of US$47.6 billion is 3% lower compared with the prior year, reflecting
positive investment performance of US$4.1 billion offset by net outflows of
US$5.8 billion.
Gross subscriptions of US$6.5 billion represent 13% of opening AuM and were at
a similar level to the prior year (FY2024: US$7.2 billion, 13% of opening
AuM). Subscriptions were strongest in the local currency and equities
investment themes, reflecting both funding of new mandates and additions to
existing accounts; while capital raising continued in the alternatives theme
driven by the launch of a second infrastructure debt fund in Colombia together
with new thematic private equity funds in Saudi Arabia. There was also notable
interest in IG strategies from Asian clients. However, certain investors
continued to exhibit some risk aversion given geopolitical events and
notwithstanding the positive investment performance delivered in recent
periods.
Gross redemptions of US$12.3 billion, or 25% of opening AuM (FY2024: US$15.7
billion, 28% of opening AuM) improved significantly from the prior year,
albeit they were somewhat elevated given a small number of individual
institutional asset allocation decisions in the local currency theme. These
reflect factors such as a lower tolerance for short-term market volatility
arising from movements in the US dollar and the impact of clients' broader
asset allocation decisions unrelated to the specific merits or performance of
emerging markets fixed income assets.
The other fixed income themes and equities all experienced lower levels of
redemptions compared with the prior year. In alternatives, capital was
returned to investors following the successful realisation of private equity
investments.
Consequently, the total net outflow for the period of US$5.8 billion is 32%
lower than in the prior year (FY2024: US$8.5 billion), due to the fall in
redemptions.
Ashmore delivered US$4.1 billion of positive investment performance for
clients over the year, broadly spread across all investment themes. The weaker
US dollar, particularly in the second half of the year, benefited returns in
the local currency and equities themes.
The average AuM level was 7% lower than in the prior year at US$48.9 billion
(FY2024: US$52.4 billion).
The geographic split of the Group's AuM remains diverse and consistent with
recent periods: 39% of AuM is invested in Latin America, 25% in Asia Pacific,
15% in Eastern Europe and 21% in the Middle East and Africa.
A focus on Ashmore's local platforms
Total local office AuM increased by 5% over the 12 months to US$7.8 billion
(30 June 2024: US$7.5 billion). In aggregate, these businesses represent 16%
of Ashmore's total AuM, and contribute a notably higher proportion of the
Group's revenues (28%) and adjusted EBITDA (35%). Therefore, in addition to
delivering long-term growth, these platforms continue to provide meaningful
diversification benefits and represent an increasingly important source of
value for Ashmore's shareholders.
Ashmore Colombia increased AuM by 43% to US$2.2 billion, with net inflows of
US$0.3 billion including commitments to a second infrastructure debt fund and
additional allocations in equities; investment performance also contributed
US$0.3 billion. The business employs 30 people and has a well-established
track record of managing private equity and private debt infrastructure
assets, together with a team managing listed equity strategies.
Similarly, Ashmore India's AuM grew by 26% to US$2.3 billion, through a
combination of net inflows of US$0.3 billion and positive investment
performance of US$0.2 billion. The team of 11 employees has a strong track
record of outperformance in listed equities, with a focus on small and midcap
companies. The business manages assets predominantly for international
investors, but is in the early stages of evolving its business model to gain
greater access to onshore capital.
Ashmore Saudi Arabia successfully exited the assets in its private equity
education fund and returned US$0.2 billion to investors. Together with small
net outflows from its listed equity funds, AuM declined by US$0.3 billion, or
18%, over the year to US$1.5 billion. The team of 17 employees is focused on
growing and diversifying the business and in the year it launched new thematic
private equity funds investing in the industrials and real estate sectors, and
is developing digital distribution capabilities to facilitate access to high
net worth retail investors.
With recent political change and regional headwinds, Ashmore Indonesia endured
a more challenging period and AuM declined by 22% to US$1.5 billion. The
movement comprised net outflows of US$0.3 billion and negative performance of
US$0.1 billion. The team of 33 employees manages onshore and offshore
institutional capital, and has a strong network of domestic intermediaries to
access retail investors. It is enhancing its retail proposition further by
developing digital distribution infrastructure.
During the year, Ashmore opened a new office in Qatar that will provide local
insights to the Group's global investment committees, and also facilitate the
development of institutional client relationships.
The Group continues to pursue opportunities to develop its existing platforms,
and also to add to the network to provide additional future growth. Notably,
it has recently established an office in Mexico and is in the process of
applying for regulatory approval.
Ashmore has proven expertise in managing thematic private equity and private
debt funds in Latin America and the Middle East and is exploring future
opportunities in areas such as healthcare, infrastructure and education.
AuM movements by investment theme
The AuM development by theme is shown in the table below. The local currency
investment theme includes US$7.9 billion of overlay/liquidity funds (30 June
2024: US$7.6 billion).
Investment theme AuM Gross Gross Net flows Performance Other(2) AuM
30 June
subscriptions
redemptions(1)
US$bn
US$bn
US$bn
30 June
2024
US$bn
US$bn
2025
US$bn
US$bn
External debt 7.2 0.6 (0.9) (0.3) 0.6 (0.1) 7.4
Local currency 17.7 2.8 (7.3) (4.5) 1.0 - 14.2
Corporate debt 4.7 0.4 (0.5) (0.1) 0.6 - 5.2
Blended debt 11.7 0.2 (1.5) (1.3) 1.2 0.1 11.7
Fixed income 41.3 4.0 (10.2) (6.2) 3.4 - 38.5
Equities 6.7 2.1 (1.9) 0.2 0.6 - 7.5
Alternatives 1.3 0.4 (0.2) 0.2 0.1 - 1.6
Total 49.3 6.5 (12.3) (5.8) 4.1 - 47.6
1. Redemptions in the external debt theme include US$0.2 billion of Group cash
that was returned to the balance sheet following the closure of a liquidity
fund in the period.
2. Assets were reclassified from external debt to blended debt because of changes
to investment guidelines and benchmarks.
Clients
Ashmore's clients are predominantly a diversified set of institutions,
representing 96% of AuM (30 June 2024: 96%), with the remainder sourced
through intermediary retail channels. Segregated accounts represent the
majority of AuM at 83% of the total (30 June 2024: 82%).
Over the year there was an increase in AuM from government-related
institutions (central banks, sovereign wealth funds and other government
entities) from 46% to 50%, offset by a decrease in assets managed for pension
funds from 19% to 12%.
Ashmore's principal mutual fund platforms are in Europe and the US, which in
total represent AuM of US$3.4 billion in 45 funds. The European SICAV range
comprises 34 funds with AuM of US$2.9 billion (30 June 2024: US$3.5 billion in
33 funds) and the US 40 Act range has 11 funds with AuM of US$0.5 billion
(30 June 2024: US$0.5 billion in 12 funds).
Investment performance
As at 30 June 2025, 57% of AuM is outperforming over one year, 70% over three
years and 81% over five years (30 June 2024: 40%, 59% and 62%, respectively).
The notable improvement across all three time periods reflects the successful
implementation of Ashmore's established investment processes. Given the
macroeconomic and geopolitical events of the past five years, the
effectiveness of Ashmore's investment approach across market cycles is
illustrated by more than 80% of AuM outperforming over this period.
The drivers of outperformance vary depending on investment theme and specific
strategies, but for example, over the financial year there was positive
performance contribution from previously oversold bonds and currencies in
countries such as Brazil; a rally in Chinese equities in the second half of
the period; and strong performance in specific situations such as Argentina.
Financial review
Revenues
Net revenue declined by 24% compared with the prior year due to lower net
management fees and reduced performance fee income. On an adjusted basis,
excluding FX translation effects, net revenue fell by 22% to £146.5 million.
Net revenue
FY2025 FY2024
£m
£m
Net management fees 129.7 160.4
Performance fees 10.2 22.7
Other revenue 2.5 3.7
FX: hedges 4.1 1.0
Adjusted net revenue 146.5 187.8
FX: balance sheet translation (2.4) 1.5
Net revenue 144.1 189.3
Net management fee income of £129.7 million declined by 19% as a consequence
of a reduced management fee margin, lower average AuM and the headwind from a
higher average GBP:USD rate. At constant FY2024 exchange rates, net management
fee income reduced by 17%.
The net management fee margin declined to 35 basis points (FY2024: 39 basis
points). As reported previously, the prior year period had a number of one-off
fees in the alternatives theme, meaning the underlying run-rate was 37.5 basis
points in FY2024.
The movement in the current year is attributable to positive theme mix
effects, such as higher equities AuM, offset by the impact of lower margin
flows including higher average AuM in overlay mandates; successful private
equity realisations and subsequent return of capital by alternatives funds;
and other factors such as the impact of competition.
Performance fees of £10.2 million (FY2024: £22.7 million) were earned in the
period, with a notable contribution from funds in the alternatives theme
albeit at a lower level than in the prior year. Performance fees were also
earned by funds in the external debt, local currency and blended debt themes.
Approximately US$8.5 billion of the Group's AuM, or 18% of the total, is
eligible to earn performance fees as at 30 June 2025. The Group continues to
expect its diverse sources of net management fee income to generate the
majority of its net revenues.
Translation of the Group's non-sterling assets and liabilities, excluding seed
capital, resulted in an unrealised FX loss of £2.4 million (FY2024: £1.5
million gain).
The Group's effective hedging programme and the active management of FX
exposures during the period meant that realised and unrealised hedging
gains of £4.1 million were delivered (FY2024: £1.0 million gain).
Therefore, the Group recognised a total FX gain of £1.7 million in revenues
(FY2024: £2.5 million gain).
Operating costs
Total operating costs of £98.7 million (FY2024: £114.9 million) include
£2.4 million of expenses incurred by seeded funds that are required to be
consolidated (FY2024: £1.4 million), as disclosed in note 20. On an adjusted
basis, taking into account the impact of seed capital and the proportion of
the accrual for variable compensation that relates to FX translation gains,
operating costs decreased by 14% compared with the prior year.
Adjusted operating costs fell by 13% at constant FY2024 exchange rates.
Operating costs
FY2025 FY2024
£m
£m
Salary costs (31.5) (32.2)
Other operating costs (22.2) (25.3)
Depreciation and amortisation (3.1) (3.1)
Operating costs before VC (56.8) (60.6)
VC (39.5) (52.9)
VC accrual on FX gains/losses (0.8) 0.5
Adjusted operating costs (97.1) (113.0)
Consolidated funds costs (2.4) (1.4)
Add back VC on FX gains/losses 0.8 (0.5)
Total operating costs (98.7) (114.9)
Salary costs fell by 2% to £31.5 million with a broadly stable average
headcount over the year. Other operating costs were reduced by 12% to £22.2
million, primarily due to lower premises-related costs and professional fees.
The move to a new London office in early 2026 is expected to have a modest
incremental impact on operating costs.
VC has been accrued at 35.0% of EBVCT resulting in a charge of £39.5 million.
The charge is 25% lower than in the prior year (FY2024: £52.9 million)
reflecting the lower levels of revenue and profits, and therefore maintaining
the alignment of interests between employees and shareholders.
Fee income and net management fee margin by investment theme
Investment theme Net management fees Performance fees Net management fee margin
FY2025 FY2024 FY2025 FY2024 FY2025 FY2024
£m
£m
£m
£m
bps
bps
External debt 17.5 18.8 1.5 - 31 33
Local currency 31.8 40.6 0.4 7.4 26 29
Corporate debt 12.4 13.5 - - 33 33
Blended debt 28.0 40.9 0.1 0.1 31 37
Fixed income 89.7 113.8 2.0 7.5 29 33
Equities 28.1 27.8 - 0.8 52 55
Alternatives 11.9 18.8 8.2 14.4 108 162
Total 129.7 160.4 10.2 22.7 35 39
Adjusted EBITDA
The impact of the lower revenue base, mitigated by reduced operating costs,
means that adjusted EBITDA was 33% lower at £52.5 million (FY2024: £77.9
million), resulting in a margin of 36% for the year (FY2024: 41%). At constant
FY2024 exchange rates, adjusted EBITDA declined by 29%.
Finance income
Finance income declined to £51.1 million (FY2024: £70.4 million) and
comprises the items shown in the table below.
Finance income
FY2025 FY2024
£m
£m
Net interest income 20.1 24.9
Seed capital gains 30.7 40.3
Realised gains on disposal of investments 0.3 5.2
Finance income 51.1 70.4
Net interest income for the period of £20.1 million was below the prior year
level (FY2024: £24.9 million), reflecting a consistent yield of approximately
5% and a lower level of cash and deposits, explained below.
Seed capital gains comprise interest earned in consolidated funds and the
movement in the mark-to-market value of consolidated funds, as described in
more detail below.
The realised gains on disposals relate to the Group's Colombian real estate
business in the prior year, and the disposal of a minority interest in an
Indonesian financial services company.
Seed capital
The following table summarises the principal IFRS items in the accounts to
assist in understanding the financial impact of the Group's seed capital
programme on profits. The seed capital investments generated total realised
and unrealised gains of £40.1 million in the year (FY2024: £21.7 million
gain). This comprises a £29.9 million gain in respect of consolidated funds
(FY2024: £4.7 million loss) and a £10.2 million mark-to-market gain in
respect of unconsolidated funds (FY2024: £26.4 million gain).
Impact of seed capital investments on profits
FY2025 FY2024
£m
£m
Consolidated funds (note 20):
Net gains/(losses) on investment securities 11.8 (17.2)
Operating costs (2.4) (1.4)
Investment income 20.5 13.9
Sub-total: consolidated funds 29.9 (4.7)
Unconsolidated funds (note 8):
Investment return 10.7 23.5
FX (0.5) 2.9
Sub-total: unconsolidated funds 10.2 26.4
Total seed capital gains 40.1 21.7
- realised 7.5 11.3
- unrealised 32.6 10.4
Profit before tax
Statutory profit before tax was 15% lower at £108.6 million (FY2024: £128.1
million), reflecting lower operating performance partially offset by higher
gains on seed capital investments.
Taxation
The effective tax rate for the period of 21.6% (FY2024: 23.3%) reflects the
geographic mix of the Group's profits, the valuation of deferred tax assets
relating to share-based remuneration and the impact of seed capital gains and
losses. The effective tax rate is lower compared with the prior year primarily
due to differences in the geographic mix of the Group's profits.
Note 12 to the financial statements provides a reconciliation of the tax
charge to the UK corporation tax rate of 25.0%.
The Group's current effective tax rate, based on its geographic mix of profits
and prevailing tax rates, is approximately 22%.
Diluted earnings per share
Diluted EPS declined by 13% from 13.6 pence to 11.8 pence. On an adjusted
basis, excluding the effects of FX translation, seed capital-related items and
relevant tax, diluted EPS was 33% lower at 7.1 pence (FY2024: 10.5 pence).
Balance sheet
As at 30 June 2025, total equity attributable to shareholders of the parent
was £782.6 million (30 June 2024: £882.6 million). The Group has no debt.
The level of capital required to support the Group's activities, including its
regulatory requirements, is £93.3 million. As at 30 June 2025, the Group had
total capital resources of £604.2 million, equivalent to 85 pence per share,
and therefore representing an excess of £510.9 million over the Board's level
of required capital.
Cash
Ashmore has maintained a strong cash position with approximately £350 million
of cash and deposits as at 30 June 2025.
Excluding cash held in consolidated funds, the Group's cash and deposits
totalled £340.7 million as at 30 June 2025 (30 June 2024: £505.7 million).
The movement over the year primarily reflects operating cash flows together
with seed capital investments to underpin future AuM growth (£66 million) and
the purchase of ordinary shares to satisfy employee equity awards (£35
million).
Cash and deposits by currency
30 June 30 June
2025
2024
£m
£m
Sterling 173.7 241.8
US dollar 141.5 229.8
Other 33.5 40.2
Total 348.7 511.8
Ashmore's business model delivers a high conversion rate of operating profits
to cash. Based on operating profit of £57.2 million for the period (FY2024:
£57.2 million), the Group generated £66.0 million of cash from operations
(FY2024: £112.5 million). The operating cash flows after excluding
consolidated funds represent 130% of adjusted EBITDA (FY2024: 146%).
Seed capital investments
Ashmore invests seed capital in its funds to achieve a number of commercial
objectives, including to provide initial scale, to support the development of
an investment track record, and to enhance existing funds' scale for
intermediary distributors.
The Group's seed programme has delivered growth in third-party AuM, with
approximately US$5 billion of current AuM in funds that have been seeded,
representing 11% of total Group AuM.
The diversified mix of seed capital investments means that the underlying fund
portfolios, some of which are consolidated under IFRS 10, have exposure to a
range of emerging markets asset classes, including sovereign and corporate
fixed income, listed equities and alternatives.
Movements in seed capital
Market value
£m
30 June 2024 257.6
Additions 113.0
Realisations (46.6)
Mark-to-market 15.4
30 June 2025 339.4
Subscriptions in the period were focused on establishing investment track
records in new strategies such as frontier blended debt, impact debt and
Mexico equities; providing seed capital to alternatives funds in local
markets; and providing additional scale to existing funds in anticipation of
client demand as investor interest in the emerging markets asset classes
gathers momentum.
Realisations were focused on IG funds as client flows facilitated the
profitable recycling of the Group's capital, and successful asset realisations
in the alternatives theme and the subsequent return of capital to investors.
The positive performance described in the Market review, combined with alpha
delivered by Ashmore's active investment processes, delivered a 6% increase in
the market value of the seed capital investments.
Overall, the market value of the Group's seed capital investments increased to
£339.4 million as at 30 June 2025 (30 June 2024: £257.6 million). The
unrealised life-to-date gains on seed capital investments increased over the
period from £32.3 million to £42.6 million.
Ashmore has made seed capital commitments to funds of £9.4 million that were
undrawn at the period end, giving a total value for the Group's seed capital
programme of approximately £350 million.
Shares held by the EBT
The Group's EBT continues to purchase and hold shares in anticipation of the
vesting of employee share awards. As at 30 June 2025, the EBT owned 60,817,341
ordinary shares (30 June 2024: 49,481,410 ordinary shares), representing 8.5%
of the Group's issued share capital (30 June 2024: 6.9%).
Foreign exchange
The majority of the Group's fee income is received in US dollars and it is the
Group's policy to hedge up to two-thirds of the notional value of budgeted
foreign currency-denominated net management fees. Foreign currency assets and
liabilities, including cash, are marked to market at the period end exchange
rate with movements reported in either revenues or other comprehensive income
(OCI).
Dividend
The Board's policy is to pay a progressive ordinary dividend over time, taking
into consideration factors such as the financial performance over the period,
the Group's strong financial position, cash generation and the near-term
outlook.
Therefore, the Board has recommended a final dividend of 12.1 pence per
share, which, if approved by shareholders, will be paid on 8 December 2025 to
all shareholders on the register on 7 November 2025.
Tom Shippey
Group Finance Director
4 September 2025
Risk management
In accordance with the 2018 Code, the Board is ultimately responsible for the
Group's risk management and internal control systems and for reviewing their
effectiveness. Such systems and their review are designed to manage, rather
than eliminate, the risk of failure to achieve business objectives, and can
provide only reasonable and not absolute assurance against material
misstatement or loss.
Principal and emerging risks, controls and mitigants
The table below summarises those principal risks that the Group has assessed
as being most significant currently, together with examples of associated
controls and mitigants that the Board has assessed. Reputational and conduct
risks are common to most aspects of Ashmore's strategy and business model.
Ashmore's internal control framework considers the assessment and management
and/or mitigation of emerging risks alongside its principal risks. Current
examples of emerging risks considered by the process are:
- potential impact of US policies on the world economy;
- energy security, in part arising from greater energy demands;
- heightened political and geopolitical risks;
- adoption of AI technology within the firm;
- level of new regulatory obligations; and
- direct retail business model in certain offices
Consideration of the 2024 Code
The FRC issued the 2024 Code in January 2024, and during FY2025 the Board
completed preparations to comply with the new Code, which applies to Ashmore
from 1 July 2025. Provision 29, relating to risk management and internal
control systems, will apply to the Group from 1 July 2026; preparations for
its implementation are ongoing.
Principal risks and associated controls and mitigants
Description of principal risks Examples of associated controls and mitigants
Strategic and business risks (Responsibility: Board of Directors)
Long-term downturn in emerging markets fundamentals/technicals/sentiment, - The Board, which has relevant industry experience, reviews and approves
and impact of broader industry changes (including ESG) on Ashmore's strategy the Group strategy
and business model
- Diversification of investment capabilities
- Ashmore has a strong balance sheet with no debt
- Governance bodies meet regularly
Market capacity issues and increased competition constrain growth - Experienced emerging markets investment professionals with deep
market knowledge
- Periodic investment theme capacity reviews
- Emerging markets asset classes continue to grow, increasing the size of
Ashmore's investable universe
Failure to understand and plan for the potential impact of investor sentiment, - ESG integration framework includes scoring and engagement strategy
climate change and ESG regulations on product preferences and underlying asset
prices (including effects of transition to a low-carbon economy) - Head of Risk Management and Control provides updates to the Board
- ESGC considers and reports on the risks and opportunities relating to
climate change
Client risks (Responsibility: Product Committee, RCC and ESGC)
Inappropriate marketing or ESG strategy and/or ineffective management of - Regular Product Committee meetings review product suitability and
existing and potential fund investors and distributors, including impact of appropriateness
net outflows and fee margin pressure
- Experienced Distribution team with appropriate geographic coverage
- Investor education to ensure understanding of Ashmore investment themes
and products
- ESGC includes Distribution team members
Inadequate client oversight including insufficient alignment of interests - Global Distribution team appropriately structured for institutional and
intermediary retail clients
- Monitoring of client-related issues including a formal complaint
handling process
- Compliance oversight to ensure clear and fair terms of business,
disclosures and financial promotions
- Fund prospectus includes provisions to ensure investors are treated
fairly
Treasury risks (Responsibility: CEO and GFD)
Inaccurate financial projections impact decision-making including hedging of - Defined risk appetite, and risk appetite measures updated quarterly
future cash flows and balance sheet investments
- Group FX and Liquidity Management Committee meets regularly
Investment risks (Responsibility: Group ICs)
Downturn in long-term performance - Consistent investment philosophy for more than 30 years and through
numerous market cycles, with dedicated emerging markets focus including
country visits and network of local offices
Operational risks (Responsibility: Governance bodies)
Inadequate security of information including cyber security and data - Information security and data protection policies are subject to annual
protection review
- RCC receives cyber security reports, including metrics on security
patching
- Cyber Security Steering Group meets regularly
- Regular/proactive identification and remediation of vulnerabilities, on
both internet perimeter and internal networks
- No unsanctioned use of AI tools
- Employees receive online training and undertake mandatory testing
Failure of IT infrastructure, including inability to support business growth - Appropriate IT policies with annual review cycle
- IT systems and environmental monitoring
- Group IT platform incorporates local offices
Legal action, fraud or breach of contract perpetrated by or against the Group, - Independent Internal Audit function that considers risk of fraud in each
its funds or investments audit
- Anti-money laundering and anti-bribery and corruption policies
- Whistleblowing policy including independent and confidential reporting
line and Board sponsor
- Due diligence on service providers
- Insurance policies in place with appropriate cover
Insufficient resources, including loss of key employees and inability to - Committee-based investment management reduces key person risk
attract employees, or health and safety issues, hamper growth or the Group's
ability to execute its strategy - Appropriate remuneration policy with emphasis on performance-related pay
and long-dated deferral of equity awards
- Regular reviews of resource requirements and updates provided to the
Board
- Annual review of remuneration and benefits including benchmarking
against industry
- Semi-annual Culture and Conduct report to the Board
Lack of understanding of, or compliance with, global and local regulatory - Regulatory Development Steering Group and compliance monitoring
requirements, as well as conflicts of interest and not treating customers programme
fairly, or financial crime, which includes money laundering, bribery and
corruption, leading to high-level negative publicity or regulatory sanction - Compliance standards cover global and local offices
- Mandatory compliance training for employees
- Anti-money laundering, anti-bribery and corruption, and conflicts of
interest policies
- Conduct and culture risks considered by the Board on a semi-annual basis
- ESGC oversight of regulatory and reporting requirements
- Compliance function manages sanctions restrictions
Inappropriate oversight of Ashmore overseas offices - GFD has oversight responsibility for overseas offices. Senior employees
take local board positions
- Dual reporting lines into local management and Group department heads,
with adherence to applicable Group policies
- Local risk and compliance committees in place and RCC receives updates
- Internal Audit reviews
Inappropriate oversight of market, liquidity, credit, counterparty and - Department heads participate in monthly RCC meetings
operational risks
- Group risk management policies, reviewed regularly
- Monthly reviews of market and liquidity risk
- Quarterly reviews of principal risks, counterparties and credit risk
Poor management of strategic initiatives or changes to the Group's operating - Senior management coordinates implementation activities
model
Consolidated statement of comprehensive income
For the year ended 30 June 2025
Notes 2025 2024
£m
£m
Management fees 131.7 162.6
Performance fees 10.2 22.7
Other revenue 2.5 3.7
Total revenue 144.4 189.0
Distribution costs (2.0) (2.2)
Foreign exchange gains 7 1.7 2.5
Net revenue 144.1 189.3
Net gains/(losses) on investment securities 20 11.8 (17.2)
Personnel expenses 9 (71.0) (85.1)
Other expenses 11 (27.7) (29.8)
Operating profit 57.2 57.2
Finance income 8 51.1 70.4
Share of profit from associate 26 0.3 0.5
Profit before tax 108.6 128.1
Tax expense 12 (23.5) (29.9)
Profit for the year 85.1 98.2
Other comprehensive income/(loss), net of related tax effect
Items that may be reclassified subsequently to profit or loss:
Foreign currency translation differences arising on foreign operations (47.3) (4.6)
Cash flow hedge intrinsic value gains 0.6 -
Other comprehensive loss, net of tax (46.7) (4.6)
Total comprehensive income for the year 38.4 93.6
Profit attributable to:
Equity holders of the parent 81.2 93.7
Non-controlling interests 3.9 4.5
Profit for the year 85.1 98.2
Total comprehensive income attributable to:
Equity holders of the parent 35.0 89.6
Non-controlling interests 3.4 4.0
Total comprehensive income for the year 38.4 93.6
Earnings per share attributable to equity holders of the parent
Basic 13 12.17p 13.94p
Diluted 13 11.77p 13.55p
Consolidated balance sheet
As at 30 June 2025
Notes 2025 2024
£m
£m
Assets
Non-current assets
Goodwill 15 80.5 87.0
Property, plant and equipment 16 5.1 7.3
Investment in associate 26 2.8 2.7
Financial assets at fair value 19, 20 66.3 57.6
Deferred acquisition costs 0.1 0.2
Deferred tax assets 18 16.2 18.9
171.0 173.7
Current assets
Investment securities 19, 20 321.5 200.9
Financial assets at fair value 19, 20 17.0 32.8
Derivative financial instruments 19, 21 0.9 0.2
Trade and other receivables 17 49.0 60.3
Cash and deposits 21 348.7 511.8
737.1 806.0
Total assets 908.1 979.7
Equity and liabilities
Capital and reserves - attributable to equity holders of the parent
Issued capital 22 0.1 0.1
Share premium 15.6 15.6
Retained earnings 809.5 863.3
Foreign exchange reserve (43.2) 3.6
Cash flow hedging reserve 0.6 -
782.6 882.6
Non-controlling interests 31 8.2 8.2
Total equity 790.8 890.8
Liabilities
Non-current liabilities
Lease liabilities 16 2.6 4.5
Deferred tax liabilities 18 9.5 8.9
12.1 13.4
Current liabilities
Lease liabilities 16 2.0 1.9
Third-party interests in consolidated funds 19, 20 73.3 39.4
Trade and other payables 24 29.9 34.2
105.2 75.5
Total liabilities 117.3 88.9
Total equity and liabilities 908.1 979.7
Approved by the Board on 4 September 2025 and signed on its behalf by:
Mark Coombs Tom Shippey
Chief Executive Officer Group Finance Director
Consolidated statement of changes in equity
For the year ended 30 June 2025
Attributable to equity holders of the parent
Issued capital £m Share premium Retained earnings Foreign exchange reserve Cash flow hedging reserve Total Non-controlling interests Total
£m
£m
£m
£m
£m
£m
equity
£m
Balance at 30 June 2023 0.1 15.6 875.4 7.7 - 898.8 14.2 913.0
Profit for the year - - 93.7 - - 93.7 4.5 98.2
Other comprehensive income/(loss):
Foreign currency translation differences arising on foreign operations - - - (4.1) - (4.1) (0.5) (4.6)
Total comprehensive income/(loss) - - 93.7 (4.1) - 89.6 4.0 93.6
Transactions with owners:
Purchase of own shares - - (13.8) - - (13.8) - (13.8)
Share-based payments - - 27.9 - - 27.9 - 27.9
Movements in non-controlling interests - - - - - - (5.5) (5.5)
Dividends to equity holders - - (119.9) - - (119.9) - (119.9)
Dividends to non-controlling interests - - - - - - (4.5) (4.5)
Total transactions with owners - - (105.8) - - (105.8) (10.0) (115.8)
Balance at 30 June 2024 0.1 15.6 863.3 3.6 - 882.6 8.2 890.8
Profit for the year - - 81.2 - - 81.2 3.9 85.1
Other comprehensive income/(loss):
Foreign currency translation differences arising on foreign operations - - - (46.8) - (46.8) (0.5) (47.3)
Cash flow hedge intrinsic value gains - - - - 0.6 0.6 - 0.6
Total comprehensive income/(loss) - - 81.2 (46.8) 0.6 35.0 3.4 38.4
Transactions with owners:
Purchase of own shares - - (35.4) - - (35.4) - (35.4)
Share-based payments - - 20.5 - - 20.5 - 20.5
Movements in non-controlling interests - - - - - - 0.1 0.1
Dividends to equity holders - - (120.1) - - (120.1) - (120.1)
Dividends to non-controlling interests - - - - - - (3.5) (3.5)
Total transactions with owners - - (135.0) - - (135.0) (3.4) (138.4)
Balance at 30 June 2025 0.1 15.6 809.5 (43.2) 0.6 782.6 8.2 790.8
Consolidated cash flow statement
For the year ended 30 June 2025
2025 2024
£m
£m
Operating activities
Profit for the year 85.1 98.2
Adjustments for non-cash items:
Depreciation and amortisation 3.1 3.1
Share-based payments 20.5 28.0
Foreign exchange gains (1.7) (2.5)
Net (gains)/losses on investment securities (11.8) 17.2
Finance income (51.1) (70.4)
Tax expense 23.5 29.9
Share of profits from associate (0.3) (0.5)
Cash generated from operations before working capital changes 67.3 103.0
Changes in working capital:
Decrease/(increase) in trade and other receivables 6.4 (0.1)
Increase in derivative financial instruments (0.7) (0.4)
Increase/(decrease) in trade and other payables (7.0) 10.0
Cash generated from operations 66.0 112.5
Taxes paid (17.4) (23.4)
Net cash generated from operating activities 48.6 89.1
Investing activities
Interest received 23.1 21.2
Investment income received 29.7 19.8
Disposal from/(investment in) term deposits 76.2 (203.8)
Purchase of non-current financial assets measured at fair value (11.1) (4.0)
Purchase of financial assets measured at fair value (61.6) (10.4)
Purchase of investment securities (65.2) (8.0)
Sale of non-current financial assets measured at fair value 2.1 20.2
Sale of financial assets measured at fair value 10.2 34.8
Sale of investment securities 26.6 28.3
Cash movement on reclassification of consolidated funds 3.8 (5.7)
Purchase of property, plant and equipment (0.2) (0.8)
Net cash generated from/(used in) investing activities 33.6 (108.4)
Financing activities
Dividends paid to equity holders (120.1) (119.9)
Dividends paid to non-controlling interests (3.5) (4.5)
Third-party subscriptions into consolidated funds 22.8 4.7
Third-party redemptions from consolidated funds (16.3) (7.8)
Distributions paid by consolidated funds (1.0) (7.4)
Payment of lease liabilities (2.3) (2.2)
Interest paid (0.3) (0.3)
Purchase of own shares (35.4) (13.8)
Net cash used in financing activities (156.1) (151.2)
Net decrease in cash and cash equivalents (73.9) (170.5)
Cash and cash equivalents at beginning of year 308.0 478.6
Effect of exchange rate changes on cash and cash equivalents (13.0) (0.1)
Cash and cash equivalents at end of year (note 21) 221.1 308.0
Cash and deposits at end of year comprise the following:
Cash at bank and in hand 55.7 53.5
Daily dealing liquidity funds 128.5 213.2
Short-term deposits 36.9 41.3
Cash and cash equivalents 221.1 308.0
Term deposits 127.6 203.8
Cash and deposits (note 21) 348.7 511.8
Company balance sheet
As at 30 June 2025
Notes 2025 2024
£m
£m
Assets
Non-current assets
Goodwill 15 4.1 4.1
Property, plant and equipment 16 1.2 2.6
Investment in subsidiaries 25 19.9 19.9
Deferred acquisition costs 0.1 0.2
Trade and other receivables 17 192.5 196.3
Deferred tax assets 18 10.3 11.4
228.1 234.5
Current assets
Trade and other receivables 17 157.0 165.7
Derivative financial instruments 21 0.8 0.1
Cash and deposits 21 134.4 222.1
292.2 387.9
Total assets 520.3 622.4
Equity and liabilities
Capital and reserves
Issued capital 22 0.1 0.1
Share premium 15.6 15.6
Retained earnings 488.7 580.9
Cash flow hedging reserve 0.6 -
Total equity attributable to equity holders of the Company 505.0 596.6
Liabilities
Non-current liabilities
Lease liability 16 - 1.0
Current liabilities
Lease liability 16 1.0 1.2
Trade and other payables 24 14.3 23.6
15.3 24.8
Total liabilities 15.3 25.8
Total equity and liabilities 520.3 622.4
The Company has taken the exemption under section 408 of the Companies Act
2006 not to present its profit and loss account and related notes. The
Company's profit for the year ended 30 June 2025 was £42.8 million (30 June
2024: £81.5 million).
The financial statements of Ashmore Group plc (registered number 03675683)
were approved by the Board on 4 September 2025 and signed on its behalf by:
Mark Coombs Tom Shippey
Chief Executive Officer Group Finance Director
Company statement of changes in equity
For the year ended 30 June 2025
Issued Share Retained earnings Cash flow hedging Total equity attributable to equity holders of the parent
capital
premium
£m
reserve
£m
£m
£m
£m
Balance at 30 June 2023 0.1 15.6 605.2 - 620.9
Profit for the year - - 81.5 - 81.5
Purchase of own shares - - (13.8) - (13.8)
Share-based payments - - 27.9 - 27.9
Dividends to equity holders - - (119.9) - (119.9)
Balance at 30 June 2024 0.1 15.6 580.9 - 596.6
Profit for the year - - 42.8 - 42.8
Cash flow hedge intrinsic value gains - - - 0.6 0.6
Purchase of own shares - - (35.4) - (35.4)
Share-based payments - - 20.5 - 20.5
Dividends to equity holders - - (120.1) - (120.1)
Balance at 30 June 2025 0.1 15.6 488.7 0.6 505.0
Company cash flow statement
For the year ended 30 June 2025
2025 2024
£m
£m
Operating activities
Profit for the year 42.8 81.5
Adjustments for:
Depreciation and amortisation 1.6 1.8
Share-based payments 14.5 20.2
Foreign exchange losses/(gains) 23.7 (2.6)
Finance income (9.2) (15.6)
Tax expense/(credit) (1.8) 7.2
Dividends received from subsidiaries (79.9) (99.6)
Cash used in operations before working capital changes (8.3) (7.1)
Changes in working capital:
Decrease/(increase) in trade and other receivables 9.4 (7.2)
Decrease/(increase) in derivative financial instruments (0.7) 0.1
Increase/(decrease) in trade and other payables 4.2 (5.9)
Cash generated from/(used in) operations 4.6 (20.1)
Taxes paid (9.0) (12.0)
Net cash used in operating activities (4.4) (32.1)
Investing activities
Interest received 11.7 12.4
Disposal from/(investment in) term deposits 74.5 (202.0)
Loans advanced to subsidiaries (25.8) (78.3)
Loans repaid by subsidiaries 3.8 25.0
Dividends received from subsidiaries 79.9 99.6
Purchase of property, plant and equipment (0.1) (0.2)
Net cash generated from/(used in) investing activities 144.0 (143.5)
Financing activities
Dividends paid (120.1) (119.9)
Payment of lease liability (1.2) (1.2)
Interest paid (0.1) (0.1)
Purchase of own shares (35.4) (13.8)
Net cash used in financing activities (156.8) (135.0)
Net decrease in cash and cash equivalents (17.2) (310.6)
Cash and cash equivalents at beginning of year 20.1 327.7
Effect of exchange rate changes on cash and cash equivalents 4.0 3.0
Cash and cash equivalents at end of year (note 21) 6.9 20.1
Cash and deposits at end of year comprise the following:
Cash at bank and in hand 3.4 9.0
Daily dealing liquidity funds 3.5 11.1
Cash and cash equivalents 6.9 20.1
Term deposits 127.5 202.0
Cash and deposits (note 21) 134.4 222.1
Notes to the financial statements
1) General information
Ashmore Group plc (the Company) is a public limited company listed on the
London Stock Exchange and incorporated and domiciled in the United Kingdom.
The consolidated financial statements for the year to 30 June 2025 comprise
the financial statements of the Company and its consolidated subsidiaries
(together the Group). The principal activity of the Group is described in the
Directors' report.
2) Basis of preparation
The Group and Company financial statements for the year ended 30 June 2025
have been prepared in accordance with UK-adopted international accounting
standards.
The financial statements have been prepared on a going concern basis.
The Company has taken advantage of the exemption in section 408 of the
Companies Act 2006 that allows it not to present its individual statement of
comprehensive income and related notes.
Going concern
The Board of Directors has considered the resilience of the Group, taking into
account its current financial position, and the principal and emerging risks
facing the business in the context of the current economic outlook. The Board
reviewed cash flow forecasts for a period of at least 12 months from the date
of approval of these financial statements which indicate that the Group will
have sufficient funds to meet its liabilities as they fall due for that
period. The Board applied stressed scenarios, including severe but plausible
downside assumptions on AuM, profitability of the Group and known commitments.
While there are wider market uncertainties that may impact the Group, the
stressed scenarios, which assumed a significant reduction in revenue for the
entire forecast period, show that the Group and Company would continue to meet
their liabilities as they fall due for a period of at least 12 months from
the date of approval of the annual financial statements. The financial
statements have therefore been prepared on a going concern basis.
Principal estimates and judgements
The preparation of the Group's consolidated financial statements in accordance
with UK-adopted International Financial Reporting Standards (IFRS) requires
management to make estimates and apply judgements that affect the reported
amounts of assets, liabilities, income, and expenses. These estimates and
judgements are periodically evaluated based on historical experience, current
conditions, and expectations of future events that are considered reasonable
under the circumstances. Actual outcomes may differ from these estimates.
In preparing the financial statements, the key source of estimation
uncertainty at the reporting date results from the Group's valuation of level
3 financial assets and liabilities using unobservable inputs (note 19).
The key accounting judgement is the assessment of whether certain funds with
seed capital investments are controlled by the Group and therefore need to be
consolidated into the financial statements based on IFRS 10 criteria (note
20).
The Group has considered climate-related risks in the preparation of the
financial statements, particularly in the valuation of financial assets. It
has been assessed that climate risks did not have a material impact on the
Group's accounting estimates or judgements for the year ended 30 June 2025.
3) New and amended Standards and Interpretations
There were no new or amended Standards issued by the IASB that became
effective during the year ended 30 June 2025 which had a material impact on
the Group's consolidated financial statements.
The IASB issued IFRS 18 Presentation and Disclosures in Financial Statements
in 2024, which is effective for annual reporting periods beginning on or after
1 January 2027. The Group expects IFRS 18 to impact the presentation and
disclosure of its financial statements but does not anticipate a material
effect on recognition or measurement.
No other Standards or Interpretations issued but not yet effective are
expected to have a material impact on the Group's financial statements.
4) Material accounting policy information
The following material accounting policies have been applied consistently
where applicable to all years presented in dealing
with items considered material in relation to the Group and Company financial
statements, unless otherwise stated.
Basis of consolidation
The consolidated financial statements of the Group comprise the financial
statements of the Company and its subsidiaries. This includes an Employee
Benefit Trust (EBT) established for the employee share-based awards and
consolidated investment funds.
References to profit or loss in the notes to the financial statements has the
same meaning as the statement of comprehensive income.
Interests in subsidiaries
Subsidiaries are entities, including investment funds, over which the Group
has control as defined by IFRS 10 Consolidated Financial Statements. The Group
has control if it is exposed to, or has rights to, variable returns from its
involvement with the entity and has the ability to affect those returns
through its power over the entity. The results of subsidiaries are included in
the consolidated financial statements from the date on which control
commences until the date when control ceases. The Group reassesses whether or
not it controls an entity if facts and circumstances indicate that there are
changes to one or more of the elements of control.
The profit or loss and each component of other comprehensive income are
attributed to the equity holders of the Company and to any non-controlling
interests. Based on their nature, the interests of third parties in
consolidated funds are classified as liabilities and appear as 'Third-party
interests in consolidated funds' on the Group's balance sheet.
A change in the ownership interest of a consolidated entity that does not
result in a loss of control by the Group is accounted for as an equity
transaction. If the Group loses control over a consolidated entity,
it derecognises the related assets, goodwill, liabilities, non-controlling
interest and other components of equity, and any gain or loss is recognised in
consolidated profit or loss. Any investment retained is recognised at its fair
value at the date of loss of control.
Interests in associates
Associates are partly owned entities over which the Group has significant
influence but not control.
Investments in associates are measured using the equity method of accounting.
Under this method, the investments are initially recognised at cost,
including attributable goodwill, and are adjusted thereafter for the
post-acquisition changes in the Group's share of net assets. The Group's
attributable results of associates are recognised in the consolidated profit
or loss.
Interests in consolidated structured entities
The Group acts as fund manager to investment funds that are considered to be
structured entities. Structured entities are entities that have been designed
so that voting or similar rights are not the dominant factor in deciding which
party has control: for example, when any voting rights relate to
administrative tasks only and the relevant activities of the entity are
directed by means of contractual arrangements. The Group's assets under
management are managed within structured entities. These structured entities
typically consist of unitised vehicles such as Société d'Investissement à
Capital Variable (SICAVs), limited partnerships, unit trusts and open-ended
and closed-ended vehicles which entitle third-party investors to a percentage
of the vehicle's net asset value.
The Group has interests in structured entities as a result of the management
of assets on behalf of its clients. Where the Group holds a direct interest in
a closed-ended fund, private equity fund or open-ended pooled fund such as a
SICAV, the interest is accounted for either as a consolidated structured
entity or as a financial asset, depending on whether the Group has control
over the fund or not. Control is determined in accordance with IFRS 10, based
on an assessment of the level of power and aggregate economic interest that
the Group has over the fund, relative to third-party investors. Power is
normally conveyed to the Group through the existence of an investment
management agreement and/or other contractual arrangements. Aggregate economic
interest is a measure of the Group's exposure to variable returns in the fund
through a combination of direct interest, expected share of performance fees,
expected management fees, fair value gains or losses, and distributions
receivable from the fund.
The Group concludes that it acts as a principal when the power
it has over the fund is deemed to be exercised for self-benefit, considering
the level of aggregate economic exposure in the fund and the assessed strength
of third-party investors' 'kick out' rights (to remove the Group as
investment manager). The Group concludes that it acts as an agent when the
power it has over the fund is deemed to be exercised for the benefit of
third-party investors.
If the Group concludes that it acts as a principal, it is deemed to have
control and, therefore, will consolidate a fund as if it were a subsidiary. If
the Group concludes that it does not have control over the fund, the Group
recognises and measures its interest in the fund as a financial asset.
Interests in unconsolidated structured entities
In accordance with IFRS 10, the Group assesses whether it controls an investee
by evaluating its exposure or rights to variable returns and its ability to
affect those returns through its power over the investee. Based on this
assessment, the Group has determined that certain investment funds qualify as
unconsolidated structured entities, as it does not have control over them. The
Group classifies the following as unconsolidated structured entities:
- Segregated mandates and pooled funds managed by the Group without a direct
investment interest: The Group acts as an investment manager but does not hold
any beneficial interest in these funds. The Group has concluded that it does
not control these entities because its exposure to variable returns is
insignificant. In the case of segregated mandates, third-party investors have
the unilateral ability to remove the Group as fund manager without cause.
Accordingly, the Group is deemed to be acting as an agent rather than a
principal, and these entities are not consolidated.
- Pooled funds managed by the Group with a direct investment interest, for
example, seed capital investments: Where the Group holds a direct interest in
a fund, it assesses whether its exposure to variable returns and
decision-making rights result in control. If the Group's aggregate economic
interest is below the threshold established for principal-agent assessment,
and it does not have substantive rights to direct relevant activities, it is
considered to be acting as an agent. In such cases, the Group does not
consolidate the fund and instead accounts for its investment as a financial
asset in accordance with IFRS 9.
Disclosure of AuM related to both consolidated and unconsolidated structured
entities is provided in note 27.
Foreign currency
The Group's financial statements are presented in Pounds Sterling (Sterling),
which is also the Company's functional and presentation currency. Items
included in the financial statements of each of the Group's entities are
measured using the functional currency, which is the currency that prevails in
the primary economic environment in which the entity operates.
Foreign currency transactions
Transactions in foreign currencies are translated into the respective
functional currencies of the Group entities at the spot exchange rates at the
date of the transactions.
Monetary assets and liabilities denominated in foreign currencies at the
balance sheet date are translated into the functional currency at the spot
exchange rate at that date. Non-monetary assets and liabilities that are
measured in terms of historical cost in a foreign currency are translated
using the exchange rate at the date of the transaction.
Foreign currency differences arising on translation are recognised in profit
or loss, except for qualifying cash flow hedges to the extent that the hedge
is effective, in which case foreign currency differences arising are
recognised in other comprehensive income.
Foreign operations
The assets and liabilities of foreign operations, including goodwill and fair
value adjustments arising on consolidation, are translated into Sterling at
the spot exchange rates at the balance sheet date. The revenues and expenses
of foreign operations are translated into Sterling at rates approximating to
the foreign exchange rates ruling at the dates of the transactions.
Foreign currency differences are recognised in other comprehensive income, and
accumulated in the foreign currency translation reserve, except to the extent
that the translation difference is allocated to non-controlling interests.
When a foreign operation is disposed of such that control is lost, the
cumulative amount in the foreign currency translation reserve related to that
foreign operation is reclassified to profit or loss as part of the gain or
loss on disposal. If the Group disposes of only part of its interest in a
subsidiary that includes a foreign operation while retaining control, the
relevant proportion of the cumulative amount is reattributed to
non-controlling interests.
Business combinations
Business combinations are accounted for using the acquisition method as at the
acquisition date. The acquisition date is the date on which the acquirer
effectively obtains control of the acquiree.
The consideration transferred for the acquisition is generally measured at the
acquisition date fair value, as are the identifiable net assets acquired,
liabilities incurred (including any asset or liability resulting from a
contingent consideration arrangement) and equity instruments issued by the
Group in exchange for control of the acquiree.
Acquisition-related costs are expensed as incurred, except if they are related
to the issue of debt or equity securities.
Goodwill
Goodwill is initially recognised as the excess of the purchase consideration
over the fair value of identifiable net assets acquired in a business
combination. It is carried at cost less accumulated impairment losses and is
not amortised, as it is considered to have an indefinite useful life. Goodwill
is tested for impairment at least annually, or more frequently if there are
indicators of impairment, by comparing its carrying value to its recoverable
amount. Impairment losses are recognised immediately in profit or loss and are
not reversed.
Non-controlling interests (NCI)
The Group recognises NCI in an acquired entity either at fair value or at the
NCI's proportionate share of the acquired entity's net identifiable assets.
This decision is made on an acquisition-by-acquisition basis. Changes to the
Group's interest in a subsidiary that do not result in a loss of control are
accounted for as equity transactions.
Property, plant and equipment
Property, plant and equipment are stated at cost less accumulated depreciation
and impairment losses. Cost is determined on the basis of the direct and
indirect costs that are directly attributable. Property, plant and equipment
are depreciated using the straight-line method over the estimated useful
lives, assessed to be five years for office equipment and four years for IT
equipment. The residual values and useful lives of assets are reviewed at
least annually.
The Group's property, plant and equipment include right-of use assets
recognised on lease arrangements in accordance with IFRS 16 Leases.
Leases
The Group's lease arrangements primarily relate to office premises. In
accordance with IFRS 16 Leases, the Group recognises a right-of-use asset and
a corresponding lease liability at the lease commencement date.
The lease liability is initially measured at the present value of lease
payments to be made over the lease term. These payments are discounted using
the interest rate implicit in the lease, or, if that rate cannot be readily
determined, the Group's incremental borrowing rate, which reflects the rate
the Group would have to pay to borrow funds to acquire an asset of similar
value in a similar economic environment.
The right-of-use asset is initially measured at cost, comprising the amount of
the initial lease liability, any lease payments made at or before the
commencement date, initial direct costs, and an estimate of costs to dismantle
or restore the leased asset, if applicable. Right-of-use assets are presented
within property, plant and equipment in the consolidated balance sheet.
Subsequently, the lease liability is measured using the effective interest
method, with interest expense recognised in profit or loss and the liability
reduced by lease payments made. The right-of-use asset is depreciated on a
straight-line basis over the shorter of the lease term or the useful life of
the underlying asset. The Group reassesses the lease term if a significant
event or change in circumstances occurs that is within its control and affects
its ability to exercise (or not exercise) an extension or termination option.
Short-term leases (those with a lease term of 12 months or less) are not
recognised on the balance sheet. Lease payments for such arrangements are
recognised as an expense on a straight-line basis over the lease term.
Financial instruments
Recognition and initial measurement
Financial instruments are recognised when the Group becomes party to the
contractual provisions of an instrument, initially at fair value plus or minus
transaction costs, except for financial assets classified at FVTPL.
Transaction costs for financial instruments at FVTPL are expensed. Purchases
or sales of financial assets are recognised on the trade date, being the date
that the Group commits to purchase or sell the asset.
Financial assets are derecognised when the rights to receive cash flows from
the investments have expired or been transferred or when the Group has
transferred substantially all risks and rewards of ownership. Financial
liabilities are derecognised when the obligation under the liability has been
discharged, cancelled or expires.
Subsequent measurement
The subsequent measurement of financial instruments depends on their
classification in accordance with IFRS 9 Financial Instruments.
Under IFRS 9, the Group classifies its financial assets into two measurement
categories: amortised cost and fair value through profit or loss. The
classification of financial assets under IFRS 9 is generally based on the
business model in which a financial asset is managed and its contractual cash
flow characteristics. A financial asset is measured at amortised cost if it
meets both of the following conditions and is not designated as at FVTPL:
- it is held within a business model whose objective is to hold assets to
collect contractual cash flows; and
- its contractual terms give rise on specified dates to cash flows that are
solely payments of principal and interest on the principal amount outstanding.
All financial assets not classified as measured at amortised cost are measured
at FVTPL. The Group classifies its financial liabilities at amortised cost
except for derivative liabilities that are classified at FVTPL.
Amortised cost is the amount at which the financial asset or financial
liability is measured at initial recognition minus the principal repayments,
plus or minus the cumulative amortisation using the effective interest method
of any difference between that initial amount and the maturity amount and, for
financial assets, adjusted for any loss allowance.
Financial assets
The Group classifies its financial assets into the following categories:
investment securities at FVTPL, financial assets at FVTPL and financial assets
measured at amortised cost.
Investment securities at FVTPL
Investment securities represent securities, other than derivatives, held by
consolidated funds. These securities are measured at fair value with gains and
losses recognised in profit or loss within finance income or expense.
Financial assets at FVTPL
Financial assets at FVTPL include certain readily realisable interests in
seeded funds, non-current financial assets measured at fair value and
derivatives. From the date the financial asset is recognised, all subsequent
changes in fair value, foreign exchange differences, interest and dividends
are recognised in the profit or loss within finance income or expense.
(i) Non-current financial assets measured at fair value
Non-current financial assets include the Group's interests in funds that are
expected to be realised within a period longer than 12 months from the balance
sheet date. They are held at fair value with changes in fair value being
recognised in profit or loss within finance income or expense.
(ii) Current financial assets measured at fair value
The Group classifies readily realisable interests in seeded funds as current
financial assets measured at FVTPL with fair value changes recognised in
profit or loss within finance income or expense. Fair value is measured based
on the proportionate net asset value in the fund.
(iii) Derivatives
Derivatives include foreign exchange forward contracts and options used by the
Group to manage its foreign currency exposures and those held in consolidated
funds. Derivatives are initially recognised at fair value on the date on which
a derivative contract is entered into and subsequently remeasured at fair
value. Transaction costs are recognised immediately in profit or loss. All
derivatives are carried as financial assets when the fair value is positive
and as financial liabilities when the fair value is negative.
Any gains or losses arising from changes in the fair value of derivatives are
recognised in profit or loss within foreign exchange gains or losses and net
gains or losses on investment securities, except for the effective portion of
cash flow hedges, which is recognised in other comprehensive income.
Financial assets measured at amortised cost
(i) Trade and other receivables
Trade and other receivables are initially recorded at fair value plus
transaction costs. The fair value on acquisition is normally the cost.
Subsequent to initial recognition these assets are measured at amortised cost
less impairment loss allowances. Impairment losses are recognised in profit or
loss within other expenses, for expected credit losses, and changes in those
expected credit losses over the life of the instrument. Loss allowances are
calculated based on lifetime expected credit losses at each reporting date.
(ii) Cash and cash equivalents
Cash represents cash at bank and in hand. Cash equivalents comprise short-term
deposits with contractual maturities of less than three months and units in
money market funds held for the purposes of meeting short-term cash
commitments. Cash equivalents are readily convertible to known amounts of cash
and are subject to insignificant risk of changes in value.
(iii) Term deposits
Term deposits are fixed term interest-yielding cash investments with
contractual maturities of greater than three months.
Financial liabilities
The Group classifies its financial liabilities into the following categories:
financial liabilities at FVTPL and financial liabilities at amortised cost.
Financial liabilities at FVTPL
Financial liabilities at FVTPL include derivative financial instruments and
third-party interests in consolidated funds. They are carried at fair value
with gains or losses recognised in profit or loss within finance income
or expense.
Financial liabilities at amortised cost
Other financial liabilities including trade and other payables are
subsequently measured at amortised cost using the effective interest rate
method. Interest expense is recognised in profit or loss within finance
income or expense using the effective interest method, which allocates
interest at a constant rate of return over the expected life of the financial
instrument based on the estimated future cash flows.
Fair value of financial instruments
Fair value is defined as the price that would be received to sell an asset or
paid to transfer a liability (i.e. the 'exit price') in an orderly transaction
between market participants at the measurement date. In determining fair
value, the Group applies valuation techniques that are consistent with the
principles of IFRS 13 Fair Value Measurement, and prioritises the use of
observable market inputs where available. Observable inputs are inputs that
market participants would use in pricing the asset or liability developed
based on market data obtained from sources independent of the Group.
Unobservable inputs are inputs that reflect the Group's judgements about the
assumptions other market participants would use in pricing the asset or
liability, developed based on the best information available in the
circumstances.
Listed securities traded on recognised exchanges or regulated markets are
valued at the last available closing bid price. Where securities are traded
across multiple active markets, the price from the principal market is used.
For instruments traded on secondary markets with regulated dealer activity,
valuation may be based on observable dealer quotes.
For instruments not listed or traded on regulated markets, the Group uses
valuation techniques such as the market approach, income approach, or cost
approach, in line with the International Private Equity and Venture Capital
Valuation Guidelines. These techniques may incorporate observable inputs
(e.g., comparable market transactions) or unobservable inputs (e.g.,
discounted cash flows adjusted for liquidity, credit, and market risks).
Investments in funds are valued using the latest available net asset value
(NAV) of the units or shares.
The fair value of derivative instruments is determined using market valuations
at the reporting date.
The Group has a separate PMVC to oversee the valuation process and review the
valuation methodologies, inputs and assumptions used to value individual
investments. Smaller investments may be valued directly by the PMVC but
material investments are valued by independent third-party valuation
specialists.
Valuation techniques used include the market approach, the income approach or
the cost approach. The use of the market approach generally consists of using
comparable market transactions or using techniques based on market observable
inputs, while the use of the income approach generally consists of the net
present value of estimated future cash flows, adjusted as deemed appropriate
for liquidity, credit, market and/or other risk factors.
The governance framework ensures that fair value measurements are subject to
rigorous internal scrutiny and reflect the best available information at the
reporting date.
Hedge accounting
The Group applies the general hedge accounting model in IFRS 9, aligning hedge
accounting relationships with its risk management objectives and strategy. The
Group adopts a qualitative and forward-looking approach to assessing hedge
effectiveness.
The Group uses forward and option contracts to hedge the variability in cash
flows arising from changes in foreign exchange rates relating to management
fee revenues. For hedge accounting purposes, the Group designates only the
change in fair value of the hedging instrument that relates to the spot
element of forward contracts or the intrinsic value of option contracts in its
cash flow hedging relationships.
The intrinsic value of an option contract, representing the in-the-money
portion, is considered the effective component of the hedge. The time value of
options and the forward points of forward contracts are excluded from the
hedging relationship and are accounted for in accordance with IFRS 9's
treatment of costs of hedging.
The effective portion of changes in fair value of the hedging instrument is
recognised in other comprehensive income and accumulated in the cash flow
hedge reserve within equity. This amount is reclassified to profit or loss in
the same period during which the hedged item affects the Group's financial
performance.
To qualify for hedge accounting, the following criteria must be met:
- formal documentation of the hedging relationship at inception;
- The hedged forecast cash flows must be highly probable and capable of
affecting profit or loss; and
- The hedge must be expected to be highly effective, and effectiveness must be
reliably measurable and assessed on an ongoing basis.
Any ineffective portion of the hedge is recognised immediately in profit or
loss within foreign exchange gain/(loss). If the hedging instrument is
terminated, sold, or ceases to be highly effective, hedge accounting is
discontinued prospectively.
Impairment of financial assets
In accordance with IFRS 9, the Group recognises expected credit losses (ECLs)
on financial assets measured at amortised cost. The ECL model requires the
recognition of credit losses based on forward-looking information,
incorporating both historical data and future expectations of credit risk.
Assets measured at amortised cost
The Group applies the simplified approach to measure ECLs for trade
receivables, which do not contain a significant financing component. Under
this approach, the Group recognises lifetime expected credit losses from
initial recognition and throughout the life of the receivable.
The Group assesses credit risk based on days past due, whether there is
deterioration in the credit quality of the counterparty, and knowledge of
specific events that could influence a counterparty's ability to pay.
The ECL allowance is deducted from the gross carrying amount of trade
receivables and is updated at each reporting date to reflect changes in credit
risk
For cash and deposits held with banks, the Group assesses credit risk using
the general ECL model, which considers, whether there has been a significant
increase in credit risk since initial recognition, external credit ratings as
the primary indicator of counterparty credit risk and forward-looking
information and macroeconomic factors. Credit risk is deemed to have increased
if the credit rating has deteriorated at the reporting date relative to the
credit rating at the date of initial recognition.
Impairment of non-financial assets
An impairment test is performed annually or whenever events or changes in
circumstances indicate that the carrying amount may not be recoverable. An
impairment loss is recognised for the amount by which the asset's carrying
amount exceeds its recoverable amount. The recoverable amount is the higher
of an asset's fair value less costs of disposal and value in use. For the
purposes of assessing impairment, assets are grouped
at the lowest levels for which there are separately identifiable cash inflows
which are largely independent of the cash inflows from other assets or groups
of assets (cash-generating units). Non-financial assets, other than goodwill,
that have suffered an impairment are reviewed for possible reversal of the
impairment at the end of each reporting period.
Goodwill impairment review
Goodwill is tested for impairment at least annually or whenever there is an
indication that the carrying amount may not be recoverable based on
management's judgements regarding the future prospects of the business,
estimates of future cash flows and discount rates. When assessing the
appropriateness of the carrying value of goodwill at year end, the recoverable
amount is considered to be the greater of fair value less costs to sell or
value in use. The pre-tax discount rate applied is based on the Group's
weighted average cost of capital after making allowances for any specific
risks.
Goodwill acquired in a business combination is allocated to the
cash-generating units that are expected to benefit from that business
combination. It is the Group's judgement that the lowest level of
cash-generating unit used to determine impairment is the investment management
segment level.
The business of the Group is managed as a single unit, with asset allocations,
research and other such operational practices reflecting the commonality of
approach across all fund themes. This reflects the Group's global operating
model, based on a single operating platform, into which acquired businesses
are fully integrated and from which acquisition-related synergies are expected
to be realised. Therefore, for the purpose of testing goodwill for impairment,
the Group is considered to have one cash-generating unit to which all goodwill
is allocated and, as a result, no further split of goodwill into smaller
cash-generating units is possible and the impairment review is conducted for
the Group as a whole.
An impairment loss in respect of goodwill cannot be reversed.
Net revenue
Net revenue is total revenue less distribution costs and include foreign
exchange gains or losses on non-Sterling denominated revenues, receivable and
payable balances. The Group's total revenue includes management fees,
performance fees and other revenue. The primary revenue source for the Group
is fee income received or receivable for the provision of investment
management services.
The Group recognises revenue in accordance with the principles of IFRS 15
Revenue from Contracts with Customers. Revenue is recognised to reflect the
transfer of promised goods or services to customers in an amount that reflects
the consideration to which the entity expects to be entitled in exchange for
those goods or services. The Group applies the IFRS 15 five-step model for
recognising revenue, which consists of identifying the contract with the
customer; identifying the relevant performance obligations; determining the
amount of consideration to be received under the contract; allocating the
consideration to each performance obligation; and recognising the revenue as
the performance obligations are satisfied. The Group's principal revenue
recognition policies are summarised below:
Management fees
Management fees are presented net of rebates, and are calculated as a
percentage of net fund assets managed in accordance with individual management
agreements. Management fees are calculated and recognised on a monthly basis
in accordance with the terms of the management fee agreements. Management fees
are typically collected on a monthly or quarterly basis.
Performance fees
Performance fees are earned from some arrangements when contractually agreed
performance levels are exceeded within specified performance measurement
periods, typically over one year. The fees are recognised when they are
crystallised, and there is deemed to be a low probability of a significant
reversal in future periods. This is usually at the end of the performance
period or upon early redemption by a fund investor. Once crystallised,
performance fees typically cannot be clawed-back. Performance fees are
presented net of rebates, and are calculated as a percentage of the
appreciation in the net asset value of a fund above a defined hurdle.
Rebates
Rebates relate to repayments of management and performance fees charged
subject to a rebate agreement, typically with institutional investors, and are
calculated based on an agreed percentage of net fund assets managed and
recognised
as the service is received. Where rebate agreements exist, management and
performance fees are presented on a net basis in profit or loss.
Other revenue
Other revenue principally comprises fees for other services,
which are typically driven by the volume of transactions, along with revenues
that vary in accordance with the volume of fund project development
activities.
Other revenue includes transaction, structuring and administration fees,
project management fees, and reimbursement by funds of costs incurred by the
Group. This revenue is recognised as the relevant service is provided, and it
is probable that the fee will be collected.
Distribution costs
Distribution costs are costs of sales payable to external intermediaries for
marketing and investor servicing. Distribution costs vary based on fund assets
managed and the associated management fee revenue, and are expensed over the
period in which the service is provided.
Employee benefits
Obligations for contributions to defined contribution pension plans are
recognised as an expense in profit or loss within personnel expenses when
payable in accordance with the scheme particulars.
Share-based payments
The Group issues share awards to its employees under share-based compensation
plans which are accounted for under IFRS 2 Share-based Payment.
For equity-settled awards, the fair value of the amounts payable to employees
is recognised as an expense with a corresponding increase in equity over the
vesting period after adjusting for the estimated number of shares that are
expected to vest. The fair value is measured at the grant date using an
appropriate valuation model, taking into account the terms and conditions upon
which the instruments were granted. At each balance sheet date prior to
vesting, the cumulative expense representing the extent to which the vesting
period has expired and management's best estimate of the awards that are
ultimately expected to vest is calculated. The movement in cumulative expense
is recognised in profit or loss within personnel expenses with a corresponding
entry within equity.
For cash-settled awards, the fair value of the amounts payable to employees is
recognised as an expense with a corresponding liability on the Group's balance
sheet. The fair value is measured using an appropriate valuation model, taking
into account the estimated number of awards that are expected to vest and the
terms and conditions upon which the instruments were granted. During the
vesting period, the liability recognised represents the portion of the vesting
period that has expired at the balance sheet date multiplied by the fair value
of the awards at that date. Movements in the liability are recognised in
profit or loss within personnel expenses.
The Group has in place an intragroup recharge arrangement for equity-settled
share-based awards whereby the Company is reimbursed based on the grant-date
cost of share awards granted to employees of subsidiary entities. During the
vest period, the subsidiaries recognise a share-based payment expense with an
intercompany payable to the Company. The Company recognises an intercompany
receivable and a corresponding credit within equity as a share-based payment
reserve. The intercompany balances are settled regularly and reported as
current assets/liabilities.
Finance income and expense
Finance income includes interest receivable on the Group's cash and cash
equivalents and term deposits, and both realised and unrealised gains on
financial assets at FVTPL.
Finance expense includes both realised and unrealised losses on financial
assets at FVTPL.
Taxation
Tax expense for the year comprises current and deferred tax. Tax is recognised
in profit or loss within tax expense except to the extent that it relates to
items recognised directly in equity, in which case it is recognised in equity.
Current tax
Current tax comprises the expected tax payable or receivable on the taxable
income or loss for the year, and any adjustment to the tax payable or
receivable in respect of previous years. It is measured using tax rates
enacted or substantively enacted at the balance sheet date in the countries
where the Group operates. Current tax also includes withholding tax arising
from dividends.
Deferred tax
Deferred tax is recognised using the balance sheet liability method, in
respect of temporary differences between the carrying amounts of assets and
liabilities for financial reporting purposes and the amounts used for taxation
purposes. The following differences are not provided for:
- goodwill not deductible for tax purposes; and
- differences relating to investments in subsidiaries to the extent that they
will probably not reverse in the foreseeable future.
The amount of deferred tax provided is based on the expected manner of
realisation or settlement of the carrying amount of assets and liabilities,
using tax rates enacted or substantively enacted at the reporting date.
Deferred tax assets are recognised only to the extent that it is probable that
future taxable profits will be available against which the assets can be
utilised. Deferred tax assets are reviewed at each reporting date and are
reduced to the extent that it is no longer probable that the related tax
benefit will be realised.
Deferred tax is measured at the tax rates that are expected to be applied to
temporary differences when they reverse, using tax rates enacted or
substantively enacted at the balance sheet date.
Dividends
Dividends are recognised when shareholders' rights to receive payments have
been established.
Equity shares
The Company's ordinary shares of 0.01 pence each are classified as equity
instruments. Ordinary shares issued by the Company are recorded at the fair
value of the consideration received or the market price at the day of issue.
Direct issue costs, net of tax, are deducted from equity through share
premium. When share capital is repurchased, the amount of consideration paid,
including directly attributable costs, is recognised as a change in equity.
Own shares
Own shares are held by the Employee Benefit Trust (EBT). The holding of the
EBT comprises own shares that have not vested unconditionally to employees of
the Group. In both the Group and Company, own shares are recorded at cost and
are deducted from retained earnings.
Segmental information
Key management information, including revenues, margins, investment
performance, distribution costs and AuM flows, which is relevant to the
operation of the Group, is reported to and reviewed by the Board on the basis
of the investment management business as a whole. Hence, the Group's
management considers that the Group's services and its operations are not run
on a discrete geographic basis and comprise one business segment (being
provision of investment management services).
Company-only accounting policies
In addition to the above accounting policies, the following specifically
relates to the Company:
Investment in subsidiaries
Investments by the Company in subsidiaries are stated at cost less, where
appropriate, provisions for impairment. Investments in subsidiaries are
reviewed at least annually for impairment or when there is an indication of
impairment.
5) Geographical information
The Group's operations are reported to and reviewed by the Board on the basis
of the investment management business as a whole, hence the Group is treated
as a single segment. The key management information considered is adjusted
EBITDA, an alternative performance measure, which is £52.5 million for the
year as reconciled in the Alternative performance measures (FY2024: adjusted
EBITDA of £77.9 million).
The disclosures below are supplementary and provide the location of the
Group's non-current assets at year end, which comprise goodwill, property,
plant and equipment, deferred acquisition costs and investment in associate.
Analysis of non-current assets by geography
2025 2024
£m
£m
United Kingdom and Ireland 20.5 23.1
Americas 65.9 71.5
Asia and Middle East 2.1 2.6
Total non-current assets 88.5 97.2
6) Revenue
Management fees are accrued throughout the year in line with prevailing levels
of AuM and performance fees are recognised when they are crystallised, and
there is deemed to be a low probability of a significant reversal in future
periods.
The Group is not considered to be reliant on any single source of revenue.
During the year, none of the Group's funds (FY2024: none) provided more than
10% of total revenue in the year respectively when considering management fees
and performance fees on a combined basis.
Disclosures relating to revenue by location are provided below.
Analysis of revenue by geography
2025 2024
£m
£m
United Kingdom and Ireland 86.2 119.4
Americas 21.6 25.1
Asia and Middle East 36.6 44.5
Total revenue 144.4 189.0
7) Foreign exchange
The foreign exchange rates which had a material impact on the Group's results
are the US dollar, the Euro, the Indonesian rupiah, the Saudi riyal and the
Colombian peso.
£1 Closing rate Closing rate Average rate Average rate
as at 30 June
as at 30 June
year ended
year ended
2025
2024
30 June
30 June
2025
2024
US dollar 1.3704 1.2641 1.2970 1.2609
Euro 1.1674 1.1795 1.1911 1.1653
Indonesian rupiah 22,248 20,700 20,890 19,763
Saudi riyal 5.1395 4.7424 4.8668 4.7292
Colombian peso 5,598 5,239 5,461 5,030
Foreign exchange gains are shown below.
2025 2024
£m
£m
Net realised and unrealised hedging gains 4.1 1.0
Translation gains/(losses) on non-Sterling denominated monetary assets and (2.4) 1.5
liabilities
Total foreign exchange gains 1.7 2.5
8) Finance income
2025 2024
£m
£m
Interest and investment income 40.9 39.1
Realised gains on disposal of investments 0.3 5.2
Net realised gains on seed capital investments measured at fair value 7.5 11.3
Net unrealised gains on seed capital investments measured at fair value 2.7 15.1
Interest expense on lease liabilities (note 16) (0.3) (0.3)
Finance income 51.1 70.4
Included within interest and investment income is interest earned on cash
deposits of £20.4 million (FY2024: £25.2 million) and investment income of
£20.5 million (FY2024: £13.9 million) on consolidated funds (note 20c).
Included within net realised and unrealised gains on seed capital investments
totalling £10.2 million (FY2024: £26.4 million gains) are £2.2 million
gains (FY2024: £4.7 million gains) on financial assets measured at FVTPL
(note 20a), £7.1 million gains (FY2024: £19.1 million gains) on non-current
financial assets measured at fair value (note 20b) and £0.9 million realised
gains on disposal of consolidated funds (FY2024: £2.6 million realised
gains).
9) Personnel expenses
Personnel expenses during the year comprised the following:
2025 2024
£m
£m
Wages and salaries 23.8 25.0
Performance-related cash bonuses 17.5 23.4
Share-based payments (note 10) 22.0 29.5
Social security costs 2.5 2.5
Pension costs 2.3 2.2
Other costs 2.9 2.5
Total personnel expenses 71.0 85.1
Number of employees
At 30 June 2025, the number of investment management employees of the Group
(including Executive Directors) during the year was as follows:
Average for Average for At At
the year
the year
30 June 2025
30 June 2024
ended
ended
Number
Number
30 June 2025
30 June 2024
Number
Number
Total investment management employees 275 305 272 283
Directors' remuneration
Disclosures of Directors' remuneration during the year as required by the
Companies Act 2006 are included in the Remuneration report. There are
retirement benefits accruing to two Executive Directors under a defined
contribution scheme (FY2024: two).
10) Share-based payments
The cost related to share-based payments recognised by the Group in
consolidated profit or loss is shown below:
Group 2025 2024
£m
£m
Omnibus Plan 21.9 29.4
Phantom Bonus Plan 0.1 0.1
Total share-based payments expense 22.0 29.5
The total expense recognised for the year in respect of equity-settled
share-based payment awards, excluding national insurance, was £20.5 million
(FY2024: £27.9 million), of which £2.2 million (FY2024: £2.0 million)
relates to share awards granted to key management personnel.
The Executive Omnibus Incentive Plan (Omnibus Plan)
The Omnibus Plan was introduced prior to the Company listing in October 2006
and provides for the grant of share awards, market value options, premium
cost options, discounted options, linked options, phantoms and/or nil-cost
options to employees. The Omnibus Plan will also allow bonuses to be deferred
in the form of share awards with or without matching shares. Awards granted
under the Omnibus Plan typically vest after five years from date of grant,
with the exception of bonus awards which vest after the shorter of five years
from date of grant or on the date of termination of employment.
Awards granted under the Omnibus Plan are generally accounted for as
equity-settled share-based payments, with the exception of phantom awards
which are classified as cash-settled share-based payments.
The combined cash and equity-settled payments below represent the share-based
payments relating to the Omnibus Plan.
Total expense by year awards were granted (excluding national insurance)
Group and Company 2025 2024
Year of grant
£m
£m
2019 - 3.3
2020 3.9 3.8
2021 3.1 3.2
2022 2.9 3.0
2023 4.9 6.3
2024 3.3 8.4
2025 2.4 -
Total Omnibus share-based payments expense reported in profit or loss 20.5 28.0
Awards outstanding under the Omnibus Plan were as follows:
i) Equity-settled awards
Group and Company 2025 2025 2024 2024
Number of
Weighted average
Number of shares subject
Weighted average
shares subject
share price
to awards
share price
to awards
Restricted share awards
At the beginning of the year 29,802,680 £2.61 19,032,817 £3.32
Granted 8,613,488 £1.75 15,307,268 £1.91
Vested (3,398,755) £4.19 (3,762,882) £3.32
Forfeited (742,690) £2.52 (774,523) £2.81
Awards outstanding at year end 34,274,723 £2.24 29,802,680 £2.61
Bonus share awards
At the beginning of the year 8,431,485 £3.24 10,146,521 £3.31
Granted 3,406,067 £1.75 385,864 £1.91
Vested (2,999,371) £3.62 (2,095,393) £3.30
Forfeited - - (5,507) £3.00
Awards outstanding at year end 8,838,181 £2.55 8,431,485 £3.24
Matching share awards
At the beginning of the year 8,780,733 £3.20 10,210,529 £3.31
Granted 3,422,039 £1.75 681,691 £1.91
Vested (1,643,447) £4.37 (1,929,553) £3.31
Forfeited (430,500) £2.64 (181,934) £3.13
Awards outstanding at year end 10,128,825 £2.55 8,780,733 £3.20
Total 53,241,729 £2.35 47,014,898 £2.84
ii) Cash-settled awards
Group and Company 2025 2025 2024 2024
Number of
Weighted average
Number of
Weighted average
shares subject
share price
shares subject
share price
to awards
to awards
Restricted share awards
At the beginning of the year 236,603 £2.36 113,062 £3.13
Granted 31,462 £1.75 146,461 £1.91
Vested (27,993) £4.27 (22,920) £3.33
Forfeited (2,720) £2.10 - -
Awards outstanding at year end 237,352 £2.05 236,603 £2.36
Bonus share awards
At the beginning of the year 65,148 £3.07 81,740 £3.12
Granted 16,856 £1.75 - -
Vested (18,890) £4.38 (16,592) £3.33
Forfeited - - - -
Awards outstanding at year end 63,114 £2.33 65,148 £3.07
Matching share awards
At the beginning of the year 65,148 £3.07 81,740 £3.12
Granted 16,856 £1.75 - -
Vested (18,890) £4.38 (16,592) £3.33
Forfeited - - - -
Awards outstanding at year end 63,114 £2.33 65,148 £3.07
Total 363,580 £2.15 366,899 £2.61
iii) Total awards
Group and Company 2025 2025 2024 2024
Number of
Weighted average
Number of
Weighted average
shares subject
share price
shares subject
share price
to awards
to awards
Restricted share awards
At the beginning of the year 30,039,283 £2.61 19,145,879 £3.32
Granted 8,644,950 £1.75 15,453,729 £1.91
Vested (3,426,748) £4.19 (3,785,802) £3.32
Forfeited (745,410) £2.52 (774,523) £2.81
Awards outstanding at year end 34,512,075 £2.24 30,039,283 £2.61
Bonus share awards
At the beginning of the year 8,496,633 £3.24 10,228,261 £3.31
Granted 3,422,923 £1.75 385,864 £1.91
Vested (3,018,261) £3.62 (2,111,985) £3.30
Forfeited - - (5,507) £3.00
Awards outstanding at year end 8,901,295 £2.54 8,496,633 £3.24
Matching share awards
At the beginning of the year 8,845,881 £3.20 10,292,269 £3.31
Granted 3,438,895 £1.75 681,691 £1.91
Vested (1,662,337) £4.37 (1,946,145) £3.31
Forfeited (430,500) £2.64 (181,934) £3.13
Awards outstanding at year end 10,191,939 £2.55 8,845,881 £3.20
Total 53,605,309 £2.35 47,381,797 £2.83
The weighted average fair value of awards granted to employees under the
Omnibus Plan during the year was £1.75 (FY2024: £1.91), calculated based on
the average Ashmore Group plc closing share price for the five business days
prior to grant. For Executive Directors, the fair value of awards also takes
into account the performance conditions set out in the Remuneration report.
Where the grant of restricted and matching share awards is linked to the
annual bonus process, the fair value of the awards is spread over a period
including the current financial year and the subsequent five years to their
vesting date when the grantee becomes unconditionally entitled to the
underlying shares. The fair value of the remaining awards is spread over the
period from the date of grant to the vesting date.
The liability arising from cash-settled awards under the Omnibus Plan at the
end of the year and reported within trade and other payables on the Group
consolidated balance sheet is £0.3 million (30 June 2024: £0.3 million) of
which £nil (30 June 2024: £nil) relates to vested awards.
11) Other expenses
Other expenses consist of the following:
2025 2024
£m
£m
Travel 2.2 2.0
Professional fees 3.9 7.0
Information technology and communications 8.4 8.1
Amortisation of intangible assets 0.1 0.2
Lease expenses 0.3 0.5
Depreciation of property, plant and equipment (note 16) 3.0 2.9
Premises-related costs 1.5 1.6
Insurance 0.7 0.8
Research costs 0.3 0.3
Auditor's remuneration (see below) 1.1 1.0
Operating expenses in consolidated funds (note 20(c)) 2.1 1.2
Other operating expenses 4.1 4.2
27.7 29.8
Lease expenses relates to short-term leases where the Group has applied the
optional exemption contained within IFRS 16, which permits the cost of
short-term leases (less than 12 months) to be expensed on a straight-line
basis over the lease term.
Auditor's remuneration
2025 2024
£m
£m
Fees for statutory audit services:
- Fees payable to the Company's auditor for the audit of the Group's 0.3 0.3
accounts
- Fees payable to the Company's auditor and its associates for the audit of 0.6 0.5
the Company's subsidiaries pursuant to legislation
Fees for non-audit services:
- Other assurance non-audit services(1) 0.2 0.2
1.1 1.0
1. Other assurance non-audit services include fees paid to EY for the Group's
half year review, internal controls reporting under ISAE 3402 and regulatory
assurance reporting relevant to a number of the Group's subsidiaries.
12) Taxation
Analysis of tax charge for the year:
2025 2024
£m
£m
Current tax
UK corporation tax on profits for the year 12.2 12.9
Overseas corporation tax charge 7.9 11.6
Adjustments in respect of prior years 0.1 0.8
20.2 25.3
Deferred tax
Origination and reversal of temporary differences (note 18) 3.3 4.6
Tax expense 23.5 29.9
Factors affecting tax charge for the year
2025 2024
£m
£m
Profit before tax 108.6 128.1
Profit on ordinary activities multiplied by the UK tax rate of 25% (FY2024: 27.2 32.0
25%)
Effects of:
Permanent differences including non-taxable income and non-deductible expenses 1.8 4.7
Different rate of taxes on overseas profits (3.5) (4.9)
Non-taxable investment returns1 (2.1) (2.7)
Adjustments in respect of prior years 0.1 0.8
Tax expense 23.5 29.9
1. Non-taxable investment returns comprise seed capital investment gains/losses
in certain jurisdictions in which the Group operates for which there are local
tax exemptions.
The tax charge/(credit) recognised in reserves within other comprehensive
income is as follows:
2025 2024
£m
£m
Current tax expense/(credit) on foreign exchange gains/(losses) (0.5) 0.2
Tax expense/(credit) recognised in reserves (0.5) 0.2
13) Earnings per share
Basic earnings per share at 30 June 2025 of 12.17 pence (30 June 2024: 13.94
pence) is calculated by dividing the profit after tax for the financial year
attributable to equity holders of the parent of £81.2 million (FY2024:
£93.7 million) by the weighted average number of ordinary shares in issue
during the year, excluding own shares.
Diluted earnings per share is calculated based on basic earnings per share
adjusted for the effect of dilutive potential ordinary shares arising from
share awards. There is no difference between the profit for the year
attributable to equity holders of the parent used in the basic and diluted
earnings per share calculations.
The weighted average number of shares used in calculating basic and diluted
earnings per share are shown below.
2025 2024
Number of ordinary
Number of ordinary
shares
shares
Weighted average number of ordinary shares used in the calculation of basic 667,060,639 672,458,761
earnings per share
Effect of dilutive potential ordinary shares 22,439,347 19,272,227
Weighted average number of ordinary shares used in the calculation of diluted 689,499,986 691,730,988
earnings per share
14) Dividends
Dividends paid in the year
Company 2025 2024
£m
£m
Final dividend for FY2024: 12.10p (FY2023: 12.10p) 86.2 85.9
Interim dividend FY2025: 4.80p (FY2024: 4.80p) 33.9 34.0
120.1 119.9
In addition, the Group paid £3.5 million (FY2024: £4.5 million) of dividends
to non-controlling interests.
Dividends declared/proposed in respect of the year
Company 2025 2024
pence
pence
Interim dividend per share paid 4.80 4.80
Final dividend per share proposed 12.10 12.10
16.90 16.90
On 4 September 2025, the Board proposed a final dividend of 12.10 pence per
share for the year ended 30 June 2025 (30 June 2024: 12.10 pence final
dividend proposed). This has not been recognised as a liability of the Group
at the year end as it has not yet been approved by shareholders. Based on the
number of shares in issue at the year end that qualify to receive a
dividend, the total amount payable would be £86.0 million.
15) Goodwill
Group 2025 2024
£m
£m
Cost (at original exchange rate)
At the beginning of the year 70.2 70.4
Disposal - (0.2)
At the end of the year 70.2 70.2
Net book value
At the beginning of the year 87.0 86.7
Disposal - (0.2)
Foreign exchange revaluation through reserves1 (6.5) 0.5
At the end of the year 80.5 87.0
1. Foreign exchange revaluation through reserves is a result of the retranslation
of US dollar-denominated goodwill.
Company 2025 2024
£m
£m
Cost and net book value
At the beginning of the year 4.1 4.1
At the end of the year 4.1 4.1
Goodwill impairment review
The Group's goodwill balance relates to the acquisition of subsidiaries. The
Company's goodwill balance relates to the acquisition of the business from
ANZ in 1999.
The Group's goodwill is allocated to a single cash-generating unit. Goodwill
is tested for impairment at least annually or whenever there is an indication
that the carrying amount may not be recoverable. The key assumption used to
determine the recoverable amount is based on fair value less costs of disposal
calculation using the Company's market share price.
An annual impairment review of goodwill was undertaken for the year ending 30
June 2025, and no factors indicating potential impairment of goodwill were
noted.
Based on the calculation as at 30 June 2025 using a share price of £1.57, the
recoverable amount was in excess of the carrying value of goodwill and no
impairment was implied. In addition, the sensitivity of the recoverable amount
to a 15% change in the Company's market share price will not lead to any
impairment. Therefore, no impairment loss has been recognised in the current
or preceding years.
16) Property, plant and equipment
The Group's property, plant and equipment include right-of-use assets
recognised on lease arrangements as follows:
Group Company
£m
£m
Property, plant and equipment owned by the Group 1.0 0.3
Right-of-use assets 4.1 0.9
Net book value at 30 June 2025 5.1 1.2
The movement in property, plant and equipment is provided below:
Group 2025 2024
Property, plant and equipment
Property, plant and equipment
£m
£m
Cost
At the beginning of the year 23.6 23.0
Additions 0.9 3.9
Retirement of right-of-use assets - (3.2)
Foreign exchange revaluation (0.6) (0.1)
At the end of the year 23.9 23.6
Accumulated depreciation
At the beginning of the year 16.3 16.5
Depreciation charge for the year 3.0 2.9
Retirement of right-of-use assets - (3.0)
Foreign exchange revaluation (0.5) (0.1)
At the end of the year 18.8 16.3
Net book value at 30 June 5.1 7.3
Company 2025 2024
Property, plant and equipment
Property, plant and equipment
£m
£m
Cost
At the beginning of the year 14.4 14.2
Additions 0.1 0.2
At the end of the year 14.5 14.4
Accumulated depreciation
At the beginning of the year 11.8 10.1
Depreciation charge for year 1.5 1.7
At the end of the year 13.3 11.8
Net book value at 30 June 1.2 2.6
Lease arrangements
The Group leases office space in various countries and enters into lease
agreements on office premises with remaining lease periods of one to six
years. Lease terms are negotiated on an individual basis and contain varying
terms and conditions depending on location. The lease agreements do not impose
any covenants other than the security interests in the leased assets that are
held by the lessor.
In accordance with IFRS 16, the Group recognises a lease liability and a
corresponding right-of-use asset at the commencement date of each lease. Lease
liabilities are measured as the present value of future lease payments,
discounted using the Group's incremental borrowing rate, which reflects the
rate the Group would pay to borrow funds over a similar term and with similar
security. For the year ended 30 June 2025, the weighted average incremental
borrowing rate applied was 5.0% (FY2024: 4.8%).
The carrying value of right-of-use assets, lease liabilities and the movement
during the year are set out below.
Group Company
Right-of-use assets Lease Right-of-use assets Lease
£m
liabilities
£m
liabilities
£m
£m
At 30 June 2023 5.3 5.8 3.2 3.4
Additions 3.1 3.1 - -
Remeasurement (0.2) (0.2) - -
Lease payments - (2.5) - (1.3)
Interest expense (note 8) - 0.3 - 0.1
Depreciation charge (2.1) - (1.2) -
Foreign exchange revaluation through reserves (0.1) (0.1) - -
At 30 June 2024 6.0 6.4 2.0 2.2
Additions 0.6 0.6 - -
Remeasurement 0.1 0.1 - -
Lease payments - (2.6) - (1.3)
Interest expense (note 8) - 0.3 - 0.1
Depreciation charge (2.4) - (1.1) -
Foreign exchange revaluation through reserves (0.2) (0.2) - -
At 30 June 2025 4.1 4.6 0.9 1.0
The contractual maturities on the minimum lease payments under lease
liabilities are provided below:
Group Company
Maturity analysis - contractual undiscounted cash flows 30 June 30 June 30 June 30 June
2025
2024
2025
2024
£m
£m
£m
£m
Within 1 year 2.3 2.4 1.0 1.3
Between 1 and 5 years 2.0 3.9 - 1.0
Later than 5 years 0.7 0.9 - -
Total undiscounted lease liabilities 5.0 7.2 1.0 2.3
Lease liabilities are presented in the balance sheet as follows:
Current 2.0 1.9 1.0 1.2
Non-current 2.6 4.5 - 1.0
Total lease liabilities 4.6 6.4 1.0 2.2
Amounts recognised under financing activities in the cash flow statement:
Payment of lease liabilities 2.3 2.2 1.2 1.2
Interest paid 0.3 0.3 0.1 0.1
Total cash outflow for leases 2.6 2.5 1.3 1.3
17) Trade and other receivables
Group Company
2025 2024 2025 2024
£m
£m
£m
£m
Trade debtors 40.8 48.7 1.6 2.4
Prepayments 3.1 3.3 1.7 1.7
Amounts due from subsidiaries - - 26.8 31.3
Loans due from subsidiaries - - 315.7 319.7
Other receivables 5.1 8.3 3.7 6.9
Total trade and other receivables 49.0 60.3 349.5 362.0
Group trade debtors include accrued management and performance fees in respect
of investment management services provided up to 30 June 2025. Management
fees are received in cash when the funds' net asset values are determined,
typically every month or every quarter. The majority of fees are deducted from
the net asset values of the respective funds by independent administrators and
therefore the credit risk of fee receivables is minimal. As at 30 June 2025,
the assessed provision for expected credit losses was immaterial and the Group
has not recognised any credit losses in the current year (FY2024: none).
Amounts due from subsidiaries for the Company represent intercompany trading
balances that are repayable within one year.
Loans due from subsidiaries for the Company include an intercompany loan
related to the provision of funding for seed capital investments and cash
invested by subsidiaries in daily-traded investment funds. Loans due from
subsidiaries included within
non-current assets amounted to £192.5 million as at 30 June 2025 (30 June
2024: £196.3 million included within non-current assets). The intercompany
loans are repayable on demand, accrue interest at market rates and the amounts
classified as current are regularly settled during the year. In line with the
Company's historical experience, and after consideration of current credit
exposures, the Company does not expect to incur any credit losses and has not
recognised any credit losses in the current year (FY2024: none).
18) Deferred taxation
Deferred tax assets and liabilities recognised by the Group and Company at
year end are attributable to the following:
2025 2024
Group Other temporary differences Share-based payments Total Other Share-based payments Total
£m
£m
£m
temporary differences
£m
£m
£m
Deferred tax assets 5.0 11.2 16.2 6.3 12.6 18.9
Deferred tax liabilities (9.5) - (9.5) (8.9) - (8.9)
(4.5) 11.2 6.7 (2.6) 12.6 10.0
2025 2024
Company Other temporary differences Share-based payments Total Other Share-based payments Total
£m
£m
£m
temporary differences
£m
£m
£m
Deferred tax assets - 10.3 10.3 - 11.4 11.4
Deferred taxes at the balance sheet date reflected in these financial
statements have been measured using the relevant enacted or substantively
enacted tax rate for the year in which they are expected to be realised or
settled. Deferred tax assets on share-based payments represent tax deductible
amounts on shares expected to vest in future periods, and are measured based
on the market value of shares as at 30 June 2025.
Movement of deferred tax balances
The movement in the deferred tax balances between the balance sheet dates has
been reflected in the consolidated statement of comprehensive income as
follows:
Group Other Share-based payments Total
temporary differences
£m
£m
£m
At 30 June 2023 1.7 12.9 14.6
Charged to the consolidated statement of comprehensive income (3.8) (0.3) (4.1)
Foreign exchange revaluation (0.5) - (0.5)
At 30 June 2024 (2.6) 12.6 10.0
Charged to the consolidated statement of comprehensive income (1.5) (1.4) (2.9)
Foreign exchange revaluation (0.4) - (0.4)
At 30 June 2025 (4.5) 11.2 6.7
Company Other Share-based payments Total
temporary differences
£m
£m
£m
At 30 June 2023 - 11.6 11.6
Charged to the consolidated statement of comprehensive income - (0.2) (0.2)
At 30 June 2024 - 11.4 11.4
Charged to the consolidated statement of comprehensive income - (1.1) (1.1)
At 30 June 2025 - 10.3 10.3
19) Fair value of financial instruments
The Group has an established control framework with respect to the measurement
of fair values. This framework includes committees that have overall
responsibility for all significant fair value measurements. Each committee
regularly reviews significant inputs and valuation adjustments. If third-party
information is used to measure fair value, the committee assesses and
documents the evidence obtained from the third parties to support such
valuations. There are no material differences between the carrying amounts of
financial assets and liabilities and their fair values at the balance sheet
date.
Fair value hierarchy
The Group measures fair values using the following fair value levels that
reflect the significance of inputs used in making the measurements, based on
the degree to which the fair value is observable:
- Level 1: Valuation is based upon a quoted market price in an active market for
an identical instrument. This fair value measure relates to the valuation of
quoted and exchange traded equity and debt securities.
- Level 2: Valuation techniques are based upon observable inputs, either
directly (i.e. as prices) or indirectly (i.e. derived from prices). This fair
value measure relates to the valuation of quoted equity securities in inactive
markets or interests in unlisted funds whose net asset values are referenced
to the fair values of the listed or exchange traded securities held by those
funds. Valuation techniques may include using a broker quote in an inactive
market or an evaluated price based on a compilation of primarily observable
market information utilising information readily available via external
sources.
- Level 3: Fair value measurements are derived from valuation techniques that
include inputs not based on observable market data.
For financial instruments that are recognised at fair value on a recurring
basis, the Group determines whether transfers have occurred between levels in
the hierarchy by reassessing categorisation (based on the lowest level input
that is significant to the fair value measurement as a whole) at the end of
the financial year.
The fair value hierarchy of financial instruments which are carried at fair
value at year end is summarised below:
2025 2024
Level 1 Level 2 Level 3 Total Level 1 Level 2 Level 3 Total
£m
£m
£m
£m
£m
£m
£m
£m
Financial assets
Investment securities 132.5 156.5 32.5 321.5 98.1 75.1 27.7 200.9
Financial assets at FVTPL - non-current - 33.9 32.4 66.3 - 28.3 29.3 57.6
Financial assets at FVTPL - current - 17.0 - 17.0 - 32.8 - 32.8
Derivative financial instruments - 0.9 - 0.9 - 0.2 - 0.2
Total financial assets 132.5 208.3 64.9 405.7 98.1 136.4 57.0 291.5
Financial liabilities
Third-party interests in consolidated funds 32.0 27.4 13.9 73.3 24.9 4.0 10.5 39.4
Total financial liabilities 32.0 27.4 13.9 73.3 24.9 4.0 10.5 39.4
Financial instruments not measured at fair value
Financial assets and liabilities that are not measured at fair value include
cash and cash equivalents, term deposits, trade and other receivables, and
trade and other payables. The carrying value of financial assets and financial
liabilities not measured at fair value is considered a reasonable
approximation of fair value as at 30 June 2025 and 2024.
Transfers between levels
During the year, investments with a carrying value of £2.8 million were
transferred out of level 2 into level 3 as their value was determined based on
valuation techniques that include unobservable inputs. There were no transfers
between level 1 and level 2 of the fair value hierarchy during the year
(FY2024: none).
Fair value measurements using significant unobservable inputs (level 3)
The following table presents the changes in level 3 financial assets and
liabilities for the years ended 30 June 2025 and 2024:
Investment Financial assets at Third-party
securities
FVTPL - non-current
interests in consolidated
£m
£m
funds
£m
At 30 June 2023 28.8 39.2 10.6
Additions - 3.2 1.2
Disposals (7.7) (21.0) (3.3)
Unrealised gains recognised in finance income 6.2 7.7 2.0
Unrealised gains recognised in foreign exchange reserve 0.4 0.2 -
At 30 June 2024 27.7 29.3 10.5
Additions 13.1 3.4 5.9
Disposals (21.7) (2.6) (9.3)
Transfers in 2.8 - 1.2
Unrealised gains recognised in finance income 12.3 4.0 5.6
Unrealised losses recognised in foreign exchange reserve (1.7) (1.7) -
At 30 June 2025 32.5 32.4 13.9
Valuation of financial assets measured at fair value on a recurring basis categorised within level 3
Investments valued using valuation techniques include financial investments
which, by their nature, do not have an externally quoted price based on
regular trades, and financial investments for which markets are no longer
active as a result of market conditions, e.g. market illiquidity. The
valuation techniques used include comparison to recent arm's length
transactions, market approach making reference to other instruments that are
substantially the same, discounted cash flow analysis, enterprise valuation
and net assets approach. These techniques may include a number of assumptions
relating to variables such as interest rate and price earnings multiples.
Changes in assumptions relating to these variables could positively or
negatively impact the reported fair value of these instruments. When
determining the inputs into the valuation techniques used, priority is given
to publicly available prices from independent sources when available, but
overall the source of pricing is chosen with the objective of arriving at a
fair value measurement that reflects the price at which an orderly transaction
would take place between market participants on the measurement date.
The fair value estimates are made at a specific point in time, based upon
available market information and judgements about the financial instruments,
including estimates of the timing and amount of expected future cash flows.
Such estimates could include a marketability adjustment to reflect illiquidity
and/or non-transferability that could result from offering for sale at one
time the Group's entire holdings of a particular financial instrument.
The following tables show the valuation techniques and the significant
unobservable inputs used to estimate the fair value
of level 3 investments as at 30 June 2025 and 2024, and the associated
sensitivity to changes in unobservable inputs to a reasonable alternative.
Asset class and valuation technique 2025 Significant Range of estimates Sensitivity Change in
Fair value
unobservable inputs
factor fair value
£m £m
Unquoted securities
Market approach 4.1 EBITDA multiple 12x +/- 1x +/- 0.6
Marketability adjustment 30% +/- 5% -/+ 0.6
Discounted cash flow 28.4 Discount rate 10%-18% +/- 1% -/+ 1.0
Marketability adjustment 30%-53% +/- 5% -/+ 1.9
Unquoted funds
Net assets approach 32.4 NAV1 1x +/- 5% +/- 1.6
Total financial assets within level 3 64.9
Third-party interests in consolidated funds (13.9) NAV1 1x +/- 5% -/+ 0.7
Asset class and valuation technique 2024 Significant Range of estimates Sensitivity Change in
Fair value
unobservable inputs
factor
fair value
£m £m
Unquoted securities
Market approach 5.8 EBITDA multiple 16x +/- 1x +/- 0.3
Marketability adjustment 30% +/- 5% -/+ 0.7
Discounted cash flow 20.0 Discount rate 10%-18% +/- 1% -/+ 1.0
Marketability adjustment 30%-54% +/- 5% -/+ 2.2
Unquoted funds
Net assets approach 31.2 NAV1 1x +/- 5% +/- 1.6
Total financial assets within level 3 57.0
Third-party interests in consolidated funds (10.5) NAV1 1x +/- 5% -/+ 0.5
1. NAV priced assets include seed capital investments whose value is determined
by the fund administrator using unobservable inputs. The significant
unobservable inputs applied include EBITDA, market multiples, last observable
vendor price and discount rates.
The sensitivity demonstrates the effect of a change in one unobservable input
while other assumptions remain unchanged. There may be a correlation between
the unobservable inputs and other factors that have not been considered. It
should also be noted that some of the sensitivities are non-linear, therefore
larger or smaller impacts should not be interpolated or extrapolated
from these results.
20) Seed capital investments
The Group considers itself a sponsor of an investment fund when it facilitates
the establishment of a fund in which the Group is
the investment manager. The Group ordinarily provides seed capital in order to
provide initial scale and facilitate marketing of the funds to third-party
investors. Aggregate interests held by the Group include seed capital,
management fees and performance fees. The Group generates management and
performance fee income from managing the assets on behalf of third-party
investors.
The movements of seed capital investments and related items during the year
are as follows:
Group Financial Investment Other Third-party Financial assets at Total
assets
securities
(relating to
interests in
FVTPL - non-current
£m
at FVTPL - current
(relating to
consolidated
consolidated
£m
£m
consolidated
funds)1
funds
funds)
£m
£m
£m
Carrying amount at 30 June 2023 55.8 229.9 10.6 (56.2) 51.4 291.5
Transfers from consolidated funds to FVTPL 18.1 (21.0) - 2.9 - -
Transfers from FVTPL to consolidated funds (21.4) 23.4 - (2.0) - -
Additions 9.5 - - (0.4) 4.2 13.3
Disposals (33.4) (29.0) - 12.1 (18.4) (68.7)
Fair value movement 4.2 (2.4) (4.6) 4.2 20.1 21.5
Carrying amount at 30 June 2024 32.8 200.9 6.0 (39.4) 57.3 257.6
Transfers from FVTPL to consolidated funds (69.5) 88.5 1.9 (19.9) (1.0) -
Additions 61.6 63.1 - (22.8) 11.1 113.0
Disposals (10.1) (51.7) - 17.3 (2.1) (46.6)
Fair value movement 2.2 20.7 - (8.5) 1.0 15.4
Carrying amount at 30 June 2025 17.0 321.5 7.9 (73.3) 66.3 339.4
1. Includes cash and other assets held by consolidated funds that are not
investment securities, see note 20(c).
a) Financial assets at FVTPL - current
Where Group companies invest seed capital into funds managed by the Group and
the Group concludes it does not have control over the fund, the interests in
the funds are recognised as financial assets and measured at FVTPL.
If the Group retains control over the fund in accordance with the requirements
of IFRS 10, the seed capital investment will cease to be classified as a
financial asset, and will be consolidated line by line after it is assessed
and concluded that the Group has control over the investment fund.
Investments cease to be classified as consolidated funds when they are no
longer controlled by the Group. A loss of control may happen through sale of
the investment and/or dilution of the Group's holding. During the year three
funds with an aggregate value of £70.5 million (FY2024: four funds with
aggregate value of £21.4 million) were transferred from the FVTPL category to
consolidated funds as they met the control requirements under IFRS 10.
FVTPL investments at 30 June 2025 comprise shares held in debt and equity
funds as follows:
2025 2024
£m
£m
Equity funds 13.5 23.5
Debt funds 3.5 9.3
Total 17.0 32.8
Included within finance income are gains of £2.2 million (FY2024: gains of
£4.7 million) on the Group's financial assets measured at FVTPL.
b) Financial assets at FVTPL - non-current
Non-current financial assets include the Group's interests in funds that are
expected to be realised within a period longer than 12 months from the
balance sheet date.
2025 2024
£m
£m
Infrastructure funds 27.8 25.0
Debt funds 33.9 27.3
Other funds 4.6 5.0
Total 66.3 57.3
Included within finance income are gains of £7.1 million (FY2024: gains of
£19.1 million) on the Group's non-current financial assets measured at fair
value.
c) Consolidated funds
The Group has consolidated 24 investment funds as at 30 June 2025 (30 June
2024: 18 investment funds), over which the Group is deemed to have control
(refer to note 25). Consolidated funds represent seed capital investments
where the Group interest represents a controlling stake in the fund in
accordance with IFRS 10. Consolidated fund assets and liabilities are
presented line by line after intercompany eliminations. The table below sets
out an analysis of the carrying amounts of fund assets and liabilities
consolidated by the Group.
2025 2024
£m
£m
Investment securities1 321.5 200.9
Cash and cash equivalents 8.0 6.1
Other2 (0.1) (0.1)
Third-party interests in consolidated funds (73.3) (39.4)
Consolidated seed capital investments 256.1 167.5
1. Investment securities represent trading securities held by consolidated
investment funds and are measured at FVTPL. Note 25 provides a list of the
consolidated funds by asset class, and further detailed information at the
security level is available in the individual fund financial statements.
2. Other includes trade receivables, trade payables and accruals.
The maximum exposure to loss is the carrying amount of the assets held. The
Group has not provided financial support or otherwise agreed to be responsible
for supporting any consolidated or unconsolidated funds financially.
Included within the consolidated statement of comprehensive income are net
gains of £29.9 million (FY2024: net losses of £4.7 million) relating to the
results of the consolidated funds for the year, as follows:
2025 2024
£m
£m
Fair value gains/(losses) on investment securities 13.7 (30.5)
Third-party interests' share of (gains)/losses in consolidated funds (1.9) 13.3
Net gains/(losses) on investment securities 11.8 (17.2)
Investment income 20.5 13.9
Audit fees (0.3) (0.2)
Operating expenses (2.1) (1.2)
Net gains/(losses) on consolidated funds 29.9 (4.7)
Included in the Group's cash generated from operations is £2.4 million cash
utilised in operations (FY2024: £1.0 million cash utilised in operations)
relating to consolidated funds.
As of 30 June 2025, the Group's consolidated funds were domiciled in Guernsey,
Luxembourg, Indonesia, India and the United States.
21) Financial instrument risk management
Group
The Group is subject to strategic and business, client, investment, treasury
and operational risks throughout its business, as discussed in the Risk
management section. This note discusses the Group's exposure to and management
of the following principal risks which arise from the financial instruments it
uses: credit risk, liquidity risk, interest rate risk, foreign exchange risk
and price risk. Where the Group holds units in investment funds, classified
either as financial assets measured at FVTPL or non-current financial assets,
the related financial instrument risk disclosures in the note below categorise
exposures based on the Group's direct interest in those funds without looking
through to the nature of underlying securities.
Risk management is the ultimate responsibility of the Board, as noted in the
Risk management section.
Capital management
It is the Group's policy that all entities within the Group have sufficient
capital to meet regulatory and working capital requirements and it conducts
regular reviews of its capital requirements relative to its capital resources.
The Group considers its share capital and reserves to constitute its total
capital.
Ashmore reports under IFPR and applies the ICARA approach to the calculation
of the capital and liquidity requirement for its UK regulated entity, AIML.
The Board has determined that the capital required to support the Group's
activities as at 30 June 2025, including its regulatory requirements, is
£93.3 million (30 June 2024: £97.0 million).
Ashmore holds total capital resources of £604.2 million as at 30 June 2025,
providing an excess of £510.9 million over the Group capital requirement
(30 June 2024: £696.2 million, providing an excess of £599.2 million over
the Group capital requirement).
Credit risk
The Group has exposure to credit risk from its normal activities where the
risk is that a counterparty will be unable to pay in full amounts when due.
Exposure to credit risk is monitored on an ongoing basis by senior management
and the Group's Risk Management and Control function. The Group has a
counterparty and cash management policy in place which, in addition to other
controls, restricts exposure to any single counterparty by setting exposure
limits and requiring approval and diversification of counterparty banks and
other financial institutions. The Group's maximum exposure to credit risk is
represented by the carrying value of its financial assets measured at
amortised cost, excluding prepayments. The table below lists financial assets
subject to credit risk.
Notes 2025 2024
£m
£m
Cash and cash equivalents 221.1 308.0
Term deposits 127.6 203.8
Cash and deposits 348.7 511.8
Trade and other receivables 17 45.9 57.0
Total 394.6 568.8
The Group's cash and cash equivalents and term deposits are predominantly held
with counterparties with credit ratings ranging from A- to AAAm as at 30 June
2025 (30 June 2024: A to AAAm).
Term deposits have an average annual interest rate of 4.8% and average
remaining maturity term of four months as at 30 June 2025.
All trade and other receivables are considered to be fully recoverable at year
end. They include fee debtors that arise principally within the Group's
investment management business. They are monitored regularly and,
historically, default levels have been insignificant. There is no significant
concentration of credit risk in respect of fees owing from clients.
Group
Liquidity risk
Liquidity risk is the risk that the Group will encounter difficulty in meeting
obligations associated with its financial liabilities that are settled
by delivering cash or other financial assets.
The Group produces cash flow forecasts to assist in the efficient management
of the receipt and payment of liquid assets and liabilities. The Group places
surplus cash held by the operating entities over and above the amounts
required for working capital management in interest-yielding liquidity funds
and term deposits. The Group ensures that liquid assets are maintained in all
regulated subsidiaries to meet regulatory requirements. The Group does not
have any debt as at 30 June 2025 (30 June 2024: none).
In order to manage liquidity risk, there is a Group liquidity policy to ensure
that there is sufficient access to funds to cover all forecast committed
requirements for the next 12 months.
The table below summarises the maturity profile of the Group's financial
liabilities at 30 June 2025 and 30 June 2024 based on contractual undiscounted
payments:
At 30 June 2025
Within 1 year 1-5 years More than Total
£m
£m
5 years
£m
£m
Current trade and other payables 29.9 - - 29.9
Lease liabilities 2.3 2.0 0.7 5.0
Total 32.2 2.0 0.7 34.9
At 30 June 2024
Within 1 year 1-5 years More than Total
£m
£m
5 years
£m
£m
Current trade and other payables 34.2 - - 34.2
Lease liabilities 2.4 3.9 0.9 7.2
Total 36.6 3.9 0.9 41.4
Interest rate risk
Interest rate risk is the risk that the fair value or future cash flows of
financial instruments will fluctuate because of changes in market interest
rates.
The principal interest rate risk is the risk that the Group will sustain a
reduction in interest income through adverse movements in interest rates. This
relates to deposits with banks and liquidity funds held in the ordinary course
of business. The Group has a cash management policy which monitors cash levels
and returns within set parameters on a continuing basis.
The effective interest earned on bank balances and term deposits during the
year is given in the table below:
2025 2024
%
%
Deposits with banks and liquidity funds 4.77 5.18
At 30 June 2025, if interest rates over the year had been 50 basis points
higher/lower with all other variables held constant, profit before tax for the
year would have been £2.1 million higher/lower (FY2024: £2.4 million
higher/lower), mainly as a result of higher/lower interest on cash balances.
In addition, the Group is indirectly exposed to interest rate risk where the
Group holds seed capital investments in funds that invest in debt securities.
Foreign exchange risk
Foreign exchange risk is the risk that the fair value or future cash flows of
financial instruments will fluctuate because of changes in foreign exchange
rates.
The Group's revenue is almost entirely denominated in US dollars, while the
majority of the Group's costs are denominated in Sterling. Consequently, the
Group has an exposure to movements in the GBP:USD exchange rate. In addition,
the Group operates globally, which means that it may enter into contracts and
other arrangements denominated in local currencies in various countries. The
Group also holds a number of seed capital investments denominated mainly in US
dollars, Colombian pesos and Indonesian rupiah.
The Group's policy is to hedge a proportion of the Group's revenue by using a
combination of forward foreign exchange contracts and options for a period of
up to two years forward. The Group also sells US dollars at spot rates when
opportunities arise.
The table below shows the sensitivity (in absolute terms) to a 5% exchange
movement in the US dollar, Colombian peso, Indonesian rupiah, Saudi riyal and
the Euro.
2025 2024
Impact on Impact on Impact on Impact on
profit
equity
profit
equity
before tax
£m
before tax
£m
£m
£m
US dollar +/- 5% 0.6 16.3 1.6 17.1
Colombian peso +/- 5% 0.1 1.0 0.1 0.9
Indonesian rupiah +/- 5% - 0.4 0.1 0.5
Saudi riyal +/- 5% 0.6 1.2 0.5 0.9
Euro +/- 5% 0.1 0.1 0.4 0.3
Price risk
Price risk is the risk that the fair value or future cash flows of financial
instruments will fluctuate because of market changes.
Seed capital
The Group is exposed to the risk of changes in market prices in respect of
seed capital investments. Such price risk is borne by the Group directly
through interests in financial assets measured at fair value or through
consolidation of underlying results, assets and liabilities of consolidated
funds. Details of seed capital investments held are given in note 20.
The Group has procedures defined by the Board governing the appraisal,
approval and monitoring of seed capital investments.
At 30 June 2025, a 5% movement in the fair value of these investments would
have a £17.0 million (FY2024: £12.9 million) impact
on profit before tax. The sensitivity information for level 3 seed capital
investments is provided under note 19.
Management and performance fees
The Group is also indirectly exposed to price risk in connection with the
Group's management fees, which are based on a
percentage of value of AuM, and fees based on performance. Movements in market
prices, exchange and interest rates could
cause the AuM to fluctuate, which in turn could affect fees earned.
Performance fee revenues could also be reduced depending upon market
conditions.
Management and performance fees are diversified across a range of investment
themes and are not measurably correlated to any single market index in
Emerging Markets. In addition, the policy of having funds with year ends
staged throughout the financial year has meant that in periods of steep market
decline, some performance fees have still been recorded. The profitability
impact is likely to be less than this, as cost mitigation actions would apply,
including the reduction of the variable compensation paid to employees.
Using the year end AuM level of US$47.6 billion and applying the year's
average net management fee rate of 35bps, a 5% movement in AuM would have a
US$8.3 million impact, equivalent to £6.0 million using a year end exchange
rate of 1.3704, on management fee revenues (FY2024: US$49.3 billion and
applying the year's average net management fee rate of 39bps, a 5% movement in
AuM would have a US$9.5 million impact, equivalent to £7.5 million using a
year end exchange rate of 1.2641, on management fee revenues).
Hedging activities
The Company uses forward and option contracts to hedge its exposure to foreign
currency risk. These hedges, which have been assessed as effective cash flow
hedges as at 30 June 2025, protect a proportion of the Group's revenue cash
flows from foreign exchange movements. The cumulative fair value of the
outstanding foreign exchange hedges asset at 30 June 2025 was £0.8 million
and is included within the Group's derivative financial instruments (30 June
2024: £0.1 million foreign exchange hedges asset included in derivative
financial instruments).
The notional and fair values of foreign exchange hedging instruments were as
follows:
2025 2024
Notional Fair value Notional Fair value
amount
assets/
amount
assets/
US$m
(liabilities)
US$m
(liabilities)
£m
£m
Cash flow hedges
Foreign exchange nil-cost option collars 40.0 0.8 40.0 0.1
40.0 0.8 40.0 0.1
The maturity profile of the Group's outstanding hedges is shown below.
Notional amount of option collars maturing: 2025 2024
US$m
US$m
Within 6 months 20.0 20.0
Between 6 and 12 months 20.0 20.0
Later than 12 months - -
40.0 40.0
When hedges are assessed as effective, intrinsic value gains and losses are
initially recognised in other comprehensive income and later reclassified to
profit or loss as the corresponding hedged cash flows crystallise. Time value
in relation to the Group's hedges is excluded from being part of the hedging
item and, as a result, the net unrealised gain/(loss) related to the time
value of the hedges is recognised in profit or loss for the year.
An intrinsic value gain of £0.6 million (FY2024: £nil) on the Group's hedges
has been recognised through other comprehensive income in the year and a £0.2
million intrinsic value gain (FY2024: £0.1 million intrinsic value loss) was
reported in profit or loss within finance exchange in the year.
Included within the net realised and unrealised hedging gain of £4.1 million
(note 7) recognised at 30 June 2025 (30 June 2024: £1.0 million gain) are:
- a £0.3 million gain in respect of foreign exchange hedges covering net
management fee income for the financial year ending 30 June 2025 (FY2024:
£0.1 million loss); and
- a £3.8 million gain in respect of crystallised foreign exchange contracts
(FY2024: £1.1 million gain).
Company
The risk management processes of the Company, including those relating to the
specific risk exposures covered below, are aligned with those of the Group as
a whole unless stated otherwise.
In addition, the risk definitions that apply to the Group are also relevant
for the Company.
Credit risk
The Company's maximum exposure to credit risk is represented by the carrying
value of its financial assets measured at amortised cost, excluding
prepayments. The table below lists financial assets subject to credit risk.
Notes 2025 2024
£m
£m
Cash and cash equivalents 6.9 20.1
Term deposits 127.5 202.0
Cash and deposits 134.4 222.1
Trade and other receivables 17 347.8 360.3
Total 482.2 582.4
The Company's cash and cash equivalents term deposits are held with
counterparties which have credit ratings ranging from A- to AAAm as at 30
June 2025 (30 June 2024: A to AAAm).
Term deposits have an average annual interest rate of 4.8% and average
remaining maturity term of four months as at 30 June 2025.
All trade and other receivables are considered to be fully recoverable and
none were overdue at year end (30 June 2024: none overdue).
Liquidity risk
The Company's exposure to liquidity risk is not considered to be material and,
therefore, no further information is provided.
Details on other commitments are provided in note 29.
Interest rate risk
The principal interest rate risk for the Company is that it could sustain a
reduction in interest revenue from bank deposits held in the ordinary course
of business through adverse movements in interest rates.
The effective interest earned on bank balances and term deposits during the
year is given in the table below:
2025 2024
%
%
Deposits with banks and liquidity funds 5.21 5.73
At 30 June 2025, if interest rates over the year had been 50 basis points
higher/lower with all other variables held constant, profit before tax for the
year would have been £0.9 million higher/lower (FY2024: £1.4 million
higher/lower), mainly as a result of higher/lower interest on cash balances.
Foreign exchange risk
The Company is exposed primarily to foreign exchange risk in respect of US
dollar cash balances and US dollar-denominated intercompany balances. However,
such risk is not hedged by the Company.
At 30 June 2025, if the US dollar had strengthened/weakened by 5% against
Sterling with all other variables held constant, profit before tax for the
year would have increased/decreased by £15.9 million (FY2024:
increased/decreased by £16.5 million).
22) Share capital
Authorised share capital
Group and Company 2025 2025 2024 2024
Number of
Nominal value
Number
Nominal value
shares
£'000
of shares
£'000
Ordinary shares of 0.01p each 900,000,000 90 900,000,000 90
Issued share capital - allotted and fully paid
Group and Company 2025 2025 2024 2024
Number of
Nominal value
Number
Nominal value
shares
£'000
of shares
£'000
Ordinary shares of 0.01p each 712,740,804 71 712,740,804 71
All the above ordinary shares represent equity of the Company and rank pari
passu in respect of participation and voting rights.
At 30 June 2025, there were equity-settled share awards issued under the
Omnibus Plan totalling 53,241,729 (30 June 2024: 47,014,898) shares that have
release dates ranging from September 2025 to October 2029. Further details are
provided in note 10.
23) Own shares
The Trustees of the Ashmore Group plc 2004 Employee Benefit Trust (EBT)
acquire and hold shares in Ashmore Group plc with a view to facilitating the
vesting of share awards. As at 30 June 2025, the EBT owned 60,817,341 (30 June
2024: 49,481,410) ordinary shares of 0.01p with a nominal value of £6,082 (30
June 2024: £4,948) and shareholders' funds are reduced by £154.6 million
(30 June 2024: £149.5 million) in this respect. The EBT is periodically
funded by the Company for these purposes.
24) Trade and other payables
Group Group Company Company
2025
2024
2025
2024
£m
£m
£m
£m
Current
Trade payables 17.0 15.5 2.9 3.4
Accruals and provisions 12.9 18.7 3.1 9.1
Amounts due to subsidiaries - - 8.3 11.1
Total trade and other payables 29.9 34.2 14.3 23.6
25) Interests in subsidiaries
Operating subsidiaries held by the Company
There were no movements in investment in subsidiaries held by the Company
during the year.
Company 2025 2024
£m
£m
Cost
At 30 June 2025 and 2024 19.9 19.9
In the opinion of the Directors, the following subsidiary undertakings
principally affected the Group's results or balance sheet at 30 June 2025. A
full list of the Group's subsidiaries and all related undertakings is
disclosed in note 33.
Name Country of incorporation/ formation and principal place of operation % of equity shares held
by the Group
Ashmore Investments (UK) Limited England 100.00
Ashmore Investment Management Limited England 100.00
Ashmore Investment Advisors Limited England 100.00
Ashmore Management Company Colombia SAS Colombia 57.73
Ashmore CAF-AM Management Company SAS Colombia 52.58
Ashmore Management Company Limited Guernsey 100.00
Ashmore Investment Management India LLP India 100.00
PT Ashmore Asset Management Indonesia Tbk Indonesia 60.04
Ashmore Investment Management (Ireland) Limited Ireland 100.00
Ashmore Japan Co. Limited Japan 100.00
Ashmore Investments Saudi Arabia Saudi Arabia 100.00
Ashmore Investment Management (Singapore) Pte. Ltd. Singapore 100.00
Ashmore Investment Management (US) Corporation USA 100.00
Ashmore Investment Advisors (US) Corporation USA 100.00
Consolidated funds
The Group consolidated the following 24 investment funds as at 30 June 2025
(30 June 2024: 18 investment funds) over which the Group is deemed to have
control:
Name Type of fund Country of incorporation/ principal place of operation Proportion of ownership interest %
Ashmore Emerging Markets Debt and Currency Fund Limited Alternatives Guernsey 57.15
Ashmore SICAV Emerging Markets Equity Ex China Fund Equity Luxembourg 49.17
Ashmore SICAV Emerging Markets India Equity Fund Equity Luxembourg 93.63
Ashmore SICAV Emerging Markets Global Small-Cap Equity Fund Equity Luxembourg 47.47
Ashmore SICAV Emerging Markets Middle East Equity Fund Equity Luxembourg 86.59
Ashmore SICAV Emerging Markets Shariah Active Equity Fund Equity Luxembourg 78.02
Ashmore SICAV Emerging Markets Indonesian Equity Fund Equity Luxembourg 100.00
Ashmore SICAV Emerging Markets Mexico Equity Fund Equity Luxembourg 100.00
Ashmore SICAV Emerging Markets Sovereign Debt Fund External Debt Luxembourg 70.69
Ashmore SICAV Emerging Markets Investment Grade Total Return Fund Blended debt Luxembourg 100.00
Ashmore SICAV Emerging Markets Total Return Debt Fund 2 Blended debt Luxembourg 100.00
Ashmore SICAV Emerging Markets Frontier Blended Debt Fund Blended debt Luxembourg 69.20
Ashmore SICAV Emerging Markets Impact Debt Fund Blended Debt Luxembourg 100.00
Ashmore SICAV Emerging Markets Local Currency Bond Fund 2 Local currency Luxembourg 100.00
Ashmore Dana USD Fixed Income Local currency Indonesia 41.39
Ashmore Dana Pasar Uang Syariah Local currency Indonesia 83.18
Ashmore India Equities Fund Equity India 80.31
Ashmore Emerging Markets Local Currency Bond Fund Local currency USA 96.01
Ashmore Emerging Markets Active Equity Fund Equity USA 94.77
Ashmore Emerging Markets Equity ESG Fund Equity USA 100.00
Ashmore Emerging Markets Equity Ex China Fund Equity USA 100.00
Ashmore EM Equity Fund LP Equity USA 100.00
Ashmore EM Active Equity Fund LP Equity USA 100.00
Ashmore Emerging Markets Debt Fund Corporate debt USA 100.00
26) Investment in associate
The Group held an interest in the following associate as at 30 June 2025, over
which it continues to have significant influence:
Name Type Nature of business Country of incorporation/ % of equity shares held by the Group
formation and principal
place of operation
Taiping Fund Management Company Associate Investment management China 5.23%
The movement in the carrying value of investment in associate for the year is
provided below:
Associate 2025 2024
£m
£m
At the beginning of the year 2.7 2.3
Share of profit for the year 0.3 0.5
Foreign exchange revaluation (0.2) (0.1)
At the end of the year 2.8 2.7
The summarised financial information for the associate is shown below.
Associate 2025 2024
£m
£m
Total assets 61.2 59.7
Total liabilities (7.0) (7.5)
Net assets 54.2 52.2
Group's share of net assets 2.8 2.7
Revenue for the year 22.8 20.7
Profit for the year 5.7 9.6
Group's share of profit for the year 0.3 0.5
The carrying value of the investment in associate represents the cost of
acquisition subsequently adjusted for share of profit or loss
and other comprehensive income or loss. No impairment is believed to exist
relating to the associate as at 30 June 2025. The Group had no undrawn
capital commitments (30 June 2024: £nil) to investment funds managed by the
associate.
27) Interests in structured entities
The Group has interests in structured entities as a result of the management
of assets on behalf of its clients. Where the Group holds a direct interest in
a closed-ended fund, private equity fund or open-ended pooled fund such as a
SICAV, the interest is accounted for either as a consolidated structured
entity or as a financial asset, depending on whether the Group has control
over the fund or not.
The Group's interest in structured entities is reflected in the Group's AuM.
The Group is exposed to movements in AuM of structured entities through the
potential loss of fee income as a result of client withdrawals. Outflows from
funds are dependent
on market sentiment, asset performance and investor considerations. Further
information on these risks can be found in the Strategic report.
Considering the potential for changes in AuM of structured entities,
management has determined that the Group's unconsolidated structured entities
include segregated mandates and pooled funds vehicles. Disclosure of the
Group's exposure to unconsolidated structured entities has been made on this
basis.
The reconciliation of AuM reported by the Group within unconsolidated
structured entities is shown below.
Total AuM Less: AuM within
US$bn
AuM within consolidated
unconsolidated structured
funds
entities
US$bn
US$bn
30 June 2024 49.3 0.3 49.0
30 June 2025 47.6 0.5 47.1
Included in the Group's consolidated management fees of £131.7 million
(FY2024: £162.6 million) are management fees amounting to £130.6 million
(FY2024: £161.9 million) earned from unconsolidated structured entities.
The table below shows the carrying values of the Group's interests in
unconsolidated structured entities, recognised in the Group balance sheet,
which are equal to the Group's maximum exposure to loss from those interests.
2025 2024
£m
£m
Management fees receivable 26.8 37.6
Trade and other receivables 1.4 1.5
Seed capital investments(1) 83.3 90.0
Total exposure 111.5 129.1
1. Comprise financial assets measured at fair value and non-current financial
assets measured at fair value (refer to note 20).
The main risk the Group faces from its beneficial interests in unconsolidated
structured entities arises from a potential decrease in the fair value of seed
capital investments. The Group's beneficial interests in seed capital
investments are disclosed in note 20. Note 21 includes further information on
the Group's exposure to market risk arising from seed capital investments.
28) Related party transactions
Related parties of the Group include key management personnel, close family
members of key management personnel, subsidiaries, associates, Ashmore funds,
the EBT and The Ashmore Foundation.
Key management personnel - Group and Company
The compensation paid to or payable to key management personnel is shown
below:
2025 2024
£m
£m
Short-term benefits 1.0 1.6
Defined contribution pension costs - -
Share-based payment benefits (note 10) 2.2 2.0
3.2 3.6
Short-term benefits include salary and fees, benefits and cash bonus.
Share-based payment benefits represent the cost of equity-settled awards
charged to the consolidated statement of comprehensive income.
Details of the remuneration of Directors are given in the Remuneration report.
During the year, there were no other transactions entered into with key
management personnel (FY2024: none). Aggregate key management personnel
interests in consolidated funds at 30 June 2025 were £32.7 million (30 June
2024: £32.2 million).
Transactions with subsidiaries - Company
Details of transactions between the Company and its subsidiaries are shown
below:
2025 2024
£m
£m
Transactions during the year
Management fees 46.4 57.0
Net dividends 79.9 99.6
Loans advanced to subsidiaries (22.0) (53.3)
Amounts receivable or payable to subsidiaries are disclosed in notes 17 and 24
respectively.
Transactions with Ashmore funds - Group
During the year, the Group received £48.4 million of gross management fees
and performance fees (FY2024: £61.7 million) from the 92 funds (FY2024: 96
funds) it manages and which are classified as related parties. As at 30 June
2025, the Group had receivables due from funds of £7.7 million (30 June 2024:
£4.9 million) that are classified as related parties.
Transactions with the EBT - Group and Company
The EBT has been provided with an interest free loan facility to allow it to
acquire Ashmore shares in order to satisfy outstanding unvested share awards.
The EBT is included within the results of the Group and the Company. As at 30
June 2025, the loan outstanding was £146.7 million (30 June 2024: £138.4
million).
Transactions with The Ashmore Foundation - Group and Company
The Ashmore Foundation is a related party to the Group. The Foundation was set
up to provide financial grants to worthwhile causes within the Emerging
Markets countries in which Ashmore invests and/or operates with a view to
giving back to the countries and communities. The Group donated £0.4 million
to the Foundation during the year (FY2024: £0.6 million).
29) Commitments
The Group has undrawn investment commitments relating to seed capital
investments as follows:
Group 2025 2024
£m
£m
Ashmore I - CAF Colombian Infrastructure Senior Debt Fund - 4.4
Ashmore II - CAF Colombian Infrastructure Senior Debt Fund 8.7 -
Ashmore Andean Fund II, LP 0.1 0.1
Fondo Ashmore Andino III - FCP 0.6 2.7
Total undrawn investment commitments 9.4 7.2
Company
The Company has undrawn loan commitments to other Group entities totalling
£399.1 million (30 June 2024: £432.0 million) to support their investment
activities but has no investment commitments of its own (30 June 2024: none).
30) Contingent assets and liabilities
The Company and its subsidiaries can be party to legal claims arising in the
normal course of business. The Directors do not anticipate that the outcome of
any such potential proceedings and claims will have a material adverse effect
on the Group's financial position and at present there are no such claims
where their financial impact can be reasonably estimated. There are no other
material contingent assets or liabilities.
31) Non-controlling interests
The Group's material NCI as at 30 June 2025 was held in PT Ashmore Asset
Management Indonesia Tbk.
Set out below is summarised financial information and the amounts disclosed
are before intercompany eliminations.
40% NCI
Ashmore Indonesia
Summarised balance sheet 2025 2024
£m
£m
Total assets 17.1 18.4
Total liabilities (4.4) (3.9)
Net assets 12.7 14.5
Non-controlling interests 5.0 5.8
Summarised statement of comprehensive income
Net revenue 7.7 10.3
Profit for the period 3.5 5.3
Other comprehensive loss (0.8) (1.2)
Total comprehensive income 2.7 4.1
Profit allocated to NCI 1.4 2.1
Dividends paid to NCI 1.8 1.9
Summarised cash flows
Cash flows from operating activities 3.2 5.4
Cash flows generated from investing activities 0.6 2.5
Cash flows used in financing activities (4.6) (5.2)
Net increase/(decrease) in cash and cash equivalents (0.8) 2.7
32) Post-balance sheet events
There are no post-balance sheet events that require adjustment or disclosure
in the Group consolidated financial statements.
33) Subsidiaries and related undertakings
The following is a full list of the Ashmore Group plc subsidiaries and related
undertakings as at 30 June 2025, along with the registered address and the
percentage of equity owned by the Group. Related undertakings comprise
significant holdings in associated undertakings and Ashmore sponsored public
funds in which the Group owns greater than 20% interest.
Name Classification % voting interest Registered address and place of incorporation
Ashmore Investments (UK) Limited1 Subsidiary 100.00 61 Aldwych, London WC2B 4AE United Kingdom
Ashmore Investment Management Limited Subsidiary 100.00
Ashmore Investment Advisors Limited Subsidiary 100.00
Aldwych Administration Services Limited (dormant) Subsidiary 100.00
Ashmore Asset Management Limited (dormant) Subsidiary 100.00
Ashmore Investment Management (Ireland) Limited Subsidiary 100.00 32 Molesworth Street, Dublin 2, D02 Y512, Ireland
Ashmore Group plc 2024 Employee Benefit Trust Subsidiary 100.00 First Floor, Le Marchant House,
Le Truchot, St. Peter Port, GY1 1GR, Channel Islands, Guernsey
Ashmore Investment Management India LLP Subsidiary 100.00 Units 206, 207, 208 Ceejay House, Shivsagar Estate, Dr. Annie Besant Road,
Worli, Mumbai 400 018, India
Ashmore India Equities Fund Consolidated fund 80.31
Ashmore Investment Management (US) Corporation Subsidiary 100.00 437, Suite 1904, Madison Avenue, New York, New York, NY 10022, United States
Ashmore Investment Advisors (US) Corporation Subsidiary 100.00
Ashmore EM Blended Debt Fund GP, LLC Subsidiary 100.00 The Corporation Trust Center, 1209 Orange Street, Wilmington, DE 19801, USA
Ashmore EM Active Equity Fund GP, LLC Subsidiary 100.00
Ashmore EM Equity Fund GP, LLC Subsidiary 100.00
Ashmore Healthcare International Limited Subsidiary 100.00 P.O. Box 61, 4th Floor Harbour Centre, North Church Street, Grand Cayman
KY1-1102, Cayman Islands
Rex Healthcare Limited Subsidiary 100.00
KCH Malaysia (Cayman) Ltd Subsidiary 100.00
KCH Holding Company Limited Subsidiary 100.00 2462 ResCowork01, 24th Floor, Al Sila Tower, Abu Dhabi Global Market Square,
Abu Dhabi, Al Maryah Island, UAE
Ashmore QFC LLC Subsidiary 100.00 9th Floor, QFC Tower 1, Westbay, Doha, Qatar
1. Ashmore Investments (UK) Limited (registered number 3345198) is exempt from
the requirements relating to the audit of accounts under section 479A of the
UK Companies Act 2006.
Name Classification % voting interest Registered address and place of incorporation
Ashmore Investment Management (Singapore) Pte. Ltd. Subsidiary 100.00 1 George Street, #15-04, Singapore 049145
KCH Cairo Pte. Ltd (dormant) Subsidiary 100.00
KCH Cairo S.A.E. (dormant) Subsidiary 99.20 Zone (T) - Emaar, Up Town Cairo, Mokattam, Cairo, Egypt
PT Ashmore Asset Management Indonesia Tbk Subsidiary 60.04 Pacific Century Place, 18th Floor,
SCBD Lot 10, Jl. Jenderal. Sudirman Kav.
52-53 Jakarta 12190, Indonesia
Ashmore Dana Pasar Uang Syariah Consolidated fund 83.18
Ashmore Dana USD Fixed Income Consolidated fund 41.39
Ashmore Management Company Colombia SAS Subsidiary 57.73 Carrera 7 No. 75-66,
Office 701 & 702,
Bogotá, Colombia
Ashmore-CAF-AM Management Company SAS Subsidiary 52.58
Ashmore Holdings Colombia SAS Subsidiary 100.00
Ashmore Investment Advisors S.A. Sociedad Fiduciaria Subsidiary 100.00
Ashmore Backup Management Company SAS Subsidiary 100.00
Ashmore Peru Backup Management Subsidiary 100.00 Av. Circunvalación del Club Golf Los Incas No. 134, Torre 1, Of. 505, Surco.
Lima, Perú
Ashmore Japan Co. Limited Subsidiary 100.00 11F, Shin Marunouchi Building 1-5-1 Marunouchi, Chiyoda-ku,
Tokyo 100-6511, Japan
Ashmore Investments (Colombia) SL Subsidiary 100.00 Calle Suero de Quiñones 34-36, 28002 Madrid, Spain
Ashmore Management (DIFC) Limited Subsidiary 100.00 Unit L30-07, Level 30, ICD Brookfield Place, Dubai International Financial
Centre,
Dubai, UAE
Ashmore Investment Saudi Arabia Subsidiary 100.00 3rd Floor Tower B, Olaya Towers,
Olaya Main Street, Riyadh, Saudi Arabia
Ashmore AISA (Cayman) Limited Subsidiary 100.00 PO Box 309, Ugland House, Grand Cayman,
KY1-1104, Cayman Islands
Ashmore Investments (Holdings) Limited (in liquidation) Subsidiary 100.00 Les Cascades Building,
33 Edith Cavell Street, Port Louis,
Mauritius
Name Classification % voting interest Registered address and place of incorporation
Ashmore Management Company Limited Subsidiary 100.00 Trafalgar Court,
Les Banques,
St Peter Port,
GY1 3QL,
Guernsey
Ashmore Global Special Situations Fund 3 (GP) Limited (in liquidation) Subsidiary 100.00
Ashmore Global Special Situations Fund 4 (GP) Limited (in liquidation) Subsidiary 100.00
Ashmore Global Special Situations Fund 5 (GP) Limited (in liquidation) Subsidiary 100.00
Ashmore Venezuela Recovery Fund 2 Ltd Financial asset 39.98
Ashmore Emerging Markets Debt and Currency Fund Limited Consolidated fund 57.15
Ashmore SICAV Emerging Markets Middle East Equity Fund Consolidated fund 86.59 10, rue du Chateau d'Eau,
L-3364 Leudelange,
Grand-Duchy of Luxembourg
Ashmore SICAV Emerging Markets Total Return Debt Fund 2 Consolidated fund 100.00
Ashmore SICAV Emerging Markets Equity Ex China Fund Consolidated fund 49.17
Ashmore SICAV Emerging Markets India Equity Fund Consolidated fund 93.63
Ashmore SICAV Emerging Markets Global Small-Cap Equity Fund Consolidated fund 47.47
Ashmore SICAV Emerging Markets Investment Grade Total Return Fund Consolidated fund 100.00
Ashmore SICAV Emerging Markets Indonesian Equity Fund Consolidated fund 100.00
Ashmore SICAV Emerging Markets Local Currency Bond Fund 2 Consolidated fund 100.00
Ashmore SICAV Emerging Markets Shariah Active Equity Fund Consolidated fund 78.02
Ashmore SICAV Emerging Markets Frontier Blended Debt Fund Consolidated fund 69.20
Ashmore SICAV Emerging Markets Sovereign Debt Fund Consolidated fund 70.69
Ashmore SICAV Emerging Markets Impact Debt Fund Consolidated fund 100.00
Ashmore SICAV Emerging Markets Mexico Equity Fund Consolidated fund 100.00
Ashmore SICAV Emerging Markets Equity ESG Fund Financial asset 21.99
Ashmore Emerging Markets Equity Ex China Fund Consolidated fund 100.00 50 South LaSalle Street,
Chicago, Illinois 60603, USA
Ashmore Emerging Markets Debt Fund Consolidated fund 100.00
Ashmore Emerging Markets Active Equity Fund Consolidated fund 94.77
Ashmore Emerging Markets Local Currency Bond Fund Consolidated fund 96.01
Ashmore Emerging Markets Equity ESG Fund Consolidated fund 100.00
Ashmore EM Equity Fund LP Consolidated fund 100.00
Ashmore EM Active Equity Fund LP Consolidated fund 100.00
Ashmore China Real Estate Debt Recovery Fund Financial asset 26.35
Cautionary statement regarding forward-looking statements
It is possible that this document could or may contain forward-looking
statements that are based on current expectations or beliefs, as well as
assumptions about future events. These forward-looking statements can be
identified by the fact that they do not relate only to historical or current
facts. Forward-looking statements often use words such as anticipate, target,
expect, estimate, intend, plan, goal, believe, will, may, should, would, could
or other words of similar meaning.
Undue reliance should not be placed on any such statements because, by their
very nature, they are subject to known and unknown risks and uncertainties and
can be affected by other factors that could cause actual results, and the
Group's plans and objectives, to differ materially from those expressed or
implied in the forward-looking statements. There are several factors that
could cause actual results to differ materially from those expressed or
implied in forward-looking statements. Among the factors that could cause
actual results to differ materially from those described in the
forward-looking statements are changes in global, political, economic,
business, competitive, market and regulatory forces, future exchange and
interest rates, changes in tax rates and future business combinations or
dispositions. The Group undertakes no obligation to revise or update any
forward-looking statements contained within this document, regardless of
whether those statements are affected as a result of new information, future
events or otherwise.
Statutory accounts
The financial information set out above does not constitute the Group's
statutory accounts for the years ending 30 June 2025 or 30 June 2024.
Statutory accounts for 2024 have been delivered to the registrar of companies.
The statutory accounts for 2025 will be delivered in due course and the
auditors have reported on those accounts; their reports were (i) unqualified,
(ii) did not include a reference to any matters to which the auditors drew
attention by way of emphasis without qualifying their report and (iii) did not
contain a statement under section 498 (2) or (3) of the Companies Act 2006 in
respect of the accounts for 2025.
2025 2024 2023 2022 2021
£m
£m
£m
£m
£m
Management fees 131.7 162.6 185.4 247.0 276.4
Performance fees 10.2 22.7 5.1 4.5 11.9
Other revenue 2.5 3.7 2.7 2.9 4.6
Total revenue 144.4 189.0 193.2 254.4 292.9
Distribution costs (2.0) (2.2) (2.2) (3.5) (5.5)
Foreign exchange gains 1.7 2.5 5.4 11.6 4.3
Net revenue 144.1 189.3 196.4 262.5 291.7
Net gains/(losses) on investment securities 11.8 (17.2) (25.0) (44.8) 70.9
Personnel expenses (31.5) (32.2) (31.4) (27.8) (26.7)
Variable compensation (39.5) (52.9) (34.8) (45.6) (53.6)
Other expenses (27.7) (29.8) (27.8) (25.1) (24.0)
Total operating expenses (98.7) (114.9) (94.0) (98.5) (104.3)
Operating profit 57.2 57.2 77.4 119.2 258.3
Finance income/(expense) 51.1 70.4 33.9 (2.1) 23.9
Share of profit from associate 0.3 0.5 0.5 1.3 0.3
Profit before tax 108.6 128.1 111.8 118.4 282.5
Tax expense (23.5) (29.9) (25.3) (26.5) (40.7)
Profit for the year 85.1 98.2 86.5 91.9 241.8
EPS (basic) 12.2p 13.9p 12.4p 13.4p 36.4p
Dividend per share 16.9p 16.9p 16.9p 16.9p 16.9p
Other operating data (unaudited)
AuM at year end (US$bn) 47.6 49.3 55.9 64.0 94.4
Average AuM (US$bn) 48.9 52.4 58.2 83.6 90.0
Average GBP:USD exchange rate for the year 1.30 1.26 1.21 1.33 1.35
Period end GBP:USD exchange rate for the year 1.37 1.26 1.27 1.21 1.38
Alternative performance measures
Ashmore discloses APMs to assist shareholders' understanding of the Group's
operational performance during the accounting period and to allow consistent
comparisons with prior periods.
The calculation of APMs is consistent with the financial year ended 30 June
2024. Historical disclosures relating to APMs, including explanations and
reconciliations, can be found in the respective interim financial reports and
Annual Reports and Accounts.
Net revenue
As shown in the CSCI, net revenue is total revenue less distribution costs and
including FX. This provides a comprehensive view of the revenues recognised by
the Group in the period.
Reference FY2025 FY2024
£m
£m
Total revenue CSCI 144.4 189.0
Distribution costs CSCI (2.0) (2.2)
FX gains CSCI 1.7 2.5
Net revenue 144.1 189.3
Net management fees
The principal component of the Group's revenues is management fees, net of
associated distribution costs, earned on AuM.
Reference FY2025 FY2024
£m
£m
Management fees CSCI 131.7 162.6
Distribution costs CSCI (2.0) (2.2)
Net management fees 129.7 160.4
Net management fee margin
The net management fee margin is defined as the ratio of annualised net
management fees to average AuM for the period, in US dollars since this is the
primary currency in which fees are received and it matches the Group's AuM
disclosures. The average AuM excludes assets where fees are not recognised in
revenues, for example AuM related to associates. The margin is a principal
measure of the firm's revenue-generating capability and is a commonly used
industry performance measure.
FY2025 FY2024
Net management fee income (US$m) 168.5 202.1
Average AuM (US$bn) 48.4 51.9
Net management fee margin (bps) 35 39
Variable compensation ratio
The linking of variable annual pay awards to the Group's profitability is one
of the principal methods by which the Group controls its operating costs. The
variable compensation ratio is defined as the charge for VC divided by EBVCT.
The charge for VC is a component of personnel expenses and comprises
share-based payments and performance-related cash bonuses, and has been
accrued at 35.0% of EBVCT (FY2024: 31.0%).
EBVCT is defined as PBT excluding the charge for VC, charitable donations,
share of profit from associate, realised gains on disposal of investments and
unrealised seed capital-related items; and including net seed capital gains
realised in the period on a life-to-date basis. The unrealised seed capital
items are net gains or losses on investment securities, expenses in respect of
consolidated funds and net unrealised gains or losses in finance income.
Reference FY2025 FY2024
£m
£m
Profit before tax CSCI 108.6 128.1
Remove:
Seed capital-related gains CSCI, note 20 (40.1) (21.7)
Realised gains on disposal of investments Note 8 (0.3) (5.2)
Share of profit from associate CSCI (0.3) (0.5)
Variable remuneration 39.5 52.9
Charitable donations 0.4 0.6
Add:
Realised life-to-date seed capital gains 5.2 16.1
EBVCT 113.0 170.3
Adjusted net revenue, adjusted operating costs and adjusted EBITDA
Adjusted figures exclude items relating to FX translation and seed capital.
Management assesses the Group's operating performance by excluding the
volatility associated with these items.
EBITDA provides a view of the operating performance of the business before
certain non-cash items, financing income and charges, and taxation.
Reference FY2025 FY2024
£m
£m
Net revenue CSCI 144.1 189.3
Remove:
FX translation (gains)/losses Note 7 2.4 (1.5)
Adjusted net revenue 146.5 187.8
Reference FY2025 FY2024
£m
£m
Personnel expenses CSCI (71.0) (85.1)
Other expenses CSCI (27.7) (29.8)
Remove:
Other expenses in consolidated funds Note 20 2.4 1.4
VC % on FX translation Note 7 (0.8) 0.5
Adjusted operating costs (97.1) (113.0)
Reference FY2025 FY2024
£m
£m
Operating profit CSCI 57.2 57.2
Remove:
Depreciation & amortisation 3.1 3.1
EBITDA 60.3 60.3
Remove:
FX translation Note 7 2.4 (1.5)
Seed capital-related (gains)/losses CSCI, note 20 (9.4) 18.6
VC % on FX translation Note 7 (0.8) 0.5
Adjusted EBITDA 52.5 77.9
Adjusted EBITDA margin
Defined as the ratio of adjusted EBITDA to adjusted net revenue. This is an
appropriate measure of the Group's operational efficiency and its ability to
generate returns for shareholders.
Adjusted diluted EPS
Diluted EPS excluding items relating to FX translation and seed capital, as
described above, and the related tax impact.
Reference FY2025 FY2024
pence
pence
Diluted EPS CSCI 11.8 13.6
Remove:
FX translation Note 7 0.3 (0.2)
Tax on FX translation (0.1) 0.1
Seed capital-related gains CSCI, note 7, note 20 (5.8) (3.2)
Tax on seed capital-related items 0.9 0.2
Adjusted diluted EPS 7.1 10.5
Conversion of operating profits to cash
This compares cash generated from operations, excluding consolidated funds, to
adjusted EBITDA, and is a measure of the effectiveness of the Group's
operations in converting profits to cash flows for shareholders. Excluding
consolidated funds also ensures consistency between the cash flows and
adjusted EBITDA.
Reference FY2025 FY2024
£m
£m
Cash generated from operations Consolidated cash flow statement 66.0 112.5
Remove:
Cash flows relating to consolidated funds Note 20 2.4 1.0
Operating cash flow 68.4 113.5
Adjusted EBITDA 52.5 77.9
Conversion of operating profits to cash 130% 146%
Capital resources
Ashmore has calculated its capital resources in a manner consistent with the
IFPR. Note that goodwill and intangible assets include associated deferred tax
liabilities and deferred acquisition costs, and foreseeable dividends relate
to the proposed final dividend of 16.9 pence per share.
Reference 30 June 2025 30 June 2024
£m
£m
Total equity Consolidated balance sheet 782.6 882.6
Add:
Cash flow hedging reserve Consolidated statement of changes in equity (0.6) -
Deductions:
Goodwill and intangible assets (72.8) (79.3)
Deferred tax assets Balance sheet (16.2) (18.9)
Foreseeable dividends Note 14 (86.0) (85.1)
Investments in financial sector entities (2.8) (3.1)
Capital resources 604.2 696.2
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