Franklin Resources Q4 revenue beats estimates, adjusted EPS rises on asset growth

Franklin Templeton

07/11/2025 13:38

Overview

Franklin Resources Q4 operating revenue beats expectations, driven by global platform growth

Adjusted EPS for Q4 beats consensus, reflecting strong financial performance

Adjusted net income for Q4 exceeds analyst estimates, indicating robust performance

Result Drivers

LONG-TERM INFLOWS - Co reports 12% increase in long-term inflows to $84.6 bln, driven by growth across asset classes

ALTERNATIVE STRATEGIES - Record growth in alternative AUM to $270 bln, aided by Apera Asset Management acquisition and $26.2 bln fundraising

INSTITUTIONAL PIPELINE - Healthy institutional pipeline with $20.4 bln in won-but-unfunded mandates following record fundings

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 Operating Revenue
Beat
$2.34 bln
$1.72 bln (4 Analysts)
Q4 Adjusted EPS
Beat
$0.67
$0.58 (8 Analysts)
Q4 EPS
$0.21
Q4 Adjusted Net Income
Beat
$357.50 mln
$300.31 mln (4 Analysts)
Q4 Net Income
$117.60 mln
Q4 Adjusted Operating Income
Beat
$472.40 mln
$387.21 mln (5 Analysts)
Q4 Adjusted Operating Margin
26.00%
Q4 Operating Income
$85.40 mln
Q4 Operating Margin
3.60%


Analyst Coverage

The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "strong buy" or "buy", 5 "hold" and 4 "sell" or "strong sell"

The average consensus recommendation for the investment management & fund operators peer group is "buy."

Wall Street's median 12-month price target for Franklin Resources Inc is $25.00, about 7% above its November 6 closing price of $23.25

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nBw3CHsRGa

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)