Rathbones 2025 adjusted pretax profit beats analyst expectations; extends share buyback

Rathbones

27/02/2026 07:10

Overview

UK wealth manager's 2025 adjusted pretax profit beat analyst expectations

Profit before tax rose 53.5% to £152.9 mln, driven by synergy delivery

Company announced extension of share buyback program up to £20 mln

Outlook

Rathbones aims for 30% operating margin by Q4 2026, assuming stable market conditions

Rathbones focuses on organic growth post-2025 integration phase

Result Drivers

SYNERGY DELIVERY - Successful integration of Investec Wealth & Investment led to synergy realization of £76 mln, exceeding £60 mln target

REDUCED INTEGRATION COSTS - Integration costs decreased to £39.9 mln from £75.5 mln, aiding profit growth

INCREASED FUMA - Funds under management and administration rose to £115.6 bln, supporting profitability

Company press release: ID:nRSa6165Ua

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
FY Adjusted Pretax Profit
Beat
GBP 238.10 mln
GBP 215.81 mln (9 Analysts)
FY Operating Income
Beat
GBP 923.30 mln
GBP 207.75 mln (7 Analysts)
FY Assets Under Management
GBP 115.60 bln
FY Dividend
GBP 0.99
FY Pretax Profit
GBP 152.90 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 6 "strong buy" or "buy", 4 "hold" and 1 "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 Rathbones Group PLC is GBp2,200.00, about 0.5% below its February 26 closing price of GBp2,210.00

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

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(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.)