DWS Group (DWS) Q2 2024 earnings summary

Executive summary

• Adjusted profit before tax rose 8% quarter-on-quarter to EUR 249 million, driven by higher revenues and cost discipline.

• Adjusted revenues increased 4% quarter-on-quarter to EUR 678 million, supported by higher management fees and other revenues.

• Assets under management stood at EUR 933 billion, down 1% from Q1 2024 but up year-over-year.

• Long-term net outflows of EUR 6.0 billion in Q2, mainly from low-margin insurance and advisory mandates, with total net outflows including Cash and Advisory at EUR 18.7 billion.

• 2024 financial outlook upgraded, with focus on disciplined organic growth and delivering on 2025 targets.

Financial highlights

• Adjusted profit before tax: EUR 249 million in Q2 2024, up 8% quarter-on-quarter.

• Adjusted revenues: EUR 678 million in Q2 2024, up 4% quarter-on-quarter.

• Adjusted costs: EUR 428 million in Q2 2024, up 1% quarter-on-quarter.

• Net income attributable to shareholders: EUR 162 million in Q2 2024, up 11% quarter-on-quarter.

• Earnings per share: EUR 0.81 in Q2 2024, up from EUR 0.73 in Q1 2024.

Outlook and guidance

• Adjusted revenues, profit before tax, and EPS for 2024 expected to be higher than 2023.

• Adjusted costs projected to remain essentially flat versus 2023.

• Long-term net flows for 2024 expected to exceed 2023 levels.

• Adjusted cost-income ratio for 2024 expected in the 62%-64% range.

• 2025 targets reaffirmed, including adjusted CIR below 59% and EPS of EUR 4.50.