Man Group (EMG) H1 2025 earnings summary

Executive summary

• Achieved record AUM of $193.3bn as of 30 June 2025, up 15% from December 2024, driven by $17.6bn net inflows, 11.5% ahead of industry, and a notable $13.2bn single-client subscription.

• Long-only strategies delivered strong returns (+8.1%), while alternative strategies, especially trend-following, faced significant headwinds and negative performance.

• Strategic progress included the acquisition of Bardin Hill, expansion in credit and quant equity, and continued investment in technology and AI.

• Disciplined capital allocation with $165m returned to shareholders via buybacks and dividends, and streamlined operations to invest in growth.

• Statutory and core EPS declined year-over-year, reflecting challenging conditions for trend-following strategies.

Financial highlights

• Core net management fee revenue was $517m, down 6% year-over-year; core profit before tax was $146m.

• Performance fees totaled $67m; fixed cash costs rose to $222m, up 9–10% year-over-year, mainly due to FX and targeted investments.

• Interim dividend of 5.7¢ per share declared; $165m of shareholder returns in H1 2025.

• Net tangible assets at $674m as of June 2025; available cash and equivalents at $126m.

• Run-rate net management fees at $1,055m with a 55bps margin as of June 2025.

Outlook and guidance

• Fixed cash cost guidance for 2025 revised to $432m, assuming an FX rate of 1.35.

• Management remains cost conscious, focusing on scalable growth, diversification, and technology investment.

• Restructuring program underway in H2 2025, with estimated cash costs of $20–25m and non-cash costs of $10–15m.

• If client funding performance does not recover, total compensation ratio could modestly exceed the guided range.

• Continued client engagement in defensive alpha and differentiated liquid solutions expected.