IVZ Earnings Prediction
The chart below shows how IVZ performed 10 days before and after its earnings report, based on data from the past quarters. Typically, IVZ sees a +0.95% change in stock price 10 days leading up to the earnings, and a +0.59% change 10 days following the report. On the earnings day itself, the stock moves by -0.94%. This data can give you a slight idea of what to expect for the next quarter's release.
IVZ Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
1.07B
11.78%
4.98%
Gross Margin
--
--
--
Operating Margin
29.23%
125.92%
195.55%
Net Margin
22.38%
132.00%
119.41%
EPS
0.46
128.05%
283.33%
No Data Available
IVZ Earnings Analysis
Invesco Ltd Corporation (IVZ.N) Earnings Conference Call
Positive
Net Inflows and Operating Income: Strong long-term net inflows of $65 billion, representing a 5% organic growth rate, contributed to an increase in operating income to $1.4 billion and improved operating margins to over 31% for the year.
Record Organic Flow Growth: In Q4, the ETF and index platform achieved near historic organic long-term flows of $30 billion, reflecting a 25% annualized organic growth rate, with significant contributions from the S&P 500 equal weight strategy and the QQQM fund.
AUM Growth and Inflows: Total assets under management (AUM) reached $1.85 trillion, a $50 billion increase or 3% from the previous quarter, and a $261 billion increase or 16% from the end of 2023, driven by net long-term inflows of $26 billion in Q4.
Earnings Per Share Increase: Adjusted diluted earnings per share rose to $0.52 in Q4, up from $0.44 in the prior quarter, reflecting strong revenue growth and disciplined expense management, with net revenue increasing by 11% year-over-year to $1.2 billion.
Shareholder Returns Increase: The company returned 54% of earnings to common shareholders through buybacks and dividends in 2024, an increase from the previous year, while maintaining a net cash position exceeding debt by nearly $100 million.
Negative
Multi-Asset Outflows Decline: Net long-term outflows of $1,500,000,000 in multi-asset related capabilities during Q4, primarily driven by global asset allocation strategies, indicating a decline in client interest in these products.
Equity Strategy Outflows: Fundamental equity strategies experienced consistent net outflows in the range of $2,000,000,000 per quarter, reflecting ongoing challenges in retaining client investments in this segment.
Operating Expenses Analysis: Operating expenses increased by $11,000,000 or less than 2% over the previous quarter, despite a slight decrease in total adjusted operating expenses year-over-year, indicating pressure on cost management amid rising compensation expenses.
Net Revenue Yield Decline: The net revenue yield decreased by 0.5 basis points due to a continued mix shift during the quarter, suggesting challenges in maintaining revenue per asset under management as client preferences evolve.
Projected Cost Increase: The anticipated increase in Alpha-related costs for 2025 is projected to be $20,000,000 to $25,000,000 higher than 2024, indicating a significant rise in operational expenses as the firm transitions to the new platform.
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IVZ Earning Call Sentiment
Earnings call transcript: Invesco Q4 2024 sees earnings beat, stock up 7%
IVZ.N
1.85%Positive
The earnings call indicates strong financial performance, with record AUM, improved operating margins, and effective expense management. The Q&A highlights optimism in margin expansion and organic growth, particularly in private markets. Despite some fundamental equity outflows, overall inflows are strong, and management's strategic focus is on growth and shareholder returns. The positive sentiment is reinforced by consistent share buybacks and a high payout ratio. The lack of market cap data limits precision, but the overall positive indicators suggest a likely stock price increase in the next two weeks.