Diamond Hill’s 2025 AUM Drops to $31B as Net Outflows Hit $2.7B
Diamond Hill’s combined assets under management and advisement fell to $31.0 billion in 2025, with net client outflows of $2.7 billion driving a 3% revenue decline to $147.1 million. Net income increased 13% to $48.8 million, lifting diluted EPS to $17.91.
1. Assets Under Management and Client Flows
Diamond Hill’s combined AUM and AUA stood at $31.0 billion at December 31, 2025, down from $31.9 billion a year earlier, as net client outflows reached $2.7 billion compared with $0.3 billion in 2024.
2. Revenue and Profit Margins
Revenue for 2025 totaled $147.1 million, a 3% decrease from $151.1 million in 2024, while net operating profit margin narrowed to 25% from 29% and adjusted margin fell to 29% from 32%, reflecting $2.9 million of transaction-related expenses tied to the pending merger.
3. Net Income and EPS
Net investment income more than doubled to $30.5 million, supporting net income attributable to common shareholders of $48.8 million, up 13% from $43.2 million. Diluted earnings per share rose to $17.91, though adjusted EPS declined to $11.56 from $12.92 last year.
4. Shareholder Returns and Merger Update
The company returned $44.1 million to shareholders in 2025 through $16.9 million of share repurchases and $27.2 million in dividends at $10 per share. The pending merger with First Eagle Investment Management contributed transaction costs that reduced profit margins by roughly 2 percentage points.