Federated Hermes Q2 revenue beats on higher average equity and money market assets
FHI•Drivers of the quarter
The company said higher average equity and money market assets drove revenue growth in Q2.
It also said the acquisition of FCP Fund Manager, L.P. contributed to revenue and alternative/private markets asset growth.
According to CEO J. Christopher Donahue, record gross sales and net positive sales for MDT quantitative investment solutions also supported results.
Capital returns and outlook
Federated Hermes said it repurchased 1.1 million shares for $58.9 million in Q2.
The company did not provide specific guidance for future quarters or the full year in the press release.
Quarterly results beat expectations
Federated Hermes said Q2 revenue rose 18% year over year, beating analyst expectations, as higher average equity and money market assets drove growth.
Adjusted EPS rose 19% year over year to $1.38.
| Metric | Beat/Miss | Actual | Consensus Estimate |
|---|---|---|---|
| Q2 Revenue | Beat | $502.78 mln | $485.62 mln (4 Analysts) |
| Q2 EPS | $1.38 |
