Silvercrest Asset Management Q3 revenue, adjusted profit beat estimates despite lower assets
SAMG•Silvercrest Asset Management's third-quarter revenue rose 4.5% year over year to $32.71 million, while adjusted EPS of $0.16 beat the $0.11 estimate. Discretionary assets under management fell 3.6% sequentially to $23.8 billion, mainly due to weaker markets.
1. Quarterly results
Third-quarter revenue rose 4.5% year over year to $32.71 million, above the $31.85 million estimate. Adjusted EPS was $0.16, beating the $0.11 estimate; adjusted net income was $1.91 million and adjusted EBITDA was $4.40 million.
2. Assets and client activity
Discretionary assets under management fell $939 million sequentially to $23.8 billion, mainly reflecting $811 million in market depreciation. The company added $182 million in new client accounts and received a $373 million follow-on investment in its global value equity strategy. Revenue growth was mainly due to an increase in the average annual management fee.
3. Outlook
The company plans to revise AUM reporting after the first quarter of 2027, likely eliminating the non-discretionary AUM category without revenue impact. It expects administrative and legal costs tied to global expansion initiatives to decline, related operations to begin contributing revenue, and its compensation ratio to remain elevated as growth investments mature.
