Schroders plc (LON:SDR) annual results for 2025 are expected to be ahead of market expectations on adjusted operating profit. The Company is providing an update on the key metrics underpinning this result, together with preliminary results for assets under management (AUM) and net new business (NNB). The information in this release is unaudited and based on preliminary year-end reporting processes only and may therefore be subject to change.
Adjusted operating profit of at least £745 million for FY25 (FY24: £603.1 million).
| – | Adjusted net operating income of at least £2,580 million (FY24: £2,437.1 million). Management fees benefitted in the fourth quarter from favourable AUM mix due to strong intermediary NNB. Improved income also reflects higher performance fees and carried interest, and positive market returns, including on seed investments. |
| – | Adjusted operating expenses are expected to be broadly flat on prior year (FY24: £1,834.0 million), demonstrating good cost discipline and the further accelerated delivery against our transformation targets. We remain committed to our transformation target of £150 million annualised net savings by the end of 2027. |
As a result, we expect to achieve an adjusted operating cost: income ratio of c. 71% (FY24: 75%).
Group AUM of c. £825 billion including joint ventures (JVs) and associates (FY24: £778.7 billion), c. £730 billion excluding JVs and associates (FY24: £661.8 billion). Higher AUM reflects market growth, investment performance, and positive NNB of c. £11 billion.
| – | Public Markets NNB of c. £3.9 billion, reflecting significantly improved flows versus the prior year across both intermediary and institutional channels. |
| – | Schroders Capital NNB of c. £4.0 billion. Together with the first contribution of c. £0.5 billion NNB from Future Growth Capital, we have achieved c. £4.5 billion NNB in 2025 against our three-year target of £20 billion cumulative NNB. Additionally, dry powder increased by c. £0.5 billion year-on-year to c. £4.7 billion. |
| – | Wealth Management NNB of c. £3.4 billion, equivalent to a NNB rate of c. 2.7%, against a backdrop of continued macro-economic and policy uncertainty. As a result, Benchmark NNB remained muted in the fourth quarter. Within Cazenove Capital, UK private client NNB remained within our target of 5-7%. However, we saw negative NNB from charities, where strong gross inflows were offset by a limited number of low margin outflows. |
The Company’s annual results for the year ended 31 December 2025 will be announced, as planned, on 12 February 2026.
