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Invesco Reports Strong Q2 Earnings Growth

Invesco reported second-quarter 2026 diluted earnings per share of $0.76, up from $0.51 in the first quarter and a swing from a loss of $0.03 a year earlier. Adjusted diluted EPS rose to $0.71 from $0.57 in the prior quarter and $0.36 in the second quarter of 2025.

Operating revenues climbed to $1.83 billion from $1.74 billion in the first quarter and $1.52 billion a year earlier. Operating income increased to $364.2 million from $333.2 million sequentially and $214.2 million year over year. Operating margin widened to 19.9% from 19.1% in the first quarter.

On an adjusted basis, net revenues increased to $1.33 billion from $1.26 billion in the prior quarter and $1.10 billion a year ago. Adjusted operating income rose to $498.7 million from $436.0 million sequentially and $344.4 million year over year. Adjusted operating margin expanded to 37.5% from 34.5% in the first quarter and 31.2% in the second quarter of 2025.

Assets under management ended the quarter at $2.47 trillion, up 14.4% from $2.16 trillion at March 31 and 23.4% from $2.00 trillion a year earlier. Average AUM increased to $2.37 trillion from $2.22 trillion in the first quarter and $1.90 trillion in the second quarter of 2025.

Net long-term inflows reached a record $45.1 billion in the quarter, more than doubling from $21.8 billion in the first quarter and up from $15.6 billion a year earlier. Retail net long-term inflows were $47.3 billion, while institutional net long-term outflows were $2.2 billion.

By investment capability, ETFs and index brought in $30.1 billion, QQQ added $13.8 billion, China JV contributed $6.9 billion, private markets added $1.9 billion and fundamental fixed income added $0.4 billion. Those gains were partly offset by $7.7 billion of outflows from fundamental equities and $0.3 billion from multi-asset/other.

By region, the Americas generated $30.8 billion of net long-term inflows, Asia Pacific $8.2 billion and EMEA $6.1 billion.

Total net flows were $62.7 billion, up from $33.3 billion in the first quarter and $15.2 billion in the second quarter of 2025. Annualized long-term organic growth rose to 8.5% from 4.4% in the first quarter.

Cash and cash equivalents increased to $915.4 million from $806.9 million at the end of March. Debt fell to $1.62 billion from $1.97 billion, and net debt dropped to $708.6 million from $1.16 billion. The credit facility balance declined to $736.0 million from $1.08 billion.

Invesco repurchased 1.9 million common shares for $50 million in the quarter, compared with the company’s earlier pace of buybacks not specified in the release, and ended the period with 441.5 million common shares outstanding. It paid $96.8 million in common dividends and $37.0 million in preferred dividends.

For the first half of 2026, the company said it produced record net long-term inflows of $67 billion and record net revenues, up 17% from the same period last year. Following these announcements, the company's shares moved -0.7%, and are now trading at a price of $29.90. If you want to know more, read the company's complete 8-K report here.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.

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