T. Rowe Price Group Stock Earnings Reports

T. Rowe Price reported Q1 2026 adjusted EPS of $2.52 (up 13% YoY, 3% QoQ) on adjusted net revenue of >$1.8 billion. Assets under management were $1.71 trillion at quarter end with $13.7 billion of net outflows; average AUM rose ~9.6% YoY. Net flows were positive in multi-asset, fixed income, alternatives, Target Date ($4.9B inflows), ETFs ($2.8B inflows) and SMAs (~$962M), while active equity and mutual fund vehicles—especially U.S. growth—continued to see outflows. ETF AUM surpassed $25 billion (32 ETFs, two launched this quarter) and SMAs reached >$17 billion. Performance: roughly half of funds beat peer medians on a 1-year basis, stronger on longer horizons (notably 3-, 5-, 10‑year asset-weighted outperformance in several categories). Operating expenses were $1.14 billion (Q1), reflecting expense management; full‑year 2026 adjusted operating expenses (ex‑carried interest) are expected to be up 3–6% vs. 2025. Capital return remains a priority: dividend raised to $1.30 (40th consecutive annual increase) and ~$340M of buybacks in Q1. Strategic initiatives include deeper expansion in ETFs, SMAs, interval funds, a collaboration with Goldman Sachs (product/model development, interval fund & target date sister series), international ETF plans, a First Abu Dhabi Bank partnership for mid‑2026 launch, and work with Aspida and OHA to expand insurance and alternatives capabilities. Oak Hill (OHA) update: OHA manages ~$112B AUM (incl. committed capital/leverage), ~ $30B dry powder, and sees attractive deployment opportunities from wider spreads and less competition in parts of credit markets; they emphasize disciplined underwriting and view current retail redemption activity as idiosyncratic to certain products rather than systemic. Management remains opportunistic on M&A and will selectively deploy capital (buybacks, investments, seed/co-invest) to grow alternatives and other strategic capabilities.