Victory Capital Holdings . Class A Stock Earnings Reports

Victory Capital delivered an exceptional Q1 2026 driven by strong sales, margin resiliency and progress on integration of the Pioneer acquisition. Key financials: total client assets of $313B, record long‑term gross flows of $18.9B (up 11% QoQ; +104% YoY), Q1 revenue of $388M, adjusted EBITDA of $204M (margin 52.6%), and adjusted diluted EPS of $1.82 (+34% YoY). ETF AUM exceeded $20B (up 53% YoY) with $1.3B of ETF net flows in the quarter. International distribution (Amundi partnership / UCITS launches) reached $55B AUM across 60 countries and was net flow positive. Integration of Pioneer is substantially complete: ~$104M of $110M expected net expense synergies achieved, with the remainder expected in 2026. Capital allocation: returned $185M this quarter (2M shares repurchased plus dividend); Board raised the quarterly dividend to $0.50; trailing 12‑month capital return was $512M. Balance sheet remains healthy with net leverage ~1.1x and $100M revolver undrawn. Guidance/details: management expects a normalized average fee rate in the ~46–47 bps range (Q1 was ~47.6 bps, aided by some annual fees recognized in Q1), and reiterated that strategic M&A is the primary use of capital while share repurchases complement that strategy. Investment performance is strong (68% of rated AUM 4– or 5‑star; 71% of AUM outperformed 1‑yr benchmark, 81% over 10 yrs).