TROW · T. Rowe Price Group, Inc.

T. Rowe Price reported first quarter 2026 results with GAAP diluted EPS of $2.23, up 3.7% year-over-year, and adjusted diluted EPS of $2.52, up 13.0% year-over-year. Net revenues of $1.86 billion increased 5.3% from the prior year, driven by higher investment advisory fees across all asset classes, partially offset by lower administrative and distribution fees. Operating expenses rose 0.8% to $1.18 billion, with increases in technology costs and distribution expenses, partly offset by lower compensation and advertising costs. Adjusted operating expenses increased 1.8% to $1.16 billion. Net income attributable to T. Rowe Price was $498.2 million, up 1.6% year-over-year. Assets under management ended the quarter at $1.7 trillion, down from $1.78 trillion at year-end 2025, reflecting net client outflows of $13.7 billion and market depreciation of $52.2 billion. Net outflows were concentrated in equity strategies, while fixed income and alternatives saw net inflows. The effective fee rate declined to 38.4 basis points from 40.0 bps a year ago due to mix shift toward lower-fee products. Management highlighted the firm's active management approach as advantageous amid market volatility and noted ongoing expense management initiatives, including a $10 million restructuring charge. The company returned $629 million to stockholders through dividends and share repurchases.