0001628280-26-028712
SEC filingRevenue and operating income grew strongly, driven by higher investment advisory fees and market tailwinds, though net income growth was modest due to non-operating losses.
Net cash provided by operating activities was $824.3 million, compared to $632.9 million in the prior-year period. Capital expenditures were $62.0 million, down from $82.0 million. Free cash flow was $762.3 million. The company used cash for share repurchases and dividends, reflecting its commitment to returning capital to shareholders.
Non-operating income (loss) was a loss in the current quarter compared to income in the prior-year period, driven by mark-to-market on investments. This resulted in net income growth of only 1.6% to $498.2 million, despite strong operating performance.
While average assets under management increased due to market appreciation, the company faces headwinds from market volatility and potential declines in AUM, which could impact future fee revenue.
Given the availability of our financial resources and cash expected to be generated through future operations, we do not maintain an available external source of additional liquidity. While opportunistic in our approach to stock buybacks, we will generally repurchase our common stock over time to offset the dilution created by our equity-based compensation plans.