Earnings Alerts

Aberdeen Group (ABDN) Earnings: AUMA Meets Estimates Amid Fee Revenue and Profit Challenges

  • Aberdeen Group‘s assets under management and administration are GBP 517.6 billion, slightly higher than the estimate of GBP 513.09 billion.
  • The company reported net outflows of GBP 900 million, close to the estimated outflows of GBP 893.6 million.
  • Adviser net outflows were also GBP 900 million, better than the estimated loss of GBP 1.18 billion.
  • Fee revenue decreased by 5.8% year-over-year to GBP 628 million, slightly under the estimated GBP 630.8 million.
  • Adjusted operating profit was GBP 125 million, a 2.3% decrease from the previous year, but exceeded the estimated GBP 120.6 million.
  • Adjusted earnings per share (EPS) increased to 7.5p, surpassing last year’s 6.8p and the estimate of 6.4p.
  • The cost-to-income ratio improved slightly to 80%, compared to the estimate of 81.2%.
  • The interim dividend per share remains unchanged at 7.3p from the previous year.
  • The company is confident about the future, aiming for an adjusted operating profit above GBP 300 million by FY 2026, and net capital generation around GBP 300 million.
  • FY 2025 cash margin for ‘interactive investor’ is expected to be between 210-220 basis points.
  • Adviser revenue margin in FY 2025 is projected to be approximately 27 basis points, mainly due to repricing.
  • The revenue margin in investments is expected to be approximately 20 basis points in FY 2025, reflecting changes in asset mix.
  • The current analyst recommendations include 4 buys, 2 holds, and 8 sells.

A look at Aberdeen Group Smart Scores

FactorScoreMagnitude
Value5
Dividend5
Growth5
Resilience4
Momentum5
OVERALL SMART SCORE4.8

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Analysts evaluating the long-term prospects of Aberdeen Group PLC are optimistic, considering the company’s impressive Smartkarma Smart Scores across various key factors. With top scores in Value, Dividend, Growth, and Momentum, Aberdeen Group is positioned favorably for future performance. These scores indicate the company’s strong fundamentals in terms of its stock valuation, dividend payouts, growth potential, and market momentum. Additionally, its resilience score, although slightly lower, still reflects a solid ability to withstand market fluctuations.

Aberdeen Group PLC, an investment company offering a wide range of investment solutions, including equities, fixed income, real estate, and alternatives, has garnered high scores across crucial metrics, reflecting positive market sentiment towards its outlook. With a strong emphasis on value, dividends, growth, and momentum, Aberdeen Group appears well-positioned to capitalize on opportunities in the investment landscape. Despite some fluctuations in resilience, the overall outlook for Aberdeen Group appears promising, supported by its diversified offerings and global customer base.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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