Cohen & Steers (CNS) investor relations material

Executive summary

• Q2 2025 revenue rose to $136.1M, up 11.8% year-over-year and 1.1% sequentially, driven by higher average AUM and favorable asset mix.

• AUM reached $88.9B at June 30, 2025, up from $87.6B in Q1 and $80.7B a year earlier, with growth across open-end, institutional, and closed-end funds, mainly from $2.3B in market appreciation despite net outflows.

• Net income for Q2 2025 was $37.3M, with diluted EPS of $0.73, both slightly down sequentially but up year-over-year; operating margin, as adjusted, was 33.6%, down from Q1 but up from Q2 2024.

• Investment performance remained strong, with 89–98% of AUM outperforming benchmarks in Q2 and high Morningstar ratings for U.S. open-end funds.

• The macroeconomic environment was volatile, but the company maintained a focus on risk management, cost discipline, and operational efficiency.

Financial highlights

• Q2 2025 revenue: $136.1M (+11.8% year-over-year); adjusted net income: $37.3M; adjusted diluted EPS: $0.73.

• Expenses, as adjusted, were $89.9M in Q2 2025, up from $87.3M in Q1 2025.

• Net outflows totaled $131M in Q2 2025 after three quarters of inflows; year-to-date flows remain positive.

• Liquidity at quarter end was $323M–$348.4M, up from $295M in Q1.

• Effective fee rate held steady at 59 bps; annualized fee rates: open-end funds 67.3 bps, institutional 38.9 bps, closed-end 89.1 bps.

Outlook and guidance

• Compensation ratio expected to remain at 40.5% for 2025; full-year G&A projected to increase 7–8% over 2024, mainly from talent acquisition and business development.

• G&A growth expected to moderate to mid-single digits after 2025; effective tax rate to stay at 25.3% as adjusted.

• Management expects continued macroeconomic uncertainty and market volatility but remains confident in risk management and cost control.

• Recently enacted U.S. tax legislation is not expected to have a material impact.