DWS Group (DWS) investor relations material

Executive summary

• Record Q3 net flows of €30.9bn, including €16.6bn in long-term flows, lifted AuM to €1,221bn; Xtrackers also recorded record inflows.

• Record 9M net flows reached €66.7bn; 9M revenue rose 6% YoY and profit before tax rose 11%, delivering the strongest first-nine-month financial results.

• Q3 profit before tax increased 6% QoQ to €325m as recurring management fees and cost discipline supported profitability.

Financial highlights

• Q3 revenue was €784m, up 4% YoY and 1% QoQ; management fees and other recurring revenues were €745m, up 14% YoY and 5% QoQ.

• Q3 costs were €459m, down 2% QoQ and up 6% YoY; net income was €230m, down 3% QoQ and up 5% YoY.

• 9M revenue rose 6% YoY to €2,378m and profit before tax rose 11% to €1,006m; 9M costs rose 2% to €1,372m.

• Q3 performance and transaction fees were €7m amid lower real estate transaction volumes; other revenues were €32m.

• Q3 net income declined QoQ partly because Q2 included a positive one-off tax effect; no Q4 tax benefit is expected.

Outlook and guidance

• 2026 performance fees are expected at the upper end of the 4%-8% guidance; Concept Kaldemorgen had accrued ~€50m by Q3, with its main contribution expected in Q4.

• 2027 performance fees are expected at the low-to-mid end of guidance, reflecting infrastructure fund maturity and the final PEIF II asset sale.

• The 2026 cost base is expected broadly in line with 2025; the 2026 cost-income ratio target is 55%-57%, with a below-55% goal for 2027.

• EPS growth ambition is 10%-15% annually in 2026-2028; management expects at least 10% clean EPS growth in 2026 before tax benefit.

• Growth priorities include digital distribution, European investment opportunities, expansion in top-five economies, German home-market opportunities and deeper Deutsche Bank collaboration.