AI Takeaway
Invesco (IVZ) reported a sharp swing to an operating loss of $695.7M in FY2025 despite a 5.1% revenue increase to $6.38B, driven by significant one-time charges, while operating cash flow improved 28.2% to $1.53B and long-term debt more than doubled to $1.83B.
Revenue
$6.38B
++5.11% YoY
EPS (Basic)
$-1.60
-235.59% YoY
Operating Income
$-695.7M
-183.61% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-K filing
IVZ grew total revenue 5.1% year-over-year to $6.38B in FY2025, suggesting continued asset management fee generation and AUM growth, yet this top-line improvement was more than offset by cost increases that drove operating income from a gain of $832.1M to a loss of $695.7M.
Source: Source: 10-K Income Statement
Operating income swung from a positive $832.1M in the prior year to a loss of $695.7M in FY2025, a deterioration of approximately $1.53B, implying substantial one-time charges, impairments, or restructuring costs that are not reflected in the revenue line.
Source: Source: 10-K Income Statement
Despite the reported operating loss, operating cash flow improved 28.2% to $1.53B, indicating that the operating loss likely includes significant non-cash charges (e.g., goodwill impairment or write-downs) that do not affect cash generation.
Source: Source: 10-K Cash Flow Statement
2 more insights available
Upgrade to unlockThe dramatic swing from operating profit to a $695.7M operating loss despite revenue growth strongly suggests large non-cash impairment charges on goodwill or intangible assets. If AUM declines or market conditions deteriorate further, additional impairments could recur, further eroding book value.
Source: Source: 10-K Income Statement & Balance Sheet
Unlock 4 more detailed risk analysis
Upgrade to unlockReported EPS of $0.62 versus the $0.59 analyst consensus — a +5.7% beat for FY2025.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $6.38B | $6.07B | +5.11% |
Operating Income | $-695.7M | $832.1M | -183.61% |
EPS (Basic) | $-1.60 | $1.18 | -235.59% |
EPS (Diluted) | $-1.60 | $1.18 | -235.59% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $27.09B | $27.01B | +0.32% |
Total Liabilities | $14.09B | $11.34B | +24.24% |
Stockholders' Equity | $12.23B | $14.56B | -16.00% |
Cash & Equivalents | $1.04B | $986.5M | +5.17% |
Long-Term Debt | $1.83B | $890.6M | +104.93% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $1.53B | $1.19B | +28.18% |
Investing Cash Flow | $-974.4M | $68.4M | -1524.56% |
Financing Cash Flow | $-149.5M | $-1.66B | +91.00% |
Share Buybacks | $123.6M | $79.3M | +55.86% |
D&A | $155.9M | $179.6M | -13.20% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Margin | -10.9% | 13.7% | -24.62% |
Debt to Equity | $1.152 | — | — |
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IVZ reported an operating loss of $695.7M in FY2025 compared to operating income of $832.1M in the prior year, a swing of approximately $1.53B. This occurred despite a 5.1% revenue increase to $6.38B, strongly suggesting large non-cash charges such as goodwill impairment or asset write-downs rather than a fundamental deterioration in the business. Operating cash flow actually improved 28.2% to $1.53B, supporting the view that the loss is primarily accounting-driven.
Invesco's revenue grew 5.1% year-over-year to $6.38B in FY2025, up from $6.07B in the prior year. This top-line growth suggests continued momentum in asset management fees, likely supported by AUM growth or new product flows, even as profitability was significantly impacted by large charges below the revenue line.
IVZ's financial health shows a mixed picture: operating cash flow is strong at $1.53B (+28.2%), but long-term debt more than doubled to $1.83B and stockholders' equity declined 16.0% to $12.23B, pushing the debt-to-equity ratio to approximately 1.15x. The large operating loss and rising leverage warrant close monitoring, though the robust cash generation provides a meaningful buffer.
Yes, Invesco's long-term debt more than doubled from $890.6M to $1.83B in FY2025, a 104.9% increase. This contributed to a 24.2% rise in total liabilities to $14.09B and was likely associated with the significant increase in investing outflows (-$974.4M vs. +$68.4M prior year), suggesting capital was deployed into acquisitions or strategic investments.
The key takeaways from IVZ's FY2025 10-K are: revenue grew 5.1% to $6.38B, but operating income swung to a loss of $695.7M (from +$832.1M), EPS fell to -$1.60 from +$1.18, and long-term debt doubled to $1.83B. On the positive side, operating cash flow rose 28.2% to $1.53B, suggesting the losses are largely non-cash in nature, and the company continued to return capital via $123.6M in share buybacks.