Revenue Growth Driven by Higher AUM-Related Fees
Revenue increased 8.7% YoY from $2.11B to $2.29B in Q2 FY2026, suggesting improved assets under management levels and/or fee rates, likely supported by market appreciation and net flows into higher-fee strategies.
Dramatic Operating Margin Expansion
Operating margin nearly doubled from approximately 6.9% to 14.1% YoY, with operating income surging 122% to $323.3M, indicating significant operating leverage and/or meaningful cost discipline relative to revenue growth.
Net Income and EPS Improvement
Net income grew 77.1% YoY to $268.2M, with basic and diluted EPS rising 88.5% to $0.49, reflecting both improved profitability and the impact of share repurchases reducing the share count.