- AllianceBernstein's (AB, Financial) adjusted earnings per unit rose 9.6% year-over-year to $0.80 in Q1 2025.
- The firm recorded $2.7 billion in active net inflows, with a total AUM of $784.5 billion, up 3.4% from Q1 2024.
- AB's adjusted operating margin increased to 33.7%, with a cash distribution of $0.80 per unit payable on May 22, 2025.
AllianceBernstein Holding L.P. (AB) announced its financial results for the first quarter of 2025, highlighting notable improvements despite challenging market conditions. The firm reported an adjusted earnings per unit of $0.80, marking a 9.6% increase from the same period last year. This growth is attributed to solid inflows and effective cost management strategies.
During Q1 2025, AllianceBernstein achieved $2.7 billion in active net inflows across all distribution channels, leading to a total AUM of $784.5 billion, representing a 3.4% year-over-year increase. However, AUM declined by 1% from the previous quarter, reflecting market performance dynamics. The firm's institutional pipeline also saw a strong increase, reaching $13.5 billion, suggesting potential for future inflows.
The adjusted operating margin rose to 33.7%, up by 340 basis points year-over-year, showcasing the company's ability to manage expenses effectively. Adjusted net revenues, however, experienced a 5.2% year-over-year decline to $838 million, despite the increase in average AUM by 7.9% to $797.5 billion.
Seth P. Bernstein, President and CEO of AllianceBernstein, emphasized the ongoing organic growth in retail, institutional, and private wealth channels, with the retail channel maintaining its trajectory with gross sales of over $25 billion for the third consecutive quarter. The company's private alternative strategies significantly contributed to inflows, indicating a strong demand for non-traditional investment solutions.
Moreover, AllianceBernstein declared a cash distribution of $0.80 per unit, scheduled for payment on May 22, 2025, to unitholders of record by May 5, 2025. This reflects the firm's commitment to delivering value to its unitholders amidst market volatility.
