Schroders PLC

Latest Results (24.12.2024):

Assets Under Management

In the full-year results for 2023, Schroders PLC reported a growth in assets under management (AUM) to £750.6 billion. This increase was driven by positive net new business (NNB), market movements, and strong investment performance. The strategic growth areas of Wealth Management, Private Markets, and Solutions attracted a robust NNB of £23.1 billion, contributing significantly to the overall AUM growth.

Revenue and Operating Profit

Schroders PLC's net operating revenues for 2023 were £2,334.4 million. Despite facing headwinds from lower average AUM and adverse foreign exchange movements, performance-based revenues helped mitigate these challenges. The company maintained stable operating expenses at £1,758.0 million, resulting in an operating profit of £661.0 million for the year.

Profit Before Tax

For the year 2023, Schroders PLC reported a profit before tax and restructuring costs of £573.8 million. The statutory profit before tax was £487.6 million, after accounting for £86.2 million in efficiency initiatives. These initiatives were aimed at enabling further reinvestment in the business, positioning the company for future growth.

Dividend Announcement

Schroders PLC recommended a final dividend of 15.0 pence per share for the year 2023. This brings the total dividend for the year to 21.5 pence per share, reflecting the company's commitment to delivering value to its shareholders despite the challenging market conditions.

Strategic Growth and Outlook

Schroders PLC's strategic growth areas now account for 56% of its AUM and 48% of net operating revenue. The company continues to focus on high-quality growth areas, with long-term investment performance remaining strong. Looking forward, Schroders is well-positioned to capitalize on market opportunities, with expectations of interest rates falling and a potential rotation of clients' assets back into risk assets.