The Tip Desk

Schroders Adjusted Operating Profit Rises 25% to £756.6 Million

The asset manager reached a new assets under management high of £823.7 billion

Schroders Plc (SDR), the asset management firm, reported a 25% year-on-year increase in adjusted operating profit to £756.6 million for the year ended 31 December 2025. The company said the result was driven by revenue growth and cost reductions achieved through a transformation programme.

Assets under management reached a record £823.7 billion, which the company attributed to supportive financial markets and positive net new business. Within the Public Markets business, the company saw net inflows of £3.7 billion, a reversal from net outflows of £21.6 billion in 2024. This shift was supported by new mandates, including £4.0 billion from St. James’s Place and £3.3 billion from PGGM.

Performance varied across other segments. Core solutions recorded net inflows of £8.1 billion, up from £5.5 billion the previous year, with assets under management increasing to £118.6 billion. Schroders Capital generated £10.9 billion in gross fundraising and increased its assets under management to £72.6 billion. Conversely, Asset Management joint ventures and associates experienced net outflows of £5.6 billion, contributing to a 7% decrease in assets under management to £94.1 billion.

Financial results for the year showed revenue of £3,250.7 million, compared to £3,067.0 million in 2024. Profit after tax attributable to equity holders of Schroders was £539.8 million, up from £417.0 million. This resulted in basic earnings per share of 34.1p, compared to 26.4p in the prior year.

Cash flow from operating activities rose to £355.8 million from £138.4 million in 2024. The company paid dividends of £335.8 million during the period. Distributable profits stood at £2.7 billion.

The company said its future focus includes expanding its active ETF range and scaling differentiated products within Schroders Capital through further balance sheet investment. Directors stated they expect the company to remain viable for at least the next five years, with a planning period extending to December 2030.

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