Invesco expects preferred buyback to lift EPS by $0.17 in 2027, reaching $0.41 run rate after term loans repaid (NYSE:IVZ)

Invesco Ltd (IVZ) reported Q3 2026 earnings, highlighting record AUM of $2.5 trillion and $100 billion in net long-term inflows. Operating margin expanded to 40.7%, with operating income up 13% sequentially and 39% year-over-year. The company repurchased $1.5 billion in preferred stock, reducing leverage. ETF AUM reached $775 billion with $29 billion in net inflows. However, fixed income and equities saw net outflows, and revenue yield declined to 21.5 basis points.

Invesco reported Q3 net outflows of $2.6B in fixed income but $1.3B inflows overall, with strong demand in active fixed-income ETFs and multi-asset strategies. China joint venture saw $1.5B inflows, while private markets had $400M outflows. Adjusted operating income rose 13% to $562M, with net revenue at $1.4B. The company repurchased $1.5B in preferred stock, expecting $88.5M annual savings. Invesco (IVZ) aims for a 60% total payout ratio, including dividends and buybacks.

Invesco Ltd. reported Q3 2026 earnings with 6.5% year-to-date organic growth, driven by global inflows and record AUM in ETFs. Operating margin expanded to 40.7%, and management reduced leverage. The China JV saw record AUM, and the firm plans to repurchase $1.5B in preferred stock. Guidance includes a 60% payout ratio and high 30s margin sustainability. Strategic focus is on private markets, active ETFs, and model portfolios.

Invesco (IVZ) reported Q3 2026 earnings with $1.4B net revenue, $2.5T AUM, and $0.72 adjusted EPS. Key highlights include $35.1B net inflows, 6.3% organic growth, and 40.7% operating margin. The company repurchased $1.5B in preferred stock and reduced debt by $393M. Management noted risks from lower-yielding assets and market volatility in China.

Invesco reported Q3 2026 adjusted earnings of $0.72 per share, missing estimates but up from $0.61 in Q3 2025. Revenue grew 16.5% to $1.4B. The company repurchased $1.5B of preferred stock, expecting earnings accretion in 2027. Net income rose 4.9% quarter-over-quarter to $355.6M, with AUM increasing 6% to $2.5T.

Fitch Ratings changed Invesco's outlook to negative due to debt-funded preferred stock redemptions, including a $1.5B redemption using a new loan. This may increase leverage and reduce interest coverage, though Invesco has strong liquidity and fee-related EBITDA growth. Fitch affirmed Invesco's ratings but warned of a potential downgrade if leverage isn't reduced.