Victory Capital Reports Third Quarter 2020 Financial Results

About this update from Victory Capital Holdings, Inc. Class A Common Stock

[{"type":"text","content":"\nThird Quarter 2020 Highlights\n\n\nTotal Assets Under Management (AUM) of $132.7 billion\n\n\nLong-term gross flows of $5.1 billion; long-term net outflows of $2.9 billion\n\n\nGAAP operating margin of 43%\n\n\nRecord adjusted EBITDA margin of 51%1\n\n\nGAAP net income of $0.76 per diluted share\n\n\nRecord adjusted net income with tax benefit of $1.00 per diluted share1\n\n\nBoard authorizes 17% increase in regular quarterly cash dividend\n\n\nBoard authorizes new $15 million share repurchase program\n\n\n SAN ANTONIO--(BUSINESS WIRE)--\nVictory Capital Holdings, Inc. (NASDAQ: VCTR) (“Victory Capital” or “the Company”) today reported financial results for the quarter and nine-months ended September 30, 2020.\n\n“I am pleased to report that Victory Capital generated record financial results for the quarter and nine-month periods,” said David Brown, Chairman and Chief Executive Officer. “Our ability to achieve industry-leading operating margins while continuing to grow and invest in our business provides strong evidence of the strength and efficiency of our business model.\n\n“Today we announced the planned acquisition of THB Asset Management, which will be our 10th Investment Franchise. THB has a 38-year history with an impressive investment performance track record. All of it strategies have consistently outperformed respective benchmarks throughout various market cycles and rank among the top tier of their strategy peer groups. THB currently manages approximately $435 million in the micro-cap, small-cap and mid-cap asset classes, including U.S., global and international strategies. These are capacity-constrained asset classes that we know well, and THB has ample room for AUM growth across its product set. Aligning with our responsible investing initiatives, all of THB’s strategies have ESG considerations fully integrated into their investment processes. In addition to serving clients in the U.S., THB has a distribution footprint in Australia and Europe and provides us with expanded opportunities in regions in which we have limited presence today. The transaction is accretive to earnings on day one and illustrates the appeal of our business model to experienced investment organizations. Moreover, our acquisition pipeline remains strong, and we continue to look for larger scale transactions that enhance our existing model.\n\n...

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