Victory Capital Holdings, Inc. Class A Common Stock · NASDAQ:VCTR
Victory Capital Holdings, Inc. Class A Common Stock — Q4 2025 Earnings Presentation
36 slides from Victory Capital Holdings, Inc. Class A Common Stock's earnings presentation, Feb 5, 2026
Slide 1: Fourth Quarter 2025 Earnings Presentation
Fourth Quarter 2025 Earnings Presentation February 5, 2026
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements reflect our current expectations regarding future events, results or outcomes. These expectations may or may not
Slide 3: Agenda
Agenda Quarterly Business Overview Investment Performance Fourth Quarter 2025 Financial Results Appendix 3
Slide 4: Quarterly Business Overview
Quarterly Business Overview
Slide 5: Business Overview
Business Overview Total client assets of $317Bn Q4 2025 Adjusted EBITDA of $197.5MM Business Adjusted EBITDA margin of 52.8% Highlights Adjusted earnings per diluted share with tax benefit of $1.78 Record highs: Gross Sales AUM Revenue EBITDA Earnings Per Share Full-Year 2025 C
Slide 6: ETF Platform Update
ETF Platform Update 2025 Net Flows ETF AUM (Bn) $6.4 Bn +63% annual organic growth Gaining Momentum $20 ETF AUM up 85% Y-o-Y CAGR of 28% since 2017 Distribution $15 Investing in intermediary platform partnerships Winning new platform placements and home office $10 recommendations Commenced
Slide 7: International Business Update
International Business Update 22 UCITS $55 Bn of AUM Strong Net Flow Profile Net flow positive since acquisition close Equity Net flow positive in Q4 2025 US Equity Global Equity Enhanced Income Equity Non-US Distribution Organization Increasing investments in pre-existing Fixed Income U
Slide 8: Investment Performance
J Victory Capital Investment Performance
Slide 9: Commitment to Long-Term Investment Performance
Commitment to Long-Term Investment Performance 54 Total Mutual Funds and ETFs with 4- or 5-Star overall ratings 65% Total Mutual Funds and ETFs AUM with 4- or 5-Star overall ratings AUM outperforming benchmarks Strategies outperforming benchmarks 78% 69% 68% 68% 62% 63% 63% 60% 1-year period 3-year
Slide 10: Long-Term Growth & Capital Allocation Strategy
Long-Term Growth & Capital Allocation Strategy Enhancing Shareholder Value by: Enhancing Balance Sheet Flexibility with: Improving platform with every strategic acquisition Capital allocation policy that supports growth strategy Evolving product set to drive organic growth Strong free cash f
Slide 11: Acquisition Opportunity Set in US
Acquisition Opportunity Set in US > $200Bn $52.4Tr Prior Transformative Acquisitions 2025 AUM: $114 Bn $100Bn - $200Bn Focus Area ~$11.1 ~68% of AUM $6.4 Trillion Trillion of AUM; AUM: $19 Bn >110 Firms 2021 $75Bn - $100Bn ~12% of AUM $2.4 Trillion AUM: $81 Bn 2019 ~127% of AUM $50Bn - $75Bn $2.3 Tr
Slide 12: Fourth Quarter 2025 Financial Results
Fourth Quarter 2025 Financial Results
Slide 13: Financial Results
Financial Results Revenue of $374.1MM GAAP Operating Income of $153MM GAAP Net Income of $1.32 per diluted share Q4 2025 Financial Adjusted EBITDA of $197.5MM Results 52.8% Adjusted EBITDA margin Adjusted Net Income with tax benefit of $151.7MM Adjusted Net Income with tax benefit of $
Slide 14: Total Client Assets
Total Client Assets Total Client Assets at Period End ($Bn) Well-diversified US Retail US Institutional US Direct International distribution channels, client base, and geographies 350 313.4 316.6 US Retail 301.6 300 US Institutional 250 US Direct International 200 171.4 Clients in 60 cou
Slide 15: Long-Term AUM Flows
Long-Term AUM Flows Long-Term AUM Flows ($Bn) Gross long-term flows for the quarter of $17.1Bn 3/31/18 Gross Flows Gross Redemptions Net Flows Multiple Investment Franchises / Platforms generated positive net long-term flows during the quarter or year Pioneer Investments VictoryShares ETFs 1
Slide 16: Revenue
Revenue Total Revenue ($MM) • Revenue up 4% quarter- over-quarter 374.1 351.2 361.2 Up 61% vs Q4 2024 • Higher average and EOP AUM Q-o-Q and Y-o-Y • Full year 2025 revenue up 46% from 2024 219.6 • Average fee rate up Q-o-Q Operating Metrics Q1 ‘25 Q2 ‘25 Q3 ‘25 Q4 ‘25 Average Total AUM ($Bn) 173.8
Slide 17: Expenses
Expenses Total Expenses ($MM) Compensation and other variable expenses in line Compensation Other Operating Non-Operating with expectations Cash compensation, % of revenue Lower acquisition, restructuring, and integration 264.2 120.0% expense 231.9 232.5 100.0% Achieved ~$97MM of the 80.0% exp
Slide 18: Non-GAAP Metrics
Non-GAAP Metrics 9/30/17 Adjusted net income with tax $MM (except per-share data) benefit per diluted share up Adjusted Net Income Tax benefit ANI with tax benefit per share 9% from previous quarter $180.0 $1.78 Adjusted net income with tax $1.63 $1.57 $1.75 benefit up 7% quarter over 151.7 quar
Slide 19: Capital Management
Capital Management ($mm) 3/31/18 Selected Balance Sheet Items Dec 31, 2025 Interest Expense and Other Debt ($MM) Financing Costs ($MM) Cash / Cash Equivalents ($MM) 164 972 972 985 983 Debt ($MM) 983 15.2 13.2 13.2 13.1 Stockholders' Equity ($MM) 2,425 Diluted Shares Outstanding (MM) 85.2 Net Debt /
Slide 20: Appendix
J VictoryC Appendix
Slide 21: Growth of Adjusted EPS with Tax Benefit
Growth of Adjusted EPS with Tax Benefit Quarterly EPS up 345% $2.00 Strong History $1.80 of EPS Growth $1.60 $1.40 $1.20 $1.00 $0.80 IPO Q1 2018 $0.60 $0.40 $0.20 $0.00 21
Slide 22: Cash Dividends Per Share
Shareholder Value Creation since IPO Dec. 31, 2025 $0.80 $63.09 $70 Cash Dividends Per $0.70 Share Total Shareholder Stock Price Return of 475% $60 Cash Dividends Per Share $0.60 $50 $0.50 Stock Price $40 $0.40 IPO: $30 $0.30 Feb 7, 2018 $20 $0.20 $13.00 $0.10 $10 $0.00 $- Shares Outstanding (MM) 90
Slide 23: Growth of Adjusted EBITDA & Margin Expansion
Growth of Adjusted EBITDA & Margin Expansion Quarterly Adjusted $197.5 EBITDA up 396% MILLION $200 52.8% $150 Adj EBITDA Margin Expanded Adjusted EBITDA 1,490bps $100 $39.8 MILLION $50 IPO Q1 2018 37.9% $0 23
Slide 24: Ongoing and Future Cash-Tax Benefits
Ongoing and Future Cash-Tax Benefits Section 338(h)(10) Election • Stepped up cost basis of acquired indefinite lived intangible assets is deductible for corporate income tax purposes over 15 years o $1.4Bn in total future tax amortization o $350MM in future cash tax savings, assuming 25% tax rate o
Slide 25: Notes and Disclosures
Notes and Disclosures Information Regarding Non-GAAP Financial Measures Victory Capital uses non-GAAP financial measures referred to as Adjusted EBITDA and Adjusted Net Income to measure the operating profitability of the Company. These measures eliminate the impact of one-time acquisition, restruct
Slide 26: Notes and Disclosures
Notes and Disclosures Information Regarding Non-GAAP Financial Measures (cont.) Adjusted Net Income Adjustments made to GAAP Net Income to calculate Adjusted Net Income, as applicable, are: • Adding back other business taxes; • Adding back amortization expense on acquisition-related intangible asset
Slide 27: Consolidated Reconciliations of Adjusted EBITDA
Consolidated Reconciliations of Adjusted EBITDA For the three months ended, (in thousands except percentages) 12/31/2024 03/31/2025 06/30/2025 09/30/2025 12/31/2025 GAAP Net income $ 76,939 $ 61,975 $ 58,734 $ 96,541 $ 112,812 GAAP Income tax expense (21,654) (18,426) (28,252) (32,733) (28,847) GAAP
Slide 28: Historical Reconciliations of Adjusted EBITDA
Historical Reconciliations of Adjusted EBITDA For the three months ended, (in thousands except percentages) 3/31/2018 6/30/2018 9/30/2018 12/18/2018 3/31/2019 6/30/2019 9/30/2019 12/31/2019 3/31/2020 6/30/2020 9/30/2020 GAAP Net income $ 10,524 $ 18,675 $ 20,590 $ 13,915 $ 14,527 $ 14,383 $ 25,992 $
Slide 29: Consolidated Reconciliations of Adjusted Net Income
Consolidated Reconciliations of Adjusted Net Income For the three months ended, (in thousands, except per-share data) 12/31/2024 03/31/2025 06/30/2025 09/30/2025 12/31/2025 GAAP Net Income $ 76,939 $ 61,975 $ 58,734 $ 96,541 $ 112,812 Other business taxes 376 922 693 637 1,101 GAAP amortization of a
Slide 30: Historical Reconciliations of Adjusted Net Income
Historical Reconciliations of Adjusted Net Income 3/31/2018 6/30/2018 9/30/2018 12/31/2018 3/31/2019 6/30/2019 9/30/2019 12/31/2019 3/31/2020 6/30/2020 9/30/2020 GAAP Net Income $ 10,524 $ 18,675 $ 20,590 $ 13,915 $ 14,527 $ 14,383 $ 25,992 $ 37,589 $ 57,166 $ 44,720 $ 55,741 Other business taxes 37
Slide 31: Detailed Reconciliation of Q4 '25 Adjusted Net Income
Detailed Reconciliation of Q4 ‘25 Adjusted Net Income Three months ended December 31, 2025 (in thousands, except per-share amounts) Adjustments GAAP Amortization of Tax Benefit of Other Acquisition- Acquisition, Goodwill and U.S. GAAP Business Related Stock-Based Restructuring and Debt Issuance Tota
Slide 32: Detailed Reconciliation of Q3 '25 Adjusted Net Income
Detailed Reconciliation of Q3 ‘25 Adjusted Net Income Three months ended September 30, 2025 (in thousands, except per-share amounts) Adjustments GAAP Amortization of Tax Benefit of Other Acquisition- Acquisition, Goodwill and U.S. GAAP Business Related Stock-Based Restructuring and Debt Issuance Tot
Slide 33: Detailed Reconciliation of Q2 '25 Adjusted Net Income
Detailed Reconciliation of Q2 ‘25 Adjusted Net Income Three months ended June 30, 2025 (in thousands, except per-share amounts) Adjustments GAAP Amortization Tax Benefit of Other of Acquisition- Acquisition, Goodwill and U.S. GAAP Business Related Stock-Based Restructuring and Debt Issuance Total No
Slide 34: Detailed Reconciliation of Q1 '25 Adjusted Net Income
Detailed Reconciliation of Q1 ‘25 Adjusted Net Income Three months ended March 31, 2025 (in thousands, except per-share amounts) Adjustments GAAP Amortization Tax Benefit of Other of Acquisition- Acquisition, Goodwill and U.S. GAAP Business Related Stock-Based Restructuring and Debt Issuance Total N
Slide 35: Detailed Reconciliation of Q4 '24 Adjusted Net Income
Detailed Reconciliation of Q4 ‘24 Adjusted Net Income Three months ended December 31, 2024 (in thousands, except per-share amounts) Adjustments GAAP Amortization Tax Benefit of Other of Acquisition- Acquisition, Goodwill and U.S. GAAP Business Related Stock-Based Restructuring and Debt Issuance Tota
Slide 36: Notes and Disclosures
Notes and Disclosures Investing involves risk, including the potential loss of principal. There are no assurances that any fund or strategy will achieve its stated objective. All data in this presentation, unless otherwise noted, is as of December 31, 2025. Past performance does not guarantee future
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