Alliancebernstein Holding L.p. · NYSE:AB

Alliancebernstein Holding L.p — Q3 2025 Earnings Presentation

31 slides from Alliancebernstein Holding L.p's earnings presentation, Oct 23, 2025

  1. Slide 1: Third Quarter 2025 Review

    Third Quarter 2025 Review October 23, 2025 Seth P. Bernstein, President & Chief Executive Officer Tom Simeone, Chief Financial Officer

  2. Slide 2: Cautions Regarding Forward-Looking Statements

    Cautions Regarding Forward-Looking Statements Certain statements provided by management in this presentation are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are subject to risks, uncertainties and other fact

  3. Slide 3: Key Business Highlights Third Quarter 2025

    Key Business Highlights Third Quarter 2025 $860bn Record Firmwide AUM Across $707bn Asset Management and $153bn Private Wealth 1 • Private markets AUM: $80 billion | Retirement & Lifetime Income: $105 billion | SMAs: $58bn | 21 Active ETFs: $10bn • Growing earnings power: 3Q25 revenue (ex-BRS) 7% 3-

  4. Slide 4: Key Financial Highlights Third Quarter 2025

    Key Financial Highlights Third Quarter 2025 3Q25 3Q24 2Q25 AUM and Flows End of Period AUM $860.1 $805.9 $829.1 (USD Billions, Except Fee Rate) Average AUM $840.8 $785.9 $799.5 Equitable ("EQH") AUM $135.7 $133.4 $137.8 Private Markets AUM* $79.5 $67.7 $77.1 Gross Sales $42.4 $35.5 $27.9 Net Flows (

  5. Slide 5: Percentage of Assets Outperforming at Quarter-End

    Percentage of Assets Outperforming at Quarter-End Fixed Income One-Year Three-Year Five-Year 92 87 86 81 75 64 65 63 70 57 57 61 59 57 30 3Q:24 4Q:24 1Q:25 2Q:25 3Q:25 3Q:24 4Q:24 1Q:25 2Q:25 3Q:25 3Q:24 4Q:24 1Q:25 2Q:25 3Q:25 Equities One-Year Three-Year Five-Year 67 65 55 52 57 53 45 47 48 41 45

  6. Slide 6: Retail Highlights

    Retail Highlights Active Equity Outflows Offset Fixed Income Organic Gains Management Fees Trending Roughly In-Line With Avg. AUM USD Billions USD millions Gross Sales Gross Redemptions Net Flows Base Fees Performance Fees $26.6 $26.4 $25.7 $22.6 $0 $19.4 $1 $0 $1 $6 $5.4 $1.1 $0.9 $376 $384 ($1.7)

  7. Slide 7: Institutional Highlights

    Institutional Highlights Robust Channel Demand for Private Alternatives Pipeline Fee Rate Rebounds with Accretive Mandate Wins USD Billions Gross Sales Gross Redemptions Net Flows $ Billions Pipeline AUM (EoP) Fee Rate (Bps) $21.9 $14.0 $20 80 $4.2 $4.6 $3.7 $2.2 $13.5 $2.0 (ex-RGA) $15 60 $0.7 $10.

  8. Slide 8: Private Wealth Highlights

    Private Wealth Highlights Strong Sales and Highest Inflows & NNA Since 1Q23 Diversified Revenue Streams, Uncaptured in Base Fee Rate USD Billions USD millions Gross Sales Gross Redemptions Net Flows NNA Base Fees Performance Fees Net Interest Margin $5.8 $5.8 $4.7 $5.2 $4.8 $17 $2.6 $1.9 $2.2 $1.3 $

  9. Slide 9: Differentiated Expertise in DC Solutions

    Differentiated Expertise in DC Solutions 20 years of experience in retirement innovation and research Highlights $104.5 Billion $13.5 Billion $5 Billion • Received Department of Labor Advisory Custom target-date Lifetime Income Secured income benefits* Opinion validating AB Lifetime Income assets un

  10. Slide 10: AB Private Alternatives: Diversified Platform, Differentiated Return Streams

    AB Private Alternatives: Diversified Platform, Differentiated Return Streams Strong year-over-year growth, progressing steadily towards our target range of $90-100 billion Core Private Markets Capabilities Corporate Direct Lending Alternative Credit • Middle market corporate direct $22.4 • Asset-bas

  11. Slide 11: Select Adjusted Financials and Ratios

    Select Adjusted Financials and Ratios Revenues 3Q25 3Q24 Percent ∆ 2Q25 Percent ∆ Base Fees* $821 $785 5% $772 6% Performance Fees: Private Markets† 19 24 (22)% 22 (15)% Public Markets 1 2 (26)% 8 (82)% Investment Gains (Losses) 8 0 n.m. 8 5% Dividend & Interest Revenue 32 36 (12)% 31 2% Other Reven

  12. Slide 12: Base Fee Rate Increased Sequentially

    Base Fee Rate Increased Sequentially Firmwide Base Fee Rate—Last Five Years Long-Term Supportive Trends Basis points, net of distribution costs Idiosyncratic to AB: • Institutional deployments into alts 45 • Organic growth in offshore equity MFs, offshore fixed income 43 • Organic, NNA and market gr

  13. Slide 13: Large Portion of Recurring Performance-Related Fees, Driven by Privates

    Large Portion of Recurring Performance-Related Fees, Driven by Privates Annual Performance Fees—Private and Public Markets USD Millions • We now expect total FY25 performance fees of $130–$155 $227 FY25 total performance million, up from $110–130 million across private and fees $130-$155 million pub

  14. Slide 14: Ahead of 33% FY25 Margin Target, Led by Scale and Improved Markets

    Ahead of 33% FY25 Margin Target, Led by Scale and Improved Markets Adjusted Operating Margin Path 4Q24 Avg YTD Avg AUM $801bn AUM $814bn YTD ‘25 +110bps 33.4% +40bps ahead of 32.3% our market-neutral FY25 projection of 33%, driven by higher AUM & improved operational leverage FY24 YTD Margin YTD YTD

  15. Slide 15: Permanent Capital Flywheel: Strengthening our Partnership with EQH

    Permanent Capital Flywheel: Strengthening our Partnership with EQH EQH’s long-duration capital matched to AB’s differentiated capabilities unlocks combined opportunity Growth Avenues Target for AB Expand private assets 1 Permanent and grow EQH GA Capital Unlock Private Opportunity Scale insurance so

  16. Slide 16: Appendix

    Appendix 3Q25 Earnings Review 16

  17. Slide 17: Retail Mutual Funds Relative Performance vs. Morningstar Averages

    Retail Mutual Funds Relative Performance vs. Morningstar Averages 1 Year 3 Year 5 Year 10 Year Relative Relative Relative Relative Retail Service (%) Percentile (%) Percentile (%) Percentile (%) Percentile Equity Large Cap Growth (4.3) 68 (2.0) 70 0.6 47 0.9 34 Concentrated Growth (16.2) 97 (11.8) 9

  18. Slide 18: Retail Mutual Funds Relative Performance vs. Morningstar Averages

    Retail Mutual Funds Relative Performance vs. Morningstar Averages 1 Year 3 Year 5 Year 10 Year Service Relative (%) Percentile Relative (%) Percentile Relative (%) Percentile Relative (%) Percentile Fixed Income American Income (0.3) 66 1.0 25 (0.3) 59 0.2 40 European Income (0.1) 57 2.0 22 (0.1) 54

  19. Slide 19: Institutional Composite Relative Performance vs. Benchmarks

    Institutional Composite Relative Performance vs. Benchmarks Service 1 Year 3 Year 5 Year 10 Year Equity US Small Cap Growth (7.5) (0.8) (2.3) 0.9 Global Core (7.9) (3.2) (2.6) (0.6) International Strategic Core 2.0 0.5 (0.1) 1.1 Sustainable Global Thematic (13.8) (7.9) (6.1) 0.2 US Small Cap Value (

  20. Slide 20: Assets Under Management: 3Q25

    Assets Under Management: 3Q25 (US $ Billions) September 30, 2025 June 30, 2025 Institutions Private Wealth Retail Total Total Equity Actively Managed $52 $60 $170 $282 $273 Passive (1) 28 8 40 76 71 Total Equity 80 68 210 358 344 Fixed Income Taxable 119 21 75 215 214 Tax-Exempt 2 32 52 86 80 Passiv

  21. Slide 21: Three Months Ended 9/30/25: AUM Roll-Forward by Distribution Channel

    Three Months Ended 9/30/25: AUM Roll-Forward by Distribution Channel In US $ Billions Beginning Sales/New Redemptions/ Net Cash Net Investment Net End Investment Service: of Period Accounts Terminations Flows Flows Performance Change of Period Institutions US $171.1 $10.1 $(1.9) $(10.2) $(2.0) $5.2

  22. Slide 22: Three Months Ended 9/30/25: AUM Roll-Forward by Investment Service

    Three Months Ended 9/30/25: AUM Roll-Forward by Investment Service In US $ Billions Beginning Sales/New Redemptions/ Net Cash Net Investment Net End Investment Service: of Period Accounts Terminations Flows Flows Performance Change of Period Equity Active US $192.0 $6.3 $(10.6) $(1.9) $(6.2) $9.6 $3

  23. Slide 23: Three Months Ended 9/30/25: Active vs. Passive Net Flows

    Three Months Ended 9/30/25: Active vs. Passive Net Flows Actively Passively Managed Managed (1) Total Equity $(6.4) $1.2 $(5.2) Fixed Income (0.1) (0.2) (0.3) Alternatives/MAS (2) 3.1 0.1 3.2 Total $(3.4) $1.1 $(2.3) (1) Includes index and enhanced index services. (2) Includes certain multi-asset so

  24. Slide 24: Assets Under Management By Region

    Assets Under Management By Region Institutional Geographic Breakdown Retail Geographic Breakdown Japan Other Other APAC ex 3% 3% 2% Japan 6% EMEA 9% EMEA 10% Japan 13% APAC ex Japan US US 16% 60% 78% $351.4B $356.2B As of September 30, 2025 By Client Domicile Percentages may not add up to 100% due t

  25. Slide 25: Third Quarter 2025 GAAP Income Statement

    Third Quarter 2025 GAAP Income Statement Income Statement (in US $ Millions) 3Q25 3Q24 %∆ 2Q25 %∆ Base Fees $852 $814 5% $805 6% Performance Fees 22 29 (24)% 39 (43)% Distribution Revenues 210 189 11 % 198 6% Dividends & Interest 36 39 (8)% 36 (1)% Investment (Losses) (3) (4) (23)% (8) (65)% Other R

  26. Slide 26: Third Quarter 2025 GAAP Income Statement

    Third Quarter 2025 GAAP Income Statement In US $ Millions (except EPU) 3Q25 3Q24 %∆ 2Q25 %∆ Net Revenues $1,137 $1,085 5% $1,089 4% Operating Expenses 854 720 19 % 867 (2)% Operating Income 283 365 (22)% 222 28 % Net Income Attributable to AB Unitholders 259 346 (25)% 210 23 % AB Holding GAAP Net In

  27. Slide 27: Third Quarter 2025 AB Holding Financial Results

    Third Quarter 2025 AB Holding Financial Results In US $ Millions (excluding per Unit amounts) 3Q25 3Q24 %∆ 2Q25 %∆ AB Net Income Attributable to AllianceBernstein $259 $346 (25)% $210 23 % Weighted Average Equity Ownership Interest 31.4 % 39.4 % 37.5 % AB Holding Equity in Net Income Attributable to

  28. Slide 28: Third Quarter 2025 Adjusted Advisory Fees

    Third Quarter 2025 Adjusted Advisory Fees 3Q25 3Q24 %∆ 2Q25 %∆ Ending AUM ($ Billions) $860 $806 7% $829 4% Average AUM ($ Billions) $841 $786 7% $800 5% By Fee Type ($ Millions): Adjusted Base Fees $821 $785 5% $772 6% Adjusted Performance Fees 20 26 (22)% 30 (32)% Total $841 $811 4% $802 5% Adjust

  29. Slide 29: Third Quarter 2025 GAAP to Non-GAAP Reconciliation

    Third Quarter 2025 GAAP to Non-GAAP Reconciliation In US $ Thousands Adjustments Distribution Pass Deferred Pension NCI/ Acquisition- Equity AB Funds Related Through Comp. Obligation Consol Related Method Reimburs Interest GAAP Payments Adjustments Inv. Settlement VIE Expenses Investment Expense Exp

  30. Slide 30: AB Adjusted Financial Results Reconciliation

    AB Adjusted Financial Results Reconciliation Notes to Consolidated Statements of Income and Supplemental Information (Unaudited) A. We exclude all of the company’s distribution revenues, which are recorded as a separate line item on the consolidated statement of income, as well as a portion of inves

  31. Slide 31: Trademark notice

    The [A/B] logo and AllianceBernstein® are registered trademarks used by permission of the owner, AllianceBernstein L.P. ©2025 AllianceBernstein L.P.

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