Federated Hermes, Inc. · NYSE:FHI
Federated Hermes — Q1 2026 Earnings Presentation
29 slides from Federated Hermes's earnings presentation, May 1, 2026
Slide 1: Analyst Update
Federated Hermes, Inc. Analyst Update Data as of March 31, 2026 1 52344 (4/26)
Slide 2: Forward-looking information
Forward-looking information Analyst Update, March 31, 2026 This presentation is provided as of the date on the cover and contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and Section 27A of the Securities Act of 1933, as amended
Slide 3: Investment considerations
Federated Hermes Investment considerations Analyst Update, March 31, 2026 Federated Hermes offers world-class active management and engagement services that target financial outperformance across a wide range of asset classes for investors around the world Business mix offers potential for growth, s
Slide 4: Overview of Federated Hermes
Overview of Federated Hermes Global, active, responsible investment management and stewardship Analyst Update, March 31, 2026 Assets under management $907.1 billion Total revenue (Q1 ’26) $479.0 million Founded 1955 Top-tier liquidity management business with $684.7 billion in assets under managemen
Slide 5: Q1 2026 Highlights
Q1 2026 Highlights Analyst Update, March 31, 2026 $1.27 Earnings per share* $907.1 B Managed assets at Q1 period end $0.34 Declared dividend of $0.34 $100.8B Equity assets up $2.9 billion or 3% from $97.9 billion at 12/31/2025 $99.8 B Fixed-income assets down $0.3 billion from $100.1 billion at 12/3
Slide 6: Diversified mix of revenue from managed assets
Diversified mix of revenue from managed assets Analyst Update, March 31, 2026 Percentage of revenue less distribution expense by asset type* Money Market Average 35% 1 High 61% Low 13% 26% 21% 22% 29% 30% 29% 27% 31% 35% 36% Fixed Income 42% 44% 0.75 44% 17% 19% Average 18% 24% 16% 20% 20% 15% High
Slide 7: Diversified multi-channel distribution
Diversified multi-channel distribution Total assets under management: $907.1 billion as of March 31, 2026 ($ in billions) Analyst Update, March 31, 2026 International 7% U.S. Institutional 26% U.S. Financial Intermediaries 67% U.S. Financial Intermediaries – Domestic Broker Dealers, Bank Trust, Priv
Slide 8: Equity strategies
Equity strategies Total equity AUM: $100.8 billion Analyst Update, March 31, 2026 Global/International $23.8 Quantitative Equity/MDT $30.1 Value/Income & Clover $0.4 Asia ex-Japan Fund $5.7 MDT Mid Cap Growth $8.3 Clover All Cap Value $0.2 Global Equity ESG - Nordics $2.4 MDT All Cap Core $8.2 Clove
Slide 9: Fixed-income strategies
Fixed-income strategies Total fixed-income $99.8 billion and liquidity $684.7 billion AUM: $784.5 billion Analyst Update, March 31, 2026 Liquidity $684.7 Multi-Sector and Corporate $74.8 Municipal $7.3 Government $417.0 Multi-Sector Fixed Income Accounts $28.0 CWH Intermediate $3.5 Prime $248.3 Tota
Slide 10: Alternative/private markets and multi-asset strategies
Alternative/private markets and multi-asset strategies Total alternative/private markets $19.0 billion and multi-asset $2.8 billion AUM: $21.8 billion Analyst Update, March 31, 2026 Private Equity And Infrastructure $8.0 Multi-asset $2.8 HGPE – Private Equity Advisory $5.2 Muni and Stock Advantage $
Slide 11: 22 years of stewardship leadership
22 years of stewardship leadership EOS at Federated Hermes Limited Analyst Update, March 31, 2026 Assets under advisement (AUA) as of March 31, 2026 11 Past performance is no guarantee of future results
Slide 12: Monthly average mutual fund & SMA gross sales
Monthly average mutual fund & SMA gross sales Equity and multi-asset, fixed income and ultrashort ($ in millions) Analyst Update, March 31, 2026 *CAGR – Compound annual growth rate. 12 Alternative/Private Markets products are not illustrated.
Slide 13: Equity and fixed-income sales
Equity* and fixed-income sales Fund and separate accounts ($ in millions) Analyst Update, March 31, 2026 Fixed Income Equity Fixed Income 2023 2024 2025 2026 YTD Total Equity 2023 2024 2025 2026 YTD Total Gross sales $26,809 $25,590 $24,647 $5,927 $82,973 Gross sales $17,876 $16,370 $31,378 $9,149 $
Slide 14: Liquidity management
Liquidity management Money market funds & separate accounts Analyst Update, March 31, 2026 MMF & Separate Accounts Assets ($B) Total Period End AUM Average MMF AUM Average Separate Acct AUM Total Average AUM Broad product line Value-added services Strength in large banks MMF & Separate Accounts Asse
Slide 15: Money market fund assets
Money market fund* assets Analyst Update, March 31, 2026 Indexed Growth** vs. Money Stock, S&P 500, and Industry MMF CAGR (12/93 – 03/26) FHI MMF 9% Industry MMF 8% S&P 500 9% Money Stock 6% *Beginning in Q1 ‘17 – Includes money market fund subadvised accounts. Industry MMF Source: Investment Compan
Slide 16: Separate accounts
Separate accounts Total assets under management: $288.1 billion as of March 31, 2026 ($ in billions) Analyst Update, March 31, 2026 Product Type Asset Type Alternative/Private Market 16 Total may not equal the sum of the parts due to rounding.
Slide 17: Acquisitions and alliances
Acquisitions and alliances Timeline of key historical transactions Analyst Update, March 31, 2026 Centers of Excellence Rivington Energy Acquired the Management $3.5 billion $3.2B growth equity assets at advisory Completed the Transformed closing, $8.1B at 3/31/2026 Acquired Acquired MEPC, Purchased
Slide 18: Global footprint
Global footprint Assets by region ($ in billions) Analyst Update, March 31, 2026 North America: $848.8 billion AMSTERDAM COPENHAGEN Europe: $50.3 billion LONDON FRANKFURT TORONTO • U.K. & Ireland: $27.0 DUBLIN ZURICH billion CLEVELAND CHICAGO BOSTON MILAN • CEMEA: $23.3 billion PITTSBURGH Asia Pacif
Slide 19: Value delivered to shareholders
Value delivered to shareholders Historical uses of cash ($ in billions) Analyst Update, March 31, 2026 Uses of cash Uses of cash over time ($m) Acquisitions Share 19% Repurchases 36% Dividends 45% Total Share Repurchase/Acquisition/Dividend since IPO 1998: $6.9 billion Data as of 3/31/2026. Numbers
Slide 20: Dividend history and weighted average shares outstanding
Dividend history and weighted average shares outstanding Since IPO in 1998 Analyst Update, March 31, 2026 CAGR: 10%* Total Regular Dividends: $22.65 Total Special Dividends: $8.53 $1.33 $0.31 $0.34 Data as of 3/31/2026. *CAGR ‘98 – ’25, special dividends not included. 20
Slide 21: Investment considerations
Federated Hermes Investment considerations Analyst Update, March 31, 2026 Federated Hermes offers world-class active management and engagement services that target financial outperformance across a wide range of asset classes for investors around the world Business mix offers potential for growth, s
Slide 22: Appendix
Appendix a
Slide 23: Appendix
Appendix Analyst Update, March 31, 2026 Managed assets by asset class Managed assets by product type Equity & Fixed Income fund sales Equity, Fixed Income Separate Account sales Revenue & distribution expense by asset type Financial highlights 23
Slide 24: Managed assets by asset class
Managed assets by asset class $ in billions Analyst Update, March 31, 2026 CAGR* Q1 ‘26 1998** Q1 ‘26 Q1 ’25 YoY % Chg. `98 -`26 Money market $ 684.7 $ 77.1 8% $ 684.7 $ 637.1 7% Equity 100.8 16.4 7% 100.8 80.9 25% Fixed income 99.8 18.1 6% 99.8 99.5 0% Alternative/private market 19.0 NA NA 19.0 19.
Slide 25: Managed assets by product type
Managed assets by product type $ in billions Analyst Update, March 31, 2026 CAGR* Q1 ‘26 1998** Q1 ‘26 Q1 ’25 YoY % Chg. `98 -`26 Funds Money market $ 502.8 $ 77.1 7% $ 502.8 $ 464.9 8% Equity 55.2 15.5 5% 55.2 43.9 26% Fixed income 45.9 16.4 4% 45.9 45.8 0% Alternative/private markets 12.3 NA NA 12
Slide 26: Equity and fixed-income fund sales
Equity* and fixed-income fund sales $ in millions Analyst Update, March 31, 2026 Fixed Income Equity Fixed Income 2023 2024 2025 2026 YTD Total Equity 2023 2024 2025 2026 YTD Total Gross sales $14,739 $15,307 $14,289 $3,985 $48,320 Gross sales $9,180 $10,383 $20,148 $5,913 $45,624 Net sales ($1,869)
Slide 27: Equity and fixed-income separate account sales
Equity* and fixed-income separate account sales $ in millions Analyst Update, March 31, 2026 Fixed Income Equity Fixed Income 2023 2024 2025 2026 YTD Total Equity 2023 2024 2025 2026 YTD Total Gross sales $12,070 $10,283 $10,358 $1,942 $34,653 Gross sales $8,696 $5,987 $11,230 $3,236 $29,149 Net sal
Slide 28: Revenue and distribution expense by asset type
Revenue and distribution expense by asset type Reconciliation of non-GAAP measure ($ in millions) Analyst Update, March 31, 2026 Q1 2010 Q1 2011 Q1 2012 Q1 2013 Q1 2014 Q1 2015 Q1 2016 Q1 2017 Q1 2018 Q1 2019 Q1 2020 Q1 2021 Q1 2022 Q1 2023 Q1 2024 Q1 2025 Q1 2026 Revenue By Asset Type Money Markets
Slide 29: Financial highlights
Financial highlights $ in millions Analyst Update, March 31, 2026 BALANCE SHEET 3/31/26 12/31/25 12/31/24 12/31/23 12/31/22 12/31/21 12/31/20 12/31/19 12/31/18 12/31/17 12/31/16 HIGHLIGHTS $645 $724 $641 $561 $522 $427 $439 $341 $190 $370 $301 Cash & Investments (a) 348 348 348 348 348 223 75 100 13