T. Rowe Price

TROW Q3 2025 Earnings

Reported Oct 31, 2025 at 7:01 AM ET · SEC Source

Q3 25 EPS

$2.81

BEAT +10.50%

Est. $2.54

Q3 25 Revenue

$1.89B

MISS 0.25%

Est. $1.90B

vs S&P Since Q3 25

-1.9%

TRAILING MARKET

TROW +3.7% vs S&P +5.7%

Market Reaction

Did TROW Beat Earnings? Q3 2025 Results

T. Rowe Price capped a solid third quarter with adjusted diluted EPS of $2.81, clearing the $2.54 consensus estimate by 10.50%, even as revenue of $1.89 billion came in fractionally below the $1.90 billion forecast, a miss of just 0.25%. The top line… Read more T. Rowe Price capped a solid third quarter with adjusted diluted EPS of $2.81, clearing the $2.54 consensus estimate by 10.50%, even as revenue of $1.89 billion came in fractionally below the $1.90 billion forecast, a miss of just 0.25%. The top line still grew 6.0% year-over-year, powered by higher investment advisory fees tied to an 8.4% rise in average AUM to $1.72 trillion, with quarter-end AUM reaching a record $1.77 trillion. The standout driver was capital allocation-based income, which surged to $42.00 million from $4.60 million a year ago on stronger carried interest returns, providing a meaningful lift to the bottom line. Net client outflows of $7.90 billion remained a persistent headwind, keeping some pressure on the fee base as the annualized effective fee rate slipped to 39.1 basis points from 40.7 a year ago. Looking ahead, T. Rowe guided its full-year 2025 GAAP tax rate to 23.0% to 26.0%, while continuing to invest in new capabilities through its recently announced strategic collaboration with Goldman Sachs.

Key Takeaways

  • Record quarter-end AUM of $1.77 trillion driven by market appreciation
  • Average AUM increased 8.4% YoY to $1.723 trillion
  • Capital allocation-based income surged to $42.0 million from $4.6 million YoY due to higher market returns
  • Equity advisory fees grew 3.4% YoY to $1.01 billion
  • Fixed income average AUM grew 11.2% YoY
  • Inclusion of managed account - model delivery assets beginning July 1, 2025
24/7 Wall St

TROW YoY Financials

Q3 2025 vs Q3 2024, source: SEC Filings

24/7 Wall St

TROW Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q1 26

“We reached an end of period high with $1.77 trillion in AUM as of September 30 and created an opportunity to bring innovative new solutions to market for our clients with our recently announced strategic collaboration with Goldman Sachs.”

— Rob Sharps, Q3 2025 Earnings Press Release