JHG - Earnings call transcript Q1 2018 | Janus Henderson Group plc

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Operator

Good morning. My name is Nicole and I will be your conference facilitator today. Thank you for standing by and welcome to the Janus Henderson First Quarter 2018 Earnings Conference Call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question-and-answer period. questions question. limited time, and one interest follow-up one the will to be initial In conference certain today's In call, statements. constitute forward-looking matters discussed may forward-looking SEC. factors limited and filings to, differ projected described Form in number Actual XX-K from statements those the factors, statements and made company's forward-looking these recent risk of not could recent a of due with other but results including, more the the to sections materially in those most any update forward-looking made Henderson assumes to Janus obligation call. the statements no during Thank you.

Now, my Officer is pleasure it Formica, to Co-Chief of introduce Executive Mr. Andrew Janus Henderson.

may your you Formica, begin conference.

Andrew Formica

Welcome quarter, Dick our quarter and and prepared remarks, then for the happy be call by today everyone and through to will after take Roger his XXXX Henderson. earnings be your questions. Roger, taking we'll joined the first to for I'm you Janus results

that along quarter with the We way on from first calls Dick let better quarter our through to the we forward, calls you address results is view long-term believe Before turn help the going extent, on quarterly know, said, align walk and With with and me to of start, performance and quarter in these we Roger results. and second this and we you our a providing items, our quarterly short-term calls, inherent take fourth our to we the use flow more will business discussion myself. business it third financial that updates and with our Roger the detailed same be a on you will the strategy change over that versus To business. first will as manage view reporting.

Roger Thompson

everyone and us. thank Andrew joining for Thanks, you

three be continues quarter characterized investment strong. points: first performance The can First, results be to by

delivery under market our respective economies synergies. reflect third, quarter. we of were of despite finished from and XXst slightly ongoing their scale March, with financial experienced time outflows of in our remains over prior the the Investment the of period, quarter and slightly the management, as benchmarks three-year volatility growing of business and And meeting net during XX% higher assets results the solid the assets with Second, quarter. strong, performance firm-wide improving

volatility With we and the encouraging and to stocks compared Total company sectors whilst it of our investment so improved dispersion that was return quarter, them saw results optimistic strong. increased between see in to first outflows product our our quarter net the be footprint, we range quarter, prospects, want distribution still good and to far global performance. outflows, where our prior the offerings, of Despite about away investment remain are the from we future be. given very

quarterly financial per a XX% from operating the reflecting previous strong of and declared merger. with that And the finally, the adjusted an announced of share, of board level. above slightly has remained margins is which benefits the performance we growth AUM today $X.XX increase Our dividend XX%

low and five-year to improved Moving on slide XX% Performance side the three-year year-over-year XX% equity number, capability, the has one, Overall, page, a of quantitative beating improvement gains better XXXX. significant which while a at time their a on outperforming over right-hand ago. since is strong you'll performance benchmark the and periods. the represents drive on consistently a basis good, of helping end the performance one-year three the seen of the very strong XX%, INTECH the as three. importantly, performance remains business investment it's see across is of has as performance, year is in INTECH's which biggest benchmark with which been still assets assets

in for the future and growth provide results, foundation the they We are pleased with these business. investment the

has the one-year mark, Henderson working quality are clients. investment indicative results these of As the professionals high Janus since we approach merger, for the our

flows. company total Now turning to

quarter-over-quarter region. net the quarter, Partially where were Asia-Pacific business to improvements, Whilst flows sales we in outflows offsetting compared The these the would like good U.S. the in still the improvement were intermediary INTECH in institutional $X.X is it positive billion outflows our and be. not last billion quarterly to reflects $X.X result quarter. Europe. into For and both

in European to which clients and in a outflows insurance billion shows of EMEA the fixed specialist. offset declined in continued Moving quarter slide institutional Flows resulted are capability. and result intermediary of Dai-ichi strategic institutional wholly-owned income, funding Australia's mandate driven by TAL by outflows support million. of from which our the for TAL Henderson. the in in business. their flows equity includes Limited, life good flows by a APAC Life, is predominantly of a Equity we Dai-ichi was quarter to channel, partnership for a from the into $X.X subsidiary at our leading to from Life increased retail breakdown thankful net U.S. outflows outflows and our negative five, Life income This Janus were as quarter Fixed first our strategies. result $XXX

in future quarter, XXXX. improvement during positive nevertheless, that flows, positive the Another were results an remain $XXX of good quarter a one represented We for inflows INTECH. Multi-asset is Net over quarter, understand area business. prior of we quarter flows quarter. not the came $XXX of results first the the about of opportunities trend, from million optimistic million since this the QX

absolute negative due $X net is statement any spend strategy presentation previously. was mainly a and effects PM was income, alternative six, won't Europe, of outflows which on. time from U.S. billion. bond which a of change discussed GAAP outflows result absolute which the standard U.K. the the were of in to the This flows strategy, decline of from the I return quarter last equity September, our return from Finally, prior we've Slide

look to turning at of Now, highlights. few slide the seven, financial we'll

strong. were results quarter First

as quarter Average increased a operating first X% by the positive good million a the quarter, compared beneficial in Despite quarter first from fees down assets, which decreased basis, improved last in the higher XX% over realized, previous for discipline. than AUM revenues offset by reflects primarily result on total and year, Compared lower the first fees. you'll was assets cost Board prior adjusted more currency driven $XXX financial quarter primarily increase generation. across improvements income of quarter the of to markets, as down the QX management, movements, the being quarter, the fourth alpha under quarter While the to synergies higher adjusted in the the see performance over Adjusted first management year-over-year average performance and lower income fees. XX%. operating of X%

slide XX.X% ago. Finishing operating adjusted was year EPS up XX.X% adjusted to prior in revenue. $X.XX quarter. eight, outlined first the to quarter drivers quarterly quarter adjusted quarter, for financial year the was highlights, in ago. driver we've compared a the from compared margin fees up On the revenue for total XX.X% the were change First and for diluted $X.XX the the Performance the $X.XX and prior a quarter XX% of biggest

First prior of return to primarily positive quarter the were same a compared and in were million quarter, quarter quarterly negative our fees impacted Compared the million positive $XX $X performance period strategy. U.K. performance million $X weak fourth absolute to the fees by year. in last

offset to X% Forty, and Forty quarterly Fund. two the improvement improved first which ago. by from the through and Net margin basis, $X the fund fewer the AUM, notably, first million million roughly increased the average mutual Value basis significantly, increase a QX. the compared fee by for driven Cap Management quarter was saw funds. quarter, partially in-line million, improvement is a relatively Research, funds, Mid from fees Regarding was primarily in more in from fees, with quarter. days The XX.X points, negative On $XX the flat from quarter a prior QX, the performance most to year-over-year we management $X was negative negative year several

of Based of re-classed gross to Before distribution the the a moving fees on the into quarter on be way conform change The the basis. will change distribution impact the not so, discussed this That will results and of presentation went an has XXXX, in said, have have year presentation. to revenue. recast XXXX that the impact on guidance. been of we adjusted In to new recognition on, amended on conform presentation new doing financial the business, effect against the the prior an the to and I basis, amounts guidance reflect expenses now fourth in out wanted netted firm revenues distribution made to certain presentation accounting expenses. revenue point and

costs, There non-deal the on adjustments Moving with first $X integration. was integration million as quarter incurred during to of as associated operating nine, quarter. well expenses slide costs the had approximately

the to quarter quarter first million, of to contingent and reasons. and compared Adjusted experience quarter. compensation So quarter didn't integration that roughly seasonally operating Non-deal costs amounted consisted far, approximately in million intangible prior compared $XXX $XXX quarter-over-quarter. consideration. the fourth staff X% down to of a costs, which $X is costs however, this were variable Adjusted fixed for and contracts $XXX the million employee few and we Usually, we expect includes investment incur. were first to were and of higher, the quarter expenses management out million operating compensation, decrease we expenses recognized in adjusted amortization mostly, $XXX deal for quarter XX% million, a

quarter approximately million. cash in XXXX compensation, was $XX noncash of there reduction which one-time adjustment to led First, final bonus and between a split first the to the compensation

this in to line, purchase the performance long-term the was quarter, primarily that price expense grants in given made find schedule related incentive quarter we've was hope in incentive Second, will to performance related XX%, accounting. We compared grants useful. the the up lack amortization to a earned To and considerably compensation appendix that QX. fees year the each fees those compensation to overtime. adjustments Adjusted of you in made LTI included expected understanding long-term of prior aide the less due outlines

one-time is XX.X%, the revenue ratio is adjusted in previously. which one-off XX.X%, to Adjusting mentioned. low, item, that previously in was with communicated The adjustment I line first the this XXs was low $XX compensation ratio quarter of compensation the for million which that because quarter, the abnormally we

advertising of operating was of increase an Turning campaign. $X.X main increase cost research. lower offset the of of expenses to costs. marketing adjusted a marketing The $XX million, for was and completion by legal the higher the targeted $XX.X accrual to non-comp The were there decrease drivers partially XX% outcome, quarter-over-quarter. due up XX% was primarily due G&A, million million G&A collectively, in to

our synergies. I give progress update an to our Lastly, cost wanted on against

that our the of original This ahead strategic end schedule, of the execution. with the we're resulted ongoing the closed pleased quarter. which the at we This the by of cost run the target, achieve rates, $XX With May. includes end synergies realized. exceeded hope to the of million March, had $XX annualized of As million Paribas of we'd impact and of with end expanded BNP relationship very first

at three Our remain targeted post-merger end the close. annual cost of synergies year million $XXX by

look XX to Turning slide and a profitability trends. at our

continue strong and to operating generate We profits EPS.

quarter-over-quarter $XXX The first of performance down $XX operating up adjusted year-over-year a but million quarter basis. driven fees, by primarily million income on is

even and scale, and represents in XX.X%, I adjusted This that execution our think same to of to synergies low the an it's compared in basis a improvement with performance speaks important business. our the operating points year growing the to quarter, note was period XXX ago. of fees margin the of economies

to Turning EPS.

reform The effect quarter of impact the include from the January that first Xst. went tax U.S. into does

we Slide our range on at last investment as range in that which and quarter, balance totaled guided quarter's Cash XX% call, billion the XX% securities of effective to was XXst. still and forward. to a tax we expect look is March $X.X sheet. the For and adjusted approximately the XX, rate, XX% going the of

that has result which Our the conversion, a electing during position liquidity strong prior as quarter, share firm, decreased approved per $XX cash $X.XX total XX% notes payout million. for was of XX% of Board of for very finally, debt pleased an I'm of given senior $XX the from early convertible, dividend, settled increase million our And quarterly in very the the level.

point in to following around are place to come management returning through quarter We've the seasonal Board Finally, our we the who bonuses. cash, and first payments capital the which provide shareholders. a takes annual color more year in low each our bit of wanted just

the our we've Additionally, months period conversion notes. an as of well previously, there's integration dealer the need discussed majority as over of been elevated XX of business, the costs, the convertible cash with last in as

appropriate time cash However, of looking why felt year, our excess the to philosophy which our to over generate the expected we shareholders. the an discuss forward, returning capital is is rest it's firm to around

Our is cash capital management that means. at philosophy of in one looks hierarchy

and means, First, aside regular quarterly we debt regulatory a sustainable obligations, for dividend. maturities, near-term and take cash liquidity contractual

strategically ways the to we to return opportunity that business, And grow Second, shareholders. if excess both to inorganically. review we finally, exists, cash evaluate organically and will cash

a progressive return business, dividend Janus supported with program which be share this grows one regular of will is comprised our that profits For regular Henderson repurchases. capital of the quarterly by

As generating capabilities approval quarterly received which all payment, our the earlier, last conduct increased indication flow it, a of future business. shareholder you we've at is of have buyback. noted And to seen cash confidence renewed week, in our dividend AGM today the we the our

Board our shareholders, from such, now process are to program. we As intends this authorization of the steps needed working the utilize are the in to through and initiate that

update stewards and managing Board course for said, plans as capital. we to capital like Q&A. the board. seriously. turn to the good approved due the provide will of the operator by and today now of shareholder it to continue to I'd for will out you we responsibility this Management the all laid I've those that We this that be in very framework is With believe finalize approach And the us take over

Operator

JPMorgan. and Thank we'll conduct first Worthington from take Ladies at our Instructions] with Ken question this you. [Operator time, question-and-answer gentlemen, And session. we a will

Kenneth Worthington

Janus? for have update us And on closed? quarter the morning can us successes? since merger come you and taking during numbers the cross-selling of to Maybe, Where starting see thank from you Hi, between first and question. can was good some maybe either products that you give you an are around cross-selling, gross the dollars the or my give Henderson

Andrew Formica

the higher the are at at we we the an they merger fund, growth Mutual to are that Fund results through Henderson the those. Hi, linked we our Henderson capability. U.S. doing And rate significantly in redeemed into top Australia with That running include, Andrew increase space, redemption the in and in evidence through also on extremely there Dai-ichi. some Look, the space it's to seeing in that look into XX mandate seeing mentioned are funds here. in we top here. funds in falling rates are intermediary coming TAL run the seeing of that U.S. Ken, relationship success If the that's are prior old the historical we well than were and of at actually, prior And that. sales both the XX the were was

it. seeing So, we're definitely

here clients still attraction just that quarterly areas really one attraction time think some spoke the to in giving are year we improvement we're front. over will do improved to and are a numbers, half there definitely to see the there to Clearly, the terms once get bit support but a of and you starting of of the with that. get seeing year details. numbers saying early numbers, you I cross-sell meaning the in at great days, from -- benefits, we greater hard Nicole, and take the up spend I INTECH was we think we In on we always on some before in want wanted and sort little But Europe, on is focus very numbers in it's more going into of

second in detail the products So, Life key Europe, in over when as Europe, bit numbers okay. as number for of American will quarter in Rao first North up well. in example, there such you look pick the in The which that's Balanced Forty the us more is now doing equities a for -- half Funds the examples. But representing is Doug funds, we if second at Sciences, well half,

Kenneth Worthington

And that was from impact was the OpEx you this the talk from revenue on on enough. weaker results impact FX dollar? in And the had the FX in what fair can Maybe the on weaker impact quarter. FX about Okay, dollar? what the then

Roger Thompson

of the billion is Ken, $X impact FX about assets. on

the XX% are so We the between about euro dollar two-thirds residual Sterling, dollar. and and U.S. about split Aussie largely

costs -- will as that that on revenues, as So, drive naturally well. relatively you will are that hedged -- well we say drive but

Sterling in in costs have also smaller Aussie do a and obviously we So, euro. and amount

revenues drove up, on FX asset said, it drives expenses And an of way easiest both billion basis. but you $X is guess that and $XXX to billion think our I on assets. like So, about the

Operator

question with on our from move Chidgey next we'll And UBS. Kieren to

Kieren Chidgey

following just the think about Two how give framework advise -- quantitative would you're business today? Hi us questions, Roger, to we on How guys. I any you've should how about keen capital that if we thinking from numbers? Can mean around excess slide where XX. I you thinking can. cash you is outlined in more a the framework? about be

Roger Thompson

both look the we to will program actually which then with as through So, means will where markets then this a -- to know dual on asked you listing, is get through the get the the in putting working up at that I that approve amount. and a has a actually and bit we And looked ASX of moment set And said, process, to working that Board place. at -- an Board approve at in as is are it. the has place, Board

we as when talked the I broadly, you Board very disciplined that. But let as and So, process when we will decent excess of a cash said, proportion about we know and uses that the we'll addition returning or say done of approve growth. excess, a the I for Board This future we've as in deal needs give that approve But mean, specifics, relatively you growth. is for that, and when shortly. anything to business a

Kieren Chidgey

the But net Okay. today. $X billion cash relation you've got to of in

today And of the would You're that? that what excess requirements not see you outlining sort position is? to what the against actual

Roger Thompson

-- with would the out much buyback that. much have No, when be like any the I how and Board clearly very how said, we come will approved

Kieren Chidgey

being view? of and through to comments we Or broader Was the you is around flow it from made that? mandate need concentrated it fairly of on And come any an sort a secondly, Andrew how sort in institutional fund reference of Australia contributor? comments on largely is building pipeline just significant institutional a the TAL point

Andrew Formica

Yes, into am capabilities of the emerging And TAL, have actually in the sorry, of do international capabilities in not can't Australian details the income success in equities there. down also, we quite I to are in marketplace. go just some of Both seeing some there with well. our seeing, it's Australia, terms the example, institutional in success terms particular, success seen out of that. capabilities are for market we our But we our domestic TAL continue from good quarter fixed to

broad-based. So, it is quite

domestic institutional traction capabilities international the of top -- really in the increased we are in sort see the as where pleased XX. now both is merger, the has it's just of profile group. the driven are top because market of firms and the to the XX, one business where have products Australian areas well We outside probably both the outside through done quite getting of there of of mix our a and were marketplace combined And probably

Operator

And Stadnik question we'll Stanley. Andrei with next from take our Morgan

Andrei Stadnik

okay? Good Can morning. you hear me

Roger Thompson

we Andrei. Yes, can

Andrei Stadnik

I on costs. fee Fantastic. ask base One to on other the questions. compliance margins, a of one wanted couple

base comments for retail. outcome inflows insta In impressive that's basically quarter-on-quarter. existing [ph] flat outflows [Indiscernible] into addition margins price. insta coming some Despite And the an remain said to which terms your reviewing aggressively fee of sound of clients in from more quite it's earlier margins, of to by relatively and and

headwinds? given helping some of fee insta the And of base these so margins kind stabilize what's

Roger Thompson

Rogers. Hey Andrew, it's

don't mix we've Like margins -- a said in basis is we're anything about quarter-on-quarter, see I a compression It to anything don't it's that. of of changed think year. has on talked you pleased we margin really remain constant I think before fee around say think a that that. has changed business. I point really a And but relatively I've

winning in We some are areas.

there market of a very is of the coming very in the money mix has through, the Andrew rate sort talked change much at the the products. margin. than about trajectory that of institutional dependent is type any cash just fee on Some I but higher is obviously emerging don't It much, think on business

important most for that's be think should thing going the I about that -- forward. thinking So, you

Andrei Stadnik

one. you've costs, you maybe for pointed seen question to you. And around senior opposed an that a bit Thank to flagged other pressure. my was as two just little of just compliance recently area needing you example, And risk where leaders,

feel of with growth -- are compliance So, the are kind could is administration percent U.S. will what different base get costs a you to you cost we And see the related starting now for normalize? perhaps compliance? thinking to of that

Roger Thompson

area was the I that last needs, about think years, two of of of increased have the we've an talked the over both the organizations few about reason benefits talked deal, -- this of scale. the of part an being and

we are the be amount doubt, than their the a There are sort There out of without saying there, sure around some industry they seeing all expectations that. still are is we we, over the a were. of not people the done -- agree So, I'm with hump. are that higher regulators and significant work the world, would that. to

we So, don't expect that decrease. to

just In overall define depends the is the part is have guess business, of not job. job. you It good compliance it a risk the percentage terms of we the It's function of part in functions. or how of the it. sales everyone's a cost everyone's I It

compliance, number. large of I up, you added smaller in a So, if risk proportion and a amount. actually obviously people are The it's narrow it's guess working it

Andrew Formica

saying thing only people about Roger's the the to comment I'd Andrei, across add hump.

lot I coming probably regulation a new of the think we're regulation in. -- part

regulator's be may phase carries the the on. from peak. saying, they So, they're But passed eyes, implementation the

and still don't which cost it So, the here have us, we what's We preparing idea for be we no this for that obviously over Brexit, Until to could for example, we just that, for know impact the know Europe month implement. stake we've like. and of significant got the it. rules final JDPR are of a

doesn't this point. that is like it burden certainly faced we've a the at cost side that compliance from feel So abating

Richard Weil

early also, overtime. worth it's higher lower could or This is out and settle either it's mentioning days very still Dick,

Operator

And Goldman we'll take our with question next Sachs. Blostein from Alex

Ryan Bailey

about a, more. can a flows filling us sense where little a a Bailey Alex. dive you How came how like environment? one-year in Ryan I was wondering into basis? in guess we should And should actually is the volatility the from? Can if higher instead This morning. think you good for performance operate give Hi, on year-to-date of a INTECH I product

Richard Weil

Ryan, question. very much thanks Yes. for the

part first some for report that time come was flows in we're of while, the large from. inflow. U.S. did the The had significant first cap to it And a where happy

So, one big is me too an to from, quarter time your shorter a lines Remind what again, sign. encouraging draw follow-up? was that's but

Ryan Bailey

what around guess then, the for year-to-date I just would in volatility pickup and have that performance a we mean if products?

Richard Weil

For the first part year-to-date performance has been encouraging.

As on we've digging since times outperform they in talked through rough many of job. good half six they've about too and before back been this a put the that they've they months a And out continue And really to year. XXXX, doing been really point.

that's for the get health looking encouraging. of it's erase improvement still continue say we XXXX. sort But to to the -- the full all pain to second fair that to in of So, half are back of

stocks. makes In of volatility of relative from money market volatility, INTECH terms

it's traditional volatility, volatility, index the index overall a the really success of INTECH. not for of market relative -- not the the it's volatility the drives measure it's in that volatility So, pieces

keep they've putting be pain to the to continue fair future. the to very their numbers overcome to to a little with to we optimistic think, it's mathematical with of a fully got XXXX. volatility say And I they on view, And of are point good the as from so, second it's about good half predict layman's but non-trending But markets for of certainty would them. hard do, want

Ryan Bailey

$XX that if Got what showed up also just in legal I expenses, the G&A that? million ask then could drove it. from And

Roger Thompson

legal has This is of we Thank been as you very case the had second much. ex-employee against the referred that an the peace to case.

Operator

Research. our with from take Davitt question Patrick we'll And Autonomous next

Patrick Davitt

your update as guys. as are Any out? finding that around plays on U.K.? us the out, Good new the process notable Thanks. positioning you amid accounts pension keeping Could morning an that you plays give winning in how consolidation anecdotes accounts

Andrew Formica

real the basis. a I No change quarterly will update give on certainly

but the We in the well-positioned institutional used quarter, sort number we merger of investment in also they a are -- very this get they're on as where grade on very just products update marketplace, going service and for we're we going, the have, Obviously, went giving consultants us and very things that quarter, watch well-known well. not while high looked channel. merger are the U.K. as of through of fee quite through last the put and the how that

marketplace. that's And terms we've the quite the and So, other improved I to capabilities only their our therefore position the like coming in are the in got And definitely with to certainly the INTECH but We I definitely merger, that industry line from the have fewer well that. improved product the consolidates in like numbers see strengthening relationships. being industry more as sort demand from that's looks here particularly being names deeper of earlier, some reflected than positioned, out strong partnerships U.K. through of have detailed conversations ourselves of we we out. key sort mentioned think actually the and the of positions of are a taking has rather

Patrick Davitt

tax from fees to the guess a Thanks. then got, that we probably week, Retail for Great. Manager they noting needed lowers, And most I comment last maybe rationalize Dick, definitive U.S. an through been the of to the a business kind that review U.S. that. if U.S.? similar speak you've you to to exposure And opportunity is Could recently reform in do trend?

Richard Weil

say constant we've through of reviews. I'd set been a fairly

drumbeat downsizing as across regular have partners platforms, conversations they of industry, around key fairly fees have the regular they their and number of been of in have. in number And If look a partners well. funds the of fairly you a on the our they

been don't pressures for that -- this major have ongoing and a of is a So, change, a conversations long step I some but of the think sort time. it's continuation a

Operator

Citi. with next Nigel Pittaway from And we'll question take our

Nigel Pittaway

Hi guys.

in First fair a the the for general -- statement? question that growth nature XX% given in that's original just wasn't the year. cost full Presumably non-comp Is back to of on admin that guidance your $XX that, million XX% not expenses.

Roger Thompson

Correct. Correct.

Nigel Pittaway

Yes, that Yes. wasn't the in guidance.

Okay.

that Next [Indiscernible] give how low is take referred pan-out was to Firstly, guess that? number likely relatively seem projection does what's [Indiscernible] can the to the you're to guidance appendix, next for there if the And it relative quarter three case? the reason if And any as what the you that's you first a is you sheet quarters? in for in the secondly, I expecting in quarter-on-quarter?

Roger Thompson

Yes, the our first quarter maturing that is the schemes because rolling are a of light quarter way some off. and of

adding from a Nigel. accounting our couple had month them, we're effectively schemes the So, we of in -- of

light, So that's reason like part the quarter bit and we've bit given little page. light a of is is why say, first this a little the you

equal, because as should expect all year. we've that subject XXX that in funds. out will you expecting is are some number but therefore, paid et should cetera, So, some moves here, movements, other this being of these for in be things you the be they the be said mutual grants to And will there

Nigel Pittaway

And expecting every Okay. statements up? quarter, finally maybe you you're saying progressive moves are the the on word just dividend it are your saying by actually basically quarterly what about goes using on that year, up on then Fine. that you progressive it progressive? Or is basically a basis

Roger Thompson

be it earnings, And generally under on what obviously, would have we but is to Yes, than to the U.K./Australia throughout been Henderson a quarter-by-quarter it we whole as rather listing. The match basis. obviously, certainly, expect quarterly how also kept the by are it progressive move is Nigel should and broadly different mean figures year stable.

earnings fluctuate and up will So, down.

the While we dividend stable. be more keep like to would to

broadly but dividend on term quite earnings match earnings a mirror growth. should won't it short-term growth longer growth, earnings a basis, on on So basis but

Operator

with We'll Brendan take Carrig our next question Macquarie.

Brendan Carrig

my fine. Nigel, its question. asked No,

Operator

Harris Okay. Wells question our with Fargo. Chris take from we'll And

Christopher Harris

a bit, platform. guys. in was track pretty I maybe a on expand on flows good. you Data I just side question industry if And fair on the the that the could A of Thanks fixed we amount that. think outflow is what's actually income are driving little U.S. wondering your showing retail

seeing So, maybe what industry? you guys are the versus

Andrew Formica

doing appeared performance Andrew better in than in believe it client there. done big pretty much in that income Chris, They and rebalance trends a industry. and strip you we're would Hi, We actually of large gaining investor share the was January. it's here. that underlying month-on-month, the look one That's based impact had of the sort where When probably range. is. we do the on We're who that. over and at out, actually long-term is our reweighting their quarter, you annual that some fixed That

through think you're to year. they predominantly would who sometimes that, client allocation annual in to just even this as has winner out. program be intermediary really they are referring the was their be case you of like I rest in want that's or to flow was where And are really asset not It's in it's where looser, sometimes one performance-related you the class, asset decision. rebalance the taken it So, an to money

Operator

And there to turn the more to time. closing the would this speakers queue in no I at conference any remarks. are questions like for our back over

Richard Weil

joining everyone, Thank Thank is us you, for today. you, Dick This operator. Weil.

offer some me Let for just concluding thoughts you.

investment First, at strong. continues highlighted that Andrew performance the obviously, message to be a top, key

the and volatility As an active quarter help them the Asset value as Manager, the our understand they're us we them to long-term seen dynamics in demonstrate clients first their that goals that the achieve financial help seeing. we've to allow

with outcome pleased our are year-to-date. We

we the future where product Second, about slightly while we signs the we the synergies optimistic that AUM. the improved offerings. of business them early are distribution in revenue in given quarter, the not and prospects footprint flows need outflows we have global are Despite seeing quarter quarter to range with the our they we to for compared are good be. still prior excellent and the higher finished net And

promised we piece we in economies our were The third believe obviously strong, reflect merger, the of is they are They financial that and the delivering. growing results. we scale

think so, in And that's shape. I good

of pace we of sustainable are focused we you growth you remain on for Janus approach for speaking disciplined joining August. forward and our again We us financial the anniversary we're with As integration, in Thank our the you in owners. with pleased building our Henderson, we today. investment look first to

Operator

today's And for conference concludes Thank this attending. you call.

Janus Henderson (JHG) 13 May 182018 Q1 Earnings call transcript