|Contact:||Franklin Resources, Inc.|
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FOR IMMEDIATE RELEASE
Franklin Resources, Inc. Announces Second Quarter Results
San Mateo, CA, May 3, 2022 – Franklin Resources, Inc. (the “Company”) [NYSE: BEN] today announced net income1 of $349.6 million or $0.68 per diluted share for the quarter ended March 31, 2022, as compared to $453.2 million or $0.88 per diluted share for the previous quarter, and $381.8 million or $0.74 per diluted share for the quarter ended March 31, 2021. Operating income was $463.0 million for the quarter ended March 31, 2022, as compared to $557.7 million for the previous quarter and $456.3 million for the prior year.
As supplemental information, the Company is providing certain adjusted performance measures which are based on methodologies other than generally accepted accounting principles. Adjusted net income2 was $491.6 million and adjusted diluted earnings per share2 was $0.96 for the quarter ended March 31, 2022, as compared to $553.6 million and $1.08 for the previous quarter, and $403.5 million and $0.79 for the quarter ended March 31, 2021. Adjusted operating income2 was $576.6 million for the quarter ended March 31, 2022, as compared to $685.9 million for the previous quarter and $581.1 million for the prior year.
“This quarter’s market volatility highlighted the benefits of diversification and global scale in our business,” said Jenny Johnson, President and CEO of Franklin Resources, Inc. “While industry-wide pressures, particularly in taxable fixed income, contributed to long-term net outflows, we experienced long-term net inflows, primarily into higher fee products, in the multi-asset category and at our alternative specialist investment managers, Benefit Street Partners and Clarion Partners, each of which reported record assets under management.
“This quarter, we continued to make significant progress on our corporate priorities – especially as they relate to diversifying our client offerings in alternatives, customization in SMAs, wealth management and ETFs. Most notably, we continue to place an emphasis on thoughtfully building out our alternative asset business, as illustrated by last month’s close of the Lexington Partners’ acquisition, which added key complementary capabilities in secondary private equity and co-investments. With the addition of Lexington, Franklin Templeton increased its presence in alternatives by 39% to become a $215 billion manager of alternative assets, an area of increasing importance for both individual and institutional investors. Our strong financial flexibility continues to allow us to make investments in our business that further diversify our firm and position us to address evolving client demand.”
The following information was filed by Franklin Resources Inc (BEN) on Tuesday, May 3, 2022 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-Q Quarterly Report statement of earnings and operation as management may choose to highlight particular information in the press release.