Cohen & Steers, Inc. Q4 FY2025 earnings call

• Solid revenue growth due to higher average AUM and stable effective fee rate; 5 out of 6 trailing quarters with net inflows. • Operating income higher than prior quarter and year; one unfunded pipeline near multiyear highs. • Investment performance: Equities had double-digit gains for third consecutive year; diversified real assets up 3% in Q4; natural resource equities up over 6%, private real estate had 0.9% return. • 2026 plans: Expect compensation ratio to remain 40%; G&A growth projected to be in mid-single-digit percentage range; effective tax rate expected to be 25.4% on an as-adjusted basis.

Revenue for Q4 increased 2% sequentially to $143.8 million. Revenues for the full year 2025 were $554 million, up 6.9% versus the prior year. Ending AUM in Q4 was $90.5 billion, slightly down from Q3 but with higher average AUM during Q4. Key strategies: U.S. REITs returned 3.2% in 2025, natural resource equities were a standout with over 6% gain in Q4, real assets multi-strategy had 17% return, and global listed infrastructure ranged 14%-22%. Net inflows in Q4 were $1.2 billion, driven by advisory and closed-end funds.

• Expect compensation ratio to remain at 40%. • Project G&A growth in 2026 to be in the mid-single-digit percentage range. • Anticipate an effective tax rate of 25.4% on an as-adjusted basis for 2026.

Q: John Dunn asked about private real estate demand and active ETFs scaling.

A: Joseph Harvey stated that private real estate interest is increasing due to private credit issues, and active ETFs can scale quickly as they are based on proven strategies.

Q: Rodrigo Ferreira inquired about institutional channel progress.

A: Joseph Harvey mentioned an improved institutional pipeline that is broader and deeper, with more allocators due to an improved environment.

Q: John Dunn asked about regional demand for advisory and subadvisory.

A: Joseph Harvey noted expanding non-U.S. activity in advisory and subadvisory.

Q: Macrae Sykes asked about ETF demand areas.

A: Joseph Harvey discussed RIAs using ETFs, existing open-end fund holders converting, and model builders using ETFs