Fiera Capital Q2 Earnings Call Highlights

The company launched a note feeder during the quarter to give life insurers access to its private-credit strategies. Ménard said the vehicle was gaining traction and that Fiera sees an opportunity in the sector, with about 20% of its AUM associated with life insurers. Private Markets AUM rose 0.5% during the quarter and 1.4% year to date, reflecting net inflows and market appreciation. Fiera raised nearly C$100 million in new mandates, mainly in real estate and private credit, while net inflows exceeded C$115 million before being largely offset by returns of capital in its closed-end fund business. Global President and CEO Maxime Ménard said a single U.S. client transferred C$5.3 billion in sub-advised assets directly to PineStone during the quarter, an event that had been pre-announced. The company also cited rebalancing by clients in the U.S., Europe, the Middle East, Africa and Asia. Fiera said it is aware of one remaining client request to transfer approximately C$1.5 billion directly to PineStone during the second half of 2026, and continues to expect direct transfers this year to be below the prior year's level. Total AUM ended the quarter at C$163.5 billion, up 2.1% from the prior quarter. Public Markets AUM increased 2.4% to C$141.2 billion, supported by market gains. However, the company recorded C$2.2 billion in Public Markets net outflows excluding sub-advised mandates, which it attributed primarily to client rebalancing across equity and fixed-income strategies. Fiera Capital (TSE:FSZ) reported higher assets under management in the second quarter of 2026 as market appreciation outweighed net outflows, while management said the firm continued to face pressure from sub-advised mandate withdrawals and client rebalancing. Revenue fell 5% year over year to C$155.1 million, while adjusted EBITDA declined slightly to C$42 million and adjusted net earnings dropped to C$23.9 million, or C$0.21 per diluted share; the board maintained its C$0.108 quarterly dividend and renewed authorization to repurchase up to 4 million shares. Private Markets continued to expand, with new mandates approaching C$100 million, more than C$500 million deployed during the quarter, and a C$1.9 billion pipeline of undeployed capital and opportunities. AUM rose 2.1% to C$163.5 billion in Q2 as market appreciation offset net outflows, including C$2.2 billion in Public Markets outflows and a pre-announced C$5.3 billion sub-advised asset transfer to PineStone. Story Continues Fiera deployed more than C$500 million into new projects during the quarter, bringing year-to-date deployed capital to C$800 million. Its pipeline and undeployed capital stood at C$1.9 billion. The company also began deploying capital in its Canadian Built-in Opportunities funds and said expanded client participation is expected to fund in the third quarter. → Why the Landlord of the AI Boom Could Outlast the Chipmakers During the quarter, Fiera aligned its Private Markets investment teams under the Global Investment Office, extending the governance model used in Public Markets. Management said the change is intended to strengthen oversight, collaboration and the firm's ability to pursue multi-asset opportunities. Revenue and Earnings Total second-quarter revenue was C$155.1 million, up 1% sequentially but down 5% from a year earlier. Chief Financial Officer Lucas Pontillo said the quarter-over-quarter increase reflected higher commitment and transaction fees and higher Private Markets performance fees, partly offset by lower Public Markets base management fees as sub-advised AUM declined. Performance fees totaled C$2.1 million, primarily from private-credit and infrastructure strategies, compared with C$2.7 million in the first half of the prior year. Commitment and transaction fees were C$3.7 million, up C$2.4 million from the first quarter but down C$1.5 million year over year. Private Markets base management fees were C$49 million, largely unchanged from both the previous quarter and the prior-year period. Public Markets base management fees were C$96 million, down 2% sequentially and 3% year over year. SG&A expenses excluding share-based compensation were C$113.1 million, up 2.3% sequentially but down 3.6% year over year. Adjusted EBITDA was C$42 million, compared with C$42.7 million in the first quarter, while adjusted EBITDA margin was 27.1%. Adjusted net earnings were C$23.9 million, or C$0.21 per diluted share, flat sequentially and down C$3.3 million, or C$0.03 per share, from a year earlier. On a year-to-date basis, adjusted EBITDA totaled C$84.7 million, down C$4.4 million from the prior-year period. Pontillo said the adjusted EBITDA margin remained stable at 27% because expense reductions offset revenue headwinds. Distribution, Performance and Capital Allocation Ménard said Fiera is emphasizing distribution through financial intermediaries and cited new platform approvals in Canada. The firm received approval for four separately managed account platforms with a Canadian advisor, following an SMA platform addition with a Canadian wealth manager last year. A flagship equity strategy was also added to a large Canadian life insurer's investment platform. In Europe, the Middle East and Africa, integrated fixed-income strategies generated nearly C$200 million of net inflows during the quarter, driven by insurance-market activity. Management also said it saw improving investment results in several equity strategies and reported that 91% of fixed-income AUM outperformed respective benchmarks over the one-year period. The company announced that Nick Smart had been appointed lead portfolio manager for Canadian large-cap equities. Ménard said Smart had previously served as co-lead and had been involved with the flagship strategy since inception. Fiera generated C$93 million in free cash flow over the trailing 12 months. During the quarter, it repurchased 134,000 shares for about C$700,000, bringing year-to-date repurchases to nearly 700,000 shares for C$3.9 million. After the quarter ended, the company renewed its normal course issuer bid to repurchase up to 4 million shares over the next 12 months. Net debt ended the quarter at C$723 million, up C$23 million from the first quarter, primarily reflecting the remaining purchase of a 25% interest in Fiera Infrastructure and other fees. The net debt ratio increased to 3.8 times from 3.6 times in the prior quarter. Pontillo said the company expects debt to decline in the second half as cash collection typically improves following first-half payments for bonuses and variable compensation. The board approved a quarterly dividend of C$0.108 per share, payable Sept. 17, 2026, to shareholders of record on Aug. 20, 2026. About Fiera Capital (TSE:FSZ) Fiera Capital Corporation is an employee owned investment manager. The firm primarily provides its services to institutional investors, mutual funds, charitable organizations, and private clients. It manages separate client-focused equity, fixed income, and balanced portfolios. The firm also launches and manages equity, fixed income, and balanced mutual funds and income trusts for its clients. It invests in the public equity and fixed income markets across the globe with a focus on Canada. The firm primarily invests in growth and value stocks of small-cap companies. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com. The article "Fiera Capital Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.