Invesco Misses Q1 Earnings Estimates Despite Steady Inflow From New Funds

Shares of Invesco’s stock were trading higher by over 3 percent at market open on Tuesday morning, despite a slight dip in the investment management firm’s 2026 first-quarter earnings results.

Invesco reported $21.8 billion of net long-term inflows for the quarter, which was driven by the firm’s exchange-traded funds (ETF) and index business, as well as its China joint venture, fundamental fixed-income and multi-asset products. 

The firm also reported $2.2 trillion in assets under management, as well as year-over-year growth in adjusted earnings per share of 57 cents, compared to 44 cents in the first quarter of 2025. Net revenues for 2026’s first quarter were $1.26 billion, versus $1.1 billion in the first quarter of 2025. Adjusted net income was $260 billion for the quarter, compared to $200 billion in the first quarter of 2025. 

While the earnings were steady, the firm’s earnings per share just missed analysts’ estimate of 58 cents per share for the quarter, and its revenue missed analysts’ predictions by 38 percent.

Still, Invesco executives said they were “absolutely pleased” with the firm’s performance during the period.

“We advanced several strategically important investment capabilities and vehicles, with many reaching record assets under management,” Andrew Schlossberg, CEO at Invesco, said during Tuesday morning’s earnings call. “We did this with discipline, with focus and the benefits of scale, and we’re generating meaningful operating leverage and improving margins.”

During the first quarter, Invesco launched four new fixed-income ETFs that have been designed to help investors navigate uncertainty in various market environments. 

“We remain focused on innovation in the ETF space,” Schlossberg continued, “as we launched four new active ETFs this quarter, strengthening our market position in this high-demand segment, as investors continue to use the ETF wrapper to access active equity and fixed-income strategies, particularly in more volatile market environments like we are seeing today.” 

Invesco’s ETF platform currently manages over $20 billion in assets. 

Shifting over to the private market, Invesco posted $400 million of net inflows driven by direct real estate. The asset class gained momentum thanks to the Invesco Commercial Real Estate Finance Trust (INCREF).

“Led by INCREF, our real estate debt fund for the U.S. wealth management channel continues to gain scale and our U.S. core-plus real estate equity fund is seeing strong institutional engagement,” Schlossberg said during the call. “Assets in INCREF with leverage now total $5 billion after a little more than two years in the market. This is one of the fastest ramp-ups in the wealth channel for a commercial real estate credit product.” 

Looking ahead to the rest of 2026, Invesco expects continued strength and demand for its products. 

“We’ve got a very hard-to-replicate business,” Allison Dukes, chief financial officer at Invesco, said on the call, “and we have the opportunity now to continue to innovate with products across the fee spectrum.”

Amanda Schiavo can be reached at aschiavo@commercialobserver.com.