Janus Henderson Group plc Reports Fourth Quarter and Full-Year 2022 Results

• Solid long-term investment performance, with 41%, 67%, 70%, and 75% of assets under management (“AUM”) outperforming relevant benchmarks on a one-, three-, five-, and 10-year basis, respectively, as of December 31, 2022
• AUM increased 5% to US$287 billion compared to the prior quarter, due to market performance and U.S. dollar depreciation, partially offset by US$(11) billion of net outflows, of which US$(7) billion was from previously announced redemptions
• Fourth quarter 2022 diluted EPS of US$0.39, or US$0.61 on an adjusted basis
• Strong balance sheet and cash generation with US$1.2 billion in cash and cash equivalents and US$146 million of cash provided from operating activities in the fourth quarter 2022
• Board declared a quarterly dividend of US$0.39 per share; returned US$358 million in capital through dividends and share buybacks in 2022

LONDON--(BUSINESS WIRE)--Janus Henderson Group plc (NYSE/ASX: JHG; “JHG” or the “Company”) published its fourth quarter and full-year 2022 results for the period ended December 31, 2022.

Fourth quarter 2022 operating income was US$67.8 million compared to US$120.7 million in the third quarter 2022 and US$157.6 million in the fourth quarter 2021. Adjusted operating income, adjusted for one-time, acquisition and transaction related costs, was US$123.2 million in the fourth quarter 2022 compared to US$125.4 million in the third quarter 2022 and US$239.7 million in the fourth quarter 2021.

Fourth quarter 2022 diluted earnings per share of US$0.39 compared to US$0.65 in the third quarter 2022 and US$0.78 in the fourth quarter 2021. Adjusted diluted earnings per share of US$0.61 in the fourth quarter 2022 compared to US$0.61 in the third quarter 2022 and compared to US$1.05 in the fourth quarter 2021.

Ali Dibadj, Chief Executive Officer, stated:

“The global market volatility and headwinds in 2022 created one of the most challenging investment backdrops in history. Amidst these extreme conditions, I am proud of the tremendous amount of work completed during the year as we reposition Janus Henderson. During the year, we created a strategic roadmap, added extraordinary talent and leadership, including on our Board of Directors, and started implementing cost efficiencies to provide the ‘Fuel for Growth’ to reinvest in the business for growth—all while keeping our clients, and their clients, at the heart of everything we do.

”The current environment remains uncertain. Our focus will be to control what we can control and position Janus Henderson for growth. We have a strong balance sheet, good cash generation, disciplined investment teams and processes, and tight cost management, which are essential to delivering superior outcomes for our clients, employees, shareholders, and other stakeholders.”

SUMMARY OF FINANCIAL RESULTS (unaudited) (in US$ millions, except per share data or as noted)

The Company presents its financial results in US$ and in accordance with accounting principles generally accepted in the United States of America (“GAAP”). However, JHG management evaluates the profitability of the Company and its ongoing operations using additional non-GAAP financial measures. Management uses these performance measures to evaluate the business, and adjusted values are consistent with internal management reporting. See “Reconciliation of non-GAAP financial information” below for additional information.

DIVIDEND AND SHARE BUYBACK

On February 1, 2023, the Board declared a fourth quarter dividend in respect of the three months ended December 31, 2022, of US$0.39 per share. Shareholders on the register on the record date of February 13, 2023, will be paid the dividend on February 28, 2023.

The Company did not purchase any shares of its common stock on the New York Stock Exchange (“NYSE”) or CHESS Depositary Interests (“CDIs”) on the Australian Securities Exchange (“ASX”) in the fourth quarter as part of the US$200 million on-market buyback program approved by the Board in May 2022.

AUM AND FLOWS (in US$ billions)

FX reflects movement in AUM resulting from changes in foreign currency rates as non-US$ denominated AUM is translated into US$. Redemptions include impact of client switches.

INVESTMENT PERFORMANCE

Outperformance is measured based on composite performance gross of fees versus primary benchmark, except where a strategy has no benchmark index or corresponding composite in which case the most relevant metric is used: (1) composite gross of fees versus zero for absolute return strategies, (2) fund net of fees versus primary index, or (3) fund net of fees versus Morningstar peer group average or median. Non-discretionary and separately managed account assets are included with a corresponding composite where applicable.

Cash management vehicles, ETF-enhanced beta strategies, Managed CDOs, Private Equity funds, and custom non-discretionary accounts with no corresponding composite are excluded from the analysis. Performance across all time periods excludes Intech, the sale of which was completed March 31, 2022. Excluded assets represent 5% of AUM as of December 31, 2022. Capabilities defined by Janus Henderson.

Includes Janus Investment Fund, Janus Aspen Series and Clayton Street Trust (U.S. Trusts), Janus Henderson Capital Funds (Dublin based), Dublin and UK OEIC and Investment Trusts, Luxembourg SICAVs, and Australian Managed Investment Schemes. Performance across all time periods excludes Intech, the sale of which was completed March 31, 2022. The top two Morningstar quartiles represent funds in the top half of their category based on total return. For the 1-, 3-, 5-, and 10-year periods ending December 31, 2022, 52%, 54%, 59%, and 67% of the 187, 179, 172, and 154 total mutual funds, respectively, were in the top 2 Morningstar quartiles.

Analysis based on “primary” share class (Class I Shares, Institutional Shares, or share class with longest history for U.S. Trusts; Class A Shares or share class with longest history for Dublin based; primary share class as defined by Morningstar for other funds). Performance may vary by share class. Rankings may be based, in part, on the performance of a predecessor fund or share class and are calculated by Morningstar using a methodology that differs from that used by Janus Henderson. Methodology differences may have a material effect on the return and therefore the ranking. When an expense waiver is in effect, it may have a material effect on the total return, and therefore the ranking for the period.

ETFs and funds not ranked by Morningstar are excluded from the analysis. Capabilities defined by Janus Henderson. © 2022 Morningstar, Inc. All Rights Reserved.

FIRST QUARTER 2023 RESULTS

Janus Henderson intends to publish its first quarter 2023 results on May 3, 2023.

FOURTH QUARTER AND FULL-YEAR 2022 RESULTS BRIEFING INFORMATION

Chief Executive Officer Ali Dibadj and Chief Financial Officer Roger Thompson will present these results on February 2, 2023, on a conference call and webcast to be held at 8 a.m. EST, 1 p.m. GMT, 12 a.m. AEDT (February 3).

Those wishing to participate should call:

Access to the webcast and accompanying slides will be available via the investor relations section of Janus Henderson’s website (ir.janushenderson.com).

About Janus Henderson

Janus Henderson Group is a leading global active asset manager dedicated to helping investors achieve long-term financial goals through a broad range of investment solutions, including equities, fixed income, multi-asset, and alternative asset class strategies.

As of December 31, 2022, Janus Henderson had approximately US$287 billion in assets under management, more than 2,000 employees, and offices in 23 cities worldwide. Headquartered in London, the company is listed on the NYSE and the ASX.

FINANCIAL DISCLOSURES

Reconciliation of non-GAAP financial information

In addition to financial results reported in accordance with GAAP, we compute certain financial measures using non-GAAP components, as defined by the SEC. These measures are not in accordance with, or a substitute for, GAAP, and our financial measures may be different from non-GAAP financial measures used by other companies. We have provided a reconciliation of our non-GAAP components to the most directly comparable GAAP components. The following are reconciliations of GAAP revenue, operating expenses, operating income, net income attributable to JHG, and diluted earnings per share to adjusted revenue, adjusted operating expenses, adjusted operating income, adjusted net income attributable to JHG, and adjusted diluted earnings per share.

STATUTORY DISCLOSURES

Associates and joint ventures

As of December 31, 2022, the Company holds interests in the following associates and joint ventures managed through shareholder agreements with third party investors, accounted for under the equity method:

• LongTail Alpha LLC ownership 20%

Basis of preparation

In the opinion of management of Janus Henderson Group plc, the condensed consolidated financial statements contain all normal recurring adjustments necessary to fairly present the financial position, results of operations, and cash flows of JHG in accordance with GAAP. Such financial statements have been prepared in accordance with the instructions to Form 10‑Q pursuant to the rules and regulations of the SEC. Certain information and footnote disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to such rules and regulations. The financial statements should be read in conjunction with the annual consolidated financial statements and notes presented in Janus Henderson’s Annual Report on Form 10‑K for the year ended December 31, 2021, on file with the SEC (Commission File No. 001‑38103). Events subsequent to the balance sheet date have been evaluated for inclusion in the financial statements through the issuance date and are included in the notes to the condensed consolidated financial statements.

FORWARD-LOOKING STATEMENTS DISCLAIMER

Past performance is no guarantee of future results. Investing involves risk, including the possible loss of principal and fluctuation of value.

This document includes statements concerning potential future events involving Janus Henderson Group plc that could differ materially from the events that actually occur.

Investor enquiries: Jim Kurtz Head of Investor Relations +1 303 336 4529 jim.kurtz@janushenderson.com

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Investor Relations investor.relations@janushenderson.com

Media enquiries: Nicole Mullin Director of Media Relations +44 (0)20 7818 2511 nicole.mullin@janushenderson.com