Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2024 | Apr. 19, 2024 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-14818 | |
Entity Registrant Name | Federated Hermes, Inc. | |
Entity Incorporation, State or Country Code | PA | |
Entity Tax Identification Number | 25-1111467 | |
Entity Address, Address Line One | 1001 Liberty Avenue | |
Entity Address, City or Town | Pittsburgh, | |
Entity Address, State or Province | PA | |
Entity Address, Postal Zip Code | 15222-3779 | |
City Area Code | 412 | |
Local Phone Number | 288-1900 | |
Title of 12(b) Security | Class B common stock, no par value | |
Trading Symbol | FHI | |
Security Exchange Name | NYSE | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Central Index Key | 0001056288 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2024 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Class A | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 9,000 | |
Class B | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 84,149,976 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Current Assets | ||
Cash and Cash Equivalents | $ 359,782 | $ 383,180 |
Prepaid Expenses | 34,072 | 29,739 |
Other Current Assets | 6,127 | 5,900 |
Total Current Assets | 719,656 | 720,729 |
Long-Term Assets | ||
Goodwill | 805,925 | 807,156 |
Intangible Assets, net of accumulated amortization of $66,747 and $64,112, respectively | 404,148 | 409,449 |
Property and Equipment, net of accumulated depreciation of $121,187 and $119,852, respectively | 28,621 | 30,711 |
Right-of-Use Assets, net | 95,556 | 99,265 |
Other Long-Term Assets | 33,066 | 34,534 |
Total Long-Term Assets | 1,367,316 | 1,381,115 |
Total Assets | 2,086,972 | 2,101,844 |
Current Liabilities | ||
Accounts Payable and Accrued Expenses | 88,403 | 88,290 |
Accrued Compensation and Benefits | 66,452 | 158,392 |
Lease Liabilities | 16,114 | 16,283 |
Income Taxes Payable | 23,804 | 142 |
Other Current Liabilities | 17,726 | 24,236 |
Total Current Liabilities | 212,499 | 287,343 |
Long-Term Liabilities | ||
Long-Term Debt | 347,909 | 347,843 |
Long-Term Deferred Tax Liability, net | 188,616 | 186,292 |
Long-Term Lease Liabilities | 89,593 | 93,816 |
Other Long-Term Liabilities | 27,798 | 32,453 |
Total Long-Term Liabilities | 653,916 | 660,404 |
Total Liabilities | 866,415 | 947,747 |
Commitments and Contingencies (Note (17)) | ||
TEMPORARY EQUITY | ||
Redeemable Noncontrolling Interests in Subsidiaries | 73,130 | 25,845 |
Federated Hermes, Inc. Shareholders’ Equity | ||
Additional Paid-In Capital from Treasury Stock Transactions | 0 | 2 |
Retained Earnings | 1,234,931 | 1,194,561 |
Treasury Stock, at Cost, 15,355,480 and 14,664,467 Shares Class B Common Stock, respectively | (547,623) | (521,403) |
Accumulated Other Comprehensive Income (Loss), net of tax | (25,146) | (19,911) |
Total Permanent Equity | 1,147,427 | 1,128,252 |
Total Liabilities, Temporary Equity and Permanent Equity | 2,086,972 | 2,101,844 |
Investments—Consolidated Investment Companies | ||
Current Assets | ||
Investments | 123,912 | 70,543 |
Affiliates | ||
Current Assets | ||
Investments | 74,838 | 106,952 |
Receivables | 49,277 | 48,694 |
Receivables, net of reserve of $21 and $21, respectively | ||
Current Assets | ||
Receivables | 71,648 | 75,721 |
Class A | ||
Federated Hermes, Inc. Shareholders’ Equity | ||
Common Stock | 189 | 189 |
Class B | ||
Federated Hermes, Inc. Shareholders’ Equity | ||
Common Stock | $ 485,076 | $ 474,814 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Receivables, reserve | $ 21 | $ 21 |
Intangible assets, accumulated amortization | 66,747 | 64,112 |
Property and equipment, accumulated depreciation | $ 121,187 | $ 119,852 |
Treasury stock, shares (in shares) | 15,355,480 | 14,664,467 |
Class A | ||
Common stock, no par value (usd per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 20,000 | 20,000 |
Common stock, shares issued (in shares) | 9,000 | 9,000 |
Common stock, shares outstanding (in shares) | 9,000 | 9,000 |
Class B | ||
Common stock, no par value (usd per share) | $ 0 | $ 0 |
Common stock, shares authorized (in shares) | 900,000,000 | 900,000,000 |
Common stock, shares issued (in shares) | 99,505,456 | 99,505,456 |
Common stock, shares outstanding (in shares) | 84,149,976 | 84,840,989 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Revenue | ||
Total Revenue | $ 396,371 | $ 382,189 |
Operating Expenses | ||
Compensation and Related | 136,546 | 136,878 |
Distribution | 94,894 | 93,333 |
Systems and Communications | 21,823 | 19,972 |
Professional Service Fees | 18,352 | 16,220 |
Office and Occupancy | 9,969 | 12,874 |
Advertising and Promotional | 4,306 | 4,342 |
Travel and Related | 3,273 | 3,231 |
Intangible Asset Related | 3,235 | 3,326 |
Other | 5,392 | 6,847 |
Total Operating Expenses | 297,790 | 297,023 |
Operating Income | 98,581 | 85,166 |
Nonoperating Income (Expenses) | ||
Investment Income, net | 6,736 | 4,820 |
Gain (Loss) on Securities, net | 1,747 | 5,492 |
Debt Expense | (3,149) | (3,125) |
Other, net | 103 | 122 |
Total Nonoperating Income (Expenses), net | 5,437 | 7,309 |
Income Before Income Taxes | 104,018 | 92,475 |
Income Tax Provision | 29,008 | 21,009 |
Net Income Including the Noncontrolling Interests in Subsidiaries | 75,010 | 71,466 |
Less: Net Income (Loss) Attributable to the Noncontrolling Interests in Subsidiaries | (23) | 1,865 |
Net Income | $ 75,033 | $ 69,601 |
Amounts Attributable to Federated Hermes, Inc. | ||
Earnings Per Common Share—Basic (usd per share) | $ 0.89 | $ 0.78 |
Earnings Per Common Share—Diluted (usd per share) | 0.89 | 0.78 |
Cash Dividends Per Share (usd per share) | $ 0.28 | $ 0.27 |
Investment Advisory Fees, net | Affiliates | ||
Revenue | ||
Total Revenue | $ 202,791 | $ 201,889 |
Investment Advisory Fees, net | Nonrelated Party | ||
Revenue | ||
Total Revenue | 61,503 | 62,093 |
Administrative Service Fees, net—Affiliates | Affiliates | ||
Revenue | ||
Total Revenue | 94,786 | 79,180 |
Other Service Fees, net | Affiliates | ||
Revenue | ||
Total Revenue | 33,364 | 34,862 |
Other Service Fees, net | Nonrelated Party | ||
Revenue | ||
Total Revenue | $ 3,927 | $ 4,165 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||
Net Income Including the Noncontrolling Interests in Subsidiaries | $ 75,010 | $ 71,466 |
Permanent Equity | ||
Foreign Currency Translation Gain (Loss) | (5,235) | 9,620 |
Temporary Equity | ||
Foreign Currency Translation Gain (Loss) | (106) | 232 |
Other Comprehensive Income (Loss), net of tax | (5,341) | 9,852 |
Comprehensive Income Including the Noncontrolling Interests in Subsidiaries | 69,669 | 81,318 |
Less: Comprehensive Income (Loss) Attributable to Redeemable Noncontrolling Interests in Subsidiaries | (129) | 2,097 |
Comprehensive Income Attributable to Federated Hermes, Inc. | $ 69,798 | $ 79,221 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital from Treasury Stock Transactions | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Income (Loss), net of tax | Redeemable Noncontrolling Interests in Subsidiaries/ Temporary Equity |
Balance, beginning of period at Dec. 31, 2022 | $ 1,045,692 | $ 441,142 | $ 0 | $ 1,015,589 | $ (365,363) | $ (45,676) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income (Loss) | 69,601 | 69,601 | |||||
Other Comprehensive Income (Loss), net of tax | 9,620 | 9,620 | |||||
Stock Award Activity | 10,677 | 10,677 | (9,950) | 9,950 | |||
Dividends Declared | (24,145) | (24,145) | |||||
Purchase of Treasury Stock | (4,742) | (4,742) | |||||
Balance, end of period at Mar. 31, 2023 | 1,106,703 | 451,819 | 0 | 1,051,095 | (360,155) | (36,056) | |
Balance, beginning of period at Dec. 31, 2022 | 61,821 | $ 61,821 | |||||
Increase (Decrease) in Temporary Equity [Roll Forward] | |||||||
Net Income (Loss) | 1,865 | 1,865 | |||||
Other Comprehensive Income (Loss), net of tax | 232 | 232 | |||||
Subscriptions—Redeemable Noncontrolling Interest Holders | 12,776 | 12,776 | |||||
Consolidation (Deconsolidation) | (33,962) | (33,962) | |||||
Distributions to Noncontrolling Interests in Subsidiaries | (3,224) | (3,224) | |||||
Balance, end of period at Mar. 31, 2023 | 39,508 | 39,508 | |||||
Balance, beginning of period at Dec. 31, 2023 | 1,128,252 | 475,003 | 2 | 1,194,561 | (521,403) | (19,911) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||
Net Income (Loss) | 75,033 | 75,033 | |||||
Other Comprehensive Income (Loss), net of tax | (5,235) | (5,235) | |||||
Stock Award Activity | 10,301 | 10,262 | (2) | (10,936) | 10,977 | ||
Dividends Declared | (23,727) | (23,727) | |||||
Purchase of Treasury Stock | (37,197) | (37,197) | |||||
Balance, end of period at Mar. 31, 2024 | 1,147,427 | $ 485,265 | $ 0 | $ 1,234,931 | $ (547,623) | $ (25,146) | |
Balance, beginning of period at Dec. 31, 2023 | 25,845 | 25,845 | |||||
Increase (Decrease) in Temporary Equity [Roll Forward] | |||||||
Net Income (Loss) | (23) | (23) | |||||
Other Comprehensive Income (Loss), net of tax | (106) | (106) | |||||
Subscriptions—Redeemable Noncontrolling Interest Holders | 2,724 | 2,724 | |||||
Consolidation (Deconsolidation) | 48,100 | 48,100 | |||||
Distributions to Noncontrolling Interests in Subsidiaries | (3,410) | (3,410) | |||||
Balance, end of period at Mar. 31, 2024 | $ 73,130 | $ 73,130 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Operating Activities | ||
Net Income Including the Noncontrolling Interests in Subsidiaries | $ 75,010 | $ 71,466 |
Adjustments to Reconcile Net Income to Net Cash Provided (Used) by Operating Activities | ||
Depreciation and Amortization | 5,625 | 8,022 |
Share-Based Compensation Expense | 10,269 | 10,680 |
(Gain) Loss on Disposal of Assets | (278) | 481 |
Provision (Benefit) for Deferred Income Taxes | 2,650 | (93) |
Consolidation/(Deconsolidation) of Other Entities | 409 | (2,176) |
Net Unrealized (Gain) Loss on Investments | (1,334) | (5,974) |
Net Sales (Purchases) of Investments—Consolidated Investment Companies | 1,257 | (8,383) |
Other Changes in Assets and Liabilities: | ||
(Increase) Decrease in Receivables, net | 2,978 | (15,232) |
(Increase) Decrease in Prepaid Expenses and Other Assets | 7,921 | 1,324 |
Increase (Decrease) in Accounts Payable and Accrued Expenses | (93,731) | (61,621) |
Increase (Decrease) in Other Liabilities | 3,255 | 6,926 |
Net Cash Provided (Used) by Operating Activities | 14,031 | 5,420 |
Investing Activities | ||
Purchases of Investments—Affiliates and Other | (25,718) | (1,583) |
Proceeds from Redemptions of Investments—Affiliates and Other | 53,874 | 4,160 |
Cash Paid for Property and Equipment | (569) | (739) |
Net Cash Provided (Used) by Investing Activities | 27,587 | 1,838 |
Financing Activities | ||
Dividends Paid | (23,734) | (24,149) |
Purchases of Treasury Stock | (39,026) | (6,562) |
Distributions to Noncontrolling Interests in Subsidiaries | (3,410) | (3,224) |
Contributions from Noncontrolling Interests in Subsidiaries | 2,724 | 12,776 |
Cash paid for Business Acquisitions | (118) | (857) |
Other Financing Activities | 38 | 0 |
Net Cash Provided (Used) by Financing Activities | (63,526) | (22,016) |
Effect of Exchange Rates on Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | (1,412) | 2,047 |
Net Increase (Decrease) in Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents | (23,320) | (12,711) |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, Beginning of Period | 386,954 | 340,955 |
Cash, Cash Equivalents, Restricted Cash and Restricted Cash Equivalents, End of Period | 363,634 | 328,244 |
Less: Restricted Cash Recorded in Other Current Assets | 3,374 | 3,867 |
Less: Restricted Cash and Restricted Cash Equivalents Recorded in Other Long-Term Assets | 478 | 394 |
Cash and Cash Equivalents | $ 359,782 | $ 323,983 |
Basis of Presentation
Basis of Presentation | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Basis of Presentation | Basis of Presentation Federated Hermes, Inc. and its consolidated subsidiaries (collectively, Federated Hermes) provide investment advisory, administrative, distribution and other services to various investment products, including sponsored investment companies, collective funds and other funds (Federated Hermes Funds) and separate accounts (which include separately managed accounts, institutional accounts, certain sub-advised funds and other managed products, collectively Separate Accounts) in both domestic and international markets. In addition, Federated Hermes markets and provides stewardship and real estate development services to various domestic and international companies. The interim consolidated financial statements of Federated Hermes included herein (Consolidated Financial Statements) have been prepared in accordance with United States (U.S.) generally accepted accounting principles (GAAP). In the opinion of management, the financial statements reflect all adjustments that are of a normal recurring nature and necessary for a fair presentation of the results for the interim periods presented. In preparing the Consolidated Financial Statements, management is required to make estimates and assumptions that affect the amounts reported therein and in the accompanying notes. Actual results may differ from those estimates, and such differences may be material to the Consolidated Financial Statements. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Recently Issued Accounting Guidance Not Yet Adopted Segment Reporting In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. This ASU updates reportable segment disclosures by expanding the frequency and extent of segment disclosures. The update is effective for Federated Hermes for the December 31, 2024 Form 10-K, and for interim periods starting in fiscal year 2025. Early adoption is permitted and requires the retrospective adoption method. Management is currently evaluating this ASU to determine its impact on Federated Hermes’ disclosures. Income Taxes In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. This ASU updates income tax disclosures by requiring annual disclosures of disaggregated information, based on meeting a quantitative threshold, about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid. The update is effective for Federated Hermes for the December 31, 2025 Form 10-K, with early adoption permitted, and allows for either the prospective or retrospective adoption method. Management is currently evaluating this ASU to determine its impact on Federated Hermes’ disclosures. |
Significant Accounting Policies
Significant Accounting Policies | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | Significant Accounting Policies |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | Revenue from Contracts with Customers The following table presents Federated Hermes’ revenue disaggregated by asset class: Three Months Ended March 31, (in thousands) 2024 2023 Money market $ 202,640 $ 179,536 Equity 116,515 124,653 Fixed-income 48,675 47,890 Other 1 28,541 30,110 Total Revenue $ 396,371 $ 382,189 1 Primarily includes Alternative / Private Markets (including but not limited to private equity, real estate and infrastructure), multi-asset and stewardship services revenue. The following table presents Federated Hermes’ revenue disaggregated by performance obligation: Three Months Ended March 31, (in thousands) 2024 2023 Asset Management 1 $ 264,294 $ 263,982 Administrative Services 94,786 79,180 Distribution 2 31,366 32,877 Other 3 5,925 6,150 Total Revenue $ 396,371 $ 382,189 1 The performance obligation can include administrative, distribution and other services recorded as a single asset management fee under Topic 606, as it is part of a unitary fee arrangement with a single performance obligation. 2 The performance obligation is satisfied at a point in time. A portion of this revenue relates to a performance obligation that has been satisfied in a prior period. 3 Primarily includes shareholder service fees and stewardship services revenue. The following table presents Federated Hermes’ revenue disaggregated by geographical market: Three Months Ended March 31, (in thousands) 2024 2023 Domestic $ 335,428 $ 318,948 Foreign 1 60,943 63,241 Total Revenue $ 396,371 $ 382,189 1 This represents revenue earned by non-U.S. domiciled subsidiaries. The following table presents Federated Hermes’ revenue disaggregated by offering type: Three Months Ended March 31, (in thousands) 2024 2023 Federated Hermes Funds $ 330,941 $ 315,931 Separate Accounts 61,503 62,093 Other 1 3,927 4,165 Total Revenue $ 396,371 $ 382,189 1 Primarily includes stewardship services revenue. For nearly all revenue, Federated Hermes is not required to disclose certain estimates of revenue expected to be recorded in future periods as a result of applying the following exemptions: (1) contract terms are short-term in nature (i.e., expected duration of one year or less due to termination provisions) and (2) the expected variable consideration would be allocated entirely to future service periods. Federated Hermes expects to recognize revenue in the future related to the unsatisfied portion of the stewardship services and real estate development performance obligations at March 31, 2024. Generally, contracts are billed in arrears on a quarterly basis and have a three-year duration, after which the customer can terminate the agreement with notice, generally from three (in thousands) Remainder of 2024 $ 9,276 2025 3,571 2026 1,875 2027 and Thereafter 227 Total Remaining Unsatisfied Performance Obligations $ 14,949 |
Concentration Risk
Concentration Risk | 3 Months Ended |
Mar. 31, 2024 | |
Risks and Uncertainties [Abstract] | |
Concentration Risk | Concentration Risk (a) Revenue Concentration by Asset Class The following table presents Federated Hermes’ significant revenue concentration by asset class: Three Months Ended March 31, 2024 2023 Money Market Assets 51 % 47 % Equity Assets 30 % 33 % Fixed-Income Assets 12 % 13 % (b) Revenue Concentration by Investment Fund Strategy The following table presents Federated Hermes’ revenue concentration by investment fund strategy: Three Months Ended March 31, 2024 2023 Federated Hermes Government Obligations Fund 15 % 14 % Federated Hermes Strategic Value Dividend strategy 1 8 % 10 % 1 Strategy includes Federated Hermes Funds and Separate Accounts A significant and prolonged decline in the AUM in this fund or strategy could have a material adverse effect on Federated Hermes’ future revenues and, to a lesser extent, net income, due to a related reduction in distribution expenses associated with this fund or strategy. (c) Revenue Concentration by Intermediary |
Consolidation
Consolidation | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Consolidation | Consolidation The Consolidated Financial Statements include the accounts of Federated Hermes, certain Federated Hermes Funds, carried interest vehicles and other entities in which Federated Hermes holds a controlling financial interest. Federated Hermes is involved with various entities in the normal course of business that may be deemed to be voting rights entities (VREs) or Variable Interest Entities (VIEs). From time to time, Federated Hermes invests in Federated Hermes Funds for general corporate investment purposes or, in the case of newly launched offerings, in order to provide investable cash to establish a performance history. Federated Hermes’ investment in, and/or receivables from, these Federated Hermes Funds represents its maximum exposure to loss. The assets of each consolidated Federated Hermes Fund are restricted for use by that Federated Hermes Fund. Generally, neither creditors of, nor equity investors in, the Federated Hermes Funds have any recourse to Federated Hermes’ general credit. Given that the entities consolidated by Federated Hermes generally follow investment company accounting, which prescribes fair-value accounting, a deconsolidation generally does not result in the recognition of gains or losses for Federated Hermes. In the ordinary course of business, Federated Hermes could implement fee waivers, rebates or expense reimbursements for various Federated Hermes Funds for competitive reasons (such as waivers to maintain the yields of certain money market funds at or above zero (Voluntary Yield-related Fee Waivers) or to maintain certain fund expense ratios/yields), to meet regulatory requirements or to meet contractual requirements (collectively, Fee Waivers). For the three months ended March 31, 2024, Fee Waivers totaled $108.2 million, of which $81.1 million related to money market funds which meet the scope exception of the consolidation guidance. For the three months ended March 31, 2023, Fee Waivers totaled $125.2 million, of which $96.1 million related to money market funds which meet the scope exception of the consolidation guidance. Like other sponsors of investment companies, Federated Hermes in the ordinary course of business could make capital contributions to certain affiliated money market Federated Hermes Funds in connection with the reorganization of such funds into certain other affiliated money market Federated Hermes Funds or in connection with the liquidation of money market Federated Hermes Funds. In these instances, such capital contributions typically are intended to either offset realized losses or other permanent impairments to a fund’s net asset value (NAV), increase the market-based NAV per share of the fund’s portfolio that is being reorganized to equal the market-based NAV per share of the acquiring fund or to bear a portion of expenses relating to a fund liquidation. Under current money market fund regulations and Securities and Exchange Commission (SEC) guidance, Federated Hermes is required to report these types of capital contributions to U.S. money market mutual funds to the SEC as financial support to the investment company that is being reorganized or liquidated. There were no contributions for the three months ended March 31, 2024 and 2023. In accordance with Federated Hermes’ consolidation accounting policy, Federated Hermes first determines whether the entity being evaluated is a VRE or a VIE. Once this determination is made, Federated Hermes proceeds with its evaluation of whether to consolidate the entity. The disclosures below represent the results of such evaluations as of March 31, 2024 and December 31, 2023. (a) Consolidated Voting Rights Entities Although most of the Federated Hermes Funds meet the definition of a VRE, Federated Hermes consolidates VREs only when it is deemed to have control. Consolidated VREs are reported on Federated Hermes’ Consolidated Balance Sheets primarily in Investments—Consolidated Investment Companies and Redeemable Noncontrolling Interests in Subsidiaries. (b) Consolidated Variable Interest Entities As of the periods ended March 31, 2024 and December 31, 2023, Federated Hermes was deemed to be the primary beneficiary of, and therefore consolidated, certain entities as a result of its controlling financial interest. The following table presents the balances related to the consolidated VIEs that were included on the Consolidated Balance Sheets as well as Federated Hermes’ net interest in the consolidated VIEs for each period presented: (in millions) March 31, 2024 December 31, 2023 Cash and Cash Equivalents $ 11.1 $ 10.1 Investments—Consolidated Investment Companies 66.7 12.4 Receivables-Affiliates 1.9 4.7 Other Current Assets 0.2 0.3 Other Long-Term Assets 13.4 13.8 Less: Liabilities 11.4 14.0 Less: Accumulated Other Comprehensive Income (Loss), net of tax 0.4 0.6 Less: Redeemable Noncontrolling Interests in Subsidiaries 60.2 11.6 Federated Hermes’ Net Interest in VIEs $ 21.3 $ 15.1 Federated Hermes’ net interest in the consolidated VIEs represents the value of Federated Hermes’ economic ownership interest in those VIEs. During the three months ended March 31, 2024, Federated Hermes consolidated one VIE due primarily to redemptions from outside investors. There was no material impact to the Consolidated Statements of Income as a result of this consolidation on a net basis. (c) Non-Consolidated Variable Interest Entities Federated Hermes’ involvement with certain Federated Hermes Funds that are deemed to be VIEs includes serving as investment manager, or, at times, holding a minority interest or both. Federated Hermes’ variable interest is not deemed to absorb losses or receive benefits that could potentially be significant to the VIE. Therefore, Federated Hermes is not the primary beneficiary of these VIEs and has not consolidated these entities. Federated Hermes’ maximum risk of loss related to investments in variable interests in non-consolidated VIEs was $3.4 million (primarily recorded in Other Long-Term Assets on the Consolidated Balance Sheets) at March 31, 2024 and was $133.9 million (primarily recorded in Cash and Cash Equivalents on the Consolidated Balance Sheets) at December 31, 2023, and was entirely related to Federated Hermes Funds. AUM for these non-consolidated Federated Hermes Funds totaled $0.2 billion and $9.3 billion at March 31, 2024 and December 31, 2023, respectively. Of the Receivables—Affiliates at March 31, 2024 and December 31, 2023, $0.3 million and $1.1 million, respectively, was related to non-consolidated VIEs and represented Federated Hermes’ maximum risk of loss from non-consolidated VIE receivables. |
Investments
Investments | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Investments | Investments At March 31, 2024 and December 31, 2023, Federated Hermes held investments in non-consolidated fluctuating-value Federated Hermes Funds of $67.3 million and $99.5 million, respectively, primarily in mutual funds which represent equity investments for Federated Hermes, and held investments in non-affiliate Separate Accounts of $7.5 million for both periods ended March 31, 2024 and December 31, 2023, that were included in Investments—Affiliates and Other on the Consolidated Balance Sheets. Federated Hermes’ investments held in Separate Accounts as of March 31, 2024 and December 31, 2023 were primarily composed of stocks of large domestic and foreign companies ($3.7 million and $3.4 million, respectively) and domestic debt securities ($2.4 million for both periods). Federated Hermes consolidates certain Federated Hermes Funds into its Consolidated Financial Statements as a result of its controlling financial interest in these Federated Hermes Funds (see Note (6)). All investments held by these consolidated Federated Hermes Funds were included in Investments—Consolidated Investment Companies on Federated Hermes’ Consolidated Balance Sheets. The investments held by consolidated Federated Hermes Funds as of March 31, 2024 and December 31, 2023 were primarily composed of domestic and foreign debt securities ($59.1 million for both periods), stocks of large foreign and domestic companies ($59.0 million and $4.9 million, respectively), and stocks of small and mid-sized domestic and foreign companies ($4.6 million and $4.2 million, respectively). The following table presents gains and losses recognized in Gain (Loss) on Securities, net on the Consolidated Statements of Income in connection with Federated Hermes’ investments: Three Months Ended March 31, (in thousands) 2024 2023 Investments—Consolidated Investment Companies Net Unrealized Gains (Losses) $ (7) $ 3,621 Net Realized Gains (Losses) 1 (186) (641) Net Gains (Losses) on Investments—Consolidated Investment Companies (193) 2,980 Investments—Affiliates and Other Net Unrealized Gains (Losses) 1,341 2,353 Net Realized Gains (Losses) 1 599 159 Net Gains (Losses) on Investments—Affiliates and Other 1,940 2,512 Gain (Loss) on Securities, net $ 1,747 $ 5,492 1 Realized gains and losses are computed on a specific-identification basis. |
Fair Value Measurements
Fair Value Measurements | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Fair Value Measurements Fair value is the price that would be received to sell an asset or the price that would be paid to transfer a liability as of the measurement date. A fair-value reporting hierarchy exists for disclosure of fair value measurements based on the observability of the inputs to the valuation of financial assets and liabilities. The levels are: Level 1 – Quoted prices for identical instruments in active markets. Level 1 assets can include equity and debt securities that are traded in an active exchange market, including shares of mutual funds. Level 2 – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. Level 2 assets and liabilities may include debt and equity securities, purchased loans and over-the-counter derivative contracts whose fair value is determined using a pricing model without significant unobservable market data inputs. Level 3 – Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable in active markets. NAV Practical Expedient – Investments that calculate NAV per share (or its equivalent) as a practical expedient. These investments have been excluded from the fair value hierarchy. (a) Fair Value Measurements on a Recurring Basis The following table presents fair value measurements for classes of Federated Hermes’ financial assets and liabilities measured at fair value on a recurring basis: (in thousands) Level 1 Level 2 Level 3 Total March 31, 2024 Financial Assets Cash and Cash Equivalents $ 359,782 $ 0 $ 0 $ 359,782 Investments—Consolidated Investment Companies 64,784 59,128 0 123,912 Investments—Affiliates and Other 72,459 2,357 22 74,838 Other 1 6,234 917 0 7,151 Total Financial Assets $ 503,259 $ 62,402 $ 22 $ 565,683 Total Financial Liabilities 2 $ 0 $ 1,341 $ 7,730 $ 9,071 December 31, 2023 Financial Assets Cash and Cash Equivalents $ 383,180 $ 0 $ 0 $ 383,180 Investments—Consolidated Investment Companies 11,402 59,141 0 70,543 Investments—Affiliates and Other 104,341 2,588 23 106,952 Other 1 6,160 1,644 0 7,804 Total Financial Assets $ 505,083 $ 63,373 $ 23 $ 568,479 Total Financial Liabilities 2 $ 0 $ 335 $ 7,626 $ 7,961 1 Amounts primarily consist of restricted cash, security deposits and derivative assets. 2 Amounts primarily consist of acquisition-related future contingent consideration liabilities and derivative liabilities. The following is a description of the valuation methodologies used for financial assets and liabilities measured at fair value on a recurring basis. Federated Hermes did not hold any nonfinancial assets or liabilities measured at fair value on a recurring basis at March 31, 2024 or December 31, 2023. Cash and Cash Equivalents Cash and Cash Equivalents include deposits with banks and investments in money market funds. Investments in money market funds totaled $310.9 million and $333.3 million at March 31, 2024 and December 31, 2023, respectively. Cash investments in publicly available money market funds are valued under the market approach through the use of quoted market prices in an active market, which is the NAV of the funds, and are classified within Level 1 of the valuation hierarchy. Investments—Consolidated Investment Companies Investments—Consolidated Investment Companies represent securities held by consolidated Federated Hermes Funds. For publicly traded securities available in an active market, the fair value of these securities is classified as Level 1 when the fair value is based on quoted market prices. The fair values of certain securities held by consolidated Federated Hermes Funds which are determined by third-party pricing services and utilize observable market inputs of comparable investments are classified within Level 2 of the valuation hierarchy. Investments—Affiliates and Other Investments—Affiliates and Other primarily represent investments in fluctuating-value Federated Hermes Funds, as well as investments held in Separate Accounts. For investments in fluctuating-value Federated Hermes Funds that are publicly available, the securities are valued under the market approach through the use of quoted market prices available in an active market, which is the NAV of the funds, and are classified within Level 1 of the valuation hierarchy. For publicly traded securities available in an active market, the fair value of these securities is classified as Level 1 when the fair value is based on quoted market prices. The fair values of certain securities which are determined by third-party pricing services and utilize observable market inputs of comparable investments are classified within Level 2 of the valuation hierarchy. Acquisition-related future contingent consideration liabilities From time to time, pursuant to agreements entered into in connection with certain business combinations and asset acquisitions, Federated Hermes could be required to make future consideration payments if certain contingencies are met. In connection with certain business combinations, Federated Hermes records a liability representing the estimated fair value of future consideration payments as of the acquisition date. The liability is subsequently re-measured at fair value on a recurring basis with changes in fair value recorded in earnings. As of March 31, 2024, acquisition-related future consideration liabilities of $7.7 million were primarily related to business combinations made in 2022 and 2020 and were recorded in Other Current Liabilities ($4.1 million) and Other Long-Term Liabilities ($3.6 million) on the Consolidated Balance Sheets. Management estimated the fair value of future consideration payments based primarily upon expected future cash flows using an income approach valuation methodology with unobservable market data inputs (Level 3). The following table presents a reconciliation of the beginning and ending balances for Federated Hermes’ liability for future consideration payments related to these business combinations: (in thousands) Balance at December 31, 2023 $ 7,626 Changes in Fair Value 222 Contingent Consideration Payments (118) Balance at March 31, 2024 $ 7,730 Investments using Practical Expedients For investments in mutual funds that are not publicly available but for which the NAV is calculated monthly and for which there are redemption restrictions, the investments are valued using NAV as a practical expedient and are excluded from the fair value hierarchy. As of March 31, 2024 and December 31, 2023, these investments totaled $18.9 million and $19.9 million, respectively, and were recorded in Other Long-Term Assets. (b) Fair Value Measurements on a Nonrecurring Basis Federated Hermes did not hold any assets or liabilities measured at fair value on a nonrecurring basis at March 31, 2024. (c) Fair Value Measurements of Other Financial Instruments The fair value of Federated Hermes’ debt is estimated by management using observable market data (Level 2). Based on this fair value estimate, the carrying value of debt appearing on the Consolidated Balance Sheets approximates fair value, net of unamortized issuance costs in the amount of $2.1 million. |
Derivatives
Derivatives | 3 Months Ended |
Mar. 31, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Derivatives Federated Hermes enters into foreign currency forward transactions in order to hedge against foreign exchange rate fluctuations related to Federated Hermes Limited (FHL), a British Pound Sterling-denominated subsidiary. None of these forwards have been designated as hedging instruments for accounting purposes. As of March 31, 2024, Federated Hermes held foreign currency forwards expiring from June 2024 through December 2024 with two counterparties. For foreign currency forwards with a combined notional amount of £56.8 million, Federated Hermes recorded $0.9 million in Receivables, net on the Consolidated Balance Sheets, which represented the fair value as of March 31, 2024. For foreign currency forwards with a notional amount of £26.8 million, Federated Hermes recorded $1.3 million in Other Current Liabilities on the Consolidated Balance Sheets, which represented the fair value as of March 31, 2024. As of December 31, 2023, Federated Hermes held foreign currency forwards expiring from March 2024 through September 2024 with two counterparties. For foreign currency forwards with a notional amount of £28.8 million, Federated Hermes recorded $1.6 million in Receivables, net on the Consolidated Balance Sheets, which represented the fair value as of December 31, 2023. For foreign currency forwards with a combined notional amount of £55.5 million, Federated Hermes recorded $0.3 million in Other Current Liabilities on the Consolidated Balance Sheets, which represented the fair value as of December 31, 2023. |
Intangible Assets, including Go
Intangible Assets, including Goodwill | 3 Months Ended |
Mar. 31, 2024 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Intangible Assets, including Goodwill | Intangible Assets, including Goodwill Intangible Assets, net at March 31, 2024 decreased $5.3 million from December 31, 2023 primarily due to amortization expense ($3.2 million) and a decrease in the value of intangible assets denominated in a foreign currency as a result of foreign exchange rate fluctuations ($2.3 million). Goodwill at March 31, 2024 decreased $1.2 million from December 31, 2023 as a result of foreign exchange rate fluctuations on goodwill denominated in a foreign currency. |
Debt
Debt | 3 Months Ended |
Mar. 31, 2024 | |
Debt Disclosure [Abstract] | |
Debt | Debt Unsecured Senior Notes On March 17, 2022, Federated Hermes entered into a Note Purchase Agreement (Note Purchase Agreement) by and among Federated Hermes and the purchasers of certain unsecured senior notes in the aggregate amount of $350 million ($350 million Notes), at a fixed interest rate of 3.29% per annum, payable semiannually in arrears in March and September in each year of the agreement. Citigroup Global Markets Inc. and PNC Capital Markets LLC acted as lead placement agents in relation to the $350 million Notes and certain subsidiaries of Federated Hermes are guarantors of the obligations owed under the Note Purchase Agreement. As of March 31, 2024, $347.9 million, net of unamortized issuance costs in the amount of $2.1 million, was recorded in Long-Term Debt on the Consolidated Balance Sheets. T he entire principal amount of the $350 million Notes will become due March 17, 2032, subject to certain prepayment requirements under limited conditions. Federated Hermes can elect to prepay the $350 million Notes under certain limited circumstances including with a make-whole amount if prepaid without the consent of the holders of the $350 million Notes. The Note Purchase Agreement does not feature a facility for the further issuance of additional notes or borrowing of any other amounts and there is no commitment fee payable in connection with the $350 million Notes. The Note Purchase Agreement includes representations and warranties, affirmative and negative financial covenants, including an interest coverage ratio covenant and a leverage ratio covenant, reporting requirements, other non-financial covenants and other customary terms and conditions. Federated Hermes was in compliance with all of its covenants at and during the period ended March 31, 2024. See the Liquidity and Capital Resources section of Item 2 - Management’s Discussion and Analysis of Financial Condition and Results of Operations for additional information. The Note Purchase Agreement includes certain stated events of default and cross default provisions which would permit the lenders/counterparties to accelerate the repayment of the $350 million Notes if not cured within the applicable grace periods. The events of default generally include breaches of contract, failure to make required payments, insolvency, certain material misrepresentations and other proceedings, whether voluntary or involuntary, that would require repayment of the $350 million Notes prior to their stated date of maturity. Any such accelerated amounts would accrue interest at a default rate and could include an additional make-whole amount upon repayment. The $350 million Notes rank without preference or priority in relation to other unsecured and senior indebtedness of Federated Hermes. Revolving Credit Facility On July 30, 2021, Federated Hermes entered into an unsecured Fourth Amended and Restated Credit Agreement by and among Federated Hermes, certain of its subsidiaries as guarantors party thereto, a syndicate of eleven banks as Lenders party thereto, PNC Bank, National Association as administrative agent, PNC Capital Markets LLC, as sole bookrunner and joint lead arranger, Citigroup Global Markets, Inc., as joint lead arranger, Citibank, N.A. as syndication agent, and Toronto-Dominion Bank, New York Branch as documentation agent (Credit Agreement). The Credit Agreement consists of a $350 million revolving credit facility with an additional $200 million available via an optional increase (or accordion) feature. Borrowings under the Credit Agreement may be used for general corporate purposes, including, without limitation, stock repurchases, dividend payments (including any special dividend payments), and acquisitions. The interest on borrowings from the revolving credit facility is calculated at the term Secured Overnight Financing Rate (SOFR) which includes a benchmark adjustment based on its historical relationship to the London Interbank Offering Rate (LIBOR). The borrowings under the revolving credit facility may include up to $50 million for which interest is calculated at the daily SOFR plus a spread unless a base rate option is elected (Swing Line). Effective July 1, 2023, Federated Hermes began using SOFR as a replacement to LIBOR in order to calculate interest on borrowings, if any, as permitted by the Credit Agreement. This is only a change to the rate index used for future borrowings under the Credit Agreement due to the discontinuance of LIBOR in the market and is not an amendment to the Credit Agreement. The Credit Agreement, which expires on July 30, 2026, has no principal payment schedule, but instead requires that any outstanding principal be repaid by the expiration date. Federated Hermes, however, can elect to make discretionary principal payments. There was no activity on the Credit Agreement during the three months ended March 31, 2024. As of March 31, 2024 and December 31, 2023, there were no outstanding borrowings under the revolving credit facility. The commitment fee under the Credit Agreement is 0.10% per annum on the daily unused portion of each Lender’s commitment. As of March 31, 2024, Federated Hermes has $350 million available for borrowings under the revolving credit facility and an additional $200 million available via its optional accordion feature. The Credit Agreement includes representations and warranties, affirmative and negative financial covenants, including an interest coverage ratio covenant and a leverage ratio covenant, reporting requirements, other non-financial covenants and other customary terms and conditions. Federated Hermes was in compliance with all covenants at and during the three months ended March 31, 2024. See the Liquidity and Capital Resources section of Item 2 - Management’s Discussion and Analysis of Financial Condition and Results of Operations for additional information. |
Share-Based Compensation
Share-Based Compensation | 3 Months Ended |
Mar. 31, 2024 | |
Share-Based Payment Arrangement [Abstract] | |
Share-Based Compensation | Share-Based Compensation During the three months ended March 31, 2024, Federated Hermes awarded 391,107 shares of restricted Class B common stock, the majority of which was granted in connection with a bonus program in which certain key employees received a portion of their bonus in the form of restricted stock under the Plan. This restricted stock, which was granted on the bonus payment date and issued out of treasury, generally vests over a three-year period. During 2023, Federated Hermes awarded 375,796 shares of restricted Class B common stock in connection with a bonus program in which certain key employees received a portion of their bonus in the form of restricted stock under the Plan. This bonus restricted stock, which was granted on the bonus payment date and issued out of treasury, generally vests over a three-year period. Federated Hermes also awarded 414,500 shares of restricted Class B common stock under this same Plan that generally vest over a ten-year period. In addition, Federated Hermes awarded 86,000 shares of restricted Class B common stock under the Federated Hermes UK Sub-Plan that generally vest over a five-year period. |
Equity
Equity | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Equity | Equity In October 2023, the Federated Hermes board of directors authorized a share repurchase program with no stated expiration date that allows the repurchase of up to 5.0 million shares of Class B common stock. No other program existed as of March 31, 2024. The program authorizes executive management to determine the timing and the amount of shares for each purchase. The repurchased stock is to be held in treasury for employee share-based compensation plans, potential acquisitions and other corporate activities, unless Federated Hermes’ board of directors subsequently determines to retire the repurchased stock and restore the shares to authorized but unissued status (rather than holding the shares in treasury). During the three months ended March 31, 2024, Federated Hermes repurchased approximately 1.1 million shares of its Class B common stock for $37.0 million ($0.7 million of which was accrued in Other Current Liabilities as of March 31, 2024), nearly all of which were repurchased in the open market. At March 31, 2024, approximately 3.5 million shares remain available to be repurchased under this share repurchase program. The following table presents the activity for the Class B common stock and Treasury stock for the three months ended March 31, 2024 and 2023. Class A shares have been excluded as there was no activity during these same periods. Three Months Ended March 31, 2024 2023 Class B Shares Beginning Balance 84,840,989 89,275,935 Stock Award Activity 391,107 375,796 Purchase of Treasury Stock (1,082,120) (132,592) Ending Balance 84,149,976 89,519,139 Treasury Shares Beginning Balance 14,664,467 10,229,521 Stock Award Activity (391,107) (375,796) Purchase of Treasury Stock 1,082,120 132,592 Ending Balance 15,355,480 9,986,317 Redeemable Noncontrolling Interests in Subsidiaries The following table presents the changes in Redeemable Noncontrolling Interests in Subsidiaries: (in thousands) Consolidated Investment Companies Other Entities Total Balance at December 31, 2023 $ 14,341 $ 11,504 $ 25,845 Net Income (Loss) (72) 49 (23) Other Comprehensive Income (Loss), net of tax 0 (106) (106) Subscriptions—Redeemable Noncontrolling Interest Holders 2,480 244 2,724 Consolidation/(Deconsolidation) 48,100 0 48,100 Distributions to Noncontrolling Interests in Subsidiaries (2,853) (557) (3,410) Balance at March 31, 2024 $ 61,996 $ 11,134 $ 73,130 Balance at December 31, 2022 $ 50,317 $ 11,504 $ 61,821 Net Income (Loss) 1,925 (60) 1,865 Other Comprehensive Income (Loss), net of tax 0 232 232 Subscriptions—Redeemable Noncontrolling Interest Holders 12,669 107 12,776 Consolidation/(Deconsolidation) (33,962) 0 (33,962) Distributions to Noncontrolling Interests in Subsidiaries (2,499) (725) (3,224) Balance at March 31, 2023 $ 28,450 $ 11,058 $ 39,508 |
Earnings Per Share Attributable
Earnings Per Share Attributable to Federated Hermes, Inc. Shareholders | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Earnings Per Share Attributable to Federated Hermes, Inc. Shareholders | Earnings Per Share Attributable to Federated Hermes, Inc. Shareholders The following table sets forth the computation of basic and diluted earnings per share using the two-class method for amounts attributable to Federated Hermes: Three Months Ended March 31, (in thousands, except per share data) 2024 2023 Numerator Net Income Attributable to Federated Hermes, Inc. $ 75,033 $ 69,601 Less: Total Net Income Available to Participating Unvested Restricted Shareholders 1 (3,403) (3,509) Total Net Income Attributable to Federated Hermes Common Stock - Basic and Diluted $ 71,630 $ 66,092 Denominator Basic Weighted-Average Federated Hermes Common Stock 2 80,709 84,875 Dilutive Impact from Non-forfeitable Restricted Stock 1 0 Diluted Weighted-Average Federated Hermes Common Stock 2 80,710 84,875 Earnings Per Share Net Income Attributable to Federated Hermes Common Stock - Basic and Diluted 2 $ 0.89 $ 0.78 1 Includes dividends paid on unvested restricted Federated Hermes Class B common stock and their proportionate share of undistributed earnings attributable to Federated Hermes shareholders. 2 |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) Attributable to Federated Hermes, Inc. Shareholders | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) Attributable to Federated Hermes, Inc. Shareholders | Accumulated Other Comprehensive Income (Loss) Attributable to Federated Hermes, Inc. Shareholders Accumulated Other Comprehensive Income (Loss), net of tax, attributable to Federated Hermes shareholders resulted from foreign currency translation gain (loss): (in thousands) Balance at December 31, 2023 $ (19,911) Other Comprehensive Income (Loss) (5,235) Balance at March 31, 2024 $ (25,146) Balance at December 31, 2022 $ (45,676) Other Comprehensive Income (Loss) 9,620 Balance at March 31, 2023 $ (36,056) |
Redeemable Noncontrolling Inter
Redeemable Noncontrolling Interests in Subsidiaries | 3 Months Ended |
Mar. 31, 2024 | |
Noncontrolling Interest [Abstract] | |
Redeemable Noncontrolling Interests in Subsidiaries | Equity In October 2023, the Federated Hermes board of directors authorized a share repurchase program with no stated expiration date that allows the repurchase of up to 5.0 million shares of Class B common stock. No other program existed as of March 31, 2024. The program authorizes executive management to determine the timing and the amount of shares for each purchase. The repurchased stock is to be held in treasury for employee share-based compensation plans, potential acquisitions and other corporate activities, unless Federated Hermes’ board of directors subsequently determines to retire the repurchased stock and restore the shares to authorized but unissued status (rather than holding the shares in treasury). During the three months ended March 31, 2024, Federated Hermes repurchased approximately 1.1 million shares of its Class B common stock for $37.0 million ($0.7 million of which was accrued in Other Current Liabilities as of March 31, 2024), nearly all of which were repurchased in the open market. At March 31, 2024, approximately 3.5 million shares remain available to be repurchased under this share repurchase program. The following table presents the activity for the Class B common stock and Treasury stock for the three months ended March 31, 2024 and 2023. Class A shares have been excluded as there was no activity during these same periods. Three Months Ended March 31, 2024 2023 Class B Shares Beginning Balance 84,840,989 89,275,935 Stock Award Activity 391,107 375,796 Purchase of Treasury Stock (1,082,120) (132,592) Ending Balance 84,149,976 89,519,139 Treasury Shares Beginning Balance 14,664,467 10,229,521 Stock Award Activity (391,107) (375,796) Purchase of Treasury Stock 1,082,120 132,592 Ending Balance 15,355,480 9,986,317 Redeemable Noncontrolling Interests in Subsidiaries The following table presents the changes in Redeemable Noncontrolling Interests in Subsidiaries: (in thousands) Consolidated Investment Companies Other Entities Total Balance at December 31, 2023 $ 14,341 $ 11,504 $ 25,845 Net Income (Loss) (72) 49 (23) Other Comprehensive Income (Loss), net of tax 0 (106) (106) Subscriptions—Redeemable Noncontrolling Interest Holders 2,480 244 2,724 Consolidation/(Deconsolidation) 48,100 0 48,100 Distributions to Noncontrolling Interests in Subsidiaries (2,853) (557) (3,410) Balance at March 31, 2024 $ 61,996 $ 11,134 $ 73,130 Balance at December 31, 2022 $ 50,317 $ 11,504 $ 61,821 Net Income (Loss) 1,925 (60) 1,865 Other Comprehensive Income (Loss), net of tax 0 232 232 Subscriptions—Redeemable Noncontrolling Interest Holders 12,669 107 12,776 Consolidation/(Deconsolidation) (33,962) 0 (33,962) Distributions to Noncontrolling Interests in Subsidiaries (2,499) (725) (3,224) Balance at March 31, 2023 $ 28,450 $ 11,058 $ 39,508 |
Commitments and Contingencies
Commitments and Contingencies | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies (a) Contractual From time to time, pursuant to agreements entered into in connection with certain business combinations and asset acquisitions, Federated Hermes is obligated to make future payments under various agreements to which it is a party. See Note (8) for additional information regarding these payments. (b) Guarantees and Indemnifications On an intercompany basis, various subsidiaries of Federated Hermes guarantee certain financial obligations of Federated Hermes, Inc. and of other consolidated subsidiaries, and Federated Hermes, Inc. guarantees certain financial and performance-related obligations of various wholly-owned subsidiaries. In addition, in the normal course of business, Federated Hermes has entered into contracts that provide a variety of indemnifications. Typically, obligations to indemnify third parties arise in the context of contracts entered into by Federated Hermes, under which Federated Hermes agrees to hold the other party harmless against losses arising out of the contract, provided the other party’s actions are not deemed to have breached an agreed-upon standard of care. In each of these circumstances, payment by Federated Hermes is contingent on the other party making a claim for indemnity, subject to Federated Hermes’ right to challenge the claim. Further, Federated Hermes’ obligations under these agreements can be limited in terms of time and/or amount. It is not possible to predict the maximum potential amount of future payments under these or similar agreements due to the conditional nature of Federated Hermes’ obligations and the unique facts and circumstances involved in each particular agreement. As of March 31, 2024, management does not believe that a material loss related to any of these matters is reasonably possible. (c) Legal Proceedings Like other companies, Federated Hermes has claims asserted and threatened against it in the ordinary course of business. As of March 31, 2024, Federated Hermes does not believe that a material loss related to any of these claims is reasonably possible. (d) Other During the first quarter 2023, an administrative error was identified related to a failure to register certain shares of a Federated Hermes closed-end tender fund. Federated Hermes estimated a probable cost of $19.6 million as of March 31, 2024 related to correcting this issue, of which $17.9 million represents a settlement with affected shareholders that was paid during the second quarter 2023. During the first quarter 2023, Federated Hermes recorded $2.5 million to Operating Expenses - Other representing Federated Hermes' retention under the insurance policy. Management believes an insurance reimbursement of $15.9 million is probable based on the contractual terms of the insurance policies. Accordingly, $15.9 million has been recorded to Receivables, net at March 31, 2024. However, the insurance claim is now the subject of litigation with two of Federated Hermes’ insurance carriers. Changes to these estimates, which are contingent upon resolution of the insurance claim with the applicable insurers, could be materially different from the amount Federated Hermes has recorded. In connection with the restructuring of an infrastructure fund, Federated Hermes purchased certain limited partners’ rights to receive future carried interest at fair value, which was calculated by a third-party, for $9.8 million and was included in Operating Expenses - Other in the second quarter 2023. Due to the restructuring, an existing clawback risk on previously earned carried interest was removed. The purchase of these carried interest rights and related legal and professional fees and other costs are not deductible for tax purposes. Negotiations for additional consideration continue with a subset of limited partners, with an additional $5.1 million in consideration being recorded in Operating Expenses - Other in the second half of 2023. The final consideration may be different from the amounts recorded and the difference could be material. |
Income Taxes
Income Taxes | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes The income tax provision was $29.0 million for the three-month period ended March 31, 2024, as compared to $21.0 million for the same period in 2023. The increase in the income tax provision was primarily due to higher income before income taxes. The effective tax rate was 27.9% for the three-month period ended March 31, 2024, as compared to 22.7% for the same period in 2023. The increase in the effective tax rate was primarily due to a valuation allowance on foreign deferred tax assets (3.0%), and a larger tax benefit in 2023 associated with vesting of restricted shares related to share-based compensation (1.1%). |
Subsequent Events
Subsequent Events | 3 Months Ended |
Mar. 31, 2024 | |
Subsequent Events [Abstract] | |
Subsequent Events | Subsequent Events On April 25, 2024, the board of directors declared a $1.31 per share dividend to Federated Hermes’ Class A and Class B common stock shareholders of record as of May 8, 2024 to be paid on May 15, 2024. The dividend, which will be paid from Federated Hermes’ existing cash balance, is considered an ordinary dividend for tax purposes and consists of a $0.31 quarterly dividend and a $1.00 special dividend. See Management’s Discussion and Analysis under the caption Business Developments - Subsequent Event - Special Cash Dividend for more information on the estimated diluted earnings per share impact for the quarter ending June 30, 2024. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net Income Attributable to Federated Hermes, Inc. | $ 75,033 | $ 69,601 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
Significant Accounting Polici_2
Significant Accounting Policies (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Federated Hermes, Inc. and its consolidated subsidiaries (collectively, Federated Hermes) provide investment advisory, administrative, distribution and other services to various investment products, including sponsored investment companies, collective funds and other funds (Federated Hermes Funds) and separate accounts (which include separately managed accounts, institutional accounts, certain sub-advised funds and other managed products, collectively Separate Accounts) in both domestic and international markets. In addition, Federated Hermes markets and provides stewardship and real estate development services to various domestic and international companies. The interim consolidated financial statements of Federated Hermes included herein (Consolidated Financial Statements) have been prepared in accordance with United States (U.S.) generally accepted accounting principles (GAAP). In the opinion of management, the financial statements reflect all adjustments that are of a normal recurring nature and necessary for a fair presentation of the results for the interim periods presented. |
Use of Estimates | In preparing the Consolidated Financial Statements, management is required to make estimates and assumptions that affect the amounts reported therein and in the accompanying notes. Actual results may differ from those estimates, and such differences may be material to the Consolidated Financial Statements. |
Recently Issued Accounting Guidance Not Yet Adopted | Recently Issued Accounting Guidance Not Yet Adopted Segment Reporting In November 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standard Update (ASU) No. 2023-07, Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures. This ASU updates reportable segment disclosures by expanding the frequency and extent of segment disclosures. The update is effective for Federated Hermes for the December 31, 2024 Form 10-K, and for interim periods starting in fiscal year 2025. Early adoption is permitted and requires the retrospective adoption method. Management is currently evaluating this ASU to determine its impact on Federated Hermes’ disclosures. Income Taxes In December 2023, the FASB issued ASU No. 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures. This ASU updates income tax disclosures by requiring annual disclosures of disaggregated information, based on meeting a quantitative threshold, about a reporting entity’s effective tax rate reconciliation as well as information on income taxes paid. The update is effective for Federated Hermes for the December 31, 2025 Form 10-K, with early adoption permitted, and allows for either the prospective or retrospective adoption method. Management is currently evaluating this ASU to determine its impact on Federated Hermes’ disclosures. |
Fair Value Measurements | Fair value is the price that would be received to sell an asset or the price that would be paid to transfer a liability as of the measurement date. A fair-value reporting hierarchy exists for disclosure of fair value measurements based on the observability of the inputs to the valuation of financial assets and liabilities. The levels are: Level 1 – Quoted prices for identical instruments in active markets. Level 1 assets can include equity and debt securities that are traded in an active exchange market, including shares of mutual funds. Level 2 – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active; and model-derived valuations in which all significant inputs and significant value drivers are observable in active markets. Level 2 assets and liabilities may include debt and equity securities, purchased loans and over-the-counter derivative contracts whose fair value is determined using a pricing model without significant unobservable market data inputs. Level 3 – Valuations derived from valuation techniques in which one or more significant inputs or significant value drivers are unobservable in active markets. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Revenue from Contract with Customer [Abstract] | |
Schedule of Disaggregation of Revenue | The following table presents Federated Hermes’ revenue disaggregated by asset class: Three Months Ended March 31, (in thousands) 2024 2023 Money market $ 202,640 $ 179,536 Equity 116,515 124,653 Fixed-income 48,675 47,890 Other 1 28,541 30,110 Total Revenue $ 396,371 $ 382,189 1 Primarily includes Alternative / Private Markets (including but not limited to private equity, real estate and infrastructure), multi-asset and stewardship services revenue. The following table presents Federated Hermes’ revenue disaggregated by performance obligation: Three Months Ended March 31, (in thousands) 2024 2023 Asset Management 1 $ 264,294 $ 263,982 Administrative Services 94,786 79,180 Distribution 2 31,366 32,877 Other 3 5,925 6,150 Total Revenue $ 396,371 $ 382,189 1 The performance obligation can include administrative, distribution and other services recorded as a single asset management fee under Topic 606, as it is part of a unitary fee arrangement with a single performance obligation. 2 The performance obligation is satisfied at a point in time. A portion of this revenue relates to a performance obligation that has been satisfied in a prior period. 3 Primarily includes shareholder service fees and stewardship services revenue. The following table presents Federated Hermes’ revenue disaggregated by geographical market: Three Months Ended March 31, (in thousands) 2024 2023 Domestic $ 335,428 $ 318,948 Foreign 1 60,943 63,241 Total Revenue $ 396,371 $ 382,189 1 This represents revenue earned by non-U.S. domiciled subsidiaries. The following table presents Federated Hermes’ revenue disaggregated by offering type: Three Months Ended March 31, (in thousands) 2024 2023 Federated Hermes Funds $ 330,941 $ 315,931 Separate Accounts 61,503 62,093 Other 1 3,927 4,165 Total Revenue $ 396,371 $ 382,189 1 Primarily includes stewardship services revenue. |
Schedule of Remaining Unsatisfied Performance Obligations | Based on existing contracts and the applicable foreign exchange rates as of March 31, 2024, Federated Hermes may recognize future fixed revenue from these services as presented in the following table: (in thousands) Remainder of 2024 $ 9,276 2025 3,571 2026 1,875 2027 and Thereafter 227 Total Remaining Unsatisfied Performance Obligations $ 14,949 |
Concentration Risk (Tables)
Concentration Risk (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Risks and Uncertainties [Abstract] | |
Schedule of Revenue Concentration | The following table presents Federated Hermes’ significant revenue concentration by asset class: Three Months Ended March 31, 2024 2023 Money Market Assets 51 % 47 % Equity Assets 30 % 33 % Fixed-Income Assets 12 % 13 % The following table presents Federated Hermes’ revenue concentration by investment fund strategy: Three Months Ended March 31, 2024 2023 Federated Hermes Government Obligations Fund 15 % 14 % Federated Hermes Strategic Value Dividend strategy 1 8 % 10 % 1 Strategy includes Federated Hermes Funds and Separate Accounts |
Consolidation (Tables)
Consolidation (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Schedule of Consolidated Federated Funds VIE | The following table presents the balances related to the consolidated VIEs that were included on the Consolidated Balance Sheets as well as Federated Hermes’ net interest in the consolidated VIEs for each period presented: (in millions) March 31, 2024 December 31, 2023 Cash and Cash Equivalents $ 11.1 $ 10.1 Investments—Consolidated Investment Companies 66.7 12.4 Receivables-Affiliates 1.9 4.7 Other Current Assets 0.2 0.3 Other Long-Term Assets 13.4 13.8 Less: Liabilities 11.4 14.0 Less: Accumulated Other Comprehensive Income (Loss), net of tax 0.4 0.6 Less: Redeemable Noncontrolling Interests in Subsidiaries 60.2 11.6 Federated Hermes’ Net Interest in VIEs $ 21.3 $ 15.1 |
Investments (Tables)
Investments (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Gains and Losses Recognized in Gain (Loss) on Securities, Net | The following table presents gains and losses recognized in Gain (Loss) on Securities, net on the Consolidated Statements of Income in connection with Federated Hermes’ investments: Three Months Ended March 31, (in thousands) 2024 2023 Investments—Consolidated Investment Companies Net Unrealized Gains (Losses) $ (7) $ 3,621 Net Realized Gains (Losses) 1 (186) (641) Net Gains (Losses) on Investments—Consolidated Investment Companies (193) 2,980 Investments—Affiliates and Other Net Unrealized Gains (Losses) 1,341 2,353 Net Realized Gains (Losses) 1 599 159 Net Gains (Losses) on Investments—Affiliates and Other 1,940 2,512 Gain (Loss) on Securities, net $ 1,747 $ 5,492 1 Realized gains and losses are computed on a specific-identification basis. |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of Classes of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table presents fair value measurements for classes of Federated Hermes’ financial assets and liabilities measured at fair value on a recurring basis: (in thousands) Level 1 Level 2 Level 3 Total March 31, 2024 Financial Assets Cash and Cash Equivalents $ 359,782 $ 0 $ 0 $ 359,782 Investments—Consolidated Investment Companies 64,784 59,128 0 123,912 Investments—Affiliates and Other 72,459 2,357 22 74,838 Other 1 6,234 917 0 7,151 Total Financial Assets $ 503,259 $ 62,402 $ 22 $ 565,683 Total Financial Liabilities 2 $ 0 $ 1,341 $ 7,730 $ 9,071 December 31, 2023 Financial Assets Cash and Cash Equivalents $ 383,180 $ 0 $ 0 $ 383,180 Investments—Consolidated Investment Companies 11,402 59,141 0 70,543 Investments—Affiliates and Other 104,341 2,588 23 106,952 Other 1 6,160 1,644 0 7,804 Total Financial Assets $ 505,083 $ 63,373 $ 23 $ 568,479 Total Financial Liabilities 2 $ 0 $ 335 $ 7,626 $ 7,961 1 Amounts primarily consist of restricted cash, security deposits and derivative assets. 2 Amounts primarily consist of acquisition-related future contingent consideration liabilities and derivative liabilities. |
Schedule of Reconciliation of Liability for Future Consideration Payments | The following table presents a reconciliation of the beginning and ending balances for Federated Hermes’ liability for future consideration payments related to these business combinations: (in thousands) Balance at December 31, 2023 $ 7,626 Changes in Fair Value 222 Contingent Consideration Payments (118) Balance at March 31, 2024 $ 7,730 |
Equity (Tables)
Equity (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Schedule of Activity for Class B Common Stock and Treasury Stock | The following table presents the activity for the Class B common stock and Treasury stock for the three months ended March 31, 2024 and 2023. Class A shares have been excluded as there was no activity during these same periods. Three Months Ended March 31, 2024 2023 Class B Shares Beginning Balance 84,840,989 89,275,935 Stock Award Activity 391,107 375,796 Purchase of Treasury Stock (1,082,120) (132,592) Ending Balance 84,149,976 89,519,139 Treasury Shares Beginning Balance 14,664,467 10,229,521 Stock Award Activity (391,107) (375,796) Purchase of Treasury Stock 1,082,120 132,592 Ending Balance 15,355,480 9,986,317 |
Earnings Per Share Attributab_2
Earnings Per Share Attributable to Federated Hermes, Inc. Shareholders (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Computation of Basic and Diluted Earnings Per Share | The following table sets forth the computation of basic and diluted earnings per share using the two-class method for amounts attributable to Federated Hermes: Three Months Ended March 31, (in thousands, except per share data) 2024 2023 Numerator Net Income Attributable to Federated Hermes, Inc. $ 75,033 $ 69,601 Less: Total Net Income Available to Participating Unvested Restricted Shareholders 1 (3,403) (3,509) Total Net Income Attributable to Federated Hermes Common Stock - Basic and Diluted $ 71,630 $ 66,092 Denominator Basic Weighted-Average Federated Hermes Common Stock 2 80,709 84,875 Dilutive Impact from Non-forfeitable Restricted Stock 1 0 Diluted Weighted-Average Federated Hermes Common Stock 2 80,710 84,875 Earnings Per Share Net Income Attributable to Federated Hermes Common Stock - Basic and Diluted 2 $ 0.89 $ 0.78 1 Includes dividends paid on unvested restricted Federated Hermes Class B common stock and their proportionate share of undistributed earnings attributable to Federated Hermes shareholders. 2 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) Attributable to Federated Hermes, Inc. Shareholders (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss), net of tax, attributable to Federated Hermes shareholders resulted from foreign currency translation gain (loss): (in thousands) Balance at December 31, 2023 $ (19,911) Other Comprehensive Income (Loss) (5,235) Balance at March 31, 2024 $ (25,146) Balance at December 31, 2022 $ (45,676) Other Comprehensive Income (Loss) 9,620 Balance at March 31, 2023 $ (36,056) |
Redeemable Noncontrolling Int_2
Redeemable Noncontrolling Interests in Subsidiaries (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Noncontrolling Interest [Abstract] | |
Schedule of Changes in Redeemable Noncontrolling Interest in Subsidiaries | The following table presents the changes in Redeemable Noncontrolling Interests in Subsidiaries: (in thousands) Consolidated Investment Companies Other Entities Total Balance at December 31, 2023 $ 14,341 $ 11,504 $ 25,845 Net Income (Loss) (72) 49 (23) Other Comprehensive Income (Loss), net of tax 0 (106) (106) Subscriptions—Redeemable Noncontrolling Interest Holders 2,480 244 2,724 Consolidation/(Deconsolidation) 48,100 0 48,100 Distributions to Noncontrolling Interests in Subsidiaries (2,853) (557) (3,410) Balance at March 31, 2024 $ 61,996 $ 11,134 $ 73,130 Balance at December 31, 2022 $ 50,317 $ 11,504 $ 61,821 Net Income (Loss) 1,925 (60) 1,865 Other Comprehensive Income (Loss), net of tax 0 232 232 Subscriptions—Redeemable Noncontrolling Interest Holders 12,669 107 12,776 Consolidation/(Deconsolidation) (33,962) 0 (33,962) Distributions to Noncontrolling Interests in Subsidiaries (2,499) (725) (3,224) Balance at March 31, 2023 $ 28,450 $ 11,058 $ 39,508 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Disaggregation of Revenue by Asset Class (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 396,371 | $ 382,189 |
Money market | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 202,640 | 179,536 |
Equity | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 116,515 | 124,653 |
Fixed-income | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 48,675 | 47,890 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 28,541 | $ 30,110 |
Revenue from Contracts with C_4
Revenue from Contracts with Customers - Disaggregation of Revenue by Performance Obligation (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 396,371 | $ 382,189 |
Asset Management | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 264,294 | 263,982 |
Administrative Services | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 94,786 | 79,180 |
Distribution | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 31,366 | 32,877 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 5,925 | $ 6,150 |
Revenue from Contracts with C_5
Revenue from Contracts with Customers - Disaggregation of Revenue by Geographic Market (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 396,371 | $ 382,189 |
Domestic | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 335,428 | 318,948 |
Foreign | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 60,943 | $ 63,241 |
Revenue from Contracts with C_6
Revenue from Contracts with Customers - Disaggregation of Revenue by Product Type (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 396,371 | $ 382,189 |
Federated Hermes Funds | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 330,941 | 315,931 |
Separate Accounts | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | 61,503 | 62,093 |
Other | ||
Disaggregation of Revenue [Line Items] | ||
Total Revenue | $ 3,927 | $ 4,165 |
Revenue from Contracts with C_7
Revenue from Contracts with Customers - Narrative (Details) | 3 Months Ended |
Mar. 31, 2024 | |
Disaggregation of Revenue [Line Items] | |
Contract terms | Generally, contracts are billed in arrears on a quarterly basis and have a three-year duration, after which the customer can terminate the agreement with notice, generally from three to twelve months. |
Minimum | |
Disaggregation of Revenue [Line Items] | |
Termination period | 3 months |
Maximum | |
Disaggregation of Revenue [Line Items] | |
Termination period | 12 months |
Revenue from Contracts with C_8
Revenue from Contracts with Customers - Future Fixed Revenue from Stewardship and Real Estate Development Services (Details) $ in Thousands | Mar. 31, 2024 USD ($) |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total Remaining Unsatisfied Performance Obligations | $ 14,949 |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2024-04-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total Remaining Unsatisfied Performance Obligations | $ 9,276 |
Expected timing of satisfaction, period | 9 months |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2025-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total Remaining Unsatisfied Performance Obligations | $ 3,571 |
Expected timing of satisfaction, period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2026-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total Remaining Unsatisfied Performance Obligations | $ 1,875 |
Expected timing of satisfaction, period | 1 year |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction, Start Date [Axis]: 2027-01-01 | |
Revenue, Remaining Performance Obligation, Expected Timing of Satisfaction [Line Items] | |
Total Remaining Unsatisfied Performance Obligations | $ 227 |
Expected timing of satisfaction, period |
Concentration Risk - Schedule o
Concentration Risk - Schedule of Revenue Concentration (Details) - Product Concentration Risk - Revenue Benchmark | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Money Market Assets | ||
Concentration Risk [Line Items] | ||
Concentration risk | 51% | 47% |
Equity Assets | ||
Concentration Risk [Line Items] | ||
Concentration risk | 30% | 33% |
Fixed-Income Assets | ||
Concentration Risk [Line Items] | ||
Concentration risk | 12% | 13% |
Concentration Risk - Schedule_2
Concentration Risk - Schedule of Revenue Concentration by Investment Strategy/Fund (Details) - Product Concentration Risk - Revenue benchmark | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Federated Hermes Government Obligations Fund | ||
Concentration Risk [Line Items] | ||
Concentration risk | 15% | 14% |
Federated Hermes Strategic Value Dividend strategy | ||
Concentration Risk [Line Items] | ||
Concentration risk | 8% | 10% |
Concentration Risk - Narrative
Concentration Risk - Narrative (Details) | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Bank of New York Mellon Corporation | Revenue benchmark | Customer Concentration Risk | ||
Concentration Risk [Line Items] | ||
Concentration risk | 11% | 13% |
Consolidation - Narrative (Deta
Consolidation - Narrative (Details) | 3 Months Ended | ||
Mar. 31, 2024 USD ($) VIE | Mar. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) | |
Variable Interest Entities [Line Items] | |||
Fee waivers | $ 108,200,000 | $ 125,200,000 | |
Number of VIEs consolidated | VIE | 1 | ||
Variable Interest Entity Not Primary Beneficiary | |||
Variable Interest Entities [Line Items] | |||
Assets under managed investments | $ 200,000,000 | $ 9,300,000,000 | |
Other Long-Term Assets | Variable Interest Entity Not Primary Beneficiary | |||
Variable Interest Entities [Line Items] | |||
Federated Hermes' maximum risk of loss | 3,400,000 | ||
Cash and Cash Equivalents | Variable Interest Entity Not Primary Beneficiary | |||
Variable Interest Entities [Line Items] | |||
Federated Hermes' maximum risk of loss | 133,900,000 | ||
Accounts Receivable | Variable Interest Entity Not Primary Beneficiary | |||
Variable Interest Entities [Line Items] | |||
Federated Hermes' maximum risk of loss | 300,000 | $ 1,100,000 | |
Financial Support, Fee Waivers | |||
Variable Interest Entities [Line Items] | |||
Money market funds which meet the scope exception of the consolidation guidance | 81,100,000 | 96,100,000 | |
Financial Support, Capital Contributions | |||
Variable Interest Entities [Line Items] | |||
Money market funds which meet the scope exception of the consolidation guidance | $ 0 | $ 0 |
Consolidation - Consolidated Fe
Consolidation - Consolidated Federated Hermes Fund VIEs (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 |
Variable Interest Entities [Line Items] | |||
Cash and Cash Equivalents | $ 359,782 | $ 383,180 | $ 323,983 |
Other Current Assets | 6,127 | 5,900 | |
Other Long-Term Assets | 33,066 | 34,534 | |
Less: Liabilities | 866,415 | 947,747 | |
Less: Accumulated Other Comprehensive Income (Loss), net of tax | (25,146) | (19,911) | |
Investments—Consolidated Investment Companies | |||
Variable Interest Entities [Line Items] | |||
Investments—Consolidated Investment Companies | 123,912 | 70,543 | |
Receivables-Affiliates | |||
Variable Interest Entities [Line Items] | |||
Investments—Consolidated Investment Companies | 74,838 | 106,952 | |
Receivables-Affiliates | 49,277 | 48,694 | |
Variable Interest Entity, Primary Beneficiary | |||
Variable Interest Entities [Line Items] | |||
Cash and Cash Equivalents | 11,100 | 10,100 | |
Other Current Assets | 200 | 300 | |
Other Long-Term Assets | 13,400 | 13,800 | |
Less: Liabilities | 11,400 | 14,000 | |
Less: Accumulated Other Comprehensive Income (Loss), net of tax | 400 | 600 | |
Less: Redeemable Noncontrolling Interests in Subsidiaries | 60,200 | 11,600 | |
Federated Hermes’ Net Interest in VIEs | 21,300 | 15,100 | |
Variable Interest Entity, Primary Beneficiary | Investments—Consolidated Investment Companies | |||
Variable Interest Entities [Line Items] | |||
Investments—Consolidated Investment Companies | 66,700 | 12,400 | |
Variable Interest Entity, Primary Beneficiary | Receivables-Affiliates | |||
Variable Interest Entities [Line Items] | |||
Receivables-Affiliates | $ 1,900 | $ 4,700 |
Investments - Narrative (Detail
Investments - Narrative (Details) - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Affiliates | ||
Schedule of Investments [Line Items] | ||
Investments | $ 74,838 | $ 106,952 |
Investments—Consolidated Investment Companies | ||
Schedule of Investments [Line Items] | ||
Investments | 123,912 | 70,543 |
Stocks of Large Companies | Investments—Consolidated Investment Companies | ||
Schedule of Investments [Line Items] | ||
Investments | 59,000 | 4,900 |
Debt Securities | Investments—Consolidated Investment Companies | ||
Schedule of Investments [Line Items] | ||
Investments | 59,100 | 59,100 |
Stocks of Small and Mid Sized Companies | Investments—Consolidated Investment Companies | ||
Schedule of Investments [Line Items] | ||
Investments | 4,600 | 4,200 |
Federated Hermes Funds | Affiliates | ||
Schedule of Investments [Line Items] | ||
Investments | 67,300 | 99,500 |
Separate Accounts | Affiliates | ||
Schedule of Investments [Line Items] | ||
Investments | 7,500 | 7,500 |
Separate Accounts | Stocks of Large Companies | Affiliates | ||
Schedule of Investments [Line Items] | ||
Investments | 3,700 | 3,400 |
Separate Accounts | Debt Securities | Affiliates | ||
Schedule of Investments [Line Items] | ||
Investments | $ 2,400 | $ 2,400 |
Investments - Gains and Losses
Investments - Gains and Losses Recognized in Gain (Loss) on Securities, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
(Loss) Gain on Securities [Line Items] | ||
Net Unrealized Gains (Losses) | $ 1,334 | $ 5,974 |
Gain (Loss) on Securities, net | 1,747 | 5,492 |
Investments | Investments—Consolidated Investment Companies | ||
(Loss) Gain on Securities [Line Items] | ||
Net Unrealized Gains (Losses) | (7) | 3,621 |
Net Realized Gains (Losses) | (186) | (641) |
Gain (Loss) on Securities, net | (193) | 2,980 |
Investments | Investments—Affiliates and Other | ||
(Loss) Gain on Securities [Line Items] | ||
Net Unrealized Gains (Losses) | 1,341 | 2,353 |
Net Realized Gains (Losses) | 599 | 159 |
Gain (Loss) on Securities, net | $ 1,940 | $ 2,512 |
Fair Value Measurements - Class
Fair Value Measurements - Classes of Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - Fair Value, Measurements, Recurring - USD ($) $ in Thousands | Mar. 31, 2024 | Dec. 31, 2023 |
Financial Assets | ||
Cash and Cash Equivalents | $ 359,782 | $ 383,180 |
Other | 7,151 | 7,804 |
Total Financial Assets | 565,683 | 568,479 |
Financial Liabilities | ||
Total Financial Liabilities | 9,071 | 7,961 |
Investments—Consolidated Investment Companies | ||
Financial Assets | ||
Investments | 123,912 | 70,543 |
Investments—Affiliates and Other | ||
Financial Assets | ||
Investments | 74,838 | 106,952 |
Level 1 | ||
Financial Assets | ||
Cash and Cash Equivalents | 359,782 | 383,180 |
Other | 6,234 | 6,160 |
Total Financial Assets | 503,259 | 505,083 |
Financial Liabilities | ||
Total Financial Liabilities | 0 | 0 |
Level 1 | Investments—Consolidated Investment Companies | ||
Financial Assets | ||
Investments | 64,784 | 11,402 |
Level 1 | Investments—Affiliates and Other | ||
Financial Assets | ||
Investments | 72,459 | 104,341 |
Level 2 | ||
Financial Assets | ||
Cash and Cash Equivalents | 0 | 0 |
Other | 917 | 1,644 |
Total Financial Assets | 62,402 | 63,373 |
Financial Liabilities | ||
Total Financial Liabilities | 1,341 | 335 |
Level 2 | Investments—Consolidated Investment Companies | ||
Financial Assets | ||
Investments | 59,128 | 59,141 |
Level 2 | Investments—Affiliates and Other | ||
Financial Assets | ||
Investments | 2,357 | 2,588 |
Level 3 | ||
Financial Assets | ||
Cash and Cash Equivalents | 0 | 0 |
Other | 0 | 0 |
Total Financial Assets | 22 | 23 |
Financial Liabilities | ||
Total Financial Liabilities | 7,730 | 7,626 |
Level 3 | Investments—Consolidated Investment Companies | ||
Financial Assets | ||
Investments | 0 | 0 |
Level 3 | Investments—Affiliates and Other | ||
Financial Assets | ||
Investments | $ 22 | $ 23 |
Fair Value Measurements - Narra
Fair Value Measurements - Narrative (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Acquisition-related future consideration liabilities | $ 7.7 | |
Acquisition-related future consideration liabilities recorded in other current liabilities | 4.1 | |
Acquisition-related future consideration liabilities recorded in other long-term liabilities | 3.6 | |
Unsecured Senior Notes | Senior Notes | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Issuance costs, net | 2.1 | |
Money market | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash and cash equivalents | 310.9 | $ 333.3 |
Mutual Fund | NAV | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Other financial assets | $ 18.9 | $ 19.9 |
Fair Value Measurements - Recon
Fair Value Measurements - Reconciliation of Liability for Future Consideration Payments (Details) - Contingent Consideration $ in Thousands | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Balance at beginning | $ 7,626 |
Changes in Fair Value | 222 |
Contingent Consideration Payments | (118) |
Balance at end | $ 7,730 |
Derivatives (Details)
Derivatives (Details) - Foreign Currency Forward £ in Millions, $ in Millions | Mar. 31, 2024 GBP (£) | Mar. 31, 2024 USD ($) | Dec. 31, 2023 GBP (£) | Dec. 31, 2023 USD ($) |
Derivative [Line Items] | ||||
Derivative asset, notional amount | £ | £ 56.8 | £ 28.8 | ||
Derivative assets | $ | $ 0.9 | $ 1.6 | ||
Derivative liability, notional amount | £ | £ 26.8 | £ 55.5 | ||
Derivative liabilities | $ | $ 1.3 | $ 0.3 |
Intangible Assets, including _2
Intangible Assets, including Goodwill (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Decrease in intangible assets | $ (5.3) |
Amortization expense for finite-lived intangible assets | 3.2 |
Foreign exchange rate fluctuations | 2.3 |
Goodwill, period decrease | $ (1.2) |
Debt (Details)
Debt (Details) | 3 Months Ended | |||
Mar. 17, 2022 USD ($) | Mar. 31, 2024 USD ($) | Dec. 31, 2023 USD ($) | Jul. 30, 2021 USD ($) bank | |
Debt Instrument [Line Items] | ||||
Long-term debt, net of issuance costs | $ 347,909,000 | $ 347,843,000 | ||
Number of banks as lenders | bank | 11 | |||
Line of credit facility, maximum borrowing capacity | $ 350,000,000 | |||
Optional increase (or an accordion feature) | 200,000,000 | |||
Amounts outstanding under the revolving credit facility | $ 0 | $ 0 | ||
Commitment fee | 0.10% | |||
Available for borrowings | $ 350,000,000 | |||
Accordion feature, available for borrowings | 200,000,000 | |||
Senior Notes | Unsecured Senior Notes | ||||
Debt Instrument [Line Items] | ||||
Aggregate amount | $ 350,000,000 | |||
Fixed rate | 3.29% | |||
Long-term debt, net of issuance costs | 347,900,000 | |||
Issuance costs, net | $ 2,100,000 | |||
Commitment fee amount | $ 0 | |||
Swing Line | ||||
Debt Instrument [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | $ 50,000,000 |
Share-Based Compensation (Detai
Share-Based Compensation (Details) - shares | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Class B Common Stock Bonus | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock awarded in period (in shares) | 391,107 | 375,796 |
Vesting period | 3 years | 3 years |
Class B Common Stock Key Employees | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock awarded in period (in shares) | 414,500 | |
Vesting period | 10 years | |
U.K. Subsidiary Stock Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Restricted stock awarded in period (in shares) | 86,000 | |
Vesting period | 5 years |
Equity - Narrative (Details)
Equity - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Oct. 31, 2023 | |
Equity, Class of Treasury Stock [Line Items] | |||
Purchase of treasury stock (in shares) | 1,082,120 | 132,592 | |
Purchase of treasury stock | $ 37,197 | $ 4,742 | |
Class B Shares | |||
Equity, Class of Treasury Stock [Line Items] | |||
Number of shares authorized under share repurchase program (in shares) | 5,000,000 | ||
Purchase of treasury stock (in shares) | 1,100,000 | ||
Purchase of treasury stock | $ 37,000 | ||
Remaining number of shares authorized to be repurchased (in shares) | 3,500,000 | ||
Class B Shares | Other Current Liabilities | |||
Equity, Class of Treasury Stock [Line Items] | |||
Purchase of treasury stock | $ 700 |
Equity - Activity for Class B C
Equity - Activity for Class B Common Stock and Treasury Stock (Details) - shares | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance (in shares) | 14,664,467 | 10,229,521 |
Stock Award Activity (in shares) | (391,107) | (375,796) |
Purchase of Treasury Stock (in shares) | 1,082,120 | 132,592 |
Ending Balance (in shares) | 15,355,480 | 9,986,317 |
Class B Shares | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||
Beginning Balance (in shares) | 84,840,989 | 89,275,935 |
Stock Award Activity (in shares) | 391,107 | 375,796 |
Purchase of Treasury Stock (in shares) | (1,082,120) | (132,592) |
Ending Balance (in shares) | 84,149,976 | 89,519,139 |
Purchase of Treasury Stock (in shares) | 1,100,000 |
Earnings Per Share Attributab_3
Earnings Per Share Attributable to Federated Hermes, Inc. Shareholders (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Numerator | ||
Net Income Attributable to Federated Hermes, Inc. | $ 75,033 | $ 69,601 |
Less: Total Net Income Available to Participating Unvested Restricted Shareholders | (3,403) | (3,509) |
Total Net Income Attributable to Federated Hermes Common Stock - Basic | 71,630 | 66,092 |
Total Net Income Attributable to Federated Hermes Common Stock - Diluted | $ 71,630 | $ 66,092 |
Denominator | ||
Basic Weighted-Average Federated Hermes Common Stock (in shares) | 80,709 | 84,875 |
Dilutive Impact from Non-forfeitable Restricted Stock (in shares) | 1 | 0 |
Diluted Weighted-Average Federated Hermes Common Stock (in shares) | 80,710 | 84,875 |
Net Income Attributable to Federated Hermes Common Stock – Basic (usd per share) | $ 0.89 | $ 0.78 |
Net Income Attributable to Federated Hermes Common Share—Diluted (usd per share) | $ 0.89 | $ 0.78 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) Attributable to Federated Hermes, Inc. Shareholders (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Accumulated Other Comprehensive Income (Loss), net of tax [Rollforward] | ||
Balance, beginning of period | $ 1,128,252 | $ 1,045,692 |
Balance, end of period | 1,147,427 | 1,106,703 |
Foreign Currency Translation Gain (Loss) | ||
Accumulated Other Comprehensive Income (Loss), net of tax [Rollforward] | ||
Balance, beginning of period | (19,911) | (45,676) |
Other Comprehensive Income (Loss) | (5,235) | 9,620 |
Balance, end of period | $ (25,146) | $ (36,056) |
Redeemable Noncontrolling Int_3
Redeemable Noncontrolling Interests in Subsidiaries (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Increase (Decrease) in Temporary Equity [Roll Forward] | ||
Balance, beginning of period | $ 25,845 | $ 61,821 |
Net Income (Loss) | (23) | 1,865 |
Other Comprehensive Income (Loss), net of tax | (106) | 232 |
Subscriptions—Redeemable Noncontrolling Interest Holders | 2,724 | 12,776 |
Consolidation/(Deconsolidation) | 48,100 | (33,962) |
Distributions to Noncontrolling Interests in Subsidiaries | (3,410) | (3,224) |
Balance, end of period | 73,130 | 39,508 |
Consolidated Investment Companies | ||
Increase (Decrease) in Temporary Equity [Roll Forward] | ||
Balance, beginning of period | 14,341 | 50,317 |
Net Income (Loss) | (72) | 1,925 |
Subscriptions—Redeemable Noncontrolling Interest Holders | 2,480 | 12,669 |
Consolidation/(Deconsolidation) | 48,100 | (33,962) |
Distributions to Noncontrolling Interests in Subsidiaries | (2,853) | (2,499) |
Balance, end of period | 61,996 | 28,450 |
Other Entities | ||
Increase (Decrease) in Temporary Equity [Roll Forward] | ||
Balance, beginning of period | 11,504 | 11,504 |
Net Income (Loss) | 49 | (60) |
Other Comprehensive Income (Loss), net of tax | (106) | 232 |
Subscriptions—Redeemable Noncontrolling Interest Holders | 244 | 107 |
Distributions to Noncontrolling Interests in Subsidiaries | (557) | (725) |
Balance, end of period | $ 11,134 | $ 11,058 |
Commitments and Contingencies (
Commitments and Contingencies (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Jun. 30, 2023 | Mar. 31, 2023 | Mar. 31, 2024 | Dec. 31, 2023 | |
Loss Contingencies [Line Items] | ||||
Limited partners' carried interest fair value | $ 9.8 | |||
Increase in limited partners' carried interest fair value | $ 5.1 | |||
Administrative error related to unregistered shares | ||||
Loss Contingencies [Line Items] | ||||
Loss contingency estimated probable cost | $ 19.6 | |||
Loss contingency settlement paid | $ 17.9 | |||
Loss contingency provision | $ 2.5 | |||
Insurance reimbursement receivable | $ 15.9 |
Income Taxes (Details)
Income Taxes (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Income Tax Disclosure [Abstract] | ||
Income tax provision | $ 29,008 | $ 21,009 |
Effective income tax rate (in percent ) | 27.90% | 22.70% |
Valuation allowance on foreign deferred tax assets (in percent ) | 3% | |
Vesting of restricted shares related to share-based compensation (in percent ) | 1.10% |
Subsequent Events (Details)
Subsequent Events (Details) - Subsequent Event | Apr. 25, 2024 $ / shares |
Class A Shares | |
Subsequent Event [Line Items] | |
Dividends declared (usd per share) | $ 1.31 |
Quarterly dividend (usd per share) | 0.31 |
Special dividend (usd per share) | 1 |
Class B Shares | |
Subsequent Event [Line Items] | |
Dividends declared (usd per share) | 1.31 |
Quarterly dividend (usd per share) | 0.31 |
Special dividend (usd per share) | $ 1 |