Silvercrest Posts Third-Quarter Revenue of $32.7 Million as Assets Under Management Decline
Key Facts
Silvercrest Asset Management Group reported results on October 29 for the third quarter and nine months ended September 30, 2026, posting revenue of $32.7 million and adjusted earnings per share of $0.16. Revenue rose 4.5% from the same period a year earlier, when it was $31.3 million. The company said the increase was primarily due to a higher average annual management fee. Consolidated GAAP net income was about $1.2 million, or 3.7% of revenue, compared with $1.1 million and 3.5% a year earlier. Adjusted net income was $1.9 million for the quarter. The results came as assets under management declined, putting fee and income growth up against pressure from a shrinking asset base.
Total assets under management were $36.2 billion on September 30, comprising $23.8 billion in discretionary assets and $12.4 billion in non-discretionary assets. Discretionary assets fell by $0.9 billion, or 3.6%, during the quarter to their level at the end of September. The company attributed the decline to a $0.8 billion drop in markets and $0.1 billion in net client outflows. Year over year, total assets under management fell by $1.4 billion, or 3.7%, from $37.6 billion on September 30, 2025. Market gains of $1.1 billion partly offset annual net outflows of $2.5 billion. The difference between the two comparisons reflects the quarter's combined market and flow pressures, while net flows were nearly stable, according to the company's presentation for the period.
Silvercrest said net flows during the quarter were nearly flat at $58.3 million. The company added $182.2 million from new organic client accounts, and flows also included a $373.0 million follow-on investment in its global value equity strategy. These were offset by outflows that the company attributed primarily to seasonal withdrawals by high-net-worth clients to pay taxes, along with some institutional outflows. On operating profitability, adjusted EBITDA was $4.3 million, compared with $4.5 million in the year-earlier quarter. Its margin fell to 13.5% of revenue from 14.5% a year earlier. The figures show annual revenue growth alongside declines in adjusted earnings before interest, taxes, depreciation and amortization and its margin.
On expansion, the company said it received a full MiFID license from the Central Bank of Ireland during the quarter and opened an office in Dublin to serve high-net-worth and institutional clients in Europe. It added that it expects administrative and legal costs related to expansion initiatives to decline as those initiatives begin contributing to revenue. On October 28, Silvercrest declared a quarterly cash dividend of $0.21 per Class A share. The dividend is scheduled to be paid on December 18 to shareholders of record at the close of December 11, 2026. The company also said it will change how it presents non-discretionary assets by the end of the first quarter of 2027, and may eliminate the category. It said the change will reduce non-discretionary assets and reported total assets on a one-time basis, with no effect on revenue.
Silvercrest was scheduled to hold a call to discuss results on October 30, 2026, at 8:30 a.m. Eastern time. CEO Richard Hough and CFO Scott Gerard will participate. The company's shares, listed under the ticker SAMG, closed at $10.35 on October 29, according to EL7 data. The call is scheduled for the day after the results announcement, with a cash dividend due in December and an accounting change to the presentation of one asset category in the first quarter of 2027. The reported assets under management figures remain tied to the current presentation method until the company implements the announced change.