Filing Flows › Federated Hermes (FHI) › Q2 2026 › vs Q1 2026
Federated Hermes (FHI) Q2 2026 vs Q1 2026 (quarter over quarter)
Federated Hermes's revenue rose $23.8M (+5%) from $479M in Q1 2026 to $503M in Q2 2026. The biggest changes: Federated Hermes Funds +$16.8M (+4%); Other +$4.3M (+95%); Separate Accounts +$2.8M (+4%). Operating margin 26.4% against 26.4% (+0.1 pts).
Federated Hermes, Q2 2026: revenue $503M (+18% year over year), operating margin 26.4%, net earnings $104M, operating cash flow $80.9M. The chart draws each line against Q1 2026, the increases inside each band.
Margins
| Q2 2026 | Q1 2026 | Change | |
|---|---|---|---|
| Operating margin | 26.4% | 26.4% | +0.1 pts |
| Net margin | 20.7% | 20.1% | +0.6 pts |
| Free cash flow margin | 15.8% | 5.0% | +10.8 pts |
Every line
| Line | Q2 2026 | Q1 2026 | Change | % |
|---|---|---|---|---|
| Federated Hermes Funds | $424M | $407M | $16.8M | +4% |
| Separate Accounts | $69.8M | $67.0M | $2.8M | +4% |
| Other | $8.7M | $4.5M | $4.3M | +95% |
| Revenue | $503M | $479M | $23.8M | +5% |
| Other income, net | $11.1M | $3.4M | $7.7M | +224% |
| Operating profit | $133M | $126M | $6.5M | +5% |
| Costs & expenses | $370M | $353M | $17.3M | +5% |
| Pre-tax earnings | $144M | $130M | $14.3M | +11% |
| Sales & marketing | $7.3M | $4.1M | $3.2M | +79% |
| Other operating costs | $363M | $349M | $14.0M | +4% |
| Net earnings | $104M | $96.4M | $7.9M | +8% |
| Minority interests | $2.5M | −$432K | $2.9M | — |
| Income tax | $37.2M | $33.8M | $3.4M | +10% |
| Share-based compensation | $6.2M | $12.3M | −$6.0M | -49% |
| Working capital & other | $29.7M | $79.8M | −$50.1M | -63% |
| Operating cash flow | $80.9M | $28.8M | $52.0M | +180% |
| Free cash flow (OCF − capex) | $79.7M | $24.0M | $55.7M | +232% |
| Capital expenditures | $1.2M | $4.8M | −$3.6M | -75% |
Questions
How much did Federated Hermes's revenue grow quarter over quarter in Q2 2026?
Federated Hermes's revenue rose $23.8M (+5%) from $479M in Q1 2026 to $503M in Q2 2026.
What drove Federated Hermes's revenue change in Q2 2026?
Federated Hermes Funds +$16.8M (+4%); Other +$4.3M (+95%); Separate Accounts +$2.8M (+4%).