Filing Flows › Federated Hermes (FHI) › Q3 2026
Federated Hermes (FHI) Q3 2026 earnings results (third quarter 2026)
10-Q filed Oct 30, 2026
Federated Hermes (FHI) reported revenue of $507M for the third quarter 2026 (Q3 2026), +8% from a year earlier and +0.9% from the quarter before. Operating margin was 30.2%, net earnings $112M (22.1% of revenue).
Federated Hermes, Q3 2026: revenue $507M (+8% year over year), operating margin 30.2%, net earnings $112M, operating cash flow $134M. The chart follows the revenue to costs, profit and cash.
| Q3 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $507M | +0.9% | +8% |
| Operating profit | $153M | +15% | +18% |
| Net earnings | $112M | +7% | +7% |
| Operating cash flow | $134M | +66% | +30% |
| Free cash flow | $120M | +51% | +18% |
What changed
Revenue was $507.3M in Q3 2026, up 8% year over year and up 1% from the previous quarter. Federated Hermes Funds was the largest line at 85% of revenue. Federated Hermes Funds added $40.4M year over year (up 10%), 107% of the total change. Other declined 64%.
Operating profit was $153.3M, a 30.2% margin (up 2.6 points year over year). Of the extra revenue versus Q3 2025, 63% reached operating profit, above the 28% margin then. Total costs grew 4% against revenue growth of 8%. Net earnings were $111.9M, up 7% year over year ($110.9M including minority interests, which bore $1.0M of losses). The effective tax rate was 27.1%.
Operating cash flow was $134.2M (up 30% year over year), 121% of net earnings. Non-cash charges added back $5.9M of share-based compensation. Working capital and other items added $17.4M. Capital expenditures of $13.9M left free cash flow of $120.2M.
Questions
What was Federated Hermes' revenue in the third quarter 2026?
Federated Hermes (FHI) reported revenue of $507M for the third quarter 2026 (Q3 2026), +8% from a year earlier and +0.9% from the quarter before.
Was Federated Hermes profitable in the third quarter 2026?
Operating profit was $153M (30.2% of revenue) and net earnings $112M.
Source: Federated Hermes 10-Q on SEC EDGAR.