APAM delivered solid quarterly cash flow and earnings in QQ1 2025 despite a revenue decline linked to the absence of approximately $17 million in performance fees realized in 4Q2024. Revenue totaled $288.0 million, down 7% sequentially from 4Q2024, and up 8.9% year over year. Gross margin stood at 43.6% and adjusted operating income reached $97.4 million, with an EBITDAR of 34.7% and a net income of $61.1 million (EPS $0.93 on reported, $0.86 on diluted). The firm ended the quarter with $162 billion in AUM, modestly higher sequentially and year over year, driven by market returns (roughly $4.1 billion) and positive flows in fixed income and alternatives. Intermediated wealth continued to be a strategic focus, accounting for about 60% of AUM, underscoring the firm’s shift toward growth via private wealth channels and developed distribution capabilities. Management reiterated guidance that full-year 2025 fixed expenses will rise only in the mid- to low-single digits, with continued emphasis on capacity discipline and selective growth opportunities via lift-outs or M&A. The balance sheet remains robust, including seed capital liquidity (~$138 million) and an unused $100 million revolver, with $60 million of senior notes maturing in August 2025 and a plan to refinance much of the maturities. The company also maintained its quarterly dividend of $0.68 per share, reflecting the impact of reduced cash generation from absent performance fees in QQ1 2025.