Earnings Analysis October 30, 2026

WisdomTree Inc ($WT) Q3 FY2026 Earnings Analysis: Net Income Beats Estimates, Revenue Slightly Misses

Earnings Report

Revenue: $179.37 million (Year-over-year +42.8%, Expected $181 million) ❌ Miss

EPS (Earnings Per Share): $0.32 (Q3 FY2026, Expected $0.30) ✅ Beat

Guidance: Not provided (Did not announce next quarter or annual outlook)

Stock Reaction: -2.65% during regular trading ($20.98, as of 10-30 23:16 KST)

Highlights

Net Income: $49.20 million, with EPS of $0.32 exceeding expectations

Assets: Assets under management (AUM) reached a record high of $171 billion, with quarterly net inflows of $4.6 billion

Profitability: Operating margin of 41.3%, expanding by 5.0 percentage points year-over-year

Net inflows since the beginning of the year exceeded $13.6 billion, recording a 13% annualized organic growth rate. The adjusted operating margin rose by 0.5 percentage points from the previous quarter to 43.1%. The gross margin also remained virtually at the same level as the previous quarter at 83.0%.

Lowlights

Revenue: $179.37 million, falling short of the $181 million expectation

Yield: 0.42%, down from 0.43% in the previous quarter

Expenses: Interest expenses increased by 59.7% year-over-year

Performance fees decreased to $3.78 million from $5.96 million in the previous quarter. This, combined with a decrease in European ETF transaction fees, dragged down the yield. The 31.6% year-over-year increase in operating expenses also remains a burden.

What the Company Said

President and COO Jarrett Lilien explained that the breadth and consistency of organic growth are leading to operating leverage and margin expansion. CEO Jonathan Steinberg stated that the company stands at the intersection where the convergence of public and private markets meets asset tokenization.

Market Reaction and Future Outlook

Revenue slightly missing expectations and a decline in profitability compared to the previous quarter weighed on the stock price today.

It remains to be seen whether performance fees and European transaction fees will recover in the next quarter.

A key point to watch is whether the $4.6 billion net inflow trend continues in the fourth quarter.

As interest expenses increased by 59.7% year-over-year, it is important to monitor whether the effects of debt reduction become apparent.

Earnings Call Key Summary

Once the company script is released following the earnings call, the key takeaways from the call will be added here. We will select and summarize only the most important details, such as how management explained performance and outlook, and what questions analysts asked.