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News Release

Virtus Investment Partners Announces Financial Results for Second Quarter 2025

▪Earnings Per Share - Diluted of $6.12; Earnings Per Share - Diluted, as Adjusted, of $6.25
▪Total Sales of $5.6B; Net Flows of ($3.9B); Assets Under Management of $170.7B

Hartford, CT, July 25, 2025 - Virtus Investment Partners, Inc. (NYSE: VRTS) today reported financial results for the three months ended June 30, 2025.

Financial Highlights (Unaudited)
(in millions, except per share data or as noted)
Three Months EndedThree Months Ended
6/30/20256/30/2024Change3/31/2025Change
U.S. GAAP Financial Measures
Revenues$210.5 $224.4 (6 %)$217.9 (3 %)
Operating expenses$165.3 $180.2 (8 %)$181.3 (9 %)
Operating income (loss)$45.2 $44.2 2 %$36.6 23 %
Operating margin21.5 %19.7 %16.8 %
Net income (loss) attributable to Virtus Investment Partners, Inc.$42.4 $17.6 141 %$28.6 48 %
Earnings (loss) per share - diluted$6.12 $2.43 152 %$4.05 51 %
Weighted average shares outstanding - diluted6.922 7.242 (4 %)7.073 (2 %)
Non-GAAP Financial Measures (1)
Revenues, as adjusted$191.0 $203.0 (6 %)$197.6 (3 %)
Operating expenses, as adjusted$131.2 $137.0 (4 %)$143.0 (8 %)
Operating income (loss), as adjusted$59.8 $66.0 (9 %)$54.6 10 %
Operating margin, as adjusted31.3 %32.5 %27.6 %
Net income (loss) attributable to Virtus Investment Partners, Inc., as adjusted$43.3 $47.3 (8 %)$40.5 7 %
Earnings (loss) per share - diluted, as adjusted$6.25 $6.53 (4 %)$5.73 9 %
(1) See the information beginning on page 10 for reconciliations to the most directly comparable U.S. GAAP measures and other important disclosures

Earnings Summary
The company presents U.S. GAAP and non-GAAP earnings information in this release. Management believes that the non-GAAP financial measures presented reflect the company’s operating results from providing investment management and related services to individuals and institutions and uses these measures to evaluate financial performance. Non-GAAP financial measures have material limitations and should not be viewed in isolation or as a substitute for U.S. GAAP measures. Non-GAAP information and reconciliations to the most comparable U.S. GAAP measures can be found beginning on page 10 of this earnings release.

Virtus Investment Partners, Inc. | One Financial Plaza | Hartford, CT 06103 | virtus.com

Virtus Investment Partners, Inc. 2.

Assets Under Management and Asset Flows
(in billions)
Three Months EndedThree Months Ended
6/30/20256/30/2024Change3/31/2025Change
Ending total assets under management$170.7 $173.6 (2 %)$167.5 2 %
Average total assets under management$167.0 $175.2 (5 %)$173.6 (4 %)
Total sales$5.6 $6.1 (9 %)$6.2 (11 %)
Net flows$(3.9)$(2.6)50 %$(3.0)32 %


Total assets under management of $170.7 billion at June 30, 2025 increased sequentially from $167.5 billion due to market performance and positive net flows in exchange-traded funds, partially offset by net outflows in other products. In addition, the company provided services to $1.8 billion of other fee-earning assets that are not included in assets under management.
Total sales of $5.6 billion compared with $6.2 billion in the prior quarter. Institutional sales of $1.3 billion compared with $1.5 billion as higher sales of alternative strategies were offset by lower fixed income and global equities. Retail separate account sales of $1.5 billion declined from $1.7 billion primarily due to lower small/mid-cap equity. Open-end fund sales of $2.8 billion compared with $3.0 billion as higher sales of large-cap and international were offset by other strategies.
Net flows of ($3.9) billion compared with ($3.0) billion in the prior quarter. Institutional net flows of ($2.2) billion compared with ($1.2) billion due to a higher level of redemptions primarily in large-cap growth. Retail separate account net flows of ($0.8) billion compared with ($0.7) billion with net outflows led by small/mid-cap strategies. Open-end fund net flows of ($1.0) billion were essentially unchanged from the prior quarter and were largely due to equity strategies.












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Virtus Investment Partners, Inc. 3.

GAAP Results
Operating income of $45.2 million increased from $36.6 million in the prior quarter reflecting a 9% reduction in operating expenses, partially offset by a 3% decline in revenues due to lower average assets under management. The decrease in operating expenses was primarily due to lower employment expenses which included seasonally higher expenses in the prior quarter, and a decrease in fair value of contingent consideration.

Net income attributable to Virtus Investment Partners, Inc. of $6.12 per diluted share included $0.50 and $0.32 of fair value adjustments to minority interests and contingent consideration, respectively. Net income per diluted share of $4.05 in the prior quarter included ($0.94) of realized and unrealized losses on investments partially offset by $0.35 of fair value adjustments to minority interests.

The effective tax rate of 22% decreased from 31% in the prior quarter, primarily reflecting a decrease in income tax valuation allowances for net unrealized and realized losses compared to the prior quarter.

Non-GAAP Results
Revenues, as adjusted, of $191.0 million decreased 3% from $197.6 million in the prior quarter primarily due to a 4% decrease in average assets under management.
Employment expenses, as adjusted, of $97.2 million decreased from $109.4 million due to prior quarter seasonal expenses and lower variable incentive compensation. Other operating expenses, as adjusted, of $32.0 million increased from $31.3 million due to the $0.9 million annual equity grant to the Board of Directors.

Operating income, as adjusted, of $59.8 million and the related margin of 31.3% increased from $54.6 million and 27.6%, respectively, primarily due to the prior quarter seasonal expenses.

Net income attributable to Virtus Investment Partners, Inc., as adjusted, per diluted share was $6.25, a 9% increase from $5.73 in the prior quarter. The increase primarily reflected the impact of prior quarter seasonal employment expenses.

The effective tax rate, as adjusted, of 26% was essentially unchanged from the prior quarter.

Virtus Investment Partners, Inc. | One Financial Plaza | Hartford, CT 06103 | virtus.com

Virtus Investment Partners, Inc. 4.

Select Balance Sheet Items and Metrics (Unaudited)
(in millions)
As ofAs of
Select Balance Sheet Items6/30/20256/30/2024Change3/31/2025Change
Cash and cash equivalents$172.2 $183.0 (6 %)$135.4 27 %
Gross debt (1)$234.7 $252.4 (7 %)$235.4 — %
Contingent consideration (2)$37.4 $63.4 (41 %)$40.4 (7 %)
Redeemable noncontrolling interests (3)$56.3 $84.7 (34 %)$59.0 (5 %)
Total equity exc. noncontrolling interests$896.4 $868.7 3 %$893.7 — %
Other Metrics
Working capital (4)$144.0 $143.0 1 %$137.2 5 %
Net debt (cash) (5)$62.5 $69.4 (11 %)$100.0 (38 %)
(1)Excludes deferred financing costs of $3.4 million, $4.8 million, and $3.7 million, as of June 30, 2025, June 30, 2024, and March 31, 2025, respectively
(2)Represents estimated revenue participation and other contingent payments
(3)Excludes redeemable noncontrolling interests of consolidated investment products of $66.8 million, $44.7 million, and $61.6 million as of June 30, 2025, June 30, 2024, and March 31, 2025, respectively
(4)Defined as cash and cash equivalents plus accounts receivable, net, and deferred compensation related investments less accrued compensation and benefits (excluding those of minority interests), accounts payable and accrued liabilities, dividends payable, as well as debt principal payments and revenue participation obligations due within 12 months
(5)Defined as gross debt less cash and cash equivalents in accordance with the company's credit agreement

Working capital of $144.0 million at June 30, 2025 increased from $137.2 million at March 31, 2025, as cash earnings more than offset return of capital.
During the quarter, the company repurchased 175,872 shares for $30.0 million.
Gross debt at June 30, 2025 was $234.7 million. Net debt was $62.5 million, or 0.2x EBITDA.




Virtus Investment Partners, Inc. | One Financial Plaza | Hartford, CT 06103 | virtus.com

Virtus Investment Partners, Inc. 5.

Conference Call and Investor Presentation
Management will host an investor conference call and webcast on Friday, July 25, 2025, at 10 a.m. Eastern to discuss these financial results and related matters. The presentation that will accompany the conference call is available in the Investor Relations section of virtus.com. A replay of the call will be available in the Investor Relations section for at least one year. We routinely post important information for investors on the Investor Relations section of our website and may use this website as a means of disclosing material, non-public information and for complying with our disclosure obligations under Regulation FD. Accordingly, investors should monitor our website, in addition to following our press releases, SEC filings, public conference calls, presentations and webcasts. We may also use social media channels to communicate with our investors and the public about our company, our products and other matters, and those communications could be deemed to be material information. The information contained on, or that may be accessed through, our website or social media channels are not incorporated by reference into, and are not a part of, this document.

About Virtus Investment Partners, Inc.
Virtus Investment Partners (NYSE: VRTS) is a distinctive partnership of boutique investment managers singularly committed to the long-term success of individual and institutional investors. We provide investment products and services from our investment managers, each with a distinct investment style and autonomous investment process, as well as select subadvisers. Investment solutions are available across multiple disciplines and product types to meet a wide array of investor needs. Additional information about our firm, investment partners, and strategies is available at virtus.com.

Investor Relations ContactMedia Relations Contact
Sean Rourke
(860) 263-4709
sean.rourke@virtus.com
Laura Parsons
(860) 503-1382
laura.parsons@virtus.com






















Virtus Investment Partners, Inc. | One Financial Plaza | Hartford, CT 06103 | virtus.com

Virtus Investment Partners, Inc. 6.

U.S. GAAP Condensed Consolidated Statements of Operations (Unaudited)
(in thousands, except per share data)
Three Months EndedThree Months EndedSix Months Ended
6/30/20256/30/2024Change3/31/2025Change6/30/20256/30/2024Change
Revenues
Investment management fees$179,476 $191,652 (6 %)$186,091 (4 %)$365,567 $380,012 (4 %)
Distribution and service fees11,968 13,410 (11 %)12,753 (6 %)24,721 27,440 (10 %)
Administration and shareholder service fees18,048 18,308 (1 %)18,007 — %36,055 36,986 (3 %)
Other income and fees1,033 1,014 2 %1,081 (4 %)2,114 1,988 6 %
     Total revenues210,525 224,384 (6 %)217,932 (3 %)428,457 446,426 (4 %)
Operating Expenses
Employment expenses98,030 105,667 (7 %)109,093 (10 %)207,123 220,830 (6 %)
Distribution and other asset-based expenses21,975 23,695 (7 %)22,896 (4 %)44,871 48,043 (7 %)
Other operating expenses32,564 33,050 (1 %)33,059 (1 %)65,623 64,425 2 %
Operating expenses of consolidated investment products810 2,909 (72 %)1,000 (19 %)1,810 3,599 (50 %)
Restructuring expense— 690 (100 %)— N/M— 1,487 (100 %)
Change in fair value of contingent consideration(3,014)(3,300)(9 %)— N/M(3,014)(3,300)(9 %)
Depreciation expense2,006 2,270 (12 %)2,345 (14 %)4,351 4,298 1 %
Amortization expense12,944 15,198 (15 %)12,944 — %25,888 30,533 (15 %)
     Total operating expenses165,315 180,179 (8 %)181,337 (9 %)346,652 369,915 (6 %)
Operating Income (Loss)45,210 44,205 2 %36,595 24 %81,805 76,511 7 %
Other Income (Expense)
Realized and unrealized gain (loss) on investments, net3,971 (1,553)N/M(991)N/M2,980 1,863 60 %
Realized and unrealized gain (loss) of consolidated investment products, net(5,204)(12,936)(60 %)(7,649)(32 %)(12,853)(11,401)13 %
Other income (expense), net1,137 597 90 %998 14 %2,135 1,147 86 %
     Total other income (expense), net(96)(13,892)(99 %)(7,642)(99 %)(7,738)(8,391)(8 %)
Interest Income (Expense)
Interest expense(4,582)(5,611)(18 %)(4,561)— %(9,143)(11,292)(19 %)
Interest and dividend income2,054 2,643 (22 %)3,016 (32 %)5,070 6,112 (17 %)
Interest and dividend income of investments of consolidated investment products46,037 52,385 (12 %)47,553 (3 %)93,590 103,500 (10 %)
Interest expense of consolidated investment products(33,477)(41,960)(20 %)(34,559)(3 %)(68,036)(81,972)(17 %)
     Total interest income (expense), net10,032 7,457 35 %11,449 (12 %)21,481 16,348 31 %
Income (Loss) Before Income Taxes55,146 37,770 46 %40,402 36 %95,548 84,468 13 %
Income tax expense (benefit)12,403 11,748 6 %12,350 — %24,753 20,579 20 %
Net Income (Loss)42,743 26,022 64 %28,052 52 %70,795 63,889 11 %
Noncontrolling interests(370)(8,408)(96 %)595 N/M225 (16,417)N/M
Net Income (Loss) Attributable to Virtus Investment Partners, Inc.$42,373 $17,614 141 %$28,647 48 %$71,020 $47,472 50 %
Earnings (Loss) Per Share - Basic$6.18 $2.47 150 %$4.12 50 %$10.29 $6.66 55 %
Earnings (Loss) Per Share - Diluted$6.12 $2.43 152 %$4.05 51 %$10.15 $6.54 55 %
Cash Dividends Declared Per Common Share$2.25 $1.90 18 %$2.25 — %$4.50 $3.80 18 %
Weighted Average Shares Outstanding - Basic6,855 7,127 (4 %)6,955 (1 %)6,905 7,123 (3 %)
Weighted Average Shares Outstanding - Diluted6,922 7,242 (4 %)7,073 (2 %)6,997 7,264 (4 %)
N/M - Not Meaningful

Virtus Investment Partners, Inc. | One Financial Plaza | Hartford, CT 06103 | virtus.com

Virtus Investment Partners, Inc. 7.

Assets Under Management - Product and Asset Class
(in millions)
Three Months Ended
6/30/20249/30/202412/31/20243/31/20256/30/2025
By Product (period end):
Open-End Funds (1)$55,852 $58,100 $56,073 $53,608 $55,653 
Closed-End Funds9,915 10,432 10,225 10,273 10,481 
Retail Separate Accounts (2)45,672 50,610 49,536 46,920 47,445 
Institutional Accounts (3)62,146 64,600 59,167 56,662 57,131 
Total$173,585 $183,742 $175,001 $167,463 $170,710 
By Product (average) (4)
Open-End Funds (1)$56,692 $56,731 $57,905 $56,104 $53,742 
Closed-End Funds9,894 10,159 10,452 10,288 10,183 
Retail Separate Accounts (2)46,816 45,672 50,610 49,321 46,637 
Institutional Accounts (3)61,773 63,428 63,121 57,877 56,397 
Total$175,175 $175,990 $182,088 $173,590 $166,959 
By Asset Class (period end):
Equity$99,224 $106,784 $100,792 $93,624 $96,232 
Fixed Income36,970 39,014 37,696 37,930 38,594 
Multi-Asset (5)21,060 21,619 21,174 20,834 21,430 
Alternatives (6)16,331 16,325 15,339 15,075 14,454 
Total$173,585 $183,742 $175,001 $167,463 $170,710 
























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Virtus Investment Partners, Inc. 8.

Assets Under Management - Average Management Fees Earned (7)
(in basis points)
Three Months Ended
6/30/20249/30/202412/31/20243/31/20256/30/2025
By Product:
Open-End Funds (1)50.9 49.7 49.5 47.8 46.7 
Closed-End Funds58.6 58.5 58.8 58.5 58.6 
Retail Separate Accounts (2)43.3 43.7 42.6 42.9 42.9 
Institutional Accounts (3)(8)30.7 31.0 31.9 31.8 31.8 
All Products (8)
42.2 41.9 42.0 41.7 41.3 
(1)    Represents assets under management of U.S. retail funds, global funds, and exchange-traded funds
(2)    Includes investment models provided to managed account sponsors
(3)     Represents assets under management of institutional separate and commingled accounts including structured products
(4)    Calculated according to revenue earning basis that includes average daily, weekly, monthly beginning balance, monthly ending balance, or quarter beginning and ending balance, as well as quarter beginning or ending spot balance
(5)    Consists of multi-asset offerings not included in equity, fixed income, and alternatives
(6)    Consists of real estate securities, managed futures, event-driven, infrastructure, and other strategies
(7)    Represents investment management fees, as adjusted, divided by average assets. Investment management fees, as adjusted, exclude the impact of consolidated investment products and are net of revenue-related adjustments. Revenue-related adjustments are based on specific agreements and reflect the portion of investment management fees passed through to third-party client intermediaries for services to investors in sponsored investment products
(8)    Includes performance-related fees, in basis points, earned during the three months ended as follows:
6/30/20249/30/202412/31/20243/31/20256/30/2025
Institutional Accounts0.30.41.00.20.7
All Products0.10.10.30.10.2
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Virtus Investment Partners, Inc. 9.

Assets Under Management - Asset Flows by Product
(in millions)
Three Months EndedSix Months Ended
6/30/20249/30/202412/31/20243/31/20256/30/20256/30/20246/30/2025
Open-End Funds (1)
Beginning balance$57,818 $55,852 $58,100 $56,073 $53,608 $56,062 $56,073 
Inflows2,777 3,118 3,049 3,038 2,825 6,253 5,863 
Outflows(4,120)(4,143)(4,165)(4,110)(3,806)(8,224)(7,916)
Net flows(1,343)(1,025)(1,116)(1,072)(981)(1,971)(2,053)
Market performance(480)3,410 (541)(1,250)3,211 2,080 1,961 
Other (2)(143)(137)(370)(143)(185)(319)(328)
Ending balance$55,852 $58,100 $56,073 $53,608 $55,653 $55,852 $55,653 
Closed-End Funds
Beginning balance$10,064 $9,915 $10,432 $10,225 $10,273 $10,026 $10,225 
Inflows— — 1 5 4 — 9 
Outflows(41)— — (40)(2)(41)(42)
Net flows(41)— 1 (35)2 (41)(33)
Market performance83 845 (55)257 378 322 635 
Other (2)(191)(328)(153)(174)(172)(392)(346)
Ending balance$9,915 $10,432 $10,225 $10,273 $10,481 $9,915 $10,481 
Retail Separate Accounts (3)
Beginning balance$46,816 $45,672 $50,610 $49,536 $46,920 $43,202 $49,536 
Inflows2,172 2,260 1,816 1,742 1,468 4,545 3,210 
Outflows(1,688)(1,829)(1,745)(2,410)(2,264)(3,383)(4,674)
Net flows484 431 71 (668)(796)1,162 (1,464)
Market performance(1,631)4,507 (1,145)(1,947)1,322 1,305 (625)
Other (2)3 — — (1)(1)3 (2)
Ending balance$45,672 $50,610 $49,536 $46,920 $47,445 $45,672 $47,445 
Institutional Accounts (4)
Beginning balance$64,613 $62,146 $64,600 $59,167 $56,662 $62,969 $59,167 
Inflows1,188 1,219 1,574 1,455 1,283 2,922 2,738 
Outflows(2,913)(2,349)(5,376)(2,659)(3,455)(5,935)(6,114)
Net flows(1,725)(1,130)(3,802)(1,204)(2,172)(3,013)(3,376)
Market performance(549)3,790 (1,141)(1,170)2,844 2,452 1,674 
Other (2)(193)(206)(490)(131)(203)(262)(334)
Ending balance$62,146 $64,600 $59,167 $56,662 $57,131 $62,146 $57,131 
Total
Beginning balance$179,311 $173,585 $183,742 $175,001 $167,463 $172,259 $175,001 
Inflows6,137 6,597 6,440 6,240 5,580 13,720 11,820 
Outflows(8,762)(8,321)(11,286)(9,219)(9,527)(17,583)(18,746)
Net flows(2,625)(1,724)(4,846)(2,979)(3,947)(3,863)(6,926)
Market performance(2,577)12,552 (2,882)(4,110)7,755 6,159 3,645 
Other (2)(524)(671)(1,013)(449)(561)(970)(1,010)
Ending balance$173,585 $183,742 $175,001 $167,463 $170,710 $173,585 $170,710 

(1)     Represents assets under management of U.S. retail funds, global funds and exchange-traded funds
(2)     Represents open-end and closed-end fund distributions net of reinvestments, the impact of non-sales related activities such as asset acquisitions/(dispositions), seed capital investments/(withdrawals), current income or capital returned by structured products, and the use of leverage
(3)    Includes investment models provided to managed account sponsors
(4)     Represents assets under management of institutional separate and commingled accounts including structured products




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Virtus Investment Partners, Inc. 10.


Non-GAAP Information and Reconciliations
(in thousands except per share data)

The non-GAAP financial measures included in this release differ from financial measures determined in accordance with U.S. GAAP as a result of the reclassification of certain income statement items, as well as the exclusion of certain expenses and other items that are not reflective of the earnings generated from providing investment management and related services. Management uses these measures to evaluate the company’s financial performance and operational decision-making. Management believes that these non-GAAP financial measures, when presented together with directly comparable U.S. GAAP measures, are useful to investors and other interested parties to provide additional insight, promote transparency and allow for a more comprehensive understanding of the information used by management. Please see the Notes to Reconciliations on page 13 for additional information on how these measures reflect the company’s operating results. Non-GAAP financial measures have material limitations and should not be viewed in isolation or as a substitute for U.S. GAAP measures. Also, the non-GAAP financial measures referenced in this release may not be comparable to the similarly titled measures used by other companies.

The following are reconciliations and related notes of the most directly comparable U.S. GAAP measure to each non-GAAP measure:
Three Months Ended
Revenues6/30/20256/30/20243/31/2025
Total revenues, GAAP$210,525$224,384$217,932
Consolidated investment products revenues (1)2,4352,3262,575
Investment management fees (2)(10,006)(10,282)(10,140)
Distribution and service fees (2)(11,969)(13,413)(12,756)
Total revenues, as adjusted$190,985$203,015$197,611
Operating Expenses
Total operating expenses, GAAP$165,315$180,179$181,337
Consolidated investment products expenses (1)(810)(2,909)(1,000)
Distributions to minority interests (3)(745)—193
Distribution and other asset-based expenses (4)(21,975)(23,695)(22,896)
Amortization of intangible assets (5)(12,944)(15,198)(12,944)
Restructuring expense (6)—(690)—
Deferred compensation and related investments (7)(531)36107
Acquisition and integration expenses (8)2,5792,201(417)
Other (9)325(2,907)(1,359)
Total operating expenses, as adjusted$131,214$137,017$143,021










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Virtus Investment Partners, Inc. 11.

Three Months Ended
Operating Income (Loss)6/30/20256/30/20243/31/2025
Operating income (loss), GAAP$45,210$44,205$36,595
Consolidated investment products (earnings) losses (1)3,2455,2353,575
Distributions to minority interests (3)745—(193)
Amortization of intangible assets (5)12,94415,19812,944
Restructuring expense (6)—690—
Deferred compensation and related investments (7)531(36)(107)
Acquisition and integration expenses (8)(2,579)(2,201)417
Other (9)(325)2,9071,359
Operating income (loss), as adjusted$59,771$65,998$54,590
Operating margin, GAAP21.5 %19.7 %16.8 %
Operating margin, as adjusted31.3 %32.5 %27.6 %
Income (Loss) Before Taxes
Income (loss) before taxes, GAAP$55,146$37,770$40,402
Consolidated investment products (earnings) losses (1)(1,808)268(18)
Distributions to minority interests (3)745—(193)
Amortization of intangible assets (5)12,94415,19812,944
Restructuring expense (6)—690—
Deferred compensation and related investments (7)(436)545613
Acquisition and integration expenses (8)(2,579)(2,201)417
Other (9)(325)2,9071,359
Seed capital and CLO investments (gains) losses (10)(2,097)12,1751,478
Income (loss) before taxes, as adjusted$61,590$67,352$57,002
Income Tax Expense (Benefit)
Income tax expense (benefit), GAAP$12,403$11,748$12,350
Tax impact of:
  Amortization of intangible assets (5)3,4043,9733,419
  Restructuring expense (6)—180—
  Deferred compensation and related investments (7)(115)142162
  Acquisition and integration expenses (8)(678)(575)110
  Other (9)431,415(918)
  Seed capital and CLO investments (gains) losses (10)1,142725(67)
Income tax expense (benefit), as adjusted$16,199$17,608$15,056
Effective tax rate, GAAPA
22.5 %31.1 %30.6 %
Effective tax rate, as adjustedB
26.3 %26.1 %26.4 %
A     Reflects income tax expense (benefit), GAAP, divided by income (loss) before taxes, GAAP
B     Reflects income tax expense (benefit), as adjusted, divided by income (loss) before taxes, as adjusted

Virtus Investment Partners, Inc. | One Financial Plaza | Hartford, CT 06103 | virtus.com

Virtus Investment Partners, Inc. 12.

Three Months Ended
Net Income (Loss) Attributable to Virtus Investment Partners, Inc.6/30/20256/30/20243/31/2025
Net income (loss) attributable to Virtus Investment Partners, Inc. $42,373$17,614$28,647
Amortization of intangible assets, net of tax (5)9,51410,7389,499
Restructuring expense, net of tax (6)—510—
Deferred compensation and related investments (7)(321)403451
Acquisition and integration expenses, net of tax (8)(1,901)(1,626)307
Other, net of tax (9)(3,136)8,16453
Seed capital and CLO investments (gains) losses, net of tax (10)(3,239)11,4501,545
Net income (loss) attributable to Virtus Investment Partners, Inc., as adjusted$43,290$47,253$40,502
Weighted average shares outstanding - diluted6,9227,2427,073
Earnings (loss) per share - diluted, GAAP$6.12$2.43$4.05
Earnings (loss) per share - diluted, as adjusted$6.25$6.53$5.73
Administration and Shareholder Services Fees
Administration and shareholder service fees, GAAP$18,048$18,308$18,007
Consolidated investment products fees (1)252322
Administration and shareholder service fees, as adjusted$18,073$18,331$18,029
Employment Expenses
Employment expenses, GAAP$98,030$105,667$109,093
Distributions to minority interests (3)(745)—193
Deferred compensation and related investments (7)(531)36107
Acquisition and integration expenses (8)(435)(1,099)(417)
Other (9)917(1,134)414
Employment expenses, as adjusted$97,236$103,470$109,390
Other Operating Expenses
Other operating expenses, GAAP$32,564$33,050$33,059
Other (9)(592)(1,773)(1,773)
Other operating expenses, as adjusted$31,972$31,277$31,286
Total Other Income (Expense), Net
Total other income (expense), net GAAP$(96)$(13,892)$(7,642)
Consolidated investment products (1)4,2401,4926,759
Deferred compensation and related investments (7)(945)611744
Seed capital and CLO investments (gains) losses (10)(2,097)12,1751,478
Total other income (expense), net as adjusted$1,102$386$1,339
Interest and Dividend Income
Interest and dividend income, GAAP$2,054$2,643$3,016
Consolidated investment products (1)3,2673,9662,642
Deferred compensation and related investments (7)(22)(30)(24)
Interest and dividend income, as adjusted$5,299$6,579$5,634
Virtus Investment Partners, Inc. | One Financial Plaza | Hartford, CT 06103 | virtus.com

Virtus Investment Partners, Inc. 13.

Three Months Ended
Total Noncontrolling Interests6/30/20256/30/20243/31/2025
Total noncontrolling interests, GAAP$(370)$(8,408)$595
Consolidated investment products (1)1,808(268)18
Distributions to minority interests (3)(745)—193
Amortization of intangible assets (5)(26)(487)(26)
Other (9)(2,768)6,672(2,224)
Total noncontrolling interests, as adjusted$(2,101)$(2,491)$(1,444)

Notes to Reconciliations:
1.Consolidated investment products - Revenues and expenses generated by operating activities of mutual funds and collateralized loan obligations (CLOs) that are consolidated in the financial statements. Management believes that excluding these operating activities to reflect net revenues and expenses of the company prior to the consolidation of these products is consistent with the approach of reflecting its operating results from managing third-party client assets.

Revenue Related
2.Investment management/Distribution and service fees - Each of these revenue line items is reduced to exclude fees passed through to third-party client intermediaries who own the retail client relationship and are responsible for distributing company sponsored investment products and servicing the client. The amount of fees fluctuates each period, based on a predetermined percentage of the value of assets under management, and varies based on the type of investment product. The specific adjustments are as follows:
Investment management fees - Based on specific agreements, the portion of investment management fees passed through to third-party intermediaries for services to investors in sponsored investment products.
Distribution and service fees - Based on distinct arrangements, fees collected by the company then passed through to third-party client intermediaries for services to investors in sponsored investment products. The adjustment represents all of the company's distribution and service fees that are recorded as a separate line item on the condensed consolidated statements of operations.
Management believes that making these adjustments aids in comparing the company's operating results with other asset management firms that do not utilize third-party client intermediaries.

Expense Related
3.Distributions to minority interests - Earnings allocated and paid to certain limited partners of a majority owned manager are recorded as employment expenses in the financial statements. Management believes reclassifying these earnings distributions to noncontrolling interests to reflect these payments as non-operating earnings distributions aids in comparing the company's operating results with other asset managers that do not have majority-owned managers.
4.Distribution and other asset-based expenses - Primarily payments to third-party client intermediaries for providing services to investors in sponsored investment products. Management believes that making this adjustment aids in comparing the company’s operating results with other asset management firms that do not utilize third-party client intermediaries.
5.Amortization of intangible assets - Non-cash amortization expense or impairment expense, if any, attributable to acquisition-related intangible assets, including any portion that is allocated to noncontrolling interests. Management believes that making this adjustment aids in comparing the company’s operating results with other asset management firms that have not engaged in acquisitions.
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Virtus Investment Partners, Inc. 14.

6.Restructuring expense - Certain non-recurring expenses associated with restructuring the business, including lease abandonment-related expenses and severance costs associated with staff reductions that are not reflective of ongoing earnings generation of the business.
7.Deferred compensation and related investments - Compensation expense, gains and losses (realized and unrealized), and interest and dividend income related to deferred compensation and related balance sheet investments. Market performance of deferred compensation plans and related investments can vary significantly from period to period. Management believes that making this adjustment aids in comparing the Company's operating results with prior periods.
8.Acquisition and integration expenses - Expenses that are directly related to acquisition and integration activities. Acquisition expenses include certain transaction related employment expenses, transaction closing costs, change in fair value of contingent consideration, certain professional fees, and financing fees. Integration expenses include costs incurred that are directly attributable to combining businesses, including compensation, restructuring and severance charges, professional fees, consulting fees, and other expenses. Management believes that making these adjustments aids in comparing the company’s operating results with other asset management firms that have not engaged in acquisitions.
Components of Acquisition and Integration Expenses for the respective periods are shown below:
Three Months Ended
Acquisition and Integration Expenses6/30/20256/30/20243/31/2025
Employment expenses$435$1,099$417
Change in fair value of contingent consideration(3,014)(3,300)—
Total Acquisition and Integration Expenses$(2,579)$(2,201)$417

9.Other - Certain expenses that are not reflective of the ongoing earnings generation of the business. Employment expenses and noncontrolling interests are adjusted to exclude fair value measurements of manager minority interest. Other operating expenses are adjusted for amortization of lease termination fees and transition related expense (benefit). Interest expense is adjusted to remove gains on early extinguishment of debt and the write-off of previously capitalized costs associated with the modification of debt. Income tax expense (benefit) items are adjusted for uncertain tax positions, changes in tax law, valuation allowances, and other unusual or infrequent items not related to current operating results to reflect a normalized effective rate. Management believes that making these adjustments aids in comparing the company’s operating results with prior periods.

Components of Other for the respective periods are shown below:
Three Months Ended
Other6/30/20256/30/20243/31/2025
Employment expense fair value adjustments$(917)$1,134$(414)
Amortization of lease termination fees5921,7731,773
Tax impact of adjustments85(760)(359)
Other discrete tax adjustments(128)(655)1,277
Manager minority interest fair value adjustments(2,768)6,672(2,224)
Total Other$(3,136)$8,164$53

Seed Capital and CLO Related
10.Seed capital and CLO investments (gains) losses - Gains and losses (realized and unrealized) of seed capital and CLO investments. Gains and losses (realized and unrealized) generated by investments in seed capital and CLO investments can vary significantly from period to period and do not reflect the company’s operating results from providing investment management and related services. Management believes that making this adjustment aids in comparing the company’s operating results with prior periods and with other asset management firms that do not have meaningful seed capital and CLO investments.
Virtus Investment Partners, Inc. | One Financial Plaza | Hartford, CT 06103 | virtus.com

Virtus Investment Partners, Inc. 15.

Definitions:
Revenues, as adjusted, comprise the fee revenues paid by clients for investment management and related services. Revenues, as adjusted, for purposes of calculating net income attributable to Virtus Investment Partners, Inc., as adjusted, differ from U.S. GAAP, namely in excluding the impact of operating activities of consolidated investment products and reduced to exclude fees passed through to third-party client intermediaries who own the retail client relationship and are responsible for distributing the product and servicing the client.
Operating expenses, as adjusted, is calculated to reflect expenses from ongoing continuing operations. Operating expenses, as adjusted, for purposes of calculating net income attributable to Virtus Investment Partners, Inc., as adjusted, differ from U.S. GAAP expenses in that they exclude amortization or impairment, if any, of intangible assets, restructuring and severance, the effect of consolidated investment products, acquisition and integration-related expenses and certain other expenses that do not reflect the ongoing earnings generation of the business.
Operating margin, as adjusted, is a metric used to evaluate efficiency represented by operating income, as adjusted, divided by revenues, as adjusted.
Earnings (loss) per share, as adjusted, represent net income (loss) attributable to Virtus Investment Partners, Inc., as adjusted, divided by weighted average shares outstanding, as adjusted, on either a basic or diluted basis.

Forward-Looking Information
This press release contains statements that are, or may be considered to be, forward-looking statements. All statements that are not historical facts, including statements about our beliefs or expectations, are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, as amended, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements may be identified by such forward-looking terminology as “expect,” “estimate,” “intent,” “plan,” “intend,” “believe,” “anticipate,” “may,” “will,” “should,” “could,” “continue,” “project,” “opportunity,” “predict,” “would,” “potential,” “future,” “forecast,” “guarantee,” “assume,” “likely,” “target” or similar statements or variations of such terms.
Our forward-looking statements are based on a series of expectations, assumptions and projections about the company and the markets in which we operate, are not guarantees of future results or performance, and involve substantial risks and uncertainty including assumptions and projections concerning our assets under management, net asset inflows and outflows, operating cash flows, business plans, and ability to borrow, for all future periods. All of our forward-looking statements are as of the date of this release only. The company can give no assurance that such expectations or forward-looking statements will prove to be correct. Actual results may differ materially.
Our business and our forward-looking statements involve substantial known and unknown risks and uncertainties, including those discussed under "Risk Factors" and "Management’s Discussion and Analysis of Financial Condition and Results of Operations" in our 2024 Annual Report on Form 10-K, as supplemented by our periodic filings with the Securities and Exchange Commission (the "SEC"), as well as the following risks and uncertainties resulting from: (i) reduction in our assets under management; (ii) financial or business risks from strategic transactions; (iii) withdrawal, renegotiation or termination of investment management agreements; (iv) damage to our reputation; (v) inability to satisfy financial debt covenants and required payments; (vi) lack of sufficient capital on satisfactory terms; (vii) inability to attract and retain key personnel; (viii) challenges from competition; (ix) adverse developments related to unaffiliated subadvisers; (x) negative changes in key distribution relationships; (xi) interruptions, breaches, or failures of technology systems; (xii) loss on our investments; (xiii) adverse regulatory and legal developments; (xiv) failure to comply with investment guidelines or other contractual requirements; (xv) adverse civil litigation, government investigations, or proceedings; (xvi) unfavorable changes in tax laws or unanticipated tax obligations; (xvii) impediments from certain corporate governance provisions; (xviii) losses or costs not covered by insurance; (xix) impairment of goodwill or other intangible assets; and other risks and uncertainties. Any occurrence of, or any material adverse change in, one or more risk factors or risks and uncertainties referred to above, in our 2024 Annual Report on Form 10-K, and our other periodic reports filed with the SEC could materially and adversely affect our operations, financial results, cash flows, prospects and liquidity.
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Virtus Investment Partners, Inc. 16.


Certain other factors that may impact our continuing operations, prospects, financial results and liquidity, or that may cause actual results to differ from such forward-looking statements, are discussed or included in the company’s periodic reports filed with the SEC and are available on our website at virtus.com under “Investor Relations.” You are urged to carefully consider all such factors.

The company does not undertake or plan to update or revise any such forward-looking statements to reflect actual results, changes in plans, assumptions, estimates or projections, or other circumstances occurring after the date of this release, even if such results, changes or circumstances make it clear that any forward-looking information will not be realized. If there are any future public statements or disclosures by us that modify or affect any of the forward-looking statements contained in or accompanying this release, such statements or disclosures will be deemed to modify or supersede such statements in this release.
Virtus Investment Partners, Inc. | One Financial Plaza | Hartford, CT 06103 | virtus.com