TROW · 10-Q · 2026Q3 · Full report

Non-Operating Income Trends

PRICE T ROWE GROUP INC · 2026-10-29 · Importance 63 · Surprise 64 · No source text

GAAP non-operating income fell to $17.6 million in Q3 2026 from $238.4 million a year earlier and declined to $338.4 million for the first nine months from $544.6 million. On an adjusted basis, non-operating income decreased 64.1% to $18.0 million in Q3 and 34.2% to $87.4 million year to date. Lower investment gains were primarily driven by losses on fixed-income holdings as interest rates rose, which more than offset higher dividends on cash equivalents and other fixed-income holdings. Q3 2026 net gains on investments were $32.3 million, compared with $161.2 million in Q3 2025.

Key facts

• Nine-month 2026 non-operating income was $338.4 million, compared with $544.6 million in 2025; adjusted non-operating income was $87.4 million versus $132.8 million. source
• Q3 2026 net gains on investments were $32.3 million, versus $161.2 million in Q3 2025; nine-month net gains were $263.6 million versus $359.0 million. source
• Q3 2026 diluted EPS was $2.79, compared with $2.87 in Q3 2025; the decrease was primarily due to lower non-operating income, partly offset by higher operating income and fewer weighted-average shares. source
• Diluted EPS was $7.89 for the nine months ended September 30, 2026, compared with $7.25 in 2025; the increase reflected higher operating income and lower weighted-average shares, partly offset by lower net investment gains. source
• Q3 2026 non-operating income was $17.6 million, compared with $238.4 million in Q3 2025; adjusted non-operating income was $18.0 million versus $50.2 million. source
• Q3 2026 market-related gains and equity earnings on cash and discretionary investments were losses of $22.0 million, compared with gains of $12.1 million in 2025. source
• The company's non-operating investment income may fluctuate with investment size and market valuations, other-than-temporary impairments, and its proportionate share of equity-method investees' net income. source

Impact estimates