Alvarium Tiedemann Holdings, Inc. ((ALTI)) has held its Q3 earnings call. Read on for the main highlights of the call.
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AlTi Global, Inc. Reports Mixed Earnings with Strong Client Growth but Increased Expenses
AlTi Global, Inc. recently held its earnings call, revealing a mixed sentiment. The company showcased remarkable client retention and growth, particularly in international markets, yet faced challenges with significant non-cash impairments and rising operating expenses, culminating in a net loss for the quarter.
Strong Client Retention and Growth
AlTi Global, Inc. has demonstrated impressive client retention, maintaining approximately 96% since 2021. The company’s assets under management (AUM) per client average over $50 million. In Q3 2025 alone, AlTi added more than $600 million in assets, with a year-to-date addition of over $1.2 billion from both new and existing clients, underscoring its robust growth trajectory.
Robust Organic and International Growth
The company experienced substantial growth in both domestic and international markets. AlTi secured nearly $1.1 billion in new and expanded mandates in the U.S. Internationally, significant achievements included a $240 million mandate from a collaboration between its Miami and Singapore offices and a $130 million mandate from the Zurich impact investing team.
Cost Reduction Initiatives
AlTi Global is actively pursuing cost reduction strategies through a zero-based budgeting program, expected to yield approximately $20 million in recurring annual gross savings by 2026. Despite additional costs from the Contura acquisition, non-compensation expenses decreased by $600,000 from the previous quarter.
Non-Cash Impairment and Losses
The company reported a $35 million non-cash impairment of the arbitrage fund, contributing to a GAAP net loss of $107 million for the quarter. Additionally, there was a $20 million net loss from discontinued operations related to the international real estate business administration.
Increased Operating Expenses
Operating expenses rose to $86 million for the quarter, up from $61 million in the previous year. This increase was driven by nonrecurring noncash charges, including a $4 million client redress provision and a $16 million write-off of receivables.
Forward-Looking Guidance
AlTi Global, Inc. provided a strategic outlook for the future, focusing on its core wealth management business. The company aims to streamline operations and enhance financial transparency by placing its international real estate segment under administration. With a consolidated revenue of $57 million, primarily from recurring management fees, and an adjusted EBITDA of $6 million, AlTi projects significant cost savings of around $20 million annually by 2026 through its zero-based budgeting initiatives. The firm remains optimistic about sustainable margin expansion driven by organic growth, enhanced pricing models, and operational efficiencies.
In conclusion, AlTi Global, Inc.’s earnings call highlighted a mixed financial performance. While the company continues to excel in client retention and international growth, challenges remain with increased operating expenses and non-cash impairments. However, the strategic focus on cost reduction and operational efficiencies provides a positive outlook for future profitability.