AUM closed FY23 (30 Sep 23) on £37.4bn, 5% up y-o-y. Net flows were slightly negative (-£92m or -0.3% of opening AUM), with investment performance adding £1.8bn. It’s been a tough year for asset managers, but in a London-listed peer group, Impax recorded the second-strongest net flow rate (median -7%, see note). Some experienced heavy (double-digit) net outflows. A profit fall was due to adjusted operating costs increasing faster than revenue, by 11% from £108.0m to £120.3m. Part of this increase is still linked to the rapid scaling up of the business over the last few years as Impax’s footprint, product offerings and client base continued to grow. We now expect cost growth to slow and H2 expenses were actually £1m lower than H1. The full-year dividend is unchanged at 27.6p, a yield of 6.5% on the 28 Nov 2023 closing share price. We have made small changes to our FY24 forecasts based on the current results, but our fundamental value remains 800p per share, more than 85% above the current share price.