Ahead of its AGM, Impax has confirmed AUM of £28.5bn on 28 Feb 25. This is close to our expectations as on 31 Dec 24 AUM stood at £34.1bn, and we already knew that the termination of a £5.1bn James’s Place mandate would impact the current quarter (Q2 of FY25). We expect AUM to jump again soon by c. £1.3bn once the Sky Harbor acquisition closes. At the same time Impax reported an acceleration of the efficiency programme. Over 30 roles have been cut since 1 Oct 24 (c. 10% of headcount). This reduces run-rate annual costs by more than £11m (c. 9-10% of cost base) ‘without materially reducing capabilities or growth prospects.’ The H2 outlook is encouraging due to its pipeline and recent account wins. Flows may receive a boost when investors see the improvement in Impax’s investment performance: strategies representing 69% of AUM have outperformed their benchmarks in 2025. The acceleration of the efficiency programme offsets top-line reductions with our profit forecasts largely unchanged. Our fundamental valuation also remains at 600p per share, based on a DCF model assuming a FY26 return to net inflows.