Invesco Ltd (IVZ) saw its shares surge 7.62% in pre-market trading on Tuesday following the release of its first-quarter 2025 financial results and several strategic announcements. The asset management firm reported better-than-expected earnings and unveiled plans for a significant stock repurchase program, driving investor enthusiasm.

The company reported adjusted earnings per share of $0.44 for Q1 2025, surpassing the IBES estimate of $0.38. This represents a substantial increase from $0.33 per share in the same quarter last year. Invesco's revenue for the quarter reached $1.53 billion, significantly exceeding analyst expectations of $1.11 billion.

Adding to the positive momentum, Invesco announced a $1 billion repurchase of its Series A Preferred Stock held by MassMutual. This move is expected to be earnings accretive beginning in the second half of 2025, improving the company's balance sheet flexibility and enhancing shareholder value. The company also reported strong net long-term inflows of $17.6 billion for the quarter, bringing its total assets under management to $1.84 trillion as of March 31, 2025.

Further boosting investor confidence, Invesco increased its quarterly dividend from $0.205 to $0.21 per common share. This dividend hike, coupled with the stock repurchase program, signals management's confidence in the company's financial strength and commitment to returning value to shareholders.

Andrew Schlossberg, President and CEO of Invesco Ltd., commented on the results: "Our strategic clarity has helped us drive organic growth through various operating environments and continued to prove effective in the first quarter in which we delivered over 5% long-term organic growth."

The company's strong performance across key metrics, strategic capital allocation decisions, and positive outlook for future growth have contributed to the significant pre-market stock price increase. Investors are responding favorably to Invesco's ability to navigate market challenges while delivering solid financial results and shareholder returns.