Rathbones Group (RAT): Growth strategy and 30% margin target

This situation live

£1,640m · £17.12 · −22% since the first step

16 Jun 2026 · Strategy unchanged but new headwinds from FCA actions · +3% until the next step Our strategy is unchanged and we continue to make strong progress against the plan set out in February.

16 Jun 2026 · Strategy unchanged; new headwinds from FCA actions · +3% until the next step Our strategy is unchanged and we continue to make strong progress against the plan set out in February.

Upgrade / downgrade cycle

Growth strategy and 30% margin target

Q4 margin target cut to 28.7%

Next: Deliver revised 28.7% Q4 2026 margin target

Every step · 5

27 Feb 2026 New strategy launched; execution under way – Many actions are already underway and will continue into 2026 and beyond, reflecting our commitment to sustained progress and long-term value creation. ↗
7 May 2026 Execution continuing; flows stabilising in wealth – We remain focused on executing our strategy with discipline and consistency of purpose as we pursue our ambition to be the best wealth manager in the UK, by far. ↗
16 Jun 2026 Strategy unchanged but new headwinds from FCA actions – Our strategy is unchanged and we continue to make strong progress against the plan set out in February. ↗
16 Jun 2026 Strategy unchanged; new headwinds from FCA actions – Our strategy is unchanged and we continue to make strong progress against the plan set out in February. ↗
29 Jul 2026 Q4 margin target cut to 28.7% – The Q4 operating margin target has therefore been revised from 30.0% to 28.7%. ↗

What is happening

Rathbones Group: Growth strategy and 30% margin target – Q4 margin target cut to 28.7%. ['Q4 margin target cut to 28.7%']

In short: Strategy was unchanged in February, with a 30% underlying operating margin target by Q4 2026. FCA actions on 16 June brought new headwinds. The interims cut the Q4 target to 28.7% because ending fees on cash lowers H2 margin by 1.3 points. Management says it is on track for the revised target.
Announced: 27 Feb 2026 · New strategy launched; execution under way
Latest: 29 Jul 2026 · Q4 margin target cut to 28.7%
Revised target: Q4 2026 underlying operating margin 28.7%, from 30.0%
Cause: Ending fees on cash cuts H2 margin by 1.3 percentage points
H1 margin: 25.3% (HY 2025: 24.0%)
Support: Salesforce implementation due by end of Q3 and ongoing cost efficiencies
Dividend: Interim 32.0p, up 3.2%; progressive policy unchanged

Deliver revised 28.7% Q4 2026 margin target.

From the company's own announcements. Not investment advice.

Briefing Pro

What it does, how it got here, what management promised and delivered – written from its own announcements.

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