The unaudited interim financial statements of Franklin Resources, Inc. (“Franklin”) and its consolidated subsidiaries (collectively, the “Company”) included herein have been prepared in accordance with the instructions to Form 10-Q and the rules and regulations of the U.S. Securities and Exchange Commission. Under these rules and regulations, some information and footnote disclosures normally included in financial statements prepared under accounting principles generally accepted in the United States of America have been shortened or omitted. Management believes that all adjustments necessary for a fair statement of the financial position and the results of operations for the periods shown have been made. All adjustments are normal and recurring. Management also believes that the accounting estimates are appropriate, and the resulting balances are reasonable; however, due to the inherent uncertainties in making estimates, actual amounts may differ from these estimates. These financial statements should be read together with the Company’s audited financial statements included in its Annual Report on Form 10-K for the fiscal year ended September 30, 2023 (“fiscal year 2023”).

During the quarter ended March 31, 2024, the Company identified that it did not eliminate the investment income from certain consolidated limited partnerships for the fiscal year ended September 30, 2023, resulting in offsetting adjustments to investment and other income, net and net income attributable to nonredeemable noncontrolling interest. The Company is not entitled to the economic returns associated with the underlying investments held by these limited partnerships.

There is no impact on operating income, net income attributable to Franklin Resources, Inc., earnings per share, total assets, total liabilities, retained earnings or total shareholders’ equity. There is no impact on the financial results attributable to the Company’s shareholders. The Company has determined this did not result in a material misstatement to its previously issued consolidated financial statements. For comparability, the Company has revised the comparative prior period amounts included in the consolidated statements of income, consolidated statements of stockholders’ equity, consolidated statements of cash flows, and related footnote disclosures.


(in millions)	Three Months Ended March 31, 2023						Six Months Ended March 31, 2023
	As Reported		Adjustments		As Revised		As Reported		Adjustments		As Revised
Operating Income	$	255.1	$	—	$	255.1	$	449.1	$	—	$	449.1
Other income, net
Investment and other income, net	125.6		(65.0)		60.6		216.7		(66.2)		150.5
Other income, net	175.9		(65.0)		110.9		211.0		(66.2)		144.8
Income before taxes	431.0		(65.0)		366.0		660.1		(66.2)		593.9
Net income	338.1		(65.0)		273.1		506.9		(66.2)		440.7
Less: net income (loss) attributable to nonredeemable noncontrolling interest	60.7		(65.0)		(4.3)		65.4		(66.2)		(0.8)
Net Income Attributable to Franklin Resources, Inc.	194.2		—		194.2		359.8		—		359.8


(in millions)	Six Months Ended March 31, 2023
	As Reported		Adjustments		As Revised
Net cash used in operating activities	$	(289.7)	$	(39.9)	$	(329.6)
Net cash used in investing activities	(2,195.0)		(26.3)		(2,221.3)
Net cash provided by financing activities	1,920.6		66.2		1,986.8
Decrease to cash and cash equivalents	(503.9)		—		(503.9)