Hamilton Lane (HLNE) investor relations material

Executive summary

• Total asset footprint reached $1 trillion at fiscal year-end 2026, with AUM at $142 billion (+3%) and fee-earning AUM at $82 billion (+13%), and net income attributable to the company was $249 million, up 15% year-over-year.

• Management and advisory fees rose 14% to $584 million, and total fee-related revenue increased 20% to $687 million year-over-year.

• Fee-related earnings grew 25% to $345 million; Adjusted EBITDA increased 11% to $408 million.

• GAAP EPS was $5.92 and non-GAAP EPS was $5.90; annual dividend increased 11% to $2.40 per share, marking the ninth consecutive annual double-digit increase.

• Quarterly dividend of $0.60 per share was declared, and stock repurchase authorization expanded to $100 million.

Financial highlights

• Specialized fund fee-earning AUM ended at $41 billion (+24% year-over-year), with evergreen platform AUM at $17.5 billion (+64%), and over $1 billion in net inflows for the quarter.

• Incentive fees totaled $175 million, including performance revenues from evergreen funds, but declined 12% year-over-year.

• FRE margin improved to 50% from 48% the prior year.

• Unrealized carry balance rose 23% to $1.5 billion, diversified across 3,000+ assets and 120 funds.

• Reporting, monitoring, data, and analytics revenue grew 22% year-over-year, driven by technology solutions and Cobalt platform adoption.

Outlook and guidance

• Expect continued strong demand for evergreen and specialized funds, with institutional flows rising and new product launches planned.

• Anticipate initial closes for new secondary and venture funds in coming months and a first close for the inaugural GP-led secondary fund before year-end.

• Management expects exit activity to improve further in the second half of the year, supported by market equilibrium and increased M&A and IPO activity.

• Fundraising for new direct equity, impact, and evergreen funds is ongoing, with robust client demand.