HMC Capital (HMC) H1 2026 earnings summary

Executive summary

• Strong operational momentum with recurring funds management earnings and AUM rising to $19.5bn, up $0.6bn since June 2025, led by Energy Transition (+30%) and Private Credit (+13%).

• Diversified earnings from private credit, digital, and Energy Transition verticals, with a strategic partnership with KKR to accelerate growth.

• Interim dividend of 6.0c per share declared, partially franked, reflecting commitment to sustainable shareholder returns.

• Acquired Neoen's Victorian renewable energy portfolio for $950.0 million, classified as held-for-sale at 31 December 2025.

Financial highlights

• Operating earnings before tax for H1 FY26 were $41.6 million or 10.1c per share, driven by recurring funds management income.

• Management fee revenue increased 34% year-over-year to $84.5m, supported by growth in real estate, private credit, and digital infrastructure AUM.

• Investment income was $15.9 million, mainly from distributions from HDN and DGT.

• Net liquidity position of $1.6 billion maintained, with strengthened balance sheet and extended corporate debt facility.

• Statutory profit after tax was $5.8 million, a significant decrease from the prior period.

Outlook and guidance

• FY26 funds management EBITDA guidance of $85m reaffirmed, with double-digit growth in real estate and private credit, and initial Energy Transition contribution.

• Pre-tax operating EPS target of at least 40cps for FY26; dividend guidance remains at 12cps.

• Group EBITDA for FY26 expected to be around $170 million, up from $50 million in H1.

• $35m capital charge from KKR partnership in Energy Transition expected in 2H FY26, subject to transaction close.