Latest news with #ErikHirsch
Bloomberg
08-07-2025
- Business
- Bloomberg
Hamilton Lane's Hirsch Sees 'Choppy' Summer for US Stocks
Bloomberg The Open Open Interest Erik Hirsch, Hamilton Lane co-CEO, says the disconnect between US stocks and the fixed income bears watching. Speaking on "Bloomberg Open Interest," Hirsch also says the private market is becoming bifurcated. (Source: Bloomberg)
Yahoo
08-07-2025
- Business
- Yahoo
Hamilton Lane's Hirsch Sees 'Choppy' Summer for US Stocks
Erik Hirsch, Hamilton Lane co-CEO, says the disconnect between US stocks and the fixed income bears watching. Speaking on "Bloomberg Open Interest," Hirsch also says the private market is becoming bifurcated. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
30-05-2025
- Business
- Yahoo
Hamilton Lane Inc (HLNE) Q4 2025 Earnings Call Highlights: Strong Growth in AUM and Fee-Related ...
Total Asset Footprint: $958 billion, a 4% increase year over year. Assets Under Management (AUM): $138 billion, up $14 billion or 11% from the prior year. Assets Under Advisement (AUA): $819 billion, increased by $23 billion or 3% year over year. Total Management and Advisory Fees: $514 million, a 14% increase year over year. Fee-Related Earnings: $276 million, a 34% increase from the prior year. GAAP EPS: $5.41 based on $217 million of GAAP net income. Non-GAAP EPS: $5.04 based on $274 million of adjusted net income. Annual Fiscal Dividend: Increased by 10% to $2.16 per share. Total Fee-Earning AUM: $72 billion, up $6 billion or 10% from the prior year. Specialized Fund Fee-Earning AUM: $33 billion, a 16% increase. Incentive Fees: $199 million, up 95% year over year. Unrealized Carry Balance: $1.3 billion, up 3% from the prior year. Total Expenses: Increased by $88 million compared to the prior year. Fee-Related Earnings (FRE) Margin: 48%, compared to 45% in the prior year. Warning! GuruFocus has detected 2 Warning Sign with HLNE. Release Date: May 29, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Hamilton Lane Inc (NASDAQ:HLNE) reported a 4% increase in total asset footprint year over year, reaching $958 billion. AUM grew by $14 billion or 11% compared to the prior year, driven by specialized funds and customized separate accounts. Total management and advisory fees increased by 14% year over year, reaching $514 million. The company approved a 10% increase in its annual fiscal dividend, marking the eighth consecutive annual double-digit percentage increase since 2017. Hamilton Lane Inc (NASDAQ:HLNE) saw record deal flow across secondaries and direct investing in 2024, indicating strong market positioning. Exit activity remains relatively muted, impacting overall deal doing in the market. Both contributions and distributions from LPs are below historical averages, indicating a challenging fundraising environment. Holding periods are extending due to a relatively depressed exit environment, affecting capital return to investors. The separate account business has been impacted by macroeconomic conditions, with fee-paying AUM remaining range-bound for several quarters. Institutional fundraising is tricky due to slow capital return, causing exposure issues and reducing the need for redeployment. Q: How does the margin outlook under the new reporting regime look relative to history? Is it still stable, or do we see changes based on the reporting changes that you've made? A: Erik Hirsch, Co-Chief Executive Officer, explained that the margin compared to the prior margin is up due to moving certain items below the line. However, the macro view on margin remains unchanged, and they expect it to stay stable. The company continues to invest in the business for future growth, including creating new evergreen products and expanding the team. Q: Are the fees to intermediaries on new products changing versus the fees on pre-existing products? Are you seeing demands change by distribution? A: Erik Hirsch noted that distribution fees are predominantly in the wires, which are largely US-centric. Most non-US flows are outside of wires and thus outside of distribution fees. The fees are typically upfront, with no significant changes observed. Q: What are your expectations for fee-related earnings (FRE) margin under the new methodology? A: Jeffrey Armbrister, Chief Financial Officer, stated that the FRE margin is expected to be in the high 40% range. The margin for the recent quarter was about 43%, and they expect it to remain stable annually, despite quarterly fluctuations. Q: What factors will drive growth in the fee-paying AUM within separate accounts, which has been range-bound for several quarters? A: Erik Hirsch explained that the separate account business has been impacted by macroeconomic factors, with investors waiting for market normalization. The company has a strong pipeline and contracted capital that hasn't yet flowed in, which they believe will drive growth as markets stabilize. Q: How do you view the institutional interest in evergreen funds, and could this lead to fee compression over time? A: Erik Hirsch mentioned that institutional interest in evergreen funds is still in the early stages, with no current signs of fee compression. Institutions are attracted to the cost efficiency and performance benefits of evergreen funds, and the company sees this as a positive trend. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
