[Report Overview & FY2025 Highlights](index=1&type=section&id=Report%20Overview%20%26%20FY2025%20Highlights) Hamilton Lane reported strong growth for fiscal year 2025, marked by an 11% increase in Assets Under Management to $138 billion and a 14% rise in management and advisory fees to $513.9 million [Fiscal Year 2025 Highlights](index=1&type=section&id=Fiscal%20Year%202025%20Highlights) Hamilton Lane reported strong growth for fiscal year 2025, marked by an 11% increase in Assets Under Management to $138 billion and a 14% rise in management and advisory fees to $513.9 million. The company achieved a GAAP EPS of $5.41 and increased its target full-year dividend by 10% to $2.16 per share Fiscal Year 2025 Key Metrics (Year-over-Year) | Metric | Value | YoY Growth | | :--- | :--- | :--- | | Assets under management (AUM) | $138 billion | 11% | | Fee-earning AUM | $72 billion | 10% | | Management and advisory fees | $513.9 million | 14% | | Unrealized carried interest | $1.3 billion | 3% | | GAAP Net Income | $217.4 million | 54% | | GAAP EPS | $5.41 | 47% | - Declared a quarterly dividend of **$0.54 per share** of Class A common stock. The target full-year dividend of **$2.16** represents a **10% increase** from the prior fiscal year[6](index=6&type=chunk)[21](index=21&type=chunk) [Business Performance & Asset Growth](index=9&type=section&id=Business%20Performance%20%26%20Asset%20Growth) The company demonstrated robust asset growth in FY2025, with total AUM & AUA reaching $958 billion and fee-earning AUM increasing 10% to $72 billion, driven by new client activity and successful fundraises [Assets Under Management & Advisement (AUM & AUA)](index=10&type=section&id=Assets%20Under%20Management%20%26%20Advisement%20(AUM%20%26%20AUA)) As of March 31, 2025, total Assets Under Management and Advisement (AUM & AUA) reached $958 billion. Discretionary AUM grew 11% year-over-year to $138 billion, while non-discretionary AUA increased by 3% to $819 billion. Growth was driven by new client wins, re-ups, and successful fundraising for various specialized funds AUM & AUA Growth (as of March 31) | Metric | 2024 | 2025 | YoY Growth | | :--- | :--- | :--- | :--- | | Total AUM | $124B | $138B | 11% | | Total AUA | $796B | $819B | 3% | | Total AUM & AUA | $921B | $958B | 4% | - Growth drivers include: - **Customized Separate Accounts:** New client wins and re-ups from existing clients, with over **80% of gross contributions** in the last 12 months coming from existing clients[32](index=32&type=chunk) - **Specialized Funds:** Fundraising for direct equity, credit-oriented, infrastructure, impact, and evergreen funds[32](index=32&type=chunk) - **Advisory Services:** Robust opportunity set for technology-driven reporting, monitoring, and analytics services[32](index=32&type=chunk) [Fee-Earning AUM (FEAUM)](index=12&type=section&id=Fee-Earning%20AUM%20(FEAUM)) Fee-Earning AUM (FEAUM) increased by 10% year-over-year to $72 billion as of March 31, 2025. This growth was balanced between Customized Separate Accounts, which grew 5% to $39 billion, and Specialized Funds, which grew 16% to $33 billion. The overall management fee rate as a percentage of average FEAUM remained stable FEAUM Growth by Type ($B) | Date | Customized Separate Accounts | Specialized Funds | Total FEAUM | | :--- | :--- | :--- | :--- | | Mar-23 | $38 | $28 | $66 | | Mar-24 | $39 | $33 | $72 | - Key drivers for FEAUM growth: - **Customized Separate Accounts:** Driven by new client acquisitions and client re-ups[30](index=30&type=chunk) - **Specialized Funds:** Supported by the closing of the 6th secondary fund and ongoing fundraising for multiple other strategies including credit, direct equity, infrastructure, and impact funds[30](index=30&type=chunk) FY 2025 FEAUM Roll-Forward ($M) | Description | Amount | | :--- | :--- | | Beginning Balance (Mar 31, 2024) | $65,749 | | Contributions | $3,532 | | Distributions | ($2,671) | | FX, Market Value, Other | $192 | | **Ending Balance (Mar 31, 2025)** | **$72,047** | [Financial Performance](index=16&type=section&id=Financial%20Performance) Hamilton Lane achieved strong financial results in FY2025, with total revenues up 29% to $713 million, GAAP net income increasing 54% to $217 million, and a robust balance sheet supporting continued growth [Revenue Analysis](index=18&type=section&id=Revenue%20Analysis) For fiscal year 2025, total revenues increased 29% to $713 million, significantly boosted by a 95% surge in incentive fees to $199 million. The core, recurring Management and Advisory fees grew by a strong 14% to $514 million, continuing to represent over 80% of total revenues on average over the past five years Revenue Performance ($M) | Revenue Type | FY24 | FY25 | YoY Change | | :--- | :--- | :--- | :--- | | Management and advisory fees | $451.9 | $513.9 | 14% | | Incentive fees | $101.9 | $198.3 | 95% | | **Total revenues** | **$553.8** | **$713.0** | **29%** | - Recurring management and advisory fees have constituted an average of over **80% of total revenues** over the past five fiscal years, providing a stable revenue base[42](index=42&type=chunk) - Incentive fees are derived from a highly diversified pool of over **110 funds** and more than **3,000 assets**, though the timing of their realization is unpredictable[42](index=42&type=chunk) [Unrealized Carried Interest](index=20&type=section&id=Unrealized%20Carried%20Interest) The unrealized carried interest balance grew 3% year-over-year to $1.26 billion as of March 31, 2025. The portfolio is mature, with 53% of the value in funds aged 5-8 years and another 17% in funds aged 8-12 years, suggesting potential for future realizations Unrealized Carried Interest Balance ($M) | Date | Balance | | :--- | :--- | | Mar-23 | $1,221 | | Mar-24 | $1,260 | | Mar-25 | $1,260 | - The unrealized carry is diversified by fund vintage: - **< 5 years:** 24% - **5-8 years:** 53% - **8-12 years:** 17% - **> 12 years:** 6%[47](index=47&type=chunk) [Earnings Analysis](index=22&type=section&id=Earnings%20Analysis) The company demonstrated strong profitability growth in fiscal 2025. GAAP Net Income attributable to HLI rose 54% to $217 million. On a non-GAAP basis, Adjusted EBITDA increased 34% to $366 million, and Fee Related Earnings (FRE) grew 34% to $276 million, driven by robust growth in both management and incentive fees Earnings Performance ($M) | Metric | FY24 | FY25 | YoY Change | | :--- | :--- | :--- | :--- | | Net Income (to HLI) | $141 | $217 | 54% | | Adjusted EBITDA | $273 | $366 | 34% | | Fee Related Earnings | $207 | $276 | 34% | - The **34% year-over-year increase** in Adjusted EBITDA was driven by growth in both incentive fees and management and advisory fees[56](index=56&type=chunk) - Fee Related Earnings have shown consistent long-term double-digit growth, with a **5-year CAGR of 20%**[54](index=54&type=chunk)[57](index=57&type=chunk) [Balance Sheet & Investments](index=24&type=section&id=Balance%20Sheet%20%26%20Investments) Hamilton Lane maintains a strong balance sheet, with its total investment balance growing to $761 million as of March 31, 2025. The company utilizes modest leverage, with total debt at $290 million - The total investment balance of **$761 million** as of March 31, 2025, consisted primarily of: - **~$454 million** in investments in the company's own funds - **~$307 million** in technology-related and other investments[64](index=64&type=chunk) - The company maintains a modest leverage profile, with **$290 million of debt** as of March 31, 2025[65](index=65&type=chunk) [Appendix: Detailed Financial Statements](index=26&type=section&id=Appendix%3A%20Detailed%20Financial%20Statements) This appendix provides comprehensive financial statements for fiscal year 2025, detailing consolidated income, non-GAAP measures, revenue breakdowns, asset roll-forwards, balance sheets, and cash flow statements [Consolidated Statements of Income](index=28&type=section&id=Consolidated%20Statements%20of%20Income) For the fiscal year ended March 31, 2025, total revenues were $713.0 million, a 29% increase from $553.8 million in the prior year. This growth led to a Net Income Attributable to Hamilton Lane Incorporated of $217.4 million, up 54% year-over-year, resulting in a diluted EPS of $5.41 Condensed Consolidated Statements of Income (Year Ended March 31, $ in thousands) | Line Item | 2024 | 2025 | % Change | | :--- | :--- | :--- | :--- | | Total revenues | $553,842 | $712,963 | 29% | | Total expenses | $308,024 | $396,411 | 29% | | Income before income taxes | $281,661 | $362,277 | 29% | | Net income | $227,207 | $313,768 | 38% | | **Net income attributable to Hamilton Lane Inc.** | **$140,858** | **$217,417** | **54%** | | **Diluted EPS** | **$3.69** | **$5.41** | **47%** | [Non-GAAP Financial Measures & Reconciliation](index=30&type=section&id=Non-GAAP%20Financial%20Measures%20%26%20Reconciliation) For fiscal year 2025, key non-GAAP metrics showed significant growth. Fee Related Earnings (FRE) increased 34% to $276.5 million with a margin of 48%. Adjusted EBITDA grew 34% to $366.1 million. Adjusted Net Income rose 29% to $273.7 million, resulting in a Non-GAAP EPS of $5.04 Non-GAAP Financial Measures (Year Ended March 31, $ in thousands) | Metric | 2024 | 2025 | % Change | | :--- | :--- | :--- | :--- | | Fee Related Earnings | $206,719 | $276,465 | 34% | | Adjusted EBITDA | $272,524 | $366,069 | 34% | | Adjusted net income | $211,529 | $273,741 | 29% | | Non-GAAP earnings per share | $3.92 | $5.04 | 29% | [Detailed Revenue Breakdown](index=32&type=section&id=Detailed%20Revenue%20Breakdown) For fiscal year 2025, Specialized Funds were the primary driver of management and advisory fees, contributing $315.2 million (61% of total), a 21% increase year-over-year. Incentive fees surged 95% to $199.1 million, with Evergreen funds being the largest contributor at $69.6 million, a 352% increase from the prior year Management and Advisory Fees by Source (FY2025, $M) | Source | Revenue | % of Total | | :--- | :--- | :--- | | Specialized funds | $315.2 | 61% | | Customized separate accounts | $134.4 | 26% | | Reporting and other | $29.2 | 8% | | Advisory | $22.8 | 5% | | **Total** | **$513.9** | **100%** | Incentive Fees by Source (Year Ended March 31, $ in thousands) | Source | 2024 | 2025 | % Change | | :--- | :--- | :--- | :--- | | Evergreen funds | $15,404 | $69,603 | 352% | | Secondary funds | $41,464 | $46,601 | 12% | | Other specialized funds | $17,861 | $36,779 | 106% | | Customized separate accounts | $11,918 | $16,204 | 36% | | Direct credit funds | $7,872 | $14,963 | 90% | | Direct equity funds | $7,387 | $14,949 | 102% | | **Total** | **$101,906** | **$199,099** | **95%** | [Asset Roll-Forward](index=36&type=section&id=Asset%20Roll-Forward) Total Assets Under Management (AUM) grew 11% from $124.4 billion to $138.3 billion during fiscal year 2025. Fee-Earning AUM (FEAUM) increased by 10% from $65.7 billion to $72.0 billion, with net new capital from contributions exceeding distributions Fee-Earning AUM Roll-Forward (Year Ended Mar 31, 2025, $M) | Description | Customized Separate Accounts | Specialized Funds | Total | | :--- | :--- | :--- | :--- | | Balance, beginning of period | $37,574 | $28,175 | $65,749 | | Contributions | $1,939 | $1,593 | $3,532 | | Distributions | ($2,244) | ($427) | ($2,671) | | FX, market value and other | ($135) | $327 | $192 | | **Balance, end of period** | **$39,343** | **$32,704** | **$72,047** | [Consolidated Balance Sheets](index=38&type=section&id=Consolidated%20Balance%20Sheets) As of March 31, 2025, total assets stood at $1.69 billion, a significant increase from $1.27 billion the prior year, driven by higher cash, fees receivable, and investments. Total liabilities rose to $766.5 million from $595.2 million, primarily due to increased debt and a larger payable to related parties under the tax receivable agreement Condensed Consolidated Balance Sheets ($ in thousands) | (As of March 31) | 2024 | 2025 | | :--- | :--- | :--- | | **Total assets** | **$1,271,200** | **$1,690,355** | | Cash and cash equivalents | $114,634 | $229,161 | | Investments | $603,697 | $664,354 | | **Total liabilities** | **$595,242** | **$766,460** | | Debt | $196,159 | $290,303 | | Payable to related parties (TRA) | $201,422 | $240,648 | | **Total equity** | **$675,958** | **$923,895** | [Consolidated Statements of Cash Flows](index=40&type=section&id=Consolidated%20Statements%20of%20Cash%20Flows) For the fiscal year ended March 31, 2025, the company generated $300.8 million in net cash from operating activities. Net cash used in investing activities was $117.6 million, largely due to contributions to partnerships. Financing activities used a net $19.2 million, reflecting dividend payments and debt management activities Condensed Consolidated Statements of Cash Flows (Year Ended March 31, $ in thousands) | Cash Flow Activity | 2024 | 2025 | | :--- | :--- | :--- | | Net cash provided by operating activities | $120,852 | $300,820 | | Net cash (used in) investing activities | $(122,184) | $(117,576) | | Net cash provided by (used in) financing activities | $4,399 | $(19,157) | | **Increase in cash and cash equivalents** | **$3,067** | **$163,985** |

Analysts on Wall Street project that Hamilton Lane (HLNE) will announce quarterly earnings of $1.12 per share in its forthcoming report, representing a decline of 18.8% year over year. Revenues are projected to reach $161.89 million, declining 8.4% from the same quarter last year.The current level reflects a downward revision of 2.5% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projectio ...

Core Viewpoint - Hamilton Lane Incorporated is set to release its financial results for the fourth fiscal quarter and full fiscal year on May 29, 2025, before market opening [1] Group 1: Financial Results Announcement - The financial results will cover the period ended March 31, 2025 [1] - A conference call via webcast is scheduled for 11:00 a.m. ET on May 29 to discuss these results [2] - A replay of the webcast will be available approximately two hours after the live broadcast for one year [3] Group 2: Company Overview - Hamilton Lane is one of the largest private markets investment firms globally, with over 30 years of exclusive focus on private markets investing [4] - The firm employs around 740 professionals across North America, Europe, Asia Pacific, and the Middle East [4] - As of December 31, 2024, Hamilton Lane has $956 billion in assets under management, including nearly $135 billion in discretionary assets and over $821 billion in non-discretionary assets [4] - The company specializes in creating flexible investment programs that provide access to a wide range of private markets strategies, sectors, and geographies [4]

Hamilton Lane (HLNE) shares rallied 16.1% in the last trading session to close at $147.08. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 9.6% loss over the past four weeks.Hamilton Lane witnessed a strong price increase driven by President Donald Trump's unanticipated announcement on April 9, 2025, of a 90-day suspension of reciprocal tariffs for most trading partners, excluding China. The tariff pause ease ...

Core Insights - Hamilton Lane has acquired an 85% interest in a portfolio of four multifamily assets in lower Manhattan, comprising 126 multifamily units and 11,050 square feet of retail space in desirable neighborhoods [1][2] - Dalan Real Estate retains a 15% interest in the portfolio and will continue to manage the properties, leveraging its expertise in the New York City multifamily market [2][5] - The investment comes after a 20% decline in U.S. real estate values over the past two years, positioning it as an opportunistic time to invest in high-quality assets at attractive entry values [4] Company Overview - Hamilton Lane has over 25 years of experience in real estate investment, managing nearly $109 billion in assets as of December 31, 2024 [6] - The firm specializes in private markets investing and has a total of $956 billion in assets under management, including approximately $135 billion in discretionary assets [7] - Dalan Real Estate operates a portfolio of over 60 properties, with more than 3,000 residential and 100 commercial units, totaling over 3 million square feet and $2.5 billion in assets under management [8]

Core Viewpoint - Hamilton Lane has launched the Hamilton Lane Private Infrastructure Fund (HLPIF) on the Republic platform, marking the first private infrastructure offering available to retail investors in the U.S. with a minimum investment of $500 [1][7]. Company Overview - Hamilton Lane is one of the largest private markets investment firms globally, managing approximately $956 billion in assets as of December 31, 2024, with a focus on private markets investing for over 30 years [9]. - The firm employs around 740 professionals across various global offices and specializes in providing innovative solutions to institutional and private wealth investors [9]. Industry Insights - The infrastructure asset class has grown significantly, expanding from $500 million in assets under management in 1999 to $1.2 trillion today, indicating a robust demand for infrastructure investments [4]. - Hamilton Lane's investment strategy focuses on capital-intensive fixed assets with high barriers to entry and pre-contracted cash flows, typically lasting 10-15 years [4]. Product Details - HLPIF is a continuously offered closed-end management investment company registered under the Investment Company Act of 1940, designed to provide exposure to a diversified global portfolio of infrastructure assets [6]. - The fund anticipates quarterly repurchase offers of up to 5% of its net assets, aiming to enhance liquidity through tokenization [6]. Technological Innovation - The partnership with Republic aims to leverage technological advancements, particularly tokenization, to broaden access to institutional-quality private market investments for retail investors [2][3]. - The tokenization of real-world assets is viewed as a key driver for expanding access to private market investments, making them available to a wider range of investors [5].

Core Insights - Hamilton Lane's 2025 Market Overview presents a detailed analysis of the global private markets, highlighting historical performance, risks, and diversification benefits, while emphasizing the growth potential of evergreen funds [1][2][5] Investment Areas - Key sectors identified for investment include credit, infrastructure, and secondaries, which are positioned for success. Venture and growth sectors are also recommended, particularly due to the anticipated impact of AI applications [6] - The U.S. market is projected to be more attractive than other regions over the next 4-5 years [6] Evergreen Funds - Evergreen funds are expected to grow faster than public markets over the next five years, with institutional investors increasing their participation. Fee structures for these funds are anticipated to decline over time [6] - The growth of evergreen funds may lead to larger private market firms expanding, while smaller firms may struggle to gain market share [6] Short-term vs Long-term Performance - Short-term performance shows strong results in infrastructure and real estate, while private equity has underperformed. However, this dip is viewed as an anomaly, with expectations that private equity will outperform public markets in the long term [6][8] - Private credit has consistently outperformed public markets for 23 years, and infrastructure has maintained a similar trend for 12 years [6] Fundraising and Market Dynamics - The upcoming year is expected to present challenges in fundraising, with a need for a rebound in exit activity to stimulate fundraising efforts. Competition is increasing, particularly in the retail space [6] - Co-investment and secondary market activities are on the rise, driven by fewer players and a desire for liquidity solutions [7]

Company Overview - Hamilton Lane (NASDAQ: HLNE) shares have decreased approximately 8% since the last analysis, primarily due to its premium valuation leading to a Hold rating [1]. Investment Focus - The analysis emphasizes a focus on undercovered companies, with a watchlist of over 50 companies across sectors such as technology, software, electronics, and energy transition [1]. Investment Strategy - The goal is to identify asymmetric investment opportunities that can achieve market-beating returns, leveraging extensive experience in analyzing small to mid-cap companies [1].

Core Viewpoint - Hamilton Lane Incorporated has announced a public offering of 1,572,536 shares of Class A common stock, aiming for gross proceeds of approximately $252 million, with the offering expected to close on February 12, 2025 [1][2]. Group 1: Offering Details - The offering consists of shares sold by Hamilton Lane and a selling stockholder, with Hamilton Lane intending to use the proceeds to settle cash exchanges of membership units in Hamilton Lane Advisors, L.L.C. held by certain members [2]. - Morgan Stanley is acting as the book-running manager and underwriter for this offering [2]. Group 2: Regulatory Information - The offering is made under an effective shelf registration statement filed with the SEC, which includes a prospectus and related prospectus supplement [3]. Group 3: Company Overview - Hamilton Lane is one of the largest private markets investment firms globally, with over 30 years of exclusive focus on private markets investing [4]. - The firm manages approximately $956 billion in assets, including nearly $135 billion in discretionary assets and more than $821 billion in non-discretionary assets as of December 31, 2024 [4]. - Hamilton Lane employs around 740 professionals worldwide, operating in various regions including North America, Europe, Asia Pacific, and the Middle East [4].

Core Viewpoint - Hamilton Lane Incorporated has initiated an underwritten public offering of 1,572,536 shares of Class A common stock, which will be sold by the company and a selling stockholder, subject to market conditions [1][2]. Group 1: Offering Details - The proceeds from the share sale will be used to settle cash exchanges of membership units in Hamilton Lane Advisors, L.L.C. held by certain members, with the company not receiving any proceeds from the selling stockholder [2]. - Morgan Stanley is serving as the book-running manager and underwriter for this offering [2]. Group 2: Regulatory Information - The offering is made under an effective shelf registration statement (Registration No. 333-283233) filed with the SEC, and related documents can be accessed for free on the SEC's website [3]. Group 3: Company Overview - Hamilton Lane is one of the largest private markets investment firms globally, with over 30 years of exclusive focus on private markets investing [4]. - The firm employs approximately 740 professionals worldwide and has $956 billion in assets under management, including nearly $135 billion in discretionary assets and over $821 billion in non-discretionary assets as of December 31, 2024 [4]. - Hamilton Lane specializes in creating flexible investment programs that provide clients access to a wide range of private markets strategies, sectors, and geographies [4].