P10(US:PX)2025-11-07 20:50Fundraising and Assets Under Management - As of September 30, 2025, the Company has raised a total of $24.2 billion in assets under management (AUM) for Private Equity Solutions, with $17.2 billion classified as Fee-Paying Assets Under Management (FPAUM) [258] - Venture Capital Solutions has raised a total of $10.8 billion in AUM, with $6.6 billion in FPAUM as of September 30, 2025 [258] - Private Credit Solutions has raised a total of $7.5 billion in AUM, with $5.3 billion in FPAUM, and impact assets represent $4.5 billion supporting over 1,000 projects across 40 states, Washington DC, and Puerto Rico [259] - Primary Investment Funds comprise approximately $15.5 billion of FPAUM, while Direct and Co-Investment Funds account for approximately $10.7 billion, and Secondary Investment Funds represent approximately $2.9 billion of FPAUM as of September 30, 2025 [263] - The Company has a network of over 4,500 investors, 310+ fund managers, and 690+ private market funds, enhancing its investment opportunities and data sourcing capabilities [258] Company Operations and Market Position - The Company operates a single operating segment, focusing on private market solutions across various investment strategies [262] - The investment team consists of 72 professionals in Private Equity Solutions, 16 in Venture Capital Solutions, and 52 in Private Credit Solutions, with an average experience of over 25 years [258][259] - The Company is experiencing accelerating demand for private market solutions, driven by a shift in public market dynamics and increasing allocations towards private market asset classes [266] - The Company has a leading presence in North America and has expanded into Europe through the acquisition of Qualitas, positioning itself for significant growth in international markets [266] Financial Performance - Total revenues for the three months ended September 30, 2025, were $75.9 million, reflecting a $1.7 million increase or 2% compared to the same period in 2024 [282] - For the nine months ended September 30, 2025, total revenues increased by $4.9 million, or 2%, to $216.3 million compared to the same period in 2024 [282] - Net income for the three months ended September 30, 2025, was $3.0 million, a significant increase of $1.7 million, or 128%, compared to the same period in 2024 [282] - Net income for the nine months ended September 30, 2025, was $11.929 million, down from $13.966 million in 2024 [317] Expenses and Profitability - Management and advisory fees increased by $1.7 million, or 2%, to $74.3 million for the three months ended September 30, 2025, driven by successful fundraising and the Qualitas acquisition [284] - Compensation and benefits expenses were $42.3 million for the three months ended September 30, 2025, showing a slight decrease of $0.2 million compared to the previous year [282] - Professional fees decreased by $2.7 million, or 29%, to $6.5 million for the three months ended September 30, 2025, reflecting reduced strategic development costs [282] - Total operating expenses decreased by $0.2 million, or 0%, to $65.2 million for the three months ended September 30, 2025 compared to the same period in 2024 [289] Cash Flow and Debt - Cash and cash equivalents decreased by $27.292 million to $40.823 million as of September 30, 2025, representing a 40% decline compared to December 31, 2024 [319] - Cash provided by operating activities dropped significantly by $73.204 million to $0.054 million for the nine months ended September 30, 2025, compared to the same period in 2024 [325] - As of September 30, 2025, the company had a total debt obligation of $393.394 million, an increase of 23% from $319.783 million as of December 31, 2024 [319] - The company has incurred $19.1 million in interest expense for the nine months ended September 30, 2025 [324] Acquisitions and Related Expenses - The Company has recognized a liability for contingent payments to customers associated with revenue-sharing agreements, which will be amortized against revenue [346] - The Company estimates that the acquisition-related earnout for WTI could reach up to $70.0 million, contingent on achieving specific EBITDA milestones of $20.0 million, $22.5 million, and $25.0 million [345] - Goodwill and other intangibles increased by $68.631 million to $672.258 million due to the Qualitas acquisition [319] Regulatory and Market Risks - Political uncertainty and regulatory changes may impact the Company's profitability and operational capabilities, necessitating careful navigation of the complex regulatory environment [267] - The Company manages exposure to exchange rate risks through regular operating activities, estimating that a hypothetical 10% decline in the Euro against the U.S. dollar would not materially impact management fees or investments [356]