Hamilton Lane(HLNE) - 2022 Q2 - Quarterly Report

General Information This section provides general administrative details for Hamilton Lane Incorporated's quarterly report, covering filing status and common stock - The document is a Quarterly Report on Form 10-Q for Hamilton Lane Incorporated for the period ended September 30, 2021[2] - Hamilton Lane Incorporated is classified as a large accelerated filer[4] - The report contains forward-looking statements subject to known and unknown risks, and past fund performance is not indicative of future stock performance or future fund results[12][13] Common Stock Shares Outstanding | Common Stock Type | Shares Outstanding (as of Oct 29, 2021) | | :---------------- | :-------------------------------------- | | Class A Common Stock | 37,189,072 | | Class B Common Stock | 16,739,846 | PART I - FINANCIAL INFORMATION This part presents the unaudited condensed consolidated financial statements and management's discussion and analysis for Hamilton Lane Item 1. Financial Statements This section presents Hamilton Lane's unaudited condensed consolidated financial statements, including Balance Sheets, Income, Comprehensive Income, Stockholders' Equity, and Cash Flows, with detailed accounting notes Condensed Consolidated Balance Sheets This section provides a snapshot of Hamilton Lane's financial position at specific points in time, detailing assets, liabilities, and equity Balance Sheet Summary (in thousands) | Metric | Sep 30, 2021 (in thousands) | Mar 31, 2021 (in thousands) | Change | | :----------------------------- | :-------------------------- | :-------------------------- | :----- | | Total Assets | $1,233,973 | $1,136,519 | +$97,454 | | Total Liabilities | $553,721 | $546,318 | +$7,403 | | Total Equity | $404,252 | $314,201 | +$90,051 | Condensed Consolidated Statements of Income This section details Hamilton Lane's revenues, expenses, and net income over specific reporting periods, highlighting profitability and earnings per share Income Statement Summary (in thousands, except EPS) | Metric (in thousands) | 3 Months Ended Sep 30, 2021 | 3 Months Ended Sep 30, 2020 | Change (YoY) | 6 Months Ended Sep 30, 2021 | 6 Months Ended Sep 30, 2020 | Change (YoY) | | :-------------------- | :-------------------------- | :-------------------------- | :----------- | :-------------------------- | :-------------------------- | :----------- | | Total Revenues | $96,320 | $84,431 | +14.1% | $175,315 | $154,175 | +13.7% | | Total Expenses | $49,819 | $46,117 | +7.9% | $93,064 | $87,028 | +6.9% | | Net Income | $84,820 | $44,599 | +90.2% | $129,501 | $49,567 | +161.3% | | Net Income Attributable to HLI | $52,145 | $21,813 | +139.1% | $80,313 | $25,059 | +220.5% | | Basic EPS (Class A) | $1.41 | $0.66 | +113.6% | $2.20 | $0.79 | +178.5% | | Diluted EPS (Class A) | $1.41 | $0.66 | +113.6% | $2.19 | $0.79 | +177.2% | | Dividends Declared per Share (Class A) | $0.35 | $0.313 | +11.8% | $0.70 | $0.625 | +12.0% | Condensed Consolidated Statements of Comprehensive Income This section presents Hamilton Lane's total comprehensive income, including net income and other comprehensive income components Comprehensive Income Summary (in thousands) | Metric (in thousands) | 3 Months Ended Sep 30, 2021 | 3 Months Ended Sep 30, 2020 | Change (YoY) | 6 Months Ended Sep 30, 2021 | 6 Months Ended Sep 30, 2020 | Change (YoY) | | :-------------------- | :-------------------------- | :-------------------------- | :----------- | :-------------------------- | :-------------------------- | :----------- | | Net Income | $84,820 | $44,599 | +90.2% | $129,501 | $49,567 | +161.3% | | Total Comprehensive Income Attributable to HLI | $52,145 | $21,897 | +138.1% | $80,313 | $25,137 | +219.5% | Condensed Consolidated Statements of Stockholders' Equity This section outlines changes in Hamilton Lane's stockholders' equity, reflecting net income, dividends, and other equity transactions Stockholders' Equity Summary (in thousands) | Metric (in thousands) | Balance at Mar 31, 2021 | Balance at Sep 30, 2021 | Change | | :-------------------- | :---------------------- | :---------------------- | :----- | | Total Equity | $314,201 | $404,252 | +$90,051 | - Net income for the six months ended September 30, 2021, contributed $80,313 thousand to retained earnings[23] - Dividends declared for the six months ended September 30, 2021, totaled $25,513 thousand[23] - Secondary offerings resulted in a net decrease of $1 thousand in total equity for the six months ended September 30, 2021, with $4,097 thousand added to additional paid-in capital and $4,098 thousand reduction in non-controlling interests in HLA[23] Condensed Consolidated Statements of Cash Flows This section presents Hamilton Lane's cash inflows and outflows from operating, investing, and financing activities over specific periods Cash Flow Summary (in thousands) | Metric (in thousands) | 6 Months Ended Sep 30, 2021 | 6 Months Ended Sep 30, 2020 | Change (YoY) | | :-------------------- | :-------------------------- | :-------------------------- | :----------- | | Net cash provided by operating activities | $83,923 | $89,634 | -6.4% | | Net cash used in investing activities | $(19,609) | $(17,351) | +13.0% | | Net cash used in financing activities | $(65,120) | $(40,594) | +60.4% | | (Decrease) increase in cash, cash equivalents, and restricted cash | $(806) | $31,819 | -102.5% | | Cash, cash equivalents, and restricted cash at end of period | $89,571 | $85,029 | +5.3% | Notes to Condensed Consolidated Financial Statements This section provides detailed explanations and additional information supporting the condensed consolidated financial statements 1. Organization This note describes Hamilton Lane Incorporated's corporate structure and the nature of its business operations - HLI's economic interest in Hamilton Lane Advisors, L.L.C. (HLA) increased from 67.2% (March 31, 2021) to 68.9% (September 30, 2021)[31] - HLA, a registered investment advisor, provides asset management and advisory services to institutional investors, specializing in private markets portfolios including private equity, debt, and equity-related investments[32] 2. Summary of Significant Accounting Policies This note outlines the key accounting principles and methods used in preparing the financial statements - Unaudited condensed consolidated financial statements are prepared in accordance with U.S. GAAP for interim financial information[33] - The precise impact of the COVID-19 pandemic on the Company's financial statements is currently not possible to predict[34][35] - Investments in Partnerships are accounted for using a three-month lag due to timing of financial information[36] - Fair value measurements are categorized into a three-level hierarchy: Level 1 (quoted prices in active markets), Level 2 (observable inputs), and Level 3 (unobservable inputs)[37][39] [3. Revenue](index=14&type=section&id=3