P10(US:PX)2025-05-08 13:32Financial Data and Key Metrics Changes - The company raised and deployed over $1,400,000,000 in gross new fee-paying AUM, marking a record fundraising quarter [6] - Revenue for the first quarter was $67,700,000, a 2% increase year-over-year [20] - Fee-paying assets under management increased to $26,300,000,000, reflecting a 10% year-over-year growth [20] - GAAP net income decreased to $4,700,000 from $5,200,000 in the prior year quarter [23] - Adjusted net income (ANI) was $23,500,000, representing an 8% decrease year-over-year [23] - FRE margin was 45% in the first quarter [24] Business Line Data and Key Metrics Changes - Private equity strategies raised and deployed $1,200,000,000 [21] - Venture capital solutions raised and deployed $82,000,000 [21] - Private credit strategies added $162,000,000 to fee-paying assets under management [21] - Total catch-up fees in the quarter were $2,800,000, with direct and secondary catch-up fees totaling $2,200,000 [22] Market Data and Key Metrics Changes - The company closed RCP Direct V with nearly $1,000,000,000 in commitments, a record for RCP [6] - The acquisition of Qualitas Funds added 1,300 LPs to the platform, significantly expanding the global LP base [8] - The company expects to have more than 15 funds in the market throughout the year [7] Company Strategy and Development Direction - The strategic plan focuses on optimizing organizational structure, driving organic growth, and enhancing transparency [10] - The company aims to deepen and expand its LP base through new investment vehicles and distribution channels [12] - The acquisition of Qualitas Funds aligns with the company's strategy to expand geographic footprint and asset class exposure [13] Management's Comments on Operating Environment and Future Outlook - Management acknowledges the volatility in the macroeconomic environment but believes the company is well-positioned to navigate it [14] - The company expects at least $4,000,000,000 of organic gross fundraising in 2025 and double-digit revenue growth [9] - Management remains optimistic about the M&A market, noting an increase in potential opportunities [46] Other Important Information - The company raised its quarterly dividend to $3.75 per share, marking a 7% increase [24] - Cash and cash equivalents at the end of the first quarter were approximately $74,000,000 [25] - The company introduced a new KPI, assets under management (AUM), which amounted to over $38,000,000,000 across the platform as of March 31, 2025 [27] Q&A Session Summary Question: Clarification on catch-up fees related to RCP Direct fund - The April 10 date was the announcement date, not the close date [30][31] Question: Early results of cross-marketing with 5,000 LPs - The focus is on client cultivation and optimizing data analytics to capitalize on synergies [32][34] Question: Guidance on step downs and expirations - The company is not changing its guidance on step downs and expirations at this time [39] Question: Impact of Qualitas on tax benefits and M&A opportunities - The acquisition will not change tax amortization, and there is an increase in potential M&A opportunities [45][46] Question: Contribution from SMAs in fundraising numbers - There was a strong contribution from the SMA pipeline this quarter, with a focus on larger allocators [67][70] Question: Core FRE margins and expense uplift in Q2 - The company expects core organic FRE margins to remain in the mid-40s, including Qualitas [74]