Hamilton Lane (HLNE) Q3 2026 earnings summary

Executive summary

• Total asset footprint surpassed $1 trillion, with AUM at $146 billion (+8% YoY) and fee-earning AUM at $79 billion (+11% YoY) as of December 31, 2025.

• Net income attributable to the company was $58.4 million for the quarter and $183 million year-to-date, up 10% YoY; non-GAAP EPS was $1.55 for the quarter and $4.41 year-to-date.

• Declared a quarterly dividend of $0.54 per share, targeting a 10% annual increase.

• Strategic partnership with Guardian closed, adding nearly $5 billion in assets, $500 million annual commitments for at least 10 years, and a warrant for up to 400,000 shares.

• Maintained a strong balance sheet with $1.17 billion in investments and $280 million in debt as of December 31, 2025.

Financial highlights

• Management and advisory fees rose 11% YoY to $429 million year-to-date; specialized funds revenue up $35 million (+15% YoY).

• Incentive fees totaled $136 million year-to-date, mainly from performance fees in evergreen funds.

• Adjusted EBITDA reached $304.1 million year-to-date (+15% YoY); Fee Related Earnings (FRE) were $254.6 million (+37% YoY).

• Total revenues for the nine months ended December 31, 2025, increased 10% YoY to $565 million.

• Total expenses increased $40 million (+14% YoY), with compensation and benefits up $29 million (+15%).

Outlook and guidance

• Initial economic impact from Guardian partnership to be recognized in fiscal Q4 2026.

• Expect to hold first closes for new Secondary and Venture Access funds in Q2 2026.

• U.S.-registered counterpart to international credit Evergreen fund to launch in coming months.

• Management expects continued growth in fee-earning AUM from new and existing accounts and ongoing investment activity.

• Targeting a full-year dividend of $2.16 per share, representing a 10% increase from the prior fiscal year.