Hamilton Lane Incorporated (NASDAQ:HLNE) Q3 2023 Earnings Conference Call February 7, 2023 11:00 AM ET

Company Participants

John Oh - Investor Relations Manager

Mario Giannini - Chief Executive Officer

Erik Hirsch - Vice Chairman

Brian Gildea - Managing Director, Investments

Atul Varma - Chief Financial Officer

Conference Call Participants

Michael Cyprys - Morgan Stanley

Ken Worthington - JPMorgan

Chris Kotowski - Oppenheimer

Operator

Good morning. My name is Brent, and I will be your conference operator today. At this time, I would like to welcome everyone to the Hamilton Lane Third Fiscal Quarter and Fiscal Year 2023 Earnings Conference Call. [Operator Instructions] At this time, I would like to turn the call over to John Oh, Investor Relations Manager. Mr. Oh, you may begin.

John Oh

Thank you, Brent. Good morning, and welcome to the Hamilton Lane Q3 fiscal 2023 Earnings Call. Today, I will be joined by Mario Giannini, CEO; Erik Hirsch, Vice Chairman; and Atul Varma, CFO. Before we discuss the quarter's results, we want to remind you that we will be making forward-looking statements based on our current expectations for the business. These statements are subject to risks and uncertainties that may cause the actual results to differ materially. For a discussion of these risks, please review the risk factors included in the Hamilton Lane fiscal 2022 10-K and subsequent reports we file with the SEC. We will also be referring to non-GAAP measures that we view as important in assessing the performance of our business. Reconciliation of those non-GAAP measures to GAAP can be found in the earnings presentation materials made available on the Shareholders section of the Hamilton Lane website. Our detailed financial results will be made available when our 10-Q is filed.

Please note that nothing on this call represents an offer to sell or a solicitation to purchase interest in any of Hamilton Lane's products. A portion of our presentation will mention an offering of new share classes of our private assets fund that is subject -- that is the subject of a registration statement filed with the Securities and Exchange Commission. The registration statement is not yet effective. We may not sell these securities until the registration statement is effective. This presentation is not an offer to sell or a solicitation of an offer to buy these securities in any jurisdiction where the offer for sale is not permitted.

Beginning with the financial highlights, year-to-date, our management and advisory fee revenue grew by 20%, while our fee-related earnings grew by 11% versus the prior year. This translated into year-to-date GAAP EPS of $2.19 based on $78 million of GAAP net income and non-GAAP EPS of $2.38 based on $128 million of adjusted net income. We have also declared a dividend of $0.40 per share this quarter, which keeps us on track with a 14% increase over last fiscal year, equating to the targeted $1.60 per share for fiscal year 2023.