STEP
StepStone Group Inc.63.52
+0.08+0.13%
Dec 16, 4:00:00 PM EST
Earnings Call Transcripts
This Quarter (Q1 '26)
No earnings call transcript available yet
Last Quarter (Q4 '25)
FY Q3 '26
Low software exposure calms AI fears
Q&A detailed StepStone's modest software exposure at 11% of AUM (7% excluding venture), positioning diversification—real estate and infra as AI tailwinds—as the first defense against disruption risks. Spring's 39% return derived from AI-aligned bets like cybersecurity and physical AI, with 34% primaries and 64% direct secondaries minimizing discount reliance. Management expects modest growth in upcoming fund vintages to match opportunities amid competition, while private wealth syndicates for STEPEX, Credex, and Structs remain early-stage. Strong inflows from Asia, Europe, and Middle East persist. Diversification is their first line of defense. Investors will eye Spring's deployment capacity.
Key Stats
Market Cap
7.90BP/E (TTM)
-Basic EPS (TTM)
-8.15Dividend Yield
0.02%Recent Filings
8-K
Q3 fees, performance soar
StepStone Group reported Q3 fiscal 2026 results on February 5, 2026, with fee revenues up 26% to $241M, fee-related earnings rising 20% to $89M at 37% margin, and gross realized performance fees surging 387% to $253M. AUM hit $220B, FEAUM climbed 21% to $139B. Board hiked quarterly dividend to $0.28/share. GAAP net loss narrowed to $162M.
10-Q
Q3 FY2026 results
StepStone's Q3 FY2026 revenues surged 73% y/y to $586.5M, driven by management fees up 26% y/y to $239.9M on 24% FEAUM growth and incentive fees exploding 830% y/y to $208.0M from its Private Venture and Growth Fund; carried interest allocations rose 26% y/y to $148.7M (derived). Yet GAAP net loss attributable to Class A widened to $(123.5M) or $(1.55)/share from $(192.0M) or $(2.61)/share, as equity-based comp hit $468.8M amid SPW profits interest remeasurements—net loss exceeds operating loss by >20% due to equity-based compensation and performance fee-related compensation per statements. Cash swelled to $266.1M; debt steady at $270.2M (5.52% notes due 2029, $100M revolver at 6.02% to May 2029, compliant). Completed 2025 Exchange for ~5% more equity in real assets, real estate, private debt units (cash/stock/Class D units). Fund deconsolidation trimmed assets. Competition for high-quality managers pressures returns.
8-K
StepStone Q2: Fees up, net loss widens
StepStone Group reported Q2 fiscal 2026 results on November 6, 2025, with fee revenues climbing 17% year-over-year to $217 million, while assets under management hit $209 billion, up 19%. Yet GAAP net loss swelled to $575 million, hammered by $884 million in equity-based compensation and $148 million in unrealized carried interest. Fee-related earnings dipped to $79 million, but the board hiked the dividend to $0.28 per share. Private markets fundraising stays choppy.
10-Q
Q2 FY2026 results
StepStone Group posted solid Q2 FY2026 results, with management and advisory fees up 17% year-over-year to $215.5M on 27% growth in average fee-earning AUM, while total revenues surged 67% to $454.2M thanks to robust carried interest allocations that climbed 196% (derived) excluding reversals. Yet profitability took a hit from a $884.5M equity-based compensation charge tied to private wealth profits interests, driving a net loss attributable to the company of $366.1M, or $(4.66) per diluted share—anti-dilutive effects kept shares flat at 78.6M. Cash from operations held steady at $62.5M for the half-year, bolstering $230M in liquidity against $270M debt (5.52% notes due 2029 and $100M revolver at 6.4%). The asset class buy-ins closed May 2025 for $10M cash plus 756K shares and 2.4M units, lifting ownership to 60% in real assets and estate units. Competition from bigger allocators sharpens fundraising risks.
8-K
Certificate amendments effective
StepStone Group filed a Certificate of Amendment on September 18, 2025, making effective stockholder-approved Clean-Up Amendments to its Certificate of Incorporation, removing obsolete provisions and adding clarifying, technical changes. It also integrated an officer liability limit. Routine housekeeping. No business impact disclosed.
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