Patria Reports Fourth Quarter & Full Year 2024 Earnings Results

Rhea-AI Summary

Patria (Nasdaq:PAX) reported strong Q4 and full year 2024 results, exceeding its fundraising target with $5.5 billion raised, including $300 million in Advisory business. The company's Fee Earning AUM reached $33 billion, showing 38% year-over-year growth. Fee Related Earnings hit the target of $170 million for 2024, up 15% from 2023, with a 57% FRE margin.

Q4 2024 highlights include $54.8 million in Fee Related Earnings (18% increase from Q4 2023) and $89.1 million in Distributable Earnings ($0.58 per share). Performance Related Earnings reached $41 million, primarily from the sale of Aguas Pacifico. The company declared a quarterly dividend of $0.15 per share, payable March 17th, 2024.

For 2025, Patria targets $6 billion in fundraising and $200-225 million in FRE, building on their diversified platform strategy and expanded distribution capabilities.

Positive

• Fee Earning AUM grew 38% YoY to $33 billion
• Fee Related Earnings increased 15% YoY to $170.1 million
• Exceeded fundraising target with $5.5 billion raised in 2024
• Q4 Distributable Earnings of $89.1 million ($0.58 per share)
• Performance Related Earnings of $41 million from successful infrastructure investment

Negative

• None.

Insights

Financial Analyst

Patria's Q4 and FY2024 results reveal a compelling transformation story, with the alternative asset manager successfully executing its diversification strategy. The 38% year-over-year growth in Fee Earning AUM to $33 billion demonstrates strong market penetration and validates the firm's expansion beyond its traditional Latin American focus.

The company's platform evolution is particularly noteworthy, with Fee Related Earnings growing 15% to $170.1 million while maintaining a robust 57% FRE margin. This combination of growth and profitability suggests effective scaling of operations and strong operating leverage. The diversification of revenue streams is evident in the fundraising success across multiple strategies, reducing dependency on any single product line and enhancing earnings stability.

The $41 million in Performance Related Earnings, primarily from the Aguas Pacifico exit, showcases the firm's ability to execute successful exits even in challenging market conditions. This performance, combined with the $5.5 billion in fundraising (exceeding targets by 10%), positions Patria favorably for its ambitious 2025 targets of $6 billion in fundraising and $200-225 million in FRE.

The expansion to 13 offices across 4 continents, managing $41.9 billion in total assets, reflects a strategic transformation from a regional player to a global alternative asset manager. This geographic diversification, coupled with the broadening of investment strategies, creates multiple growth vectors while potentially reducing regional market risk exposure.

The quarterly dividend of $0.15 per share represents a balanced approach to capital return while maintaining investment in growth initiatives. The strong Distributable Earnings of $1.24 per share for the full year demonstrates the firm's ability to convert AUM growth into shareholder returns effectively.

GRAND CAYMAN, Cayman Islands, Feb. 12, 2025 (GLOBE NEWSWIRE) -- Patria (Nasdaq:PAX) reported today its unaudited results for the fourth quarter and full year ended December 31, 2024. The full detailed presentation of Patria's fourth quarter and full year 2024 results can be accessed on the Shareholders section of Patria’s website at https://ir.patria.com/.

Alex Saigh, Patria’s CEO, said: “The fourth quarter capped a very exciting and transformational year for Patria. We raised $5.5 billion in 2024, inclusive of $300 million in our Advisory business, exceeding our $5 billion target. A wide variety of strategies and products, most of which did not exist at the time of our IPO four years ago, contributed to our fundraising. Our Fee Earning AUM reached $33 billion representing year-over-year growth of 38%, and we achieved our target FRE of $170 million for the full year, reflecting 15% year-over-year growth. Also, we generated Performance Related Earnings, or PRE, of $41 million, primarily reflecting the sale of Aguas Pacifico, a highly successful infrastructure investment in our Infrastructure Fund III. Overall, driven by strong FRE growth and PRE, we delivered $89 million of Distributable Earnings or $0.58 per share in the quarter and $189 million or $1.24 per share for the full year. As we look ahead to 2025, we believe we are well positioned to generate the $6 billion of fundraising and $200 to $225 million of FRE we are targeting for the full year. Our success highlights how the increased diversification of our platform and the investments we are making in distribution and new product development are translating into stronger and more diverse growth for the firm, leaving us very excited about what lies ahead.”

Financial Highlights (reported in $ USD)

IFRS results included $56.8 million of net income attributable to Patria in Q4 2024 and $73.4 million for the full year. Patria generated Fee Related Earnings of $54.8 million in Q4 2024, up 18% from $46.7 million in Q4 2023, with an FRE margin of 59%. For the full year 2024, Patria generated Fee Related Earnings of $170.1 million, up 15% from $147.7 million in 2023, with an FRE margin of 57%. Distributable Earnings were $89.1 million for Q4 2024, or $0.58 per share, and $189.2 million for the full year, or $1.24 per share.

Dividends

Patria declared a quarterly dividend of $0.15 per share to record holders of common stock at the close of business on February 28th, 2025. This dividend will be paid on March 17th, 2024.

Conference Call

Patria will host its fourth quarter and full year 2024 earnings conference call via public webcast on February 12th, 2025, at 9:00 a.m. ET. To register and join, please use the following link:

https://edge.media-server.com/mmc/p/e5czewmy/

For those unable to listen to the live broadcast, there will be a webcast replay on the Shareholders section of Patria’s website at https://ir.patria.com/ shortly after the call’s completion.

About Patria

Patria is a global alternative asset manager and industry leader in Latin America. Founded over 35 years ago, Patria has total assets under management of $41.9 billion, and offices in 13 cities on 4 continents. Patria aims to generate attractive long-term investment returns and, through a diversified platform with strategies that include Private Equity, Infrastructure, Credit, Real Estate, Public Equities and Global Private Markets Solutions, serve as the gateway to alternative investments for both local investors in Latin America, as well as global investors. Further information is available at www.patria.com.

Forward-Looking Statements

This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. You can identify these forward-looking statements by the use of words such as “outlook,” “indicator,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “could,” “should,” “seeks,” “approximately,” “predicts,” “intends,” “plans,” “estimates,” “anticipates” or the negative version of these words or other comparable words, among others. Forward-looking statements appear in a number of places in this press release and include, but are not limited to, statements regarding our intent, belief or current expectations. Forward-looking statements are based on our management’s beliefs and assumptions and on information currently available to our management. Forward-looking statements speak only as of the date they are made, and we do not undertake any obligation to update them in light of new information or future developments or to release publicly any revisions to these statements in order to reflect later events or circumstances or to reflect the occurrence of unanticipated events. Such forward-looking statements are subject to various risks and uncertainties. Accordingly, there are or will be important factors that could cause actual outcomes or results to differ materially from those indicated in these statements. Further information on these and other factors that could affect our financial results is included in filings we have made and will make with the U.S. Securities and Exchange Commission from time to time, including but not limited to those described under the section entitled “Risk Factors” in our most recent annual report on Form 20-F, as such factors may be updated from time to time in our periodic filings with the United States Securities and Exchange Commission (“SEC”), which are accessible on the SEC’s website at www.sec.gov. These factors should not be construed as exhaustive and should be read in conjunction with the other cautionary statements that are included in our periodic filings.

Contact

Patria Shareholder Relations
E. PatriaShareholderRelations@patria.com
T. +1 917 769 1611

FAQ

What was Patria's (PAX) Fee Earning AUM growth in 2024?

Patria's Fee Earning AUM grew 38% year-over-year, reaching $33 billion in 2024.

How much did Patria (PAX) raise in funds during 2024?

Patria raised $5.5 billion in 2024, including $300 million in their Advisory business, exceeding their $5 billion target.

What are Patria's (PAX) fundraising and FRE targets for 2025?

Patria targets $6 billion in fundraising and $200-225 million in Fee Related Earnings (FRE) for 2025.

What was Patria's (PAX) Q4 2024 dividend payment?

Patria declared a quarterly dividend of $0.15 per share, payable on March 17th, 2024, to shareholders of record as of February 28th, 2025.

What were Patria's (PAX) Q4 2024 Distributable Earnings?

Patria reported Q4 2024 Distributable Earnings of $89.1 million, or $0.58 per share.