P10 Reports Fourth Quarter and Full Year 2022 Earnings Results

Rhea-AI Summary

P10, Inc. (NYSE: PX) reported a record financial performance for 2022, showcasing remarkable double-digit year-over-year growth. In Q4 2022, Fee Paying Assets Under Management reached $21.2 billion, up 23% from the previous year. The company recorded revenue of $58.3 million, a 28% increase, and a substantial GAAP net income of $4.8 million, reflecting a 221% rise. For the full fiscal year 2022, total revenue was $198.4 million, a 32% increase, while fully diluted GAAP EPS grew to $0.24, marking a 194% rise. A quarterly dividend of $0.03 per share was declared, payable on March 31, 2023.

Positive

• Revenue increased by 32% in fiscal year 2022 to $198.4 million.
• GAAP Net Income surged 173% year-over-year to $29.4 million.
• Fee Paying Assets Under Management rose 23% to $21.2 billion.
• Q4 Adjusted EBITDA increased 17% to $30.8 million.

Negative

• None.

Double-digit, year-over-year growth drives a record 2022

DALLAS, March 06, 2023 (GLOBE NEWSWIRE) -- P10, Inc. (NYSE: PX), a leading private markets solutions provider, today reported financial results for the fourth quarter and year ended December 31, 2022.

Fourth Quarter 2022 Financial Highlights:

• Fee Paying Assets Under Management: $21.2 billion, a 23% increase year over year.
• Revenue: $58.3 million, a 28% increase year over year.
• GAAP Net Income: $4.8 million, a 221% increase year over year.
• Adjusted EBITDA: $30.8 million, a 17% increase year over year.
• Adjusted Net Income: $27.3 million, a 24% increase year over year.
• Fully diluted GAAP EPS: $.04, a 104% increase year over year.
• Fully diluted ANI per share: $.22, a 22% increase year over year.
  

Fiscal Year End 2022 Financial Highlights:

• Revenue: $198.4 million, a 32% increase year over year.
• GAAP Net Income: $29.4 million, a 173% increase year over year.
• Adjusted EBITDA: $106.8 million, a 29% increase year over year.
• Adjusted Net Income: $97.9 million, a 56% increase year over year.
• Fully diluted GAAP EPS: $.24, a 194% increase year over year.
• Fully diluted ANI per share: $.80, a 43% increase year over year.

A presentation of the quarterly financials may be accessed here and is available on the Company’s website.

Declaration of Dividend:

The Board of Directors of the Company has declared a quarterly cash dividend of $.03 per share of Class A and Class B common stock, payable on March 31, 2023, to the holders of record as of the close of business on March 16, 2023.

Robert Alpert, Chairman and Co-CEO, and Co-CEO Clark Webb said, “P10 delivered double-digit growth and strong fourth quarter and full year 2022 profitability. Driven by an expanding and diverse set of strategies with long track records of investing through a variety of market cycles, we strengthened our position as the premier specialized private markets solutions provider in the middle and lower middle market. We are well positioned for continued growth.”

The company will also host a conference call at 5:00 p.m. Eastern Time on Monday, March 6, 2023. The call may be accessed here. All participants joining by telephone should dial one of the following numbers, followed by the Participant Access Code provided:

U.S. (toll free):	1-844-200-6205
US (local):	1-646-904-5544
All other locations:	+1-929-526-1599
Participant Access Code:	388409

For those unable to participate in the live call, a replay will be made available on P10’s investor relations page at www.p10alts.com.

About P10
P10 is a leading multi-asset class private markets solutions provider in the alternative asset management industry. P10’s mission is to provide its investors differentiated access to a broad set of investment solutions that address their diverse investment needs within private markets. As of December 31, 2022, P10 has a global investor base of over 3,100 investors across 50 states, 59 countries, and six continents, which includes some of the world’s largest pension funds, endowments, foundations, corporate pensions, and financial institutions. Visit www.p10alts.com.

Forward-Looking Statements

Some of the statements in this release may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the Securities Exchange Act of 1934 and the Private Securities Litigation Reform Act of 1995. Words such as “will,” “expect,” “believe,” “estimate,” “continue,” “anticipate,” “intend,” “plan” and similar expressions are intended to identify these forward-looking statements. Forward-looking statements discuss management’s current expectations and projections relating to our financial position, results of operations, plans, objectives, future performance, and business. The inclusion of any forward-looking information in this release should not be regarded as a representation that the future plans, estimates, or expectations contemplated will be achieved. Forward-looking statements are subject to various risks, uncertainties, and assumptions. Forward-looking statements reflect management’s current plans, estimates, and expectations, and are inherently uncertain. All forward-looking statements are subject to known and unknown risks, uncertainties, and other important factors that may cause actual results to be materially different, including risks relating to: global and domestic market and business conditions; successful execution of business and growth strategies and regulatory factors relevant to our business; changes in our tax status; our ability to maintain our fee structure; our ability to attract and retain key employees; our ability to manage our obligations under our debt agreements; as well as assumptions relating to our operations, financial results, financial condition, business prospects, growth strategy; and our ability to manage the effects of events outside of our control. The foregoing list of factors is not exhaustive. For more information regarding these risks and uncertainties as well as additional risks that we face, you should refer to the “Risk Factors” included in our annual report on Form 10-K for the year ended December 31, 2021, filed with the U.S. Securities and Exchange Commission (“SEC”) on March 21, 2022, and in our subsequent reports filed from time to time with the SEC. The forward-looking statements included in this release are made only as of the date hereof. We undertake no obligation to update or revise any forward-looking statement as a result of new information or future events, except as otherwise required by law.

Use of Non-GAAP Financial Measures by P10, Inc.

The non-GAAP financial measures contained in this press release (including, without limitation, Adjusted EBITDA, Adjusted Net Income, and fee-paying assets under management) are not GAAP measures of the Company’s financial performance or liquidity and should not be considered as alternatives to net income (loss) as a measure of financial performance or cash flows from operations as measures of liquidity, or any other performance measure derived in accordance with GAAP. A reconciliation of such non-GAAP measures is included in the presentation of the fourth quarter and year end 2022 results. The Company believes the presentation of these non-GAAP measures provide useful additional information to investors because it provides better comparability of ongoing operating performance to prior periods. It is reasonable to expect that one or more excluded items will occur in future periods, but the amounts recognized can vary significantly from period to period. Fee-paying assets under management reflects the assets from which we earn management and advisory fees. Our vehicles typically earn management and advisory fees based on committed capital, and in certain cases, net invested capital, depending on the fee terms. Management and advisory fees based on committed capital are not affected by market appreciation or depreciation. You are encouraged to evaluate each adjustment to non-GAAP financial measures and the reasons management considers it appropriate for supplemental analysis. Our presentation of these measures should not be construed as an inference that our future results will be unaffected by unusual or non-recurring items.

Ownership Limitations
P10’s Certificate of Incorporation contains certain provisions for the protection of tax benefits relating to P10’s net operating losses. Such provisions generally void transfers of shares that would result in the creation of a new 4.99% shareholder or result in an existing 4.99% shareholder acquiring additional shares of P10.

P10 Press and Investor Contact:
info@p10alts.com

FAQ

What were the Q4 2022 financial results for P10, Inc. (PX)?

P10, Inc. reported Q4 2022 revenue of $58.3 million, up 28% year-over-year, and a GAAP net income of $4.8 million, a 221% increase.

How much did P10, Inc. (PX) increase its Fee Paying Assets Under Management in 2022?

P10, Inc. increased its Fee Paying Assets Under Management by 23% to $21.2 billion in 2022.

What was the fully diluted GAAP EPS for P10, Inc. (PX) in 2022?

The fully diluted GAAP EPS for P10, Inc. in 2022 was $0.24, reflecting a 194% year-over-year increase.

When is the dividend payment date for P10, Inc. (PX)?

The quarterly cash dividend of $0.03 per share for P10, Inc. will be payable on March 31, 2023.