Petershill Partners (PHLL), the listed GP-stakes platform operated by Goldman Sachs Asset Management, has published robust results for the year ended 31 December 2024. Partner distributable earnings rose by 11% to US$323m, driven by strong fee-related income, realisations at premiums to carrying value, and an active year for capital allocation.
The company completed four acquisitions totalling US$205m and three disposals generating US$575m of nominal consideration during the year, returning a total of US$563m to shareholders, including US$287m in special dividends, a US$103m tender offer, and a US$6m buyback.
Subsequent to the year end, Petershill disposed of a significant portion of its stake in General Catalyst for US$726m, realising a 62% premium to carrying value. A special dividend of 14.0 US cents per share (US$151m) has been declared to return the majority of the net gain to shareholders.
Financial performance and capital return
- Adjusted profit after tax rose to US$216m (2023: US$200m)
- Adjusted EBIT grew to US$293m, with an EBIT margin of 88%
- Adjusted EPS came in at 19.7 US cents (2023: 17.6 US cents)
- IFRS profit after tax more than doubled to US$832m (2023: US$321m)
- Total dividend for FY24 of 15.5 US cents, up 3%, plus two special dividends totalling 26.5 US cents during the year
- Book value per share rose to 471 US cents (2023: 431 US cents)
Disposals during the year were completed at an average premium of 19% to the last reported carrying values, while the General Catalyst exit pushes the blended premium across all disposals closer to 40%. The company emphasised the conservative nature of its underwriting, with projected returns predicated on growth and cash flow rather than multiple expansion.
Portfolio activity and outlook
PHLL continues to focus on mid-market, management fee-centric alternative asset managers, with aggregate partner-firm assets under management (AUM) rising to US$337bn, and fee-paying AUM up 8% to US$238bn. The firm raised US$32bn of fee-eligible AUM in 2024, exceeding its US$20–25bn guidance for the third consecutive year, despite wider industry headwinds.
New investments included a stake in Kennedy Lewis Investment Management, enhancing exposure to private credit, and an additional post-year-end stake in Frazier Healthcare Partners for US$330m, of which US$16m was funded at close.
At year end, US$8bn of fee-eligible AUM was not yet generating revenues, providing visibility on future growth. Realised performance revenues (PRE) rose 33% to US$73m, while fee-related earnings (FRE) also grew 11% to US$225m, maintaining a 58% margin.
Strategic focus and shareholder returns
The company’s capital return strategy was front and centre, with chairman Naguib Kheraj highlighting the value-accretive nature of the US$103m tender offer, which was executed at a 15% premium to the market price at the time and followed by a further 16% increase in the share price.
Commenting on the results, co-heads Ali Raissi-Dehkordy and Robert Hamilton Kelly said: “We delivered successfully on our financial and strategic goals in 2024. The premium achieved on disposals, including General Catalyst, reflects the strength of our valuation creation model. Our portfolio of high-quality partner-firms continues to grow, and we remain confident in our strategy and ability to deliver strong returns for shareholders.”
2025 guidance and outlook
For 2025, the company is guiding towards:
- US$20–25bn in new fee-eligible AUM
- US$180–210m in partner FRE (2024 pro forma: US$186m)
- PRE to comprise 15–30% of total partner revenues
- Acquisitions likely to exceed medium-term range of US$100–300m
While macroeconomic and geopolitical uncertainty persists, the board believes Petershill remains well-positioned to capitalise on GP-stakes opportunities, supported by continued partner-firm growth and a disciplined, capital-efficient approach to portfolio management.
The final dividend of 10.5 US cents per share is payable on 13 June 2025, while the special dividend of 14.0 US cents relating to the General Catalyst sale is payable on 9 May 2025.
