Stepstone Group Inc. · NASDAQ:STEP
Stepstone — Q1 FY2026 Earnings Presentation
45 slides from Stepstone's earnings presentation, Aug 7, 2025
Slide 1: First Quarter Fiscal Year 2026 Earnings Presentation
First Quarter Fiscal Year 2026 Earnings Presentation August 7, 2025 STEPSTONE GROUP 1
Slide 2: Today's presenters
Today’s Scott Hart CEO Jason Ment President & Co-COO presenters Mike McCabe David Park Head of Strategy CFO STEPSTONE GROUP 2
Slide 3: GAAP consolidated statements of income (loss)
GAAP consolidated statements of income (loss) ($ in thousands, except per share amounts) Quarter Jun '24 Jun '25 % Fav / Unfav Revenues Management and advisory fees, net $ 178,015 $ 211,173 19% Performance fees: Incentive fees 841 190 -77% Carried interest allocations: Realized 41,804 24,404 -42% Un
Slide 4: Non-GAAP financial results
Non-GAAP financial results1 ($ in thousands, unless otherwise mentioned) Quarter Jun '24 Jun '25 % Fav / Unfav Fee revenues (2) $ 178,514 $ 212,740 19% Less: Adjusted cash-based compensation 77,796 95,968 -23% Adjusted equity-based compensation 2,394 4,209 -76% Adjusted general, administrative and o
Slide 5: Fiscal Q1 2026 overview
Fiscal Q1 2026 overview FQ1’26 FQ1’25 vs. FQ1’25 FQ4’25 vs. FQ4’25 Assets under management (“AUM”) $199.3 B $169.3 B 18% $189.4 B 5% Fee-earning AUM (“FEAUM”) $127.2 B $100.4 B 27% $121.4 B 5% Key Business Drivers Undeployed fee-earning capital $28.7 B $27.6 B 4% $24.6 B 17% Gross accrued carry $1,5
Slide 6: Overview
Overview STEPSTONE GROUP 6
Slide 7: Scale that delivers
Scale that delivers Opportunity Assets under management $199 The capital and relationships that unlock growth BILLION Total capital Reach Assets under advisement $524 responsibility True global presence, deep local knowledge BILLION $723 Flexibility Average annual private markets allocations $70+ BI
Slide 8: Growth drivers
Growth drivers AUM & AUA Separately Managed Accounts Focused Commingled Funds Advisory $121 billion $63 billion $524 billion 17% growth from the prior year 21% growth from the prior year - ~$16 billion of AUA relates to advisory accounts for which we have discretion $18 billion of new capital additi
Slide 9: Evolution of fee-earning AUM
Evolution of fee-earning AUM 35% clients with exposure to more than one asset class FEE-EARNING AUM BY COMMERCIAL STRUCTURE ($B) Total AUM $86 $134 $138 $157 $189 $199 $121.4 $127.2 Organic CAGR1: 21% $85.4 $93.9 FEAUM + UNDEPLOYED FEE-EARNING CAPITAL ($B) 48.2 50.5 Focused $75.2 commingled $52.0 35
Slide 10: Trend in fee revenues
Trend in fee revenues FEE REVENUES ($M)1 Advisory fees $796 LTM Focused commingled funds $763 72 FY’21 FY’22 FY’23 FY’24 FY’25 FQ1’26 67 Blended management fee rates3 Separately managed accounts Overall 0.52% 0.52% 0.54% 0.59% 0.65% 0.64% $581 By Type: SMAs 0.39% 0.40% 0.40% 0.39% 0.39% 0.39% 60 $49
Slide 11: Financial update
Financial update STEPSTONE GROUP 11
Slide 12: Financial highlights
Financial highlights - Fee revenues increased 19% over the prior year quarter. Excluding retroactive fees, fee revenues grew 32%, driven by FEAUM growth. - FRE increased 13% over the prior year quarter. Excluding retroactive fees, FRE grew 45%, driven by growth in fee revenues and margin improvement
Slide 13: Accrued carry and fund investments
Accrued carry and fund investments1 NET ACCRUED CARRY ($M)2 NET UNREALIZED CARRY AS OF 6/30/2025 BY VINTAGE AND TYPE Post 2020 Private Equity 25% 2016 & Prior $783 83% 34% $744 $738 $701 Infrastructure $677 2020 12% 3% 2017 9% 2019 Real Estate FQ1'25 FQ2'25 FQ3'25 FQ4'25 FQ1'26 5% 15% 75% from 2020
Slide 14: Appendix
Appendix STEPSTONE GROUP 14
Slide 15: Consolidated balance sheets
Consolidated balance sheets ($ in thousands) Jun '24 Mar '25 Jun '25 Assets Cash and cash equivalents $ 141,633 $ 244,791 $ 191,469 Restricted cash 735 502 524 Fees and accounts receivable 58,334 80,871 90,508 Due from affiliates 100,277 92,723 105,217 Investments: Investments in funds (1) 145,519 1
Slide 16: FEAUM overview
FEAUM overview Fav / Unfav Change ($B, unless noted) FQ1'26 FQ1'25 $ % Walk from AUM to FEAUM $B Total AUM as of 6/30/25 $ 199.3 SMAs Less: Non-fee earning AUM 17.5 Beginning balance $ 73.2 $ 58.9 $ 14.3 24% Less: Market appreciation included in AUM 25.9 Contributions 1 3.0 2.1 0.9 45% Less: Undeplo
Slide 17: Adjusted revenues
Adjusted revenues ($M, except per share amounts) FEE REVENUES Management fees increased 17% over the prior year $213 $805 quarter driven by growth in FEAUM $179 +19% $285 Advisory fees increased 35% over the prior year quarter Jun-24 Jun-25 Mar-21 LTM Jun-25 Quarter Long-Term Growth GROSS REALIZED P
Slide 18: Profitability
Profitability ($M, except per share amounts) FEE-RELATED EARNINGS - Fee-related earnings growth driven primarily by growth in fee $322 revenues - FRE margin was 38% for the quarter as compared with 40% in +13% $81 the prior year quarter and 31% four fiscal years ago $72 $89 Jun-24 Jun-25 Mar-21 LTM
Slide 19: StepStone occupies an important position within the GP & LP ecosystem
StepStone occupies an important position within the GP & LP ecosystem A strategic partner to our clients and fund managers, we listen deeply, share generously, and search diligently for new ways to address each challenge. CLIENTS A self-reinforcing Corporations growth cycle of STEPSTONE clients, cap
Slide 20: Our global reach powers possibility
Our global reach powers possibility Local teams with valuable regional insights collaborate across 29 cities, 17 countries and 5 continents. London Amsterdam Dublin Frankfurt Toronto Luxembourg Zurich San Francisco Milan Chicago New York Rome Seoul Palo Alto Cleveland Baltimore Beijing Dallas Charlo
Slide 21: Comprehensive private markets solutions
Comprehensive private markets solutions StepStone’s flexible business model helps clients access opportunities across all asset classes: ASSET MANAGEMENT ADVISORY RESEARCH Separately managed accounts Focused commingled funds Advisory & data services Portfolio analytics & reporting - Owned by one cli
Slide 22: Offering a full-service model to clients seeking a customized solution
358 34% Offering a full-service model to clients seeking a bespoke SMAs + focused commingled funds of advisory clients with an AUM relationship customized solution to private markets investing Industry-transforming technology capabilities create a virtuous cycle of client engagement and provide a si
Slide 23: Uncommon insights
Uncommon insights Our view is both panoramic and precise, framed by a powerful combination of proprietary data and technology that empowers clients to act with uncommon clarity and conviction. Investment selection Portfolio planning StepStone’s consolidated due diligence library contains qualitative
Slide 24: Investment expertise across all private markets asset classes
Investment expertise across all private markets asset classes As of June 30, 2025 BY AUM BY AUA 50% / $360B Private Debt combined AUM/AUA Private Debt $21B / 4% in RE / INFRA / PD $39B / 20% Infrastructure $71B / 14% Private Equity $101B / 50% $199 $524 BILLION Private Equity BILLION Infrastructure
Slide 25: Performance fee-related earnings
Performance fee-related earnings QUARTERLY PERFORMANCE FEE-RELATED EARNINGS ($M) LTM PERFORMANCE FEE-RELATED EARNINGS ($M) $122 $42 $123 $107 $110 $104 $33 $33 $96 $32 $91 $85 $29 $28 $27 $75 $68 $65 $66 $22 $57 $18 $18 $14 $43 $41 $12 $13 $38 $36 $12 $26 $8 $7 $5 $6 Note: Performance fee-related ea
Slide 26: Fee revenues
Fee revenues LTM JUNE ’24 LTM JUNE ’25 SMAs 36% SMAs 33% Advisory and Advisory and other services other services 10% 9% Focused Fund Fund commingled reimbursement Focused reimbursement funds revenues commingled revenues 53% 1% funds 1% 57% ($ in thousands) Quarter Last Twelve Months Jun '24 Jun '25
Slide 27: Blue-chip, sophisticated, global clientele
Blue-chip, sophisticated, global clientele As of June 30, 2025 BY TYPE BY GEOGRAPHY LTM management and advisory fees (%) LTM management and advisory fees (%) Pension Funds 3% 2% North America Insurance Companies 5% 5% Asia/Australia Private Wealth/ 14% 12% 31% Defined Contribution Plans Europe Sover
Slide 28: Our diversified platform spans private markets solutions
Our diversified platform spans private markets solutions Private Equity Real Estate Infrastructure Private Debt - Total AUM: $101B - Total AUM: $19B - Total AUM: $40B - Total AUM: $39B • SMA AUM: $54B • SMA AUM: $8B • SMA AUM: $35B • SMA AUM: $24B • FCF AUM: $47B • FCF AUM: $7B • FCF AUM: $3B • FCF
Slide 29: Notable StepStone focused commingled funds
Notable StepStone focused commingled funds Vintage Fund Size Fund Name Description Year ($M) PRIVATE EQUITY Current drawdown funds in market include: StepStone VC Asia Fund I Multi-strategy Asia venture capital 2020 $ 251 StepStone Capital Partners V Private equity co-investments 2021 2,364 - Privat
Slide 30: Reconciliation of GAAP income (loss) before income tax to ANI and FRE
Reconciliation of GAAP income (loss) before income tax to ANI and FRE ($ in thousands) Quarter Full Year Last Twelve Months Jun '24 Mar '25 Jun '25 Mar '21 Jun '24 Jun '25 Income (loss) before income tax $ 54,842 $ 9,950 $ (20,350) $ 337,849 $ 192,195 $ (297,227) Net income attributable to non-contr
Slide 31: Reconciliation of GAAP measures to adjusted measures
Reconciliation of GAAP measures to adjusted measures ($ in thousands) Quarter Full Year Last Twelve Months Jun '24 Mar '25 Jun '25 Mar '21 Jun '24 Jun '25 Total revenues $ 186,401 $ 377,729 $ 364,287 $ 787,716 $ 720,021 $ 1,352,716 Unrealized carried interest allocations 25,170 (21,177) (88,883) (43
Slide 32: Calculation and reconciliation of adjusted net income per share
Calculation and reconciliation of adjusted net income per share ($ in thousands, except share and per share amounts) Quarter Full Year Last Twelve Months Jun '24 Mar '25 Jun '25 Mar '21 Jun '24 Jun '25 ANI $ 57,241 $ 80,603 $ 48,534 $ 85,402 $ 167,246 $ 235,365 Weighted-average shares of Class A com
Slide 33: Reconciliation of total performance fees to gross realized performance fees and PRE
Reconciliation of total performance fees to gross realized performance fees and PRE ($ in millions) Quarter FQ4'21 FQ1'22 FQ2'22 FQ3'22 FQ4'22 FQ1'23 FQ2'23 FQ3'23 FQ4'23 FQ1'24 FQ2'24 FQ3'24 FQ4'24 FQ1'25 FQ2'25 FQ3'25 FQ4'25 FQ1'26 Incentive fees $ 0.4 $ 4.2 $ 1.8 $ 0.0 $ 5.6 $ - $ 5.4 $ 3.0 $ 1.3
Slide 34: Definitions
Definitions Adjusted net income, or “ANI,” is a non-GAAP performance measure that we present Assets under advisement, or “AUA,” consists of client assets for which we do not have full before the consolidation of StepStone Funds on a pre-tax and after-tax basis used to discretion to make investment d
Slide 35: Definitions (continued)
Definitions (continued) Assets under management, or “AUM,” primarily reflects the assets associated with our Fee-earning AUM, or “FEAUM,” reflects the assets from which we earn management fee separately managed accounts (“SMAs”) and focused commingled funds. We classify revenue (i.e., fee basis) and
Slide 36: Definitions (continued)
Definitions (continued) Fund size refers to total capital commitments to a StepStone Fund, including Performance fee-related earnings represent gross realized performance fees, less realized commitments from the Company as the general partner. performance fee-related compensation. We believe perform
Slide 37: Footnotes
Footnotes GAAP consolidated statements of income (loss) (slide 3) 1 Reflects amounts attributable to consolidated VIEs for which we did not acquire any direct economic interests. Such amounts are attributable to employees and therefore have been reflected as legacy Greenspring performance fee-relate
Slide 38: Footnotes (continued)
Footnotes (continued) Evolution of fee-earning AUM (slide 9) 1 Organic CAGR excludes $11.4B of FEAUM and $0.5B of undeployed fee-earning capital acquired as part of Greenspring as of 9/20/21. Trend in fee revenues (slide 10) 1 Excludes fund reimbursement revenues. 2 The acquisition of Greenspring co
Slide 39: Footnotes (continued)
Footnotes (continued) Consolidated balance sheets (slide 15) 1 The Company’s investments in funds were $300 million as of June 30, 2025, $276 million as of March 31, 2025, and $218 million as of June 30, 2024. The consolidation of the Consolidated Funds results in the elimination of the Company’s in
Slide 40: Footnotes (continued)
Footnotes (continued) Our diversified platform spans private markets solutions (slide 28) 1 Investment returns reflect NAV data for underlying investments as of March 31, 2025, as reported by underlying managers up to the business day occurring on or after 100 days following March 31, 2025. For inve
Slide 41: Footnotes (continued)
Footnotes (continued) Our diversified platform spans private markets solutions (continued) (slide 28) 4 Investments of former clients are included in performance summary past the client termination date until such time as StepStone stops receiving current investment data (quarterly valuations and ca
Slide 42: Footnotes (continued)
Footnotes (continued) Reconciliation of GAAP income (loss) before income tax to ANI and FRE (continued) (slide 30) 3 Includes (income) expense related to transaction costs ($0.6 million and $0.7 million for the three months ended June 30, 2025 and 2024, respectively, $0.2 million for the three month
Slide 43: Footnotes (continued)
Footnotes (continued) Reconciliation of GAAP measures to adjusted measures (slide 31) 1 Reflects the add-back of management and advisory fee revenues for the Consolidated Funds, which have been eliminated in consolidation. 2 Reflects the add-back of incentive fee revenues for the Consolidated Funds,
Slide 44: Disclosure
Disclosure Some of the statements in this presentation may constitute “forward-looking statements” The non-GAAP financial measures contained in this presentation (including, without limitation, within the meaning of Section 27A of the Securities Act of 1933, Section 21E of the adjusted revenues, adj
Slide 45: stepstonegroup.com
stepstonegroup.com STEPSTONE GROUP 45