StepStone Group Inc. SEC 10-Q Report

StepStone Group Inc., a global private markets investment firm, has released its Form 10-Q report for the fourth quarter of 2024. The report highlights significant financial and operational metrics, reflecting the company's performance and strategic initiatives during the period.

Financial Highlights

Total Revenues: $339.023 million, reflecting a significant increase from the previous year's negative revenue due to improved performance fees.

Net Income (Loss): $(287.163) million, a substantial decrease compared to the previous year, primarily due to increased equity-based compensation expenses.

Net Income (Loss) Per Share of Class A Common Stock - Basic: $(2.61), indicating a significant decline from the previous year's earnings per share.

Net Income (Loss) Per Share of Class A Common Stock - Diluted: $(2.61), consistent with the basic earnings per share, reflecting the overall loss.

Business Highlights

Revenue Segments: The company reported management and advisory fees from focused commingled funds, separately managed accounts (SMAs), and advisory services. Focused commingled funds generated $104.9 million in fees for the three months ended December 31, 2024, while SMAs contributed $66.2 million, and advisory services added $17.5 million.

Geographical Performance: The company derived significant revenue from both the United States and non-U.S. countries. For the three months ended December 31, 2024, revenues from the United States were $142.4 million, while non-U.S. countries contributed $196.7 million.

Performance Fees: The company earned incentive fees primarily from focused commingled funds, totaling $22.4 million for the three months ended December 31, 2024. Carried interest allocations from SMAs and focused commingled funds amounted to $117.6 million.

Legacy Greenspring Carried Interest: Legacy Greenspring carried interest allocations showed a positive trend, with $8.2 million recognized for the three months ended December 31, 2024, reflecting net unrealized appreciation in the fair value of certain underlying fund investments.

Future Outlook: The company is closely monitoring economic developments, including inflation trends and geopolitical tensions, which may impact financial markets and business operations. The company remains focused on adapting to these conditions to maintain operational performance.

SEC Filing: StepStone Group Inc. [ STEP ] - 10-Q - Feb. 06, 2025